[miao007]

Hi,

I am working as a contractor for a US company. All my work are done outside of US.

I am neither US resident (PR, citizen) nor am I working in US.

I opened a bank account in US and requested the company to bank directly into it.

Question:
1) The company said it needed to issue me an 1099 form as I am banking into a bank in US. If it was banked into a bank not in US, then they do not need to issue me a 1099. Is this correct?

2) I am not a US resident nor am I working in US soil, do I need to file anything to IRS?

Thanks

[AtlantaTaxExpert]

Where you bank has NO BEARING on whether the company must produce a Form 1099-MISC for you or not.

For sure, the income you earn IS subject to the Puerto Rican income tax, because the income is earned IN Peurto Rico.

In most circumstances, the income reported to the IRS by the Form 1099-MISC is NOT subject to U.S. income taxes because you neither LIVED nor WORKED in the United States.

However, because the Form 1099-MISC was generated, you will need to file a U.S. tax return (probably Form 1040NR) with Form 8833 to claim an exemption from the U.S. taxes. I am not sure HOW to claim such an exemption, as I have never filed such a return for a resident of Puerto Rico.