Hi, I am working on a contract with an American company where my Ontario corporation will perform work remotely (by Canadian residents, no Americans involved), 100% in Ontario, with no work travel to USA. Does my Ontario corporation need to fill out any IRS forms such as W-9, 1120-F, W-8BEN-E, etc for the American client?
Thanks.
Remote work from Canada
Moderator: Mark T Serbinski CA CPA
Hi,
Almost the same situation for me. But I have to travel to the US for business meetings, about 6 times a year (20 days total). Since the meeting days are billable, these 20 days is considered US sourced income. They gave me "1042-S" for this portion of income. (income code: 16) in the form, but no withholding. Is this "US sourced income" still covered under the Treaty Benefit Claims at zero rate ? Does it need to be separated (stated differently) from the rest of income earned from Canada (95%) in 1120-F filing ?
Thanks
Vincent
Almost the same situation for me. But I have to travel to the US for business meetings, about 6 times a year (20 days total). Since the meeting days are billable, these 20 days is considered US sourced income. They gave me "1042-S" for this portion of income. (income code: 16) in the form, but no withholding. Is this "US sourced income" still covered under the Treaty Benefit Claims at zero rate ? Does it need to be separated (stated differently) from the rest of income earned from Canada (95%) in 1120-F filing ?
Thanks
Vincent