[Webinar] Streamline your web hosting managementRegister Today

x
  • Status: Solved
  • Priority: Medium
  • Security: Public
  • Views: 485
  • Last Modified:

Paying agent in another country

How paying  an agent, who is not employee, in another country for a service, affect my tax. The amount paid during the year is less than 600 dollars.
0
shoppingtotogo
Asked:
shoppingtotogo
1 Solution
 
Julian MatzJoint ChairpersonCommented:
I'm guessing that you would be able to file your costs against income tax. It would be an outsourcing cost. Apart from that, I don't see how it would affect you. It might be a different story though if you were the one receiving the payment. That said, I'm not an expert on US tax regulations (I'm assuming from your timezone setting that you're based in the US).

Have a look here:

http://www.irs.gov/businesses/international/article/0,,id=96739,00.html
0
 
Tiras25Commented:
It probably will not effect you in anyway....

If this is an independent contractor, you do not have to 1099 anyone under $600.

If you want to deduct it you simply do so in the proper business expense category.

What kind of work did this person do for you?  What kind of business entity do you have? And will you be needing help from overseas again this year?

0

Featured Post

[Webinar] Improve your customer journey

A positive customer journey is important in attracting and retaining business. To improve this experience, you can use Google Maps APIs to increase checkout conversions, boost user engagement, and optimize order fulfillment. Learn how in this webinar presented by Dito.

Tackle projects and never again get stuck behind a technical roadblock.
Join Now