Offer HN: Free Tax Help From a Pro.

https://news.ycombinator.com/item?id=4256524

by camz • 14 years ago

21 15 14 years ago

news.ycombinator.com

Hey,

I'm a tax guy. I'm a CPA, an Enrolled Agent before the IRS and tax attorney. I've worked with the major accounting firms (PwC and KPMG) and I've saved companies like Pfizer and TIA-CREFF more than 30 million.

I know how hard it is to get things done on a tight (nonexistent) budget. So, I wanted to keep my promise to the Hacker News community from a while back and offer my advice to anyone that might need it on anything tax or business related.

Original Offer: http://news.ycombinator.com/item?id=1837299 Help on Incorporations: http://cameronkeng.com/podcast-ep-1-incorporation/

You can email me directly at cameronkeng@gmail.com if you want to ask something privately.

Best, Cam.

Ps...Can we bring back the "Offer HN" pass it along attitude back? I missed how the community was really trying to help each other so openly...

skrish• 14 years ago

Thank you Cam. Awesome to see specialist in specific area offering to help the community of users.

tstegart5• 14 years ago

I've got a question a lot of people might find useful. An American company employing freelancers from another country. When do you start withholding taxes on their income? Ever? Never? Can you just pay them a lump sum and forget about it? What are the rules for figuring out how to handle recurring freelance expenses. In our case, we're a travel magazine, employing freelance authors. Some authors are citizens of the U.S. living abroad, and others are non-citizens living in their own country or a third country.

tmpaccount2• 14 years ago

Seconded. I'm in the opposite position, a UK freelancer taking payments and share options from the USA. Any advice or pointers to resources would be very welcome.

camz6• 14 years ago

The American company is supposed to withhold the income tax on behalf of the contractor from the outset. There is no minimum payment. The moment you hire someone from international sources, you're required to withhold income tax on theie behalf. This is usually 35% of the amount paid. You effectively treating the contractor as a W2 because he's outside the united states.

The international contractor recieves a 1042-S and at the end of the year the US company would file the annual report 1042 to summarize all of the 1042-S they filed.

The american company would report of these payments under its quarter 941s and its annual 945 returns.

The foreign contractor gets a 1042S at the end of the year and would have to file a 1040NR to get a refund of their taxes withheld.

its an insane and complicated process but its all so that the IRS gets their fair shake. Most companies should be wary of hiring offshore because its actually a butt-ton of work but they never know these things until its too late.

The real horror story is that this is considered payroll tax and you're ALWAYS personally liable for these taxes. Thus, any company shareholder, director or executive is personally liable for these taxes. They can levy your bank accounts anytime for restitution.

Offer HN: Free Tax Help From a Pro.

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