- Original Poster
- #1
Hi all,
first off, apologies, this might be a common question, but the forum search tool seems not to work so I'm forced to just go ahead and ask:
I'm a partner in a small UK LLP creating mobile software. We're about to engage in a deal with a big US company. They have sent us a W-8BEN form to fill out, which I tried to do following advice from here:
linkedin.com/answers/finance-accounting/corporate-taxes/FIN_CTX/15815-9214195 (I can't post links yet, so please c&p)
According to that advice, I can declare a withholding rate of 0% due to "Articles 5&7" of some tax treaty between the US and the UK with the explanation that the "UK LLP does not have a business establishment in the US and therefore all business profits are taxed in the UK."
One problem is: I have no clue what "Article 5 & 7" are. The other problem is that the US company sent us another email saying that we need to file for a US taxpayer ID (form SS4 is what they sent us) or else we'll be subject to a 30% withholding of revenue tax.
My question would be: Does anyone have any experience with revenue from the US (without having any established office there) and the taxation (and double-taxation) procedures?
Thanks in advance,
Ben
first off, apologies, this might be a common question, but the forum search tool seems not to work so I'm forced to just go ahead and ask:
I'm a partner in a small UK LLP creating mobile software. We're about to engage in a deal with a big US company. They have sent us a W-8BEN form to fill out, which I tried to do following advice from here:
linkedin.com/answers/finance-accounting/corporate-taxes/FIN_CTX/15815-9214195 (I can't post links yet, so please c&p)
According to that advice, I can declare a withholding rate of 0% due to "Articles 5&7" of some tax treaty between the US and the UK with the explanation that the "UK LLP does not have a business establishment in the US and therefore all business profits are taxed in the UK."
One problem is: I have no clue what "Article 5 & 7" are. The other problem is that the US company sent us another email saying that we need to file for a US taxpayer ID (form SS4 is what they sent us) or else we'll be subject to a 30% withholding of revenue tax.
My question would be: Does anyone have any experience with revenue from the US (without having any established office there) and the taxation (and double-taxation) procedures?
Thanks in advance,
Ben
