![]() source income is the amount that results from multiplying the total amount of pay by the fraction of days in which services were performed in the U.S. This fraction is determined by dividing the number of days services are performed in the United States by the total number of days of service for which the compensation is paid.Įxample. In most cases, other than certain fringe benefits, you make this allocation on a time basis. ![]() If the income is for personal services performed partly in the United States and partly outside the United States, you must make an accurate allocation of income for services performed in the United States. For more examples, see the Pay for Personal Service section in Publication 515, Withholding of Tax on Nonresident Aliens and Foreign Entities. For example, personal services performed by an independent nonresident alien contractor specifically exempted by a tax treaty. However, under certain circumstances, payment for personal services performed in the United States is not considered income from sources within the United States. ![]() The place, where the personal services are performed, generally determines the source of the personal service income, regardless of where the contract was made, or the place of payment, or the residence of the payer. All wages and any other compensation for services performed in the United States are generally considered to be from sources in the United States. ![]()
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |