USA Witholding Tax - US Citizen owning foreign business, doing business in USA

Joined
Oct 10, 2015
Messages
5
Reaction score
2
Country
United States
I have a client (a US citizen) that owns a partnership overseas and an LLC in the US. His overseas business just got a contract with a US company, and will be performing services in the US for the next several months. He has the option to invoice from either his foreign business or his US LLC. Can someone explain to me the pros and cons to invoicing from either entity? He's trying to minimize his tax effect.

I'm a newb when it comes to witholding tax on foreign entities, and would love to have a better understanding of it.

Thanks!
 

kirby

VIP Member
Joined
May 12, 2011
Messages
2,448
Reaction score
334
Country
United States
That foreign sourced income stuff is no walk in the park. Sorry, but I doubt anyone here has a "paint by the numbers" writeup for you. You might consider outsourcing this work to someone with this type of experience.
 
Joined
Apr 11, 2016
Messages
14
Reaction score
0
Country
Ukraine
Taxations very from country and kind of services your company provide, could you please clarify the question.
 
Joined
Oct 10, 2015
Messages
5
Reaction score
2
Country
United States
He provides consulting services to companies around the world. One project he's working on is set in the US. He has the option to invoice through his US LLC, or to invoice from his Corporation in Singapore. We're trying to minimize his Tax effect on this job, and were wondering which entity to invoice through.
 

Ask a Question

Want to reply to this thread or ask your own question?

You'll need to choose a username for the site, which only take a couple of moments. After that, you can post your question and our members will help you out.

Ask a Question

Top