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


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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!
 
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kirby

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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.
 
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Taxations very from country and kind of services your company provide, could you please clarify the question.
 
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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.
 

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