Payments
Tax withholding for non-US tax residents
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Payments
Tax withholding for non-US tax residents
Handshake AI is required under U.S. tax regulations to apply a 30% withholding tax to ascertain payments made to individuals classified as non-U.S. tax residents. This is a legal requirement under the U.S. Internal Revenue Code – not an internal policy decision – that applies to anyone earning U.S.-sourced income who is not a U.S. tax resident.
What to know:
- If you perform work outside of the United States and you have taken action to certify this with Handshake AI:
- your earnings are exempt from withholding.
- If this classification does not reflect your current tax status:
- please review and update your tax residency information in your profile.
- Payments received before May 3rd (or in 2025) are not impacted.
- Depending on your individual tax situation (including any applicable tax treaty), you may file with the IRS to claim any eligible refund or reduction of tax.
Please note that Handshake does not provide tax advice. You may want to consult a tax advisor to understand how this impacts your individual situation and year-end reporting.
Additional resources
- Learn more about Filling Out Tax Forms (W-8 or W-9).
- For more information from the IRS, refer to this resource on withholdings and year end filing.
- While not an official site or formal tax advice, helpful information around why US platforms withhold for tax purposes is available in this resource.
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