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Anyone from europe has tips how to handle the new tax stuff?

A topic by Ravenmore created Jun 14, 2018 Views: 527 Replies: 1
Viewing posts 1 to 2
(2 edits)

I can't be the only one confused by itch.io's recent tax changes! :)

So I submitted the required form (as I understand it was required, otherwise PayPal payouts would be entirely disabled, might have misread something though).

Now I got an email asking me to confirm the 30% tax withholding thing. Is this the correct way to go about things? Or can I avoid it and pay the taxes over here (as far as I understand Poland, where I reside currently, does have a "avoid double taxation" thing signed with the US).

The email I recieved mentioned applying for an EIN/ITIN(?) number, but that seems rather overkill for about 40$ every 3-4 months...  It doesn't also quite specify how and why that helps.To my eternal shame I have no idea about these things, I just make pretty pictures. 

Tried to inquire with itch.io support but I guess legealese ins't their job, which is hardly surprising.

Any hints? How do you guys handle it?

it sounds to me that you got something wrong. Did you file it correctly by saying you are not a US citizen? I know poland has a tax treaty so you should ask them for the tax to be reduced correctly under Poland tax treaty.

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You should be applying for one of those, let me explain what they do:

  • Individual Taxpayer Identification Number (ITIN)

This one is to report taxes only, nothing else.

  • Employer Identification Number (EIN)

Is used by business, you may apply for it but you need to do lots of things.

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You want the ITIN if you are not planning on going big, otherwise use EIN if you do plan on making a business.

I do not know what paper you need to apply for, it is different for people who did not visit or never file taxes for US. I highly recommend asking someone who knows more about it than me.

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