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Overseas Amazon Affiliate, a US Bank Account, & Taxes?

by Sajabon
10 replies
Hi, first time poster and long time lurker here! I'm thinking of getting into the Amazon affiliates business and was wondering how the taxes will work, as I'm not American and do not live in the US.

I heard that they will just mail a paper check and I won't need to pay US taxes, is that right?

However, I do have an American bank account and I could go the direct deposit route. Would I have to pay US taxes in this case? (I also have a SSN as I worked in the US for a while before, not sure if that will complicate things?)

I was reading that you might need to get an EIN and fill out a W8-BEN, but it seems that mainly applies to self-publishers. What about Amazon affiliates?

Any thoughts? Thank you in advance, guys!
#account #affiliate #amazon #bank #overseas #taxes
  • Profile picture of the author Sajabon
    Anyone?
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  • Profile picture of the author alvinhy
    I get Checks from Amazon every month. yes they mail paper checks and you do not have to pay US taxes.
    But you would most likely have to pay taxes in your own country.
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  • Profile picture of the author taskemann
    As an oversea Amazon affiliate you don't pay any taxes to the US. Of the money you'll earn you shall pay taxes to the country you're living in. Just add your revenue and/or net profit to your local tax form as you would do if you had a physical small business in your area.
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  • Profile picture of the author RobinInTexas
    I would sign up as an affiliate and go the paper check route at first.

    Once you get your first check from Amazon contact them and see if you can use the direct deposit gong forward.
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    ...Even if you're on the right track, you'll get run over if you just set there.
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  • Profile picture of the author spearce000
    Originally Posted by Sajabon View Post

    ...Would I have to pay US taxes in this case? (I also have a SSN as I worked in the US for a while before, not sure if that will complicate things?)

    I was reading that you might need to get an EIN and fill out a W8-BEN, but it seems that mainly applies to self-publishers. What about Amazon affiliates?

    Any thoughts? Thank you in advance, guys!
    Depends what kind of US visa you had. I used to have a Green Card from when I lived in the US in the 1980's. I was told it would cease to be valid if I was out of the US for more than a year - which I was. I've sold all sorts of stuff for US based companies, got paid gross of tax, declared it all as "foreign income" on my UK tax return, and have not had any dealings with the IRS since 1986.

    Amazon, however, say that because I have a SSN and never filled out some form or another (which I'd never heard of until "jumping through all the hoops" on their website) when I left the US, I count as a "US person" for tax purposes, have to fill out the forms you mention above, and will be subject to a 30% withholding tax . I suppose 70% of something is better than 100% of nothing, but it still leaves a bad taste - especially when one considers how Amazon conducts its own tax affairs.
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    • Profile picture of the author RobinInTexas
      Originally Posted by spearce000 View Post

      Depends what kind of US visa you had. I used to have a Green Card from when I lived in the US in the 1980's. I was told it would cease to be valid if I was out of the US for more than a year - which I was. I've sold all sorts of stuff for US based companies, got paid gross of tax, declared it all as "foreign income" on my UK tax return, and have not had any dealings with the IRS since 1986.

      Amazon, however, say that because I have a SSN and never filled out some form or another (which I'd never heard of until "jumping through all the hoops" on their website) when I left the US, I count as a "US person" for tax purposes, have to fill out the forms you mention above, and will be subject to a 30% withholding tax . I suppose 70% of something is better than 100% of nothing, but it still leaves a bad taste - especially when one considers how Amazon conducts its own tax affairs.
      There's probably a form you can fill out in order to avoid the withholding. The information here might apply https://kdp.amazon.com/help?topicId=A1VDYJ32T5D3U4
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      Robin



      ...Even if you're on the right track, you'll get run over if you just set there.
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  • Profile picture of the author dearfriendvn
    If you are not an US citizen and not live in US then you will be one of maybe tens of thousands an Amazon international associates and will pay no tax.
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    • Profile picture of the author Sajabon
      Thanks for the replies guys! Good to hear that if I just get a cheque I won't need to pay taxes.

      Would that be the same if I do the direct deposit to the American bank account though? I do have a SSN--not from a green card--I was studying in America and working part-time. Thanks!
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      • Profile picture of the author RobinInTexas
        Originally Posted by Sajabon View Post

        Thanks for the replies guys! Good to hear that if I just get a cheque I won't need to pay taxes.

        Would that be the same if I do the direct deposit to the American bank account though? I do have a SSN--not from a green card--I was studying in America and working part-time. Thanks!
        You may have to fill out one of those forms. See my 2 posts above.
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        Robin



        ...Even if you're on the right track, you'll get run over if you just set there.
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        • Profile picture of the author Sajabon
          Great, thanks! So if I fill out one of those forms, even if I use a US bank account to do direct deposits I won't have to pay US taxes?
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