Google Adsense to withold 30%

[A D]

What hoops do I need to jump threw now.... any help is appreaciated but apparently Google punishes people for being out of the USA.

What hoops do I need to jump through to get the 30% they are holing?

Letter I received below:

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Hi Adam -

We're sorry to hear that you are frustrated with the process. Taxes are never fun! We want you to know that we aim to solve this issue, but we need your help. We are processing payment -- 70% of payments due -- we will be witholding 30% for taxes. We will hold this 30% for 30 days (a rolling period) in order to provide you with time to provide us with appropriate tax information. If we do not receive that information, then we will pay the 30% to the IRS and you will be able to recover the amount from them directly.

We aren't doing this to upset you, but rather to comply with US tax law.
We sincerely hope that you understand our position.

Please let us know if you have questions.

The Google DomainPark Team
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[Spider]

seems like a valid response from them to me.

 

[bidawinner]

I guess we dont understand the problem Adam ? It's taxes...they arent punishing you any more than they punish the rest of us :laugh:

 

[A D]

The issue is they want me to fill in some forms within 30 days and they hanevt told me what forms so i emailed back and hopefully they will tell me within 30 days.

I thought maybe someone here would know what forms before I wait forever from them.

-=DCG=-

 

[bidawinner]

Originally posted by DotComGod
The issue is they want me to fill in some forms within 30 days and they hanevt told me what forms so i emailed back and hopefully they will tell me within 30 days.

I thought maybe someone here would know what forms before I wait forever from them.

-=DCG=-

Here you adam..https://www.google.com/adsense/taxinfo

 

[GiantDomains]

Check you profile at google, and see if you've filled in you taxID or SS number. If not, this is what they need.

 

[WebCat]

Adam, ALL my clients pay me in full, and file a IRS 1099 form at the end of the year.

I can't understand why Google would want to act as an IRS tax collector! As a business owner, any US taxes you might owe should be between you and the IRS.

They may have been hit in the past for not withholding and not filing a 1099 form, but that;s not your problem. It should be a simple fix on their part.

 

[Corwin]

It s odd usually only banks do that on the interest they pay to their customers.

 

[zouzas]

like with the sale of goods and realestate withholding taxes of sellers where the sellers are Foreign Non residents ,similar laws apply to services.......

 

[darrenl]

Taxes always get people

 

[Cash Is King]

Here is the issue. You are generating income from the United States and have not provided the tax information they are requiring. In my opinion Google asked for tax information and are turning up the heat in order to get you to comply with there request.

They are looking for either an RRSP number or your Companies Tax id number. This also could be a GST issue and depends on which province you are doing business out of.

I have experience with Canadian business practices and taxes. I have set up branches (subs) with the parent being a US Company and vice versa. Each strategy has its own unique set of requirements. If you need help le me know.