Does a US vendor providing services in Canada need to provide us with a W-9? Is 1099 reporting required?

October 26, 2018


It depends.  If the vendor is a U.S. person, it is subject to the standard Form 1099 rules.  If the vendor is a non-U.S. person, reportable payments of U.S. source income are subject to 30% withholding absent a documented exemption and are reported on Form 1042-S.  Services income is sourced based on where the services are provided.  Income for services provided in Canada by a non-U.S. person are not subject to U.S. tax withholding or reporting, but you must establish that the vendor is…

  Become A Member

Join IOFM today as a Professional, Business, or Enterprise member — or upgrade your Starter membership — to get access to this content and thousands of other Articles, Webinars, Expert Answers, Resource Downloads, and more!

Join Today

Naturally, this forum doesn’t allow the kind of full information exchange necessary for the Institute of Finance & Management (IOFM) to provide legal advice and the Expert is not a tax attorney in any event. Please understand that the nature of our responses are limited by these constraints as well as the site’s Terms of Use. If you have further questions or suggestions about how we can improve IOFM, please let us know. 
Ask The Expert is a member resource of IOFM and all advice provided is subject to site’s Terms of Use.

Subscribe to our Newsletter

You may unsubscribe from our mailing list at any time. Diversified Communications | 121 Free Street, Portland, ME 04101 | +1 207-842-5500