Shutterstock Photographer Forum :: View topic

marilyna · Joined: 02 Nov 2005 Posts: 44

Rob, (Frozen Peas)
I would agree with what you have said about the proceedure.
The address is the correct one , as stated in Instructions accompanying form W7.

On form W7 where you have to tick box h
You need to put the following
Exception 1d Third Party witholding tax on passive income royalties (Royalties on Photographic Sales)

Also and this is very important, you must put N/A
on every line that is not applicable to you. If you dont they wil reject the application.

I called the IRS US and spoke to the legal guy there and he went through the whole form and proceedure with me. Tel no 001 21551622000 if anyone wants to double check themselves.

As for photocopying the passport yourself, before taking it to the Public Notary, I wouldnt do this. The photocopy of my own passport which has my photo on it has some wierd "special symbols or something" on the area over my eyes and nose, I think this is maybe done for security reasons. When I queried this
with the Public Notary he said that this was how the photocopy was done. It doesnt seem to be a "normal photocopy".

Also for anyone living near Cheshire, they might like to go to http://www.owneraccounting.com/
This company is one of the 4 authorised agents in the whole of the UK who can handle the whole transaction for you. After going to the Public Notary they replied to an email stating that the whole serivce would cost £120.00. Too late for me to use now and its also a long way for me to go to anyway.

See their email to me below from Stephen Harter.

"Hello Marilyn

We can apply for your ITIN number for you as we have done for several clients in similar situations to yourself.

Our fee will be £120 and this includes applying for your ITIN as acceptance agents and notarizing a copy of your passport page as identification.

In addition to the W7 and notarized passport copy we will need a letter for the agency in the US requesting that you have an ITIN number .

Please find our version of the W7 attached to use, we will complete the top section (reason for applying)

Unfortunately if you wish us to notarize your copy passport page you will have to visit our offices in Lymm.

Please note that we are open Monday to Friday 8.45 to 4.30 but please call to make an appointment.

Kind regards

Stephen Harter"

marilyna · Joined: 02 Nov 2005 Posts: 44

Mike,

Im not sure but doesnt one of the documents need to contain a photo?

See following from IRS US I got this from their website.

"What documents are acceptable as proof of identity and foreign status?

IRS has streamlined the number of documents the agency will accept as proof of identity to obtain an ITIN. There are now 13 acceptable documents.

An original, or a certified or notarized copy, of an UNEXPIRED passport is the only document that is accepted for both identity and foreign status. If you do not have a passport, you must provide a combination of current documents that contain expiration dates - we accept documents issued within 12 months of the application if no expiration date is normally available. The documents must also show your name and photograph, and support your claim of foreign status.
IRS will accept certified or notarized copies of a combination (two or more) of the following documents, in lieu of a passport:

National identification card (must show photo, name, current address, date of birth, and expiration date)
U.S. driver's license
Civil birth certificate (required for dependents under 18 years old)
Foreign driver's license
U.S. state identification card
Foreign voter's registration card
U.S. military identification card
Foreign military identification card
Visa
U.S. Citizenship and Immigration Services (USCIS) photo identification
Medical records (dependents - under 14 years old only)
School records (dependents and/or students - under 18 years old - only)

suerob · Posted: Sun May 31, 2009 7:37 am

I'm thoroughly confused.

The new "Witholding Tax" forum update leaves me wondering if I need to do anything at all?

I've only just joined SS, have sold only 27 images and am way off getting my first payment.

Due to the content of my images I don't anticipate huge sales, yet it appears I may have to jump through hoops regarding the US tax situation just to get the small amount that will eventually become due to me.

And what about the letter SS say they have sent? I haven't had anything at all regarding tax.

It all seemed like such a good idea when I first joined. If I end up spending money on sorting out the tax situation I'm not sure how cost-effective selling images will be for me.

Is anyone else as confused as I am?

pdtnc · Joined: 28 Jan 2006 Posts: 78 Location: UK - Leeds

marilyna · Joined: 02 Nov 2005 Posts: 44

Just hang on and wait. Dont do anything for the moment, just watch the threads, theres also a "Questions and Answers thread" going on that you might like to keep an eye on. There wont be any SS answers till the working week starts I reckon.

From what SS has said there will be developments on this whole issue next week and presumably they need to get the information that everyone needs out to us in a very precise way, then we will all be in a position to make an informed decision based on our individual situations.

I know that your new here and this is all a bit overwhelming, but even for the bigger contributors this is all very difficult to understand and also very stressful etc.

suerob · Posted: Sun May 31, 2009 8:42 am

Thanks, Marilyna! A good suggestion...

amlyd · Joined: 05 Dec 2007 Posts: 340 Location: East Coast, UK

stevemcbil · Posted: Sun May 31, 2009 10:50 am

Thanks Marilyna - much appreciated. It is very confusing and a lot of hassle that for many of us will make us wonder if it is worthwhile being a member of this community/organisation any longer.

I do not have a passport - so I am assuming a British Photo Driving License will do ?? I do live in Cheshire so thank you for the info about the notary firm in Lymm BUT to pay £120 when I make so little from my portfolio is something I will have to closely consider. Perhaps this will be the time to shift everything to other agencies.

I will await further information from SS with interest. Hopefully it will not cost me financial interest.

Steve

colvil · Joined: 04 Aug 2005 Posts: 460

As I said in the main thread I really do not want or intend to go down this road!

..... sounds like an awful lot of Hassle and expense without as yet us knowing the full implications and to be honest I really do not wish to supply the USA with all this documentation to acquire the a ITIN which I have survived without thus far. Just a little bit more than confirming ones identity don't you think!?

Will be watching to see how the amounts deducted impacts my Portfolio as to whether it remains here or not

So sad

george green · Joined: 02 Feb 2005 Posts: 1207 Location: Lancashire.

fraiseap · Posted: Sun May 31, 2009 11:32 am

marilyna · Joined: 02 Nov 2005 Posts: 44

I think the firm in Cheshire will be able to tell you if the photo driving license will be acceptable (plus maybe your birth certificate).

Obviously its not wise to pay anything at the moment except make enquiries, cos there will be further developments from SS next week.

Also you have to realise that your US sourced income may not work out to be very high, (presumably SS will let us know that exact percentage soon) so yes youll have to pay the 30% tax (if you dont get the ITIN,) on US sourced income. Some people have worked out that US sourced income may be 25%, I think they worked this out from the Alexa search engine thing.
Some people may be able to accept this and forego the ITIN proceedure because its not cost effective to get the ITIN.
Also you have to consider if you will be uploading a lot of photos in the coming few years, this is an important consideration. I have 2500 photos on site at the moment and this is increasing at the rate of about 800 per year, so for me it makes sense to get the ITIN, plus there are other agencies based in the US that I am with and if SS is correct in what we are all going to have to go through, you can bet that the others will follow suit at some point. So if I have my ITIN number this will prevent problems with the other agencies.

Its all such a nuisance. Ive spent the last 4 days trying to get my head round it all, and there's obviously more to come.

marilyna

marilyna · Joined: 02 Nov 2005 Posts: 44

I checked with the post office this week, re sending important documents and they said Air Sure was the best company to use because its going to a PO Box No. The package can be tracked the whole way. So I will be using this method.

marilyna

Mike Price · Joined: 06 Jun 2008 Posts: 2933 Location: South Wales