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Daniela's avatar
Daniela A Community Member

Taxes

Hi!

I'm Daniela, from Italy. I am a professional editor and proofreader. I have now started freelance work, in fact for now the accountant has not advised either VAT or a flat rate regime because for now I have not earned anything and as long as I don't exceed 4,800 euros a year I don't have to declare anything. I have now completed a project for $8 (7.20 for the upwork fee). How should I behave? Do you have to fill out the W8 form?

 

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John's avatar
John P Community Member

Yup, they can - and they are actually required to, UNLESS the user completes documentation to confirm their tax status either as a US person or a non-US person. Once that's completed, Upwork may send the whole payment to the freelancer (net of Upwork fees, and if there are any other applicable taxes).

 

If it's a US person, once the freelancer fills out the W-9 info, taxes won't be withheld (just Upwork fees), and then the freelancer becomes responsible for reporting the income (and there may be Form 1099-K depending on amount).

 

If it's a non-US person, the above-linked help page explains everything.

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10 REPLIES 10
Mary's avatar
Mary W Community Member

You have to fill out the form or else you will be responsible for US taxes.

 

Daniela's avatar
Daniela A Community Member

Are you talking about w8 form?
John's avatar
John P Community Member

Yes. Otherwise, Upwork is required by US law to withhold US taxes:

https://support.upwork.com/hc/en-us/articles/211063938-Form-W-8BEN-or-W-8BEN-E

Craig's avatar
Craig P Community Member

I didn't  know they could.

John's avatar
John P Community Member

Yup, they can - and they are actually required to, UNLESS the user completes documentation to confirm their tax status either as a US person or a non-US person. Once that's completed, Upwork may send the whole payment to the freelancer (net of Upwork fees, and if there are any other applicable taxes).

 

If it's a US person, once the freelancer fills out the W-9 info, taxes won't be withheld (just Upwork fees), and then the freelancer becomes responsible for reporting the income (and there may be Form 1099-K depending on amount).

 

If it's a non-US person, the above-linked help page explains everything.

Nicola's avatar
Nicola R Community Member

Hi Daniela,I'm Nico I'm Italian too ..I'm writing in English because if I remember it's not allowed to write in a foreign language....

You said we don't have to declare anything in Italy if we are under 4800 euro,I also knew that but what about the withdrawals we do on the platform?Do you know if we have to declare those ones? Actually I think to be relax as long as our incomes are lower than 4800 but I wanted to hear a second thought.

Thank you in advance for your reply 

Raluca's avatar
Raluca A Community Member

Hi can anyone help me I completed all my tax information, all the boxes are checked with the green mark "completed" but I still get the error that I didn't complete my tax info and I can't withdraw.

Annie Jane's avatar
Annie Jane B Retired Team Member

Hi Raluca,

 

Thank you for reaching out. I checked this for you and found no error on your account. Could you please clear your browser cache and cookies, then log in again and check? If the issue persists, please respond with a screenshot of the error message. Thank you!


~ AJ
Upwork
Raluca's avatar
Raluca A Community Member

Hi Annie,

Thank you for your response, I cleared my browser cache and cookies, I logged in on another PC and also on my phone and I still get the error. I'll attach here a photo of what does the error look like.error.jpg

 

Nikola's avatar
Nikola S Moderator

Hi Raluca,

 

Thank you for following up. I’ve escalated your community post to a support ticket. One of our agents will be in touch with you soon to assist.

~ Nikola
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