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IRS Withholding Taxes for non U.S. Submitters


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To All non-US Submitters:

 

Letters are being emailed to all non US submitters individually today, advising of possible changes in the amount of tax that will be withheld from your Shutterstock earnings.

 

If you are a citizen or resident of the United States living abroad, please provide us with a signed, completed U.S. Internal Revenue Service (IRS) Form W-9, Request for Taxpayer Identification Number and Certification.

 

If you are a resident of a jurisdiction which has an income tax treaty with the United States that provides for a reduced rate of withholding tax on royalties, you will need to complete U.S. Internal Revenue Service (IRS) Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding. We are in the process of installing an online version of Form W-8BEN, and we will notify you when the online form is available.

 

Thank you.

Shutterstock

 

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FAQ and Rates

 

FREQUENTLY ASKED QUESTIONS ABOUT SHUTTERSTOCK

U.S. TAX WITHHOLDING FORMS

 

I’ve been a submitter to Shutterstock for several years – why is Shutterstock requesting these forms now?

 

U.S. tax law mandates withholding on certain types of U.S. source payments to persons who are not residents or citizens of the United States. The amount of tax to be withheld depends on the nature of the payment, and where you are a resident. We have recently been advised by our legal counsel that we should request these forms from our submitters.

 

What happens if I do not complete a U.S. Form W-8BEN?

 

If you do not complete Form W-8BEN Shutterstock will be required to withhold 30% of your earnings on U.S. source income and pay it to the U.S. Internal Revenue Service.

 

Do I owe any U.S. withholding taxes on my earnings from Shutterstock for previous months?

 

No. If U.S. withholding tax should have been withheld from prior Shutterstock payments to you, Shutterstock is responsible for those withholding taxes.

 

How much will Shutterstock withhold from my earnings?

 

The amount that Shutterstock will withhold from your U.S. source earnings depends on what country you are a resident of, and the rate of withholding tax on royalty payments specified in the income tax treaty between that country and the United States. You can determine that amount by referring to the U.S. Internal Revenue Service website at:

http://www.irs.gov/businesses/international/article/0,,id=96739,00.html

 

We have also provided a table of withholding rates below, for your convenience.

 

What happens if I move to another country?

 

If you move to another country you should complete a new Form W-8BEN which reflects your new country of residence.

 

Is there any other way to not have Shutterstock withhold U.S. tax from my earnings?

 

If you are a citizen or legal resident of the United States, Shutterstock will not be required to withhold tax from your earnings if you provide us with a properly completed U.S. Form W-9. Also, if you are engaged in a trade or business in the United States, and your earnings from Shutterstock are connected with that trade or business, Shutterstock will not be required to withhold from your earnings if you provide us with a properly completed U.S. Form W-8ECI.

 

I am a US citizen living abroad – Do I still have to fill out these forms and have taxes withheld?

 

No. If you are a citizen or legal resident of the United States, Shutterstock will not be required to withhold tax from your earnings if you provide us with a properly completed U.S. Form W-9.

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