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Yeah did notice that Princess and its a shame, dont know why they closed it I presume if we try to keep the peps on the cafe du monde informed of any important news they cant close those posts down ??

 Warren

Hey all just got my letter and to me looks like we are back at square one !!!!! here it is any comments !!!!


Dear Mr Millar

                                                                     Member # ****

This letter is to advise you based upon the information in our files it appears that you may be a resident of the United Kindom, which has an income tax treaty with the United States that provides for reduced rate of witholding tax on royalties.

if you are a resident of the United Kindom and qualify for benefits under the US/United Kindom income tax treaty, you will need to complete a US Internal revenue Service (IRS) Form W-8BEN, Certificate of Foreign Status of Beneficial Owner for United States tax witholding on royalties payable by Fotolia LLC. However, in order to obatain treaty benefits, Form W-8BEN must include a U.S. Taxpayer Identification Number, which includes a Social Security Number (SSN) or US Individual Taxpayer Identification Number (ITIN). If you do not currently have a SSN or an ITIN, you can obtain an ITIN by filling a form W-7, Application for IRS Individual Taxpayer Number, with the IRS. This process takes only 4-6 weeks and could reduce your witholding taxes significantly.

Please complete From W-7, Application for IRS Individual Taxpayer Identification Number and include the proper documentation. This letter will serve as documentation for box h, Exception 1(d) referencing individuals who are reciving distributions such as royalties during the current year and require to provide an ITIN to the witholding agent, which is Fotolia LLC.

Please note that without an ITIN or SSN and a validated IRS from W-8BEN on file with Fotolia LLC royalties payable will be subject to US witholding tax at the appropriate non-treaty rate.

If you have any questions on tax witholding on your Fotolia earnings, please visit our Tax Center or contact your leagal/tax advisor.

Thank you for your coperation and attention to this matter.

Best ragards



Ralph G. DeLorenzo
Corporate Finance
Fotolia LLC

Good point gostwyck,

It was dated 30/01/09 and sent from the US have to wait and see I suppose but anyway nothing seems to have changed as regards Fotolias change of policy for the time being so at least ive got a letter if I need one !!

Warren

As you live in the 'United Kindom' are you sure there is a treaty, I know there is one with the 'United Kingdom' but I am not sure where in the world the United Kindom is maybe close to the United Stats.

David 

No Comment! 

All the spelling on the letter are correct I was just typing it out on here in a rush because I wanted you all to see it and get your comments sorry about the mistakes ...... I will go to bed early with no supper 

Warren

@ Warren - oh, now I see it was a typo with the date... and no pudding after supper tonight too!

@ Sharpshot - the sad thing is fotolia are losing some good contributors recently. It's not all due to the tax issue, but sad nonetheless.

Eirean,

You mean the top part of your post wasnt serious !!!! 

But your too kind and thankyou for that if i could see myself now Im sure i'd be blushing

Warren

Dear everyone,

I am sorry for this message. But all this tax thing has made me thoroughly confused, and so I would like to ask you guys for what I have to do in my simple case with all these forms and ITIN and so on.
I live in Canada, currently I have stated Canada in my Fotolia account. I am Austrian, so I could also switch it to Austria.
What is better, where do I have to do what and pay which taxes...? Which is the better choice?

Sorry to ask so boldly but I just can't see through it :-(.

Simone

Simone,

As it stands at the moment with Fotolia if you live in a country with a tax treaty with the US you just fill in the relavant W form leaving the ITIN number off in my case, UK, it was the W-8BEN form.
If and when Fotolia decide we do after all need a ITIN number then you will have to request a letter from fotolia to submit to the IRS along with your passport and i think its the W-7 form !!!
At first Fotolia where isisting we all need an ITIN number but after a lot of debate this was put on hold and Fotolia are now looking into this. Quite a few people have requested the letter from Fotolia and have now got the letter (me included) just in case it is needed after all.
This maybe different as you live in Canada not too shure, Hope this helps a little and I haven confused you even more !!!

Warren

simone,

You should (as long as you have the W-8BEN done and accepted) now no longer pay any tax on any sales. Fotolia were insiting before Christmas that we had to get an ITIN number as well but have backed down on this for the time being while they look into it a bit more.
You should also get a rebate of any tax you have paid.
If fotolia come back and say we need an ITIN we will have to apply for one via the IRS in the States for which, amongst other things, we will need a letter POSTED to us by fotolia on headed Fotolia paper stating our account number.
A lot of us on Fotolia have requested the letter anyway so we can have it at the ready if Fotolia do indeed change again.
What I would do is contact support and ask them to send you the letter you will need in order to get an ITIN number and when you get it keep hold of it until you need it or not as the case maybe !!!
And if you are still paying tax on US sales even with the W-8BEN approved let Fotolia know.

Hope ive made sence here and this has helped you out a little

Warren 

Thank you Simone your too kind 

Warren