Hello! Can I claim a refund of 30% income tax withholding as non resident alien as my country of residence has no tax treaty with teh U.S.? Appreciate your answer, thanks

mattia1965 · ‎May 31, 2019

I have the dual citizenship (Italian & German), but I live in Costa Rica and I am in a process to get my residence. As I want to start selling on Amazon.com, Amazon would withhold 30% of gross revenue as Costa Rica has no tax treaty with the U.S. Is there any way to avoid this as a European "citizen"? Can I get this 30% refunded in when I file a tax return in the U.S.?

pk · ‎May 31, 2019

Amazon, is treating you as a non-resident alien for US tax purposes. In such case there is a requirement to withold 30% of gross payments/earnings by the agent ( in this case Amazon). I don't believe it makes any difference as to your citizenship or residency ( other than claiming treaty benefits). Where I have a doubt here is that you gross income from US sources is being treated as net income. However, you can file a 1040-NR showing your expenses and hopefully things would get more in line . Note that TurboTax does not support non-resident alien filing ( 1040-NR) directly but a sister organization does. Perhaps you should consult a local tax person familiar with US tax laws. Good Luck

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Hello! Can I claim a refund of 30% income tax withholding as non resident alien as my country of residence has no tax treaty with teh U.S.? Appreciate your answer, thanks

State tax filing