Thank you. I read that W-8BEN form is only required to be filled out for U.S. sourced income. U.S. Sourced doesn't mean where the person writing the check is, it means where the work was done by the payee (or an affiliate). So if the affiliate lives in South America with no employees or owned equipment in the U.S. his affiliate income is foreign sourced income. If that's the case, the foreign sourced income is not subject to tax withholding in the U.S. if I am not mistaken. No tax forms are required in this instance, e.g. the W-8BEN form.
Is this correct?
