@cat1221 IRS generally declares the income source to be the same as where the work is performed. Thus your Foreign person performing work in a foreign country would actually have local sourced income ( even though the actual monies came from US. IRS cannot tax this. Therefore you DO NOT need a tax ID for the foreign worker. It is same as if you had bought raw material from a foreign country for your business -- your expense is shown on Schedule-C in US$ as a deduction while the foreign source recognizes this as income in local currency and taxed locally.
Does this make sense ?
Is there more I can do for you ?
