@arj1y36 , from looking at the current post ( and responses by @Critter-3 and @rjs thereto ) and looking at some of the referred earlier posts by you, I am not sure that I understand the situation clearly ( may be it is just my small and inefficient brain ) and so I list below what I see here :
(a) You , a US person ( citizen/Green Card ? resident for tax purposes ), have foreign source income.
(b) you are employee of the foreign source payor .
(b) there is no W-2 or similar information return shared with the IRS / State.
Assuming that you are residing in a foreign country, i.e. your tax home is abroad, your income would be considered as self-employment and reported as such for US tax purposes ( reported on Schedule-C ). Note that this assumes that while there may be a tax treaty between US and that country there is no Social Security ( Totalization ) agreement in place. It also assumes that the employer that you are working ( foreign) for has no US presence. i.e. does not pay any part of your salary in the USA , under US tax laws.
The reason for the above is because as an US person you are taxed on your world income and also subject to Social Security / Medicare taxes on that income.
Also note that in such a case ( assuming that the above assumptions are valid ), your foreign income is eligible for Foreign earned income exclusion and/or foreign tax credit. So it is not all bad.
On the other hand , if your tax home is in the USA, then while the foreign income is considered self-employed ( schedule-C reporting ) the source of the income is considered US ( because the work is done in the USA ) and can only be taxed by the USA.
Does this make sense?
Yes
No
