Can I receive tax refunds if I am not a U.S. citizen, I don't live in the US, but work as a salesman for an American company that pays me commissions?

[jorgeortioneto]

I am an authorized distributor of the company, and I sell (online) the products of the company and get commissions for it. I write the invoice for my commissions (and pay 30% Tax), and the company then pays my commissions (without the 30% of taxes) by transferring to my bank account in South America.

[pk]

@jorgeortioneto  I am not sure I understand the whole scenario . What I get is 

(a) you, an NRA, with a foreign tax home ( which country ?)

(b) you act as a sales rep for a US entity, securing orders of its products, filled by the entity directly  ( are the customers  US based or in your tax home country? )

(c) You invoice the US entity for the commission and the entity transfers funds to your local bank

(d) You pay 30% tax on your commission ( to the US? ).

Do you also pay to your tax-home country ?

Do you file a US tax return also ?

What I am not clear about is  why do you pay US taxes -- you are not a US person ( Citizen/GreenCard ) -- and the work is being performed at a foreign location.  Why do you consider this earning as US sourced ?

I will circle back once I hear from you --yes ?

[jorgeortioneto]

Here is a more detailed explanation:

my country is Paraguay (South America)

I am a non-U.S. resident alien living outside the United States, and I am seeking professional assistance with filing a U.S. tax refund and obtaining an ITIN.

Here is a summary of my situation:

• I receive sales commissions from a U.S. company as an independent distributor (not an employee).

• I live and perform all my work outside the United States.

• The company withholds 30% federal tax from each commission payment.

• I receive payments via bank transfer and issue invoices for my commissions.

• I do not currently have an ITIN. I applied several years ago, but the process was never completed.

• I would like to file Form 1040-NR, request an ITIN (Form W-7), and claim a refund for over-withheld taxes.

[pk]

@jorgeortioneto , 

since you are not an employee of the US entity, you are  NRA, the actual work is carried out abroad and there is no tax treaty contravening general IRS position ( income is sourced to where the work is performed ), the US entity is wrong in withholding US federal taxes on your active income.  The income is not US sourced i.e. it is Paraguay sourced.  You do not need to file a US 1040-NR.

Also US entity probably has not been able to transfer the (withheld) federal taxes without an account number -- your tax ID ( SSN or ITIN ).

Please contact the US entity for the refund..

Is there more I can do for you ?