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February 10, 2024
Question

When using the Form Creator Turbo Tax Business 2023 - it is indeed requiring a U.S. address be entered for the Payeee. I cannot get around it but the Payee lives abroad. It is NOT optional.

  • February 10, 2024
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1 reply

PatriciaV
Employee
February 12, 2024

If you are preparing Form 1099 using TurboTax Business, you must have a U.S. tax ID number and address. Form 1099 reports payments to a U.S. person.

 

If the person has a U.S. tax ID number and lived in the U.S. while performing services for your business, you may use their previous U.S. address on Form 1099, then forward their copy of the 1099 to their current (foreign) address.

 

But if the person is not a U.S. taxpayer, and all of the contracted services were performed outside the U.S., a Form 1099 is not required. Instead, you will need to ask the contractor to complete a Form W-8BEN.

 

The Form W-8BEN certifies that the foreign contractor is not a U.S. taxpayer. The Form W-8BEN is never submitted to the IRS, however, it needs to be held in your files in case of an audit. If you are audited by the IRS, the Form W-8BEN will support your reasoning for not issuing a 1099. 

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