Why Modash doesn't need W9, W8 or other Tax related documents, and why we don't issue 1099 Tax documents 📄
Navigating tax requirements can be confusing, especially since most creators operate globally and often get paid by US-based companies. Most of you are used to providing W9s and receiving 1099-NECs.
With Modash it works a bit different.
As a European-based company without any permanent establishment in the USA, Modash operates under European tax regulations, which differ from those in the United States.
Here's what you need to know 📋
W9 and W8 Forms
The W9 and W8 forms are issued by the Internal Revenue Service (IRS) in the United States to collect taxpayer identification information. However, these forms are tailored for entities subject to U.S. tax laws.
Since Modash is based in Europe, we do not require you to fill out W9 or W8 forms, as we adhere to the tax regulations of the European Union and our operating countries.
1099 Documents
Similarly, the 1099 form is used by U.S. businesses to report various types of income. Yet, as a European company, we are not obligated to issue 1099 documents to our creators.
Tax Reporting Obligations
While we do not collect W9 or W8 forms, nor issue 1099 documents, you are still responsible for reporting their income in accordance with your local tax laws.
If you are having trouble filing your taxes and you need additional information from us, please let us know. Our goal is to assist you best and provide additional information if necessary.
We also advise you consulting with a tax professional or accountant. Especially if you are not sure what your local tax obligations are.