I have a new client who works for The World Bank Group. He says that they do not get a W2. He only sent me a statement from the bank showing the gross income and estimates of FICA and medi-care taxes. The foreign entity pays them the money to cover their taxes and they have to take care of it. Do I enter his gross income in Schedule SE directly? OR on Schedule 1- other income?
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It's wages. Report on the wage line. Your software probably has a box to indicate foreign employer.
Taxpayer has to pay SE tax on the compensation. Your software should have a way to enter this on Schedule SE.
He is a citizen
It's wages. Report on the wage line. Your software probably has a box to indicate foreign employer.
Taxpayer has to pay SE tax on the compensation. Your software should have a way to enter this on Schedule SE.
Thanks
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