VerseOne

Are royalties subject to taxes?

Whether you are in the USA and/or abroad, you are responsible for reporting the royalties you receive from the sale or streaming of your music. This isn’t a rule made by us but it is a government-enforced policy for all territories of the world.

Our system logs every payment and sale you make and thus we send you payments but from there, it is up to you to report.

From a USA / Domestic standpoint: We send out 1099’s and other documentation on a yearly basis and at the appropriate time for you to report. We additionally report information in regards to your royalties to the IRS thus it’s in your best interest that if we pay, you report. We suggest you immediately report whatever income we send you on a 1099-MISC to avoid tax issues.

For our international clients, the same above applies although there would be different forms associated with the reporting.

Was it helpful?

1 Star2 Stars3 Stars4 Stars5 Stars
Loading...

Related to this topic

Any company that makes payments of U.S. sourced income (sales or streams) to a foreign person/entity is responsible for the withholding and reporting of such sales or streams made in the U.S. under U.S. tax code and Regulations. This also goes for any company located in a foreign country paying to U.S and/or a foreign […]

Read more

Non-US persons (whether individuals or entities, such as foreign corporations) are subject to US. tax at a flat 30% rate on certain kinds of income they receive from US sources.  Sometimes an Income Tax Treaty negotiated with the US and another country can be used to reduce this tax rate. Example: If you are based […]

Read more

Please read this to understand how taxes work for clients outside of the USA. * If you don’t have an ITIN or EIN you can put your Date Of Birth when updating the tax detail As per tax regulations, Verse One Distribution will now have to withhold a portion of your royalties and pay it […]

Read more

You don’t technically need a EIN or ITIN. You can provide your Date of Birth within our system as well as on the W8-BEN and that is sufficient.

Read more

Whether you are in the USA and/or abroad, you are responsible for reporting the royalties you receive from the sale or streaming of your music. This isn’t a rule made by us but it is a government-enforced policy for all territories of the world. Our system logs every payment and sale you make and thus […]

Read more

Do you still have any questions?

Contact Us