Accountant needed for complicated residence situation.

March 19, 2013 6:37 AM

Asking for a writer friend:

I need an accountant who is up to speed on writers'/artists' tax affairs, and in particular one who understands the intricacies of residence and/or obligation to file in more than one country.

I have been what I believe is called "domiciled" in Germany for several years but most of my income rises in the US; I am also a UK citizen which turns out to mean the Inland Revenue likes to be sent a tax return. I came over to the US last October and will probably be here through the end of May, having spent 4 months in Vermont, 1 in New Hampshire, 2 in Texas and 1 in a state yet to be determined. I might spend the summer in the States (state to be determined) or I might return to Europe; I might go back to Germany or might go to the UK. My agents say foreign publishers must deduct 30% taxes at source unless I provide a certificate of tax residence in some other country. I have filed form 4868 for a 6-month extension, so the US return does not need to be turned around by April 17; it's more a question of getting things straightened out for the longer term and of providing correct documentation to foreign publishers.

Thanks for any useful info!

posted by languagehat to Work & Money (5 answers total)

I am also a UK citizen which turns out to mean the Inland Revenue likes to be sent a tax return

No they don't.
posted by devnull at 7:30 AM on March 19, 2013

I use Boulder Valley CPAs. Ernie used to be an accountant for a literary agency, so he's very familiar and comfortable with that aspect of your taxes. I have foreign sales and royalties, and they handle them just fine.

I don't know if he prepares returns outside the United States, however. I'd be willing to bet that they would be able to recommend someone if that's not something they do themselves.
posted by headspace at 8:03 AM on March 19, 2013

I am also a UK citizen which turns out to mean the Inland Revenue likes to be sent a tax return

No they don't.

This may be true in some circumstances (I have no idea), but definitely not all, and the link doesn't support the contention that you don't need to file a UK return.
posted by oliverburkeman at 10:59 AM on March 19, 2013

I only have to deal with two countries, UK and US, but my experience has been that it's better, at least initially, to find good accountants, experienced with writers' and artists' stuff, in each country. This is obviously more expensive, but it works just as well: each one will ensure you're paying the correct taxes in the jurisdiction for which they're responsible, treating the other jurisdictions as foreign.

(In my experience, withholding taxes on income from foreign publishers varies country by country and is not set at 30% in any uniform way.)
posted by oliverburkeman at 11:04 AM on March 19, 2013

This may be true in some circumstances (I have no idea)

I do. You can even call them to check, they're very friendly.
posted by devnull at 4:23 AM on March 20, 2013