Hi guys, does somebody know if we are a company based in Bulgaria (Bulgaria has a treaty with US) which field we have to fill in the Tax information tab and does VAT number can be used?
I’ve only filled in the original form, and although I’m sure there’s a few differences, you should still have the option to enter some kind of foreign tax ID. That’s the one you usually want to go for unless you have a specific tax ID number issued by the IRS.
As for VAT, it’s going to vary what number you use depending on your country, but in most cases it’s probably not going to be your VAT number. It should be some kind of unique identification number that identifies you to your tax office when it comes to paying income/corporation tax. In theory, VAT should be separate from that. I.e. you can have a tax ID but not have a VAT number if you’re not selling something, but if you have a VAT number, then you should also have a tax ID.
You should enter your VAT number somewhere though, so you’re not charged it on purchases.
But our company and every other company in our country does not have any other tax number, different than the VAT, if you do not have a VAT, you do not have BG in front of the code.
How do they identify tax payers who don’t have, or need, a VAT number? Like normal employees?
Yes, but we have a VAT number. Is there other BG company which filled this form?
Keep in mind, the US IRS exchange the data and the amount of taxes in 2017 with your national tax authority and they must then somehow be able to assign this information to a person / company.
thank you Sealord, but this info is only for individuals, my question is about Companies Companies do not have Personal Identification Number (Unified Civil Number).
I have a telephone number, and a shoe size, and a Twitter login… but that doesn’t mean I can put them as my foreign tax ID number!
Don’t get me wrong, I’m not an expert on Bulgarian taxes, so there is the always the chance that you do actually have to enter your VAT number… but in all the discussions I’ve come across about the withholding tax, nobody has been required or advised to enter their VAT number. The main reason being that the IRS withholding tax is an income tax and should have nothing to do with paying, remitting or withholding VAT.
It says quite clearly on the TIN sheet document that you can use your UCN as TIN, which will be your Foreign tax identification number.
However, since you are operating as a company, in this case you will be required to request ITIN from the IRS as others have done. Process takes some time. The french residents for example have had to go this route as they do not have a TIN and is the same in case you are operating as a company from what I’ve read around.
Beware, ITIN is for individuals only. For those who own a company and live in a country with no TIN, they must request an EIN (the ITIN for companies…). ITIN must be requested by regular mail or fax. EIN can be requested on the phone by calling the IRS. It’s a matter of minutes once you have someone on the phone (the queue may be quite long).