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Withheld Value on my payment?

  1. thisisoli profile image63
    thisisoliposted 5 years ago

    Hey,

    I noticed that my payment from last month had around a third of the overall value 'witheld'. Will this be paid in the next month?

    1. Marisa Wright profile image92
      Marisa Wrightposted 5 years ago in reply to this

      Are you sure you filled out the tax section properly?

      I seem to recall on another site, if you didn't provide tax info they had to withhold a certain amount.

  2. carpesomediem profile image60
    carpesomediemposted 5 years ago

    If you have any sort of withholding status through the IRS, it's possible this cut was withheld do to that.  Even if you didn't check for withholding when signing up, if HubPages processed the paperwork and it came back withholding, they'd be responsible for doing so.  I'd recommend contacting HP via email to doublecheck.

    1. lrohner profile image85
      lrohnerposted 5 years ago in reply to this

      I'm pretty sure they can't/don't withhold taxes for an independent contractor. At least I've never heard of that before.

      1. carpesomediem profile image60
        carpesomediemposted 5 years ago in reply to this

        Normally, but I could've sworn there was a box on the tax forms we filled out when going through the set up for the HP Ad Program that asked about withholding.

        Edited to add http://hubpages.com/faq/#hpads-tax-impact

        This talks about the withholding issue.

        1. galleryofgrace profile image80
          galleryofgraceposted 5 years ago in reply to this

          It looks to me like that applies to anyone who owes back taxes. They cannot withhold employment taxes on Independent Contractors.

          1. Marisa Wright profile image92
            Marisa Wrightposted 5 years ago in reply to this

            They can if you're not based in the US - in fact, they have to, if you haven't provided a valid tax declaration.

            Here's the paragraph from Amazon, for instance:

            "If you earn money in the U.S., you must pay taxes on your income. U.S. tax laws requires us to report royalty payments made to non-U.S. members and withhold and remit taxes on the royalty payments to the U. S. Internal Revenue Service (IRS).
            The standard tax-withholding rate for non-U.S. members is 30%."

            Since HP members could be anywhere in the world, perhaps they have to withhold tax on anyone who hasn't completed the tax info, just in case?

            1. galleryofgrace profile image80
              galleryofgraceposted 5 years ago in reply to this

              I stand corrected, Marissa, I was only thinking of the US.
              thanks

  3. sunforged profile image64
    sunforgedposted 5 years ago

    I turned off HPads almost immediately after breaking the  $50 mark, but my payment today was only for 41.88.

    So HP has held at least $8 for an undisclosed reason.

    There is surely some legitimate reason...but there is no legitimate reason why I dont know what it is yet..before getting a short payment.

    another mark in the "failure to communicate" box smile

    Did I miss an email or blog post or a line in the agreement?


    ---------edit----------------

    *58.16* so its more like $16 withheld which is 27%

  4. Simone Smith profile image91
    Simone Smithposted 5 years ago

    Hi everyone,

    There are several situations in which the IRS mandates withholdings.  Among these are if a Hubber checks the box next to this statement on his/her W-9 form:

    "Check if you have been notified by the IRS that you are currently subject to backup withholding because you have failed to report all interest and dividends on your tax return"

    If a Hubber's tax status changes, or if he/she feels the tax information on file is not correct, then a Hubber can submit a new W-9 form to replace the existing form.  Hope this clarifies the situation.

  5. Spacey Gracey profile image76
    Spacey Graceyposted 5 years ago

    Oli - not sure if its helpful to know but I am in the UK and got paid the full amount, no witholding, so its not just automatic for non-US. Good luck sorting it out.

    1. Marisa Wright profile image92
      Marisa Wrightposted 5 years ago in reply to this

      For HubPages, you can avoid the withholding by completing their online declaration correctly (which it sounds like you did).  For Amazon, because you're selling a hard-copy book, you actually have to fill in a US tax form and send it in.

 
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