# Just moved to the US on an E-3D, have some questions if anybody can help?



## GomezGee (Jul 25, 2013)

Moved here just over a week ago, to Baton Rouge, capital of Louisiana. 

I was working for a company in Aus, who I am keen to stay working for, we do have offices operating in Canada, but not the US. My goal is to start an office for them locally, but for at least the first 12 months, I will be operating as a lone ranger, being supported by either Canada or Australia, and being paid into my Aus bank account.

Question is, is this legal, and do I need to pay any sort of tax locally, or inform anyone of the operation?

We don't want to go ahead and setup the company here, until we know it will be a viable option, too costly. If it is legal, do I need to also get an EAD and SSN?

Any help on this would be great, thank you in advance!


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## wildest (Jul 25, 2013)

Get a social.

You will need to get your EAD so you can legally work within the US (for a local company or remotely).

You will then need to declare this income on your US tax return. Reason being, you're performing the work from within the US so you need to be legally allowed to work within the US and pay tax on that.

I guess you're thinking if you don't tell anyone, what are the chances of being caught? When you file your tax return in Australia and you declare no income, you have the potential to get audited on the income going into your Australian account. They will figure out pretty quickly you generated the income while yo were not a resident of Aus and I believe they share this information with the US.

tldr; It's not worth the risk trying to avoid tax and work authorization.


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## twostep (Apr 3, 2008)

Lone ranger - what visa did you move to the US with?


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## wildest (Jul 25, 2013)

twostep said:


> Lone ranger - what visa did you move to the US with?


E3d, as per thread title


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## twostep (Apr 3, 2008)

wildest said:


> E3d, as per thread title


:>)

The business has to be registered and licensed, goods/services sold have to be legal in the US, quarterly taxes and withholdings have to be filed and paid. For liability reasons I strongly suggest a) insurance b) contractual agreement with the AUS company.


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## GomezGee (Jul 25, 2013)

wildest said:


> Get a social.
> 
> You will need to get your EAD so you can legally work within the US (for a local company or remotely).
> 
> ...



Thanks for the quick response, my intention was definitely not to try and avoid tax, my Australian income would be taxed as usual, by my company, as I understood it. 

Whether or not I would then have to pay tax here as well was what I was afraid of, so I pay tax twice? or am I mistaken?

So what you're saying is that either way getting an EAD is mandatory, that's good to know, I didnt want to put 350 odd down if it wasnt! 

Legally if all invoicing was coming from either Australia or Canada to a local business for the services we provide, would we still need to be registered here? I know when I was working in Aus, we would sell our service all over the world without being registered in each country, I am just a face to the name while I'm here is all.


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## wildest (Jul 25, 2013)

You really should speak to an account about this to make sure you get it right. My understanding is that your Australian company should not withhold tax from your pay, you pay tax in the US then you submit a tax return in Australia claiming the tax credits you've paid in the USA.

Company registration wise, I'm not sure. You may need insurance here for losses etc.


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## GomezGee (Jul 25, 2013)

Right, well that makes sense, losses? We provide recruitment marketing services, what could I possibly need insurance for?


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## twostep (Apr 3, 2008)

GomezGee said:


> Right, well that makes sense, losses? We provide recruitment marketing services, what could I possibly need insurance for?


Can you translate this to US terms please?


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## twostep (Apr 3, 2008)

GomezGee said:


> Legally if all invoicing was coming from either Australia or Canada to a local business for the services we provide, would we still need to be registered here? I know when I was working in Aus, we would sell our service all over the world without being registered in each country, I am just a face to the name while I'm here is all.


Be precise please - you go apples and oranges.

Independent contractor is an option. You are looking at 25-35% deductions due as quarterly estimated taxes. To keep personal liability to a minimum you may want to look into setting up an LLC and carry liability coverage with your employer as beneficiary. Actually - they may require it per contract.


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## GomezGee (Jul 25, 2013)

twostep said:


> Can you translate this to US terms please?


I don't know what you mean by that?


What I was saying is, when I sell a recruitment marketing campaign (this is the service the company provides) to a local client, they will be invoiced by the accounts department in Canada not in the US.

My wage will continue to be paid in Australia, by the company, to my Australian bank account as per normal. I will be operating from home, on phone and email, no employees and meeting with clients personally just to establish relationships.

We don't want to go through the hassle of setting up a company here until we know it will work, does that make sense?


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## twostep (Apr 3, 2008)

GomezGee said:


> I don't know what you mean by that?
> 
> 
> What I was saying is, when I sell a recruitment marketing campaign (this is the service the company provides) to a local client, they will be invoiced by the accounts department in Canada not in the US.
> ...


Back to my question - what are you selling? The term "recruitment marketing" will not make sense to anyone.


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## GomezGee (Jul 25, 2013)

twostep said:


> Back to my question - what are you selling? The term "recruitment marketing" will not make sense to anyone.


Really? I guess I am going to have to teach them 

So basically we are not a recruitment agency, what we do is provide recruitment marketing services, which means we help clients attract high quality candidates, through strategic marketing and advertising campaigns. 

We get their vacancies in front of all the right people, and provide those candidates with the ability to also market themselves to the clients through a unique recruitment webpage that we set up for each position (effectively an online application process), this information is then delivered into a cloud based recruitment database for those clients to access and take on as many candidates as they need, all for a flat cost that includes the advertising.

We also provide screening and shortlisting services, employer branding and social media marketing with a focus on recruitment.

I hope that answers your question.


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## GomezGee (Jul 25, 2013)

Do I need a social, and can I get one? Or do I have to wait for the EAD to be issued first?

I know I need to get a drivers licence within 90 days or something, can I just go in with my passport and australian licence?

cheers again!


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