US company hiring a foreign independent contractor living abroad. The US company doesn't need to report the payments they made to the foreign independent contractor to the IRS if they are not US-sourced income. The company also doesn't need to withhold any tax.
Companies must ensure that foreign independent contractors comply with immigration laws by obtaining the necessary work permits and visas. It is important to research and understand the regulations specific to the contractor's home country and the country where the work will be performed.
Foreign remote contract workers don't require visas because they are based outside of the US. While these workers may have to come into the country occasionally to fulfill their contractual obligations, they shouldn't have any issues entering as long as they can provide proof that their stay will be temporary.
Yes, you can work for a foreign company remotely. For working remotely in a foreign company, you didn't need a visa. You can work overseas for any company just by sitting at your home. All you need to check is that the company should provide remote work. As not all the companies provide remote work.
Foreign independent contractors must submit IRS Form W-8BEN or W-8BEN-E to certify their foreign status and claim any applicable tax treaty benefits. The US company may also need to file Form 1099-NEC if certain conditions are met, though this is more common for domestic contractors.
The Standard Form 86 “Questionnaire for National Security Positions” (SF-86) is a background investigation form you need to fill out for a security clearance. The information provided on this form is used to determine whether you are reliable, trustworthy, of good conduct and character, and loyal to the U.S.
In essence, if personnel working for a contractor require access to classified information in the performance of their duties, the contractor must have an FCL and the personnel must have personnel security clearances (PCLs).
Examples of organizations that require higher tiers of clearance include national security agencies such as the Central Intelligence Agency (CIA) and the Federal Bureau of Investigation (FBI).
The average PMC salary in the US is $115,909 annually-an average of $9,659/mo. (San Jose, CA has the highest average salary total of $228,849- which is 97% greater than the US average- reflecting San Jose's very high living costs).
Overseas Security Contractor Salary Annual SalaryHourly Wage Top Earners $84,000 $40 75th Percentile $61,000 $29 Average $54,037 $26 25th Percentile $38,000 $18