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Witholding tax to non-EU company
Hi,
I've been looking at a couple of the threads here and would like some further advice as the info so far seems to be concerned with UK companies and/or properties.
I am a UK agent for a US company, which provides goods (servers and software) and services (software support & maintenance) to a Spanish company.
There is a local company in Spain who interface to the end-user.
The US company invoice the Spanish company (not the end user) in US$ and the Spanish company withhold 10% of the fee when they pay us.
I recently was sent by the US company a letter from the USA IRS stating the US company and its employees are US residents for US tax purposes.
Will this enable the Spanish company to stop witholding?
John Mayo
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