What Is “Tax Withholding” and How Will It Affect Me?

The rates differ from country to country.

The U.S. government has treaties in place with many countries that require domestic businesses, like Songtrust, to withhold a set percentage of taxes from their residents’ “copyright income.” These rates differ by country and range from 0% to 30%. 

Detailed, up-to-date tax treaty tables are available via the IRS’s official website. If your country is part of this program, the royalties you receive from Songtrust will have taxes automatically deducted from them. Nothing else will be owed by you. If your home country does not have a tax treaty with the U.S., Songtrust is required to withhold 30% from your royalties.

 

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