Tax Requirement for Affiliates

The purpose of this article is to make you aware of the tax requirement for affiliates. This is not a legal advice.

Affiliate or (Contract labor) law can vary from one country to other, so you may want to check the law in your country.

In US, affiliates are considered as Independent contractors. Any company in the United States that pays $600 or more for contract labor must report the transactions to the Internal Revenue Service (IRS) . US based companies are required to collect W-9 from affiliates.