Question about tax withholding for Brazilian contributors

[adantas_7703]

Hello,

I'm a contributor from Brazil and I’ve already submitted the W-8BEN form.

I’d like to ask: what is the current withholding tax rate applied to Brazilian contributors?

Since Brazil doesn’t have a tax treaty with the US, I understand that some percentage is withheld automatically.

Could someone please confirm the exact rate and how this is handled in Adobe Stock payouts?

Thank you in advance!

[Instrumental]

Hello. Since Brazil is a non-treaty country, the rate should be 30%.
https://helpx.adobe.com/stock/contributor/help/withholding-rates-country.html

[adantas_7703]

Thanks.

[Abambo]

As documented on the tax pages of the contributor's website https://helpx.adobe.com/stock/contributor/help/Contributor-tax-FAQ.html, the witholding rate is 30%. Those 30% will be deducted from the royalties, so what you see as your available earnings is with the taxes deducted. 

If and how you have to declare your revenues in Brazil is what you need to know. My guess is that you also need to pay taxes on your revenues in Brazil.

[adantas_7703]

Got it. Thank you. So they will deduct 30% when I withdraw, meaning I don't have to worry about paying taxes on the side, for example.

[Moderator cured HTML errors.]

[adantas_7703]

Another. Can you tell me? I found out that Europosters is publishing my images, they said they have a license, a partnership. I would like to know what I get in return? How do I earn from this?

[Moderator cured HTML errors.]

[Abambo · Accepted solution]

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@adantas_7703 wrote:
Another. Can you tell me? I found out that Europosters is publishing my images, they said they have a license, a partnership. I would like to know what I get in return? How do I earn from this?

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They have a contract with Adobe stock to offer print on demand images. Each time a buyer asks a print of one of your assets, then you will get your royalty.

[adantas_7703]

Perfect explanation.
Thank you very much.

[Abambo]

You're welcome.

[Abambo · Accepted solution]

You won't have to worry about the need to pay taxes in America. They get deducted at the source. 

But Adobe deducts the taxes when you get your royalties, so when you make a sale. The sale generates $1 of royalties, you get credited $0.70 and $0.30 will go to the IRS (American tax agency). So when you withdraw your money, and the money you see in your account is net, without (American) taxes. That means when you take out $25 you will get $25.