14.03.09

The incomes of individuals who have permanent residence in Russia, but who are not tax residents there, and who work in the USA are subject to taxation in the USA.

According to the Ministry of Finance in a letter dated January 22, 2009 (N 03-08-05), wages received by an individual with permanent residency in one state who works in another state may be subject to the tax laws of the state in which they work. This specification was enumerated in a tax treaty between Russia and the United States “On Avoidance of Double Taxation and Prevention of Tax Evasion Concerning Income and Capital Gains Taxes” 6/17/1992 Regulation point 1 of item 14 “Income from Employment.”

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