The World Bank Group

[GERRY7]

I have a new client who works for The World Bank Group. He says that they do not get a W2. He only sent me a statement from the bank showing the gross income and estimates of FICA and medi-care taxes. The foreign entity pays them the money to cover their taxes and they have to take care of it. Do I enter his gross income in Schedule SE directly? OR on Schedule 1- other income? 

[BobKamman]

Is he a US citizen or resident alien?

[GERRY7]

He is a citizen

[sjrcpa · Accepted solution]

It's wages. Report on the wage line. Your software probably has a box to indicate foreign employer.

Taxpayer has to pay SE tax on the compensation. Your software should have a way to enter this on Schedule SE.

[BobKamman]

https://thedocs.worldbank.org/en/doc/430251375284206438-0220012011/original/LoAEnclosureTaxAllowance... 

[GERRY7]

Thanks