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How to avoid double taxation?

Lobbot00
Weekender

I'm new on Deel, so I?m not sure how to do this.

I've been working for long time on Upwork, and to avoid double taxation, I sent them some legal documents. Upwork directly deposits the total amount earned to me (minus their commission), and my accountant takes charge of paying all applicable taxes in my country.

Not sure how to do that on Deel. I just want to avoid double taxation.

3 REPLIES 3

CassyL
Administrator
Administrator

Hi @Lobbot00

Apologies for the delay in responding back to you! Thanks so much for joining the Deel community, and for sharing this question. We're excited for you to start your journey on Deel. To answer your question re: taxes: 

The contract that you have with your Client is an agreement between you and your Client, and Deel is only an agent between the two sides that transfer the funds. Deel helps facilitate issuing the invoice, and the invoices are subject to tax regulations, and should include VAT and other tax requirements. The specific nature of your work, contract type, where your Client is located, etc. all have their own implications. Given this sensitive nature, it's crucial to ensure compliance with your countries laws to avoid any potential issues or penalties. Consulting with a tax professional who can provide personalized advice based on your specific circumstances is highly recommended in this case. 

Additionally, I noticed that your profile indicates you're located in Mexico. If you aren't already aware, Deel's Tax Advice feature is available in Mexico, and might give you added insight, too. You can learn more about it here

If you have any additional questions on this, please let me know. I'm also happy to create a support ticket for you if thats helpful as well! 
Cheers, 
-Cassy 

Thanks. I have my own accountant, who usually takes care of everything related about taxes. However, on other platforms there is usually a method of informing about the current treaties to avoid double taxation, and the relevant documents are added accordingly. I can't find that option in Deel.

Freyja
Homebody

To prevent double taxation on Deel, you can begin by providing them with the necessary legal documents, similar to what you did on Upwork. Since Deel also facilitates direct deposits of your earnings (minus their commission), you'll need to communicate with them about your tax obligations. It's advisable to consult with a tax professional or accountant who can guide you on how to manage taxes effectively in your country while working with Deel. By ensuring clear communication and proper documentation, you can minimize the risk of double taxation and handle your tax obligations efficiently.