So here it is: EU Citizen Residing in Luxembourg and working remotely (as self employed via a Luxembourgish Umbrella) for a US based firm.

Social Security and Income Tax and any other local taxes will be deducted at source in the country of residence (Luxembourg), however I'm just wondering whether there are any Tax Returns or equivalent paperwork that would need filling in the US, even though I'm not a US Citizen.

  • If I understand you correctly, you do not have any employment contract (or any direct relationship) with the US company. Is that correct? Do you own and operate this “Luxembourish umbrella” yourself?
    – Relaxed
    Apr 16 '21 at 11:42
  • @Relaxed No I do not own the Umbrella. I would just work and get paid through them. Ultimately they should be seen as my employer, however that's a rather bold statement and I'm not sure I can spin it like that.
    – IMM
    Apr 16 '21 at 11:46

It's your residency and not your employer's that has tax implications for you.

This blog entry goes into detail about implications that "do not" exist for US employers of non-resident employees: U.S. Companies can Legally Hire Foreigners Living in other Countries

However, as your employer is de facto an entity in Luxemburg, even that is nothing to worry about and certainly nothing you should worry about.

  • That article entirely fails to consider that a US employer hiring an individual who is outside the US must also comply with local labor laws in the worker's place of residence.
    – phoog
    Apr 26 '21 at 16:19
  • How is that relevant? The question is from the viewpoint of the employee not the employer. Apr 27 '21 at 9:45
  • 1
    It's relevant because citing a misleading article is, well, misleading. All the more so because the employee in this case wouldn't actually be employed directly by the US company. Why cite an incorrect article that isn't relevant to the circumstances in question?
    – phoog
    May 8 '21 at 4:54

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