I'm trying to figure out the same question. Is it better to run Udemy as a business or continue as sole trader / manage your own personal tax via UK tax return. I am not much further in figuring it out but I have found out the following. Generally, if you are outside of the US are charged withholding tax of around 30%, BUT if there is a tax treaty between the US and the other country it can be reduced. In the UK there is and therefore this is reduced to 15% on dividends by US companies, 5% for dividends qualifying for direct dividend, 0% on interest & 0% on royalties. See more info here: http://taxsummaries.pwc.com/ID/United-States-Corporate-Withholding-taxes So would money from Udemy be royalties?! http://taxsummaries.pwc.com/ID/United-States-Corporate-Withholding-taxes UK company to US Company it looks like you can just say to Udemy (in the sign up) that you are a UK company and therefore you will get 0% withholding tax BUT I think then you are open up to having to pay tax to the US-based on the state it was purchased (different states have different tax amounts) which gets horribly complicated. https://www.ensors.co.uk/blog/UK-tax-implications-of-companies-doing-business-in-the-US/ So far it looks like I'm going to say sole trader/individual but need to do some more digging. Caution: I'm no way a financial expert and this is just from what I've figured out by googling and running my own company. Do not except any responsibility etc etc...
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