About tax reporting for your 2021 earnings

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About tax reporting for your 2021 earnings

Bella
Community Moderator
Community Moderator

Hi instructors!

 

It’s January, and we know some of you in the US are already thinking about preparing to file your 2021 taxes. So, we wanted to provide an update on how Udemy will be providing year-end tax reporting this year.

 

To make it smoother and easier to access your tax forms, we’ve integrated with 1099Pro to provide access to your 2021 tax forms directly on Udemy. When your forms become available, you’ll see a secure download link appear on your Payout & Tax Details page. If you request corrections by writing to Instructor Support, any corrected forms will appear on this page as well.

 

Physical copies will also be mailed to the address you provided when you submitted your tax form.

You can expect to receive an end-of-year tax form if…

 

  • You filed a W-9 (for US persons and entities) and received at least $10 in payments during 2021. You’ll receive Form 1099-MISC. (Note that this doesn’t apply for S and C corporations, who won’t receive an end-of-year tax form from Udemy.)
  • You filed any other tax form and received any payments from US sources, such as sales to US learners, during 2021. You’ll receive Form 1042-S.
  • You didn’t file any tax form and received at least $10 in payments during 2021. You’ll receive Form 1099-MISC.

We expect to have 1099s available by early February, and 1042s available by mid-March. We’ll keep you posted here as your reporting becomes available.

 

Feel free to jump in below if you have questions about the process of receiving your end-of-year tax forms. Note that we can’t give tax advice, so any questions about what to do with your form once you’ve got it should be addressed to a tax professional.

 

Teach on,

 

Bella Almeida

Udemy Community Team

10 Comments
Artemakis
Level 3
Level 3

Hi @Bella,

 

Regarding our tax documentation, if nothing changed since the last submission, do we need to take any action?

 

Thank you. 

 

Best regards,

Artemakis 

 

Bella
Community Moderator
Community Moderator

Hi @Artemakis, great question! The tax documentation you provide to Udemy only needs to be updated in the event of a change in your tax circumstances, or if you are notified by Udemy that the previously submitted forms have expired. 

 

Feel free to contact our Instructor Support team if you have any further questions or concerns about this - they'll be happy to clarify. 🙂

 

Bella Almeida

Udemy Community 

Artemakis
Level 3
Level 3

Thank you @Bella.

RandyMinder
Level 3
Level 3

@Bella - Thank you very much. For instructors in the United States, will Udemy also send the appropriate forms to the IRS or just to each instructor?

Bella
Community Moderator
Community Moderator

Hi @RandyMinder, thanks for your question!

 

Yes — Udemy files copies of all 1099s and 1042s with the IRS. 🙂

 

Bella Almeida

Udemy Community 

DigitalDash
Level 2
Level 2

Hi @Bella , for non-US instructors residing outside of the US, do we need to take any action?

(Other than reporting our gains to our local authorities)

Bella
Community Moderator
Community Moderator

Hi @DigitalDash, good question! As you note, you might have obligations to your local authorities, which we can't advise on. In terms of what Udemy needs from you, if the tax information you submitted to Udemy is up to date, you're all set! 🙂

 

Bella Almeida

Udemy Community 

GeorgeTamayo
Level 2
Level 2

Any update on when we might be receiving our 1099’s in our payout account? 

Bella
Community Moderator
Community Moderator

Hi @GeorgeTamayo,

 

If you’re receiving a 1099 form, you should expect it to become available on your Payout & Tax Details page in mid-early February 2022. You'll be able to securely download a PDF of your forms once they are available. If you encounter any issues or delays, feel free to contact the Instructor Support team for further assistance. 🙂

 

Bella Almeida

Udemy Community 

I am new here. I haven't sold any courses yet but I want to be aware of all the legal requirements needed from instructors.

 

I am not familiar with US tax procedures. 

 

I was reading about the tax information but I am a bit unclear of what documents are exactly needed to pay the IRS. I am from Trinidad and Tobago. Can you guide me along as to what tax documents are required? 

 

Will the royalty tax be deducted before being paid revenue income? 

 

For a non-us resident, what other tax forms should I be aware of to submit other than W-8BEN,W-8ECI and Form 1042-S? Can you explain the difference of each type of tax form? 

 

I believe my country has a tax treaty with the US. 

 

What are the relevant tax documents  mandatory to be resubmitted and how often? Will Udemy notify me? 

 

Also  if I decide to terminate selling my course, will ISR be automatically updated so I won't be able to continue to pay royalty taxes?

 

Please help.