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Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by practicalpants on Thursday February 18, 2021 @09:33AM (#26180170)
How do you all deal with permanent establishment? Especially with renewed focus in BEPS and all that... e.g. substantive work as employee or agent in another country means proportional corp taxes
Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by juliantorresgo on Thursday February 18, 2021 @09:49AM (#26180385)
We offer a standard handling of contractor agreements, in which our database knows exactly what the regulation for each country is, and what the corresponding gross up has to be in order for the contractor to net the desired income. We assist contractors in their tax residence, to optimize their payouts to government, while keeping everything 100% compliant so the company is not as risk. Whenever regulations get too complex for independent contractos in a country, we offer plug and play, which is an outsourcing of the contractor, and Ontop hires them.
Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by practicalpants on Thursday February 18, 2021 @10:12AM (#26180679)
> we offer plug and play, which is an outsourcing of the contractor, and Ontop hires them

Would just be careful, if the client is still the economic employer that's still a PE trigger, under countries that follow OECD model anyways. Idk I just have some concerns with these models like Remote, Deel, Skuad, Papaya Global, Oyster, etc., in that technically they're likely exposing many of their clients to PE risk w/o the client knowing... if you're sourcing value from country X, incl employment (direct or indirect), country X is going to want you to pay the equiv corp tax, generally speaking.

Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by juliantorresgo on Thursday February 18, 2021 @10:18AM (#26180759)
You are 100% right. We have agreements with local governments and help them out to ensure contractor taxes are up do date always and everything is done legally.
Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by practicalpants on Thursday February 18, 2021 @10:23AM (#26180821)
Sorry, I won't belabour the point further, but I guess the point is the client's corporate tax exposure in the country would have to be assessed client-by-client how using employee/contractor. At any rate thanks for responding and best of luck here.
Re:Launch HN: Ontop (YC W21) – Easily hire and pay remote wo... by juliantorresgo on Thursday February 18, 2021 @10:29AM (#26180910)
I appreciate your feedback a lot. It's challenging comments like these that make us grow. Will study the topic more and find a better solution. :). Thank you very much.