Re: Google Summer of Code, LilyPond and GNU

[Janek Warchoł]

On Mon, Mar 5, 2012 at 11:17 PM, Graham Percival
<address@hidden> wrote:
> On Mon, Mar 05, 2012 at 10:48:28PM +0100, Janek Warchoł wrote:
>> Graham, i understand that you'll be our project administrator.  When
>> Ideas List will be up, you'll have to register at
>> http://www.google-melange.com/gsoc/homepage/google/gsoc2012 and fill
>> our application (it consists of answering the 16 questions - for which
>> we already have answers - and agreeing to admin agreement).
>
> What happens about the tax form?  I'm not signing any legal
> document unless I'm certain it's the right thing.  Is GNU
> submitting that "foreign income" thing for us ? ... although I
> suppose that GNU is an American organization, so they'd file a
> different tax form?

I've asked on #gsoc IRC channel.  The situation in our case is as follows:
- we have no legal body, so we would be represented by an individual.
This person will act as LilyPond Mentoring Organization inside GSoC,
but this doesn't mean any legal implications outside GSoC.  It means
doing administration stuff for GSoC.
- this person registers at GSoC and files LilyPond application, no
legal documents are needed for that.  The only legal outcome is that
this person agrees to be LilyPond admin for GSoC.
- from Google's point of view, this person is "working for Google"
during GSoC (but it doesn't mean you become Google employee).  $500
for mentoring organization is just a payment for this work.
- To send this payment, Google needs tax-related documents.  If the
admin is not a US person, it needs just a declaration of this fact
(that's what W-8BEN is used for).  You don't need to be a US taxpayer.
 I repeat: non-US admin has to file W-8BEN form that roughly says
"hey, US government, i'm not American and this money is none of your
business".
- the $500 is an income for the admin, so he may need to pay taxes in
his country.
- i was (unofficially) told that if you don't send the W-8BEN form,
Google doesn't get upset and simply doesn't send you the money,
especially if you notify them about it.

Bottom line: all the tax stuff is related to the admin payment, not to
the participation in GSoC itself.

Graham, does this answer your question?

Janek