Social Security and Yacht Crew

by Tom Andrews, CPA Social Security tax is a tax that is assessed on your earnings/labor, this tax is withheld by your employer and remitted to the IRS. The difference between Social Security tax and federal income tax is that Social Security/Medicare tax is used to...

Form 8233 Facts and Myths

by Tom Andrews, CPA Any nonresident crewmember that has worked on a foreign flagged vessel has probably been asked to sign form 8233 “Exemption Form Withholding on Compensation for Personal Services of a Nonresident Alien”.   By signing this form the vessel/employer...

Updating your W-4

by Tom Andrews, CPA As the payroll processes in the yachting industry becomes more formalized the number of crew being treated as statutory employees has increased dramatically over the past ten years. As a result crewmembers are no having taxes withheld from their...

Virtual Currencies

by Tom Andrews, CPA I often find that yacht crewmembers are early adopters of technology, for example I remember yacht crew using mp3 players, phone texting, online banking, and skype before it was main stream. I suspect this has a lot to do with nature of the...

Foreign Gifts

by Tom Andrews, CPA Many yacht crewmembers have friends, family, spouses etc. whom are nonresidents living outside the United States.  These relationships sometimes give rise to the transferring of assets or funds between residents and nonresidents, such transfers...