Legal problems with oDesk in European countries (invoicing requirements)
Toby M. 5 posts - Germany
Sometimes, when project is finished on oDesk, some companies or freelancer, especially from countries like India, Russia or China, do not give me an invoice.
The German law (and also EU law for all countries in the European Union) requires an invoice before payments are made.
Furthermore, anonymous payments are illegal due to money-laundering regulation.
Therefore invoices are required that contain for example:
- the address and name or company name of the party who receives the money
- a tax id of the person or company to be able to identify the person/compnay who received the money.
I think oDesk should ensure it has a valid address and tax id from everyone who receives money in order to be on a legal path.
I also can not make a payment anymore to anyone who does not produce a valid invoice otherwise I could end up in prison!
If oDesk is based in the USA - you can compare this "crime" so something similiar with evading taxes in the USA.
Also a lot of people from Europe do not know this when using oDesk and could end-up having serious problems sooner or later.
p.s.: please also see my comment from last year:
Score: 9.9, Votes: 10