I have my accountants looking at this, in the meantime I wondered if anyone here has any experience that they might like to share. The deal : A Californian based organisation sells your game and pays you a royalty, of this royalty they wish to retain 30% to cover US Tax. When you receive you payment the UK governement want thier cut. This is known as Double Taxation and agreements between the UK and US should prevent this. The question : As a UK based corporation am I exempt from the US Tax?