> The longer answer is you may need to establish a legal entity in the country in which you're hiring Although other commenters have pointed out that this may

> The longer answer is you may need to establish a legal entity in the country in which you're hiring Although other commenters have pointed out that this may not be needed w.r.t U.S. law, I just want to state that establishing a company in most countries where SW work are being outsourced to is not an easy task, especially as a foreigner. It requires office(Although it can be just a desk at co-working space) and plenty of legal compliances which are not worth it if you are intending to hire couple of resources from the said country. That said, if you are planning to have majority of your dev work-force in that country, then establishing off-shore branch of your company in that country as a separate entity is common strategy being adopted(But the entity would require local executives with signing power to reduce the compliance hassle).