None of the below information should constitute legal, tax, or immigration advice. All contractors are responsible for determining their own tax obligations and right to work based on their specific circumstances.

For personalized guidance, we recommend consulting a qualified solicitor, accountant, or immigration advisor.

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Work Authorization

You must have the legal right to work in the UK as a self-employed individual. Mercor does not sponsor visas or provide immigration support in the UK.

If you are:

  • A UK citizen: You can legally work as an independent contractor.
  • On a Skilled Worker visa (Tier 2): You are typically not permitted to take on additional self-employed or freelance work outside your sponsoring employer.
  • On a Graduate visa: You may be able to take freelance work, but must verify your status with an immigration expert.
  • On a Spouse or Dependent visa: You may have the right to work, including self-employment, but you are responsible for confirming this.

Mercor only engages with individuals who have existing work authorization. We do not complete right-to-work checks or issue sponsorship documents.

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International Students in the UK (Student Visa)

If you are an international student in the UK on a Student visa (formerly Tier 4), you are typically not permitted to engage in freelance or self-employed work.

Mercor cannot engage with individuals on a Student visa in the UK. We do not provide employment contracts, sponsorship, or the type of structured work placement required for student visa compliance.

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Why Is this restricted?

Under UK Home Office rules, Student visa holders are generally:

  • Allowed to work only in paid employment, up to a limited number of hours (usually 20 hours/week during term time)
  • Not allowed to be self-employed, act as a freelancer, or perform contractor work
  • Not allowed to set up or operate a business

Since Mercor’s model involves independent contractor engagements, it does not meet the criteria for student work permissions.

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What If I’m on a Graduate Visa?

If you’ve transitioned from a Student visa to a Graduate visa, your work rights are more flexible. You may be eligible to freelance under that visa — but it is your responsibility to confirm your status and ensure compliance.

We cannot engage anyone who is still on a Student visa, regardless of hours or supervision level.

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Taxes & Income Reporting

Mercor does not withhold any taxes from your payments. You are classified as a self-employed contractor, and must handle your own tax filing, payment, and reporting in the UK.

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HMRC Self Assessment

If you earn income as a freelancer or contractor in the UK, you must:

This applies even if Mercor does not issue any formal tax documents to you.

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Invoicing

You may generate your own invoices for your records. Mercor does not issue invoices to you or provide tax receipts. Stripe will show your payment history and payouts for reference.

Mercor’s legal information for invoicing or reporting purposes:

  • Legal name: Mercor.io Corporation
  • Address: 55 2nd St., Floor 26, San Francisco, CA 94015 USA
  • EIN (US Tax ID): 88-1741971

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W-8BEN Form (US Tax)

As a UK-based contractor working with a US company (Mercor), you’ll be asked to fill out a W-8BEN form during the process of accepting your offer.

This form is required under US tax law to:

  • Certify that you are not a US person for tax purposes
  • Claim a reduced withholding rate (typically 0%) under the US–UK tax treaty

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How to Fill It Out

You’ll complete this form digitally through Stripe. Here’s what to expect:

  • Part I: Identification

    • Name: Use your full legal name
    • Country of citizenship: United Kingdom
    • Address: Your UK residential address
    • Foreign Tax Identifying Number (FTIN): Your UK National Insurance Number

  • Part II: Claim of Tax Treaty Benefits

    • Line 9: Select United Kingdom as your country of tax residence
    • Line 10: Certify that you are eligible for treaty benefits under Article 7 (Business Profits) of the US–UK tax treaty
      • This article allows independent contractors to earn income from a US company without US tax withholding, as long as they don’t have a permanent establishment (like an office or agent) in the US

  • Part III: Certification

    • Electronically sign and submit through Mercor

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Do I Need to File Anything With the IRS?

No — the W-8BEN is provided to Mercor via Stripe and is used to show the IRS that you are exempt from US tax withholding. You do not file this form yourself with the IRS, and you will not receive a 1099 form.

You are still responsible for reporting your income locally to HMRC.

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VAT (Value Added Tax)

If you are VAT registered in the UK, you are responsible for handling your own VAT obligations. Mercor is not VAT-registered in the UK and does not collect or remit VAT on your behalf.

You should consult an accountant to determine whether VAT registration is required based on your income and business structure.

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Business Structure

You may work with Mercor as a individual self-employed contractor.

Mercor currently pays individuals directly via Stripe. We do not support business-to-business (B2B) contracts at this time.

This means:

  • If you operate a limited company, you’ll need to accept payment as an individual (not your business).
  • You may still claim business expenses and file taxes accordingly.