Can I receive salary from the foreign company while on L-1 in the US?

As a general rule, those in the United States on an L-1 visa should be compensated by the US company that sponsored the visa, meaning the branch, subsidiary, or affiliate to which you were transferred. The visa presupposes an employment relationship with that entity in the United States.

This is because the terms of the L-1 are based on the premise that the employment relationship and salary are tied to the company operating on US soil, in compliance with local labor and tax regulations. Receiving salary directly from a foreign company, without that relationship with the US entity, can raise compliance concerns.

That said, there are legitimate corporate arrangements in which, in addition to the compensation paid by the US unit, the professional also receives supplemental components from the parent company or other entities within the group. When this structure is adopted, it must be carefully planned and documented, and the tax side tends to become more complex, as both local laws and international agreements come into play.

• The core salary typically comes from the US company that sponsored the visa.
• Additional payments from the parent company may be possible, but require careful planning.
• Tax implications deserve special attention.

Since every corporate structure is different, it is worth reviewing the current rules with USCIS and aligning the arrangement with immigration and tax professionals before deciding how your compensation will be structured.

About the author

Victoria Harper

Editor-in-Chief

Meet the author

As a journalist and lead editor at Visto n’ Visa, Victoria helps ensure that immigration topics are covered in a clear, trustworthy, and easy-to-understand way. Her focus is on delivering useful, human, and relevant content for people exploring new paths abroad.