Title 17 of the IRS code states that income made outside of the united states is NOT taxable income..
The ONLY income that may be taxed is income earned within these united states..
So, no..
The sponsor is not reporting that income to the irs, neither should you...
However, that ONLY apllies if the check is made out to an individual..
If the check is made out to a company..a whole new set of rules comes into play..
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