This is a question about taxes.  Here's a hypothetical situation: I'm
a Hong Kong citizen and I own a Hong Kong company.  I hire some
employees and create some software.  I strike a deal with a U.S.
publisher, and this publisher agrees to sell my software in the U.S.
and give me 30% of whatever they make.  Now, here's my question:  When
the publisher sends me a check, how is it taxed?  I know that Hong
Kong doesn't tax it, because they don't tax income that has a foreign
source.  However, does the U.S. tax that money?

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Clarification of Question by djetter-ga on 26 Mar 2004 19:30 PST

I looked at the answer to another question, and I'm guessing the U.S.
would NOT tax it because I would be considered an alien contractor. 
So now I guess my question is, would Hong Kong tax that income?  I
think this is the law: "Hong Kong taxes all profits that "arise in or
are derived from" the conduct of a trade, profession or business in
the territory of Hong Kong."  Well, the product was made in Hong Kong,
but it was sold in the U.S.  So does Hong Kong tax my paycheck or not?
 Thanks