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In the absence of a treaty, and a W-8BEN form indicating the country and treaty benefits, a US company is required to withhold 30% of any payments to an independent contractor who is not a US entity (citizen or resident), regardless of where the services are performed.
The withholding is reported on form 1042-S, although I don't recall whether that's analogous to the 1099 or the 1096 transmittal form.
The contractor is undoubtably responsible to pay takes where they live and where the work is done; in many countries, the 30% withholding may be used for that country's foreign tax credit, so it can be partially credited against that country's taxes.