Norma, a nonresident alien, deposits $100,000 in a savings account at a U.S. bank. When...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Norma, a nonresident alien, deposits $100,000 in a savings account at a U.S. bank. When the U.S. bank pays interest to Norma, it:
(a) must withhold tax at a rate of 30%.
(b) does not have to withhold any tax because of the portfolio interest exemption.
(c) does not have to withhold any tax for interest on bank deposits.
(d) does not have to withhold any tax because the interest constitutes income derived by a foreign central bank from the issuance of bankers acceptances.
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.