Payers (or their authorized withholding agents) of most U.S.-source income to foreign persons must withhold
tax in accordance with Internal Revenue Code section 1441.
Liability for Taxes and Penalties for Failure to Withhold
* Scenario 1: Increased utilization and withhold
not returned, resulting in a decrease in revenue.
However, Lundon warned that he will withhold
the tax he collected in May if no progress is made on solving the crisis.
But neither Dinkins, who was one of the lawyers at the October meeting when the decision to withhold
the documents was made, nor her primary assistant had looked at the documents.
When a limited partnership has effectively connected income allocable to a foreign partner, the partnership is required to withhold
tax on that partner's distributive share of the net income.
Under the past tables, their employer would withhold
tax from their pay at the rate of $165 (wife) and $198 (husband).
If the partnership withholds
any amounts under Sec.
financial institutions required to report and withhold
tax on behalf of nonresident aliens (NRAs) in connection with the institutions' custodial or brokerage activities.
withholding agents generally do not need to withhold
on ECI payments, except where a U.S.
The last step is to determine whether it's necessary to withhold
Under Regulation 105, Canadian organizations must withhold
taxes from payments to nonresident service providers.