Jacque, a single nonresident alien, is in the United States for 80 days in the current year engaging in the conduct of a U.S. trade or business. Jacque has $30,000 of dividend income paid by a U.S. corporation on a stock investment portfolio unrelated to his trade or business. How will the dividend be taxed and how will the tax be collected?
What will be an ideal response?
The United States taxes the dividend income as investment income at a 30% rate. The tax owed is $9,000 (0.30 × $30,000). A lower tax rate is not available to Jacque unless a tax treaty to which the United States is a party applies. The tax is collected through withholding.
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Which of these refers to times when individuals, and often their families, are relocated from one country to another by an employer, generally from a familiar situation (a home country) to a novel one (a host country) for a fixed period of time?
A. global mobility B. culture shock C. expatriation D. repatriation
A nonprofessional trait is
a. controlling of temper. b. recognizing organizational structure. c. using vulgar language to get attention and make a point. d. talking with others about your good qualities.
Insider Reporting and Trading. Ronald Bleakney, an officer at Natural Microsystems Corp (NMC), a Section 12 corporation, directed NMC sales in North America, South America, and Europe. In November 1998, Bleakney sold more than 7,500 shares of NMC stock
The fol-lowing March, Bleakney resigned from the firm, and the next month, he bought more than 20,000 shares of its stock. NMC provided some guidance to employees concerning the rules of insider trading, and with regard to Bleakney's transactions, the corporation said nothing about potential liability. Richard Morales, an NMC shareholder, filed a suit against NMC and Bleakney to compel recovery, under Section 16(b) of the Securities Exchange Act of 1934, of Bleakney's profits from the purchase and sale of his shares. (When Morales died, his executor Deborah Donoghue became the plaintiff.) Bleakney argued that he should not be liable because he relied on NMC's advice. Should the court order Bleakney to disgorge his profits? Explain.