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Harold, a nonresident alien, owns 5% of USAco, a U.S. corporation. USAco pays Harold a $1,000 dividend during the current year. Harold also purchases an
- Harold, a nonresident alien, owns 5% of USAco, a U.S. corporation. USAco pays Harold a $1,000 dividend during the current year. Harold also purchases an unassignable bond issued by USAco, and receives a $2,000 payment. Are there any U.S. withholding requirements with respect to these interest and dividend payments? Please explain.
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