Help - NRA backup witholding tax

USA Discussion in 'General Tax Discussion' started by NLIN, Aug 13, 2018.

  1. NLIN

    NLIN

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    What is the current backup withholding rate for a NRA individual or business without a valid W8 and earning interest income from a bank deposit account. Is it still at 30% or has it been reduced in 2018 with the 2017 Tax Reform Act?

    I am referring to the 2017 Tax Reform Act because the backup withholding rate was reduced from 28% to 24% for US persons without a TIN starting in 2018. Can the 24% backup withholding be applied to a NRA without a valid W-8?
     
    NLIN, Aug 13, 2018
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