Sam Smith is a citizen and bona fide resident of Great Britain (United Kingdom). During the current year, S the following income: Compensation of $30 million from performing concerts in the United States. Cash dividends of $10,000 from a French corporation's stock. Interest of $6,000 on a U.S. corporation bond. Interest of $2,000 on a loan made to a U.S. citizen residing in Australia. Gain of $80,000 on the sale of stock in a U.S. corporation. Determine the source (U.S. or foreign) of each item of income Sam received. Source Income Income from concerts Dividend from French corporation Interest on a U.S. corporation bond Interest of $2,000 on a loan made to a U.S. citizen residing in Australia Gain of $80,000 on the sale of stock in a U.S. corporation

Sam Smith is a citizen and bona fide resident of Great Britain (United Kingdom). During the current year, S the following income: Compensation of $30 million from performing concerts in the United States. Cash dividends of $10,000 from a French corporation's stock. Interest of $6,000 on a U.S. corporation bond. Interest of $2,000 on a loan made to a U.S. citizen residing in Australia. Gain of $80,000 on the sale of stock in a U.S. corporation. Determine the source (U.S. or foreign) of each item of income Sam received. Source Income Income from concerts Dividend from French corporation Interest on a U.S. corporation bond Interest of $2,000 on a loan made to a U.S. citizen residing in Australia Gain of $80,000 on the sale of stock in a U.S. corporation

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter5: Gross Income: Exclusions

Section: Chapter Questions

Problem 48P

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Question

Sam Smith is a citizen and bona fide resident of Great Britain (United Kingdom). During the current year, Sam received
the following income:
• Compensation of $30 million from performing concerts in the United States.
› Cash dividends of $10,000 from a French corporation's stock.
▸ Interest of $6,000 on a U.S. corporation bond.
▸ Interest of $2,000 on a loan made to a U.S. citizen residing in Australia.
• Gain of $80,000 on the sale of stock in a U.S. corporation.
Determine the source (U.S. or foreign) of each item of income Sam received.
Income
Income from concerts
Dividend from French corporation
Interest on a U.S. corporation bond
Interest of $2,000 on a loan made to a U.S. citizen
residing in Australia
Gain of $80,000 on the sale of stock in a U.S. corporation
Source

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