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Level 2
posted Mar 11, 2024 8:46:47 PM

Question on US-China tax treaty for foreign interest income sourced from China

     I'm a US alien resident with some foreign passive income, like interests from China. There was no Chinese tax on them. Should I pay US tax for this passive income according to the US-China tax treaty? Thanks.

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1 Best answer
Expert Alumni
Mar 18, 2024 9:28:04 AM

Yes, if the income is not taxed by China, it needs to be reported as taxable income in the US.

1 Replies
Expert Alumni
Mar 18, 2024 9:28:04 AM

Yes, if the income is not taxed by China, it needs to be reported as taxable income in the US.