Tax Explorer
Level 4

Hi,

If a foreign parent corporation recieves dividends from its >50%-owned US subsidiary and does not have any other US-source income or trade/business within the US, does the foreign parent corporation have to file an 1120-F? The dividend income from the US subsidiary to the foreign parent corproation is reported on the Forms 1042 and 1042-S and is withheld at source.

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