Identify Which of the Following Statements Is True

question 6

Multiple Choice

Identify which of the following statements is true.

• A)Capital gains earned in the United States, other than in the conduct of a U.S. trade or business, are taxed to a nonresident alien only if the alien is physically present in the United States for at least 183 days during the tax year.
• B)Aliens, who are U.S. residents, are taxed only on their U.S. income.
• C)A nonresident alien from a nontreaty country is taxed at a 35% rate on U.S. source investment income without the benefit of any deductions.
• D)All of the above are true.

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Definitions:

Scienter

Knowledge of wrongdoing or fraudulent intent in legal contexts, essential for establishing liability in some cases.

Misstatement

An error or inaccuracy in a statement or document, which can be either unintentional or deliberate.

Fraud

An intentional deception made for personal gain or to damage another individual.

Misrepresentation Liability

Legal responsibility arising from providing false or misleading statements that someone else relies on to their detriment.