Which of the Following Transactions,if Entered into by an NRA,is

question 39

Multiple Choice

Which of the following transactions,if entered into by an NRA,is not subject to U.S.taxation?

• A)Sale of stock of a foreign corporation whose only asset is a U.S.building.
• B)Sale of a commercial building located in Houston,Texas,and owned directly by the NRA.
• C)Sale of stock of a domestic corporation whose only asset is undeveloped U.S.real estate.
• D)Sale of partnership interest.Partnership's assets are predominantly U.S.real estate.

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Definitions:

SEC Regulation

Refers to official rules and laws that govern securities and financial markets, enforced by the U.S. Securities and Exchange Commission.

Income Statements

A financial statement that reports a company's financial performance over a specific accounting period, detailing revenues, expenses, and profits or losses.

Balance Sheets

Financial statements that list an entity's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial condition.

Securities Registration Statement

A document filed with the SEC that discloses essential information regarding a company's securities offering.