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(ICI). The Fund does not engage in a trade or business in the
United States. It does not have income effectively connected
with a U.S. trade or business. It does not have income
attributable to a permanent establishment in the United States.
During 1991 and 1992, the Fund received dividends on stock
it owned in certain domestic corporations. These dividends were
subject to Federal income tax withholding in the amounts of
$1,550,065 for 1991 and $1,627,006 for 1992. Banker's Trust Co.
(Banker's Trust), the withholding agent for the payments,
withheld the required amounts of tax and remitted the withheld
amounts to respondent. Banker's Trust filed with respondent Form
1042, Annual Withholding Tax Return for U.S. Source Income of
Foreign Persons, and Form 1042S, Foreign Person's U.S. Source
Income Subject to Withholding, on April 13, 1992 (for 1991), and
on June 9, 1993 (for 1992). (Banker's Trust had previously
issued the Fund copies of the Forms 1042S.) These forms were not
required to, and did not, list the taxpayer identification number
of either the Fund or ICI. These forms also were not signed by
either of the two. Forms 1042 and 1042S make no provision for
signature by the persons from whom taxes are withheld.
On August 12, 1992, the Fund submitted to respondent a 1991
Form 990-T, Exempt Organization Business Income Tax Return,
claiming a refund of $1,550,065 in income taxes. The Fund's
claim was based on its assertion that it was a tax-exempt
organization under section 501(c)(5). The information listed on
the 1991 Form 990-T included the Fund's name, address, and
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