Decides to perform a concert in los angeles

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Reference no: EM13751948

Rick Rocker, a citizen and resident of country F, decides to perform a concert in Los Angeles. The U.S. promoter has agreed to pay Rocker $1 million. Rocker himself incurs $200,000 of expenses in connection with the concert. When the promoter pays Rocker his fee, the promoter:

1. should withhold $300,000 of U.S. tax.

2. does not have to withhold any U.S. tax.

3. must withhold tax at Rocker’s marginal rates.

4. should withhold $240,000 of U.S. tax.

Reference no: EM13751948

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