Most tax treaties will either eliminate or reduce withholding requirements on US income, such as dividends, interest, and royalties, received by nonresident aliens.
Some treaties also contain a dollar threshold for tax exemption.
Pensions from former foreign employers. Compensation and pensions received by teachers who are temporarily in the United States. Foreign income received by students and trainees who are in the United States for maintenance, training, and education. A list of countries with which the United States has negotiated tax treaties can be found in Chapter 1, Figure 1.4 . Inc. All rights reserved.