124 STAT. 103 PUBLIC LAW 111–147—MAR. 18, 2010 ‘‘(E) any international organization or any wholly owned agency or instrumentality thereof, ‘‘(F) any foreign central bank of issue, or ‘‘(G) any other class of persons identified by the Sec- retary for purposes of this subsection, and ‘‘(2) any class of payments identified by the Secretary for purposes of this subsection as posing a low risk of tax evasion. ‘‘(d) NON-FINANCIAL FOREIGN ENTITY.—For purposes of this section, the term ‘non-financial foreign entity’ means any foreign entity which is not a financial institution (as defined in section 1471(d)(5)). ‘‘SEC. 1473. DEFINITIONS. ‘‘For purposes of this chapter— ‘‘(1) WITHHOLDABLE PAYMENT.—Except as otherwise pro- vided by the Secretary— ‘‘(A) IN GENERAL.—The term ‘withholdable payment’ means— ‘‘(i) any payment of interest (including any original issue discount), dividends, rents, salaries, wages, pre- miums, annuities, compensations, remunerations, emoluments, and other fixed or determinable annual or periodical gains, profits, and income, if such pay- ment is from sources within the United States, and ‘‘(ii) any gross proceeds from the sale or other disposition of any property of a type which can produce interest or dividends from sources within the United States. ‘‘(B) EXCEPTION FOR INCOME CONNECTED WITH UNITED STATES BUSINESS.—Such term shall not include any item of income which is taken into account under section 871(b)(1) or 882(a)(1) for the taxable year. ‘‘(C) SPECIAL RULE FOR SOURCING INTEREST PAID BY FOREIGN BRANCHES OF DOMESTIC FINANCIAL INSTITU- TIONS.—Subparagraph (B) of section 861(a)(1) shall not apply. ‘‘(2) SUBSTANTIAL UNITED STATES OWNER.— ‘‘(A) IN GENERAL.—The term ‘substantial United States owner’ means— ‘‘(i) with respect to any corporation, any specified United States person which owns, directly or indirectly, more than 10 percent of the stock of such corporation (by vote or value), ‘‘(ii) with respect to any partnership, any specified United States person which owns, directly or indirectly, more than 10 percent of the profits interests or capital interests in such partnership, and ‘‘(iii) in the case of a trust— ‘‘(I) any specified United States person treated as an owner of any portion of such trust under subpart E of part I of subchapter J of chapter 1, and ‘‘(II) to the extent provided by the Secretary in regulations or other guidance, any specified United States person which holds, directly or indirectly, more than 10 percent of the beneficial interests of such trust.
