interest is attributable), then, although exempt from U.S. federal withholding tax (provided you provide the appropriate certification), you generally will be subject to U.S. federal income tax
on such interest in the same manner as if you were a U.S. holder. In addition, if you are a foreign corporation, such interest may be subject to a branch profits tax at a rate of 30% or lower applicable treaty rate.
Sale, Exchange, or Disposition of the Notes
Subject to the discussion of backup withholding and FATCA withholding below, any gain realized by you on the sale, exchange, retirement,
redemption or other disposition of a note generally will not be subject to U.S. federal income tax (other than any amount allocable to accrued and unpaid interest, which generally will be taxable as interest and may be subject to the rules discussed
above in Consequences to Non-U.S. HoldersPayments of Interest) unless:
||the gain is effectively connected with your conduct of a trade or business in the United States (and, if required by an applicable income tax treaty, is also attributable to your permanent establishment in the United
States); or |
||you are an individual who is present in the United States for 183 days or more in the taxable year of disposition and certain other requirements are met. |
If you recognize gain described in the first bullet point above, you will be required to pay U.S. federal income tax on the net gain derived
from the sale generally in the same manner as if you were a U.S. holder, and if you are a foreign corporation, you may also be required to pay an additional branch profits tax at a 30% rate (or a lower rate if so specified by an applicable income
tax treaty). If you are a non-U.S. holder described in the second bullet point above, you will be subject to U.S. federal income tax at a rate of 30% (or, if applicable, a lower treaty rate) on the gain
derived from the sale or other disposition of the note, which may be offset by certain U.S. source capital losses, even though you are not considered a resident of the United States.
You should consult your tax advisor regarding potentially applicable income tax treaties that may provide for different rules.
Information Reporting and Backup Withholding
You generally will not be subject to backup withholding and information reporting with respect to payments of interest on the notes if you
have provided the statement described above under Consequences to Non-U.S. HoldersPayments of Interest and the applicable withholding agent does not have actual knowledge or reason to
know that you are a United States person, within the meaning of the Code. In addition, you will not be subject to backup withholding or information reporting with respect to the proceeds of the sale or other disposition of a note
(including a retirement or redemption of a note) within the United States or conducted through certain U.S.-related brokers, if the payor receives the statement described above and does not have actual knowledge or reason to know that you are a
United States person or you otherwise establish an exemption. However, we may be required to report annually to the IRS and to you the amount of, and the tax withheld with respect to, any interest paid to you, regardless of whether any tax was
actually withheld. Copies of these information returns may also be made available under the provisions of a specific treaty or agreement to the tax authorities of the country in which you reside.
You generally will be entitled to credit any amounts withheld under the backup withholding rules against your U.S. federal income tax
liability, if any, or you may claim a refund provided that the required information is furnished to the IRS in a timely manner.
Tax on Payments Made to Foreign Accounts
Withholding taxes may be imposed under Sections 1471 to 1474 of the Code (such Sections
commonly referred to as the Foreign Account Tax Compliance Act, or FATCA) on certain types of payments made to