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Are only transactions which result in taxable income to the seller subject to withholding?

April 26, 2017income seller Subject taxable transactions withholding

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Are only transactions which result in taxable income to the seller subject to withholding?

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Yes. Since Section 40-18-86, Code of Alabama 1975, allows a seller to base withholding on the recognizable gain from a transaction. Transactions which result in no taxable income do not require withholding. Please see Form NR-AF2.