who are Withholding agents authorized to withhold income taxes from?
Foreigners, and foreigners only. And what else does 1461 also say, that they are : “indemnified against the claims and demands of any person for the amount of any payment made in accordance with the provisions of this chapter”. And what Chapter is this from? Chapter 3 – Withholding from Foreigners. And that means that if they wrongfully withhold from someone other than a foreigner, like a citizen, they’re not indemnified from claims against them for wrongful withholding. So, U.S. citizens who have income tax wrongfully withheld from them, can sue the withholding agent to have those moneys returned. Who are the withholding agents? Well, your bank is a withholding agent, your stock broker is a withholding agent, your employer is NOT a withholding agent. Your employer is your employer and employers are defined for purposes of implementing the employment taxes imposed in Subtitle C, and they don’t have anything to do with income taxes under Subtitle A, other than the fact that they are app
