Leebei placed his savings from his salary in time deposit with VileBank. VileBank regularly deducts final withholding tax on the interest gains of Leebei's time deposit. Sick of deductions on his money, Leebei contested the propriety of the final withholding tax because his salaries had already been subjected to withholding tax before he even received them. Unfazed by Leebei's protestation of the continuing injustice, VileBank continues to deduct final withholding tax on Leebei's time deposit to the latter's torment. Who is correct? Explain

Leebei placed his savings from his salary in time deposit with VileBank. VileBank regularly deducts final withholding tax on the interest gains of Leebei's time deposit. Sick of deductions on his money, Leebei contested the propriety of the final withholding tax because his salaries had already been subjected to withholding tax before he even received them. Unfazed by Leebei's protestation of the continuing injustice, VileBank continues to deduct final withholding tax on Leebei's time deposit to the latter's torment. Who is correct? Explain

SWFT Individual Income Taxes

43rd Edition

ISBN:9780357391365

Author:YOUNG

Publisher:YOUNG

Chapter5: Gross Income: Exclusions

Section: Chapter Questions

Problem 35P

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