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006.05.307-26-51-202. NONRESIDENTS

AR ADC 006.05.307-26-51-202Arkansas Administrative Code

West's Arkansas Administrative Code
Title 006. Department of Finance and Administration
Division 05. Division of Revenues
Rule 307. Comprehensive Individual Income Tax Regulations (Refs & Annos)
Ark. Admin. Code 006.05.307-26-51-202
006.05.307-26-51-202. NONRESIDENTS
1.26-51-202(a) Income Producing Property
A nonresident individual, partnership, trust or estate who earns income from property (real property or tangible personal property) located within Arkansas or from a business, trade or occupation carried on within Arkansas shall pay Arkansas income tax at the rates set forth in ACA 26-51-201.
2.26-51-202(a) Income Producing Property - Intangible
Income derived by a nonresident from intangible personal property located within Arkansas is not subject to Arkansas income tax. For example, the interest income earned on a savings account with a bank located in Arkansas by a nonresident account holder would not be subject to Arkansas income tax.
1.26-51-202(b)(1) Nonresident Generally
A nonresident who earns income attributable to Arkansas must timely file an Arkansas income tax return and remit with the return the full amount of Arkansas income tax due. The filing of an Arkansas income tax return and the payment of Arkansas income tax by a nonresident shall be done without regard to the income tax laws of the nonresident's resident state.
1.26-51-202(d) Income from Trust or Estate
A nonresident beneficiary of a trust or estate administered by a resident trustee, executor or administrator shall not be subject to Arkansas income tax unless the beneficiary's income has been derived by the trust or estate from:
a) Any interest in real property (real estate) located within Arkansas, including but not limited to the following: lease and rental income; income from crops, timber, mining and other land uses; and the gain from any sale of such real property.
b) The use of tangible personal property located within Arkansas, including any gain realized from the sale thereof.
c) Any unincorporated business located within Arkansas, such as an association, sole proprietorship, partnership and limited liability company (LLC).
1.26-51-202(c) Allocation of Income to Arkansas Sources
Where a nonresident individual is paid a salary, lump sum payment or some other form of payment which encompasses work performed both inside and outside of Arkansas, Arkansas income tax should be paid only on that portion of the individual's income that can be reasonably allocated to work performed in Arkansas.
Current with amendments received through August 15, 2023. Some sections may be more current, see credit for details.
Ark. Admin. Code 006.05.307-26-51-202, AR ADC 006.05.307-26-51-202
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