Amount of Withholding Tax

(a) The amount of tax withheld from nonresidents and the amount of the withholding tax payable under section 324 shall be equal to the income from sources within this Commonwealth of the partnership, association or Pennsylvania S corporation which is allocable to nonresident partners, members or shareholders multiplied by the tax rate specified in section 302(b).

(b) There shall not be taken into account any item of income, gain, loss or deduction to the extent allocable to any partner, member or shareholder who is not a nonresident.

(c) There shall not be taken into account any share of income of nonresident partner, member or shareholder from sources within this Commonwealth to the extent that the amount was subject to withholding under section 324.4 and to the extent withholding actually occurred under section 324.4 by the time withholding is required to be made by the partnership, association or Pennsylvania S corporation under section 324. ((c) added Oct. 30, 2017, P.L.672, No.43)

(324.1 added Aug. 4, 1991, P.L.97, No.22)