Rafael Is a Citizen of Spain and a Resident of the United

Essay

Rafael is a citizen of Spain and a resident of the United States. During 2014, Rafael received the following income:
Compensation of $5 million from competing in tennis matches in the U.S.
Cash dividends of $10,000 from a Spanish corporation that earns 50 percent of its income from sales in the United States
Interest of $2,000 from a Spanish citizen who is a resident of the U.S.
Rent of $5,000 from U.S. residents who rented his villa in Italy
Gain of $10,000 on the sale of stock in a German corporation.
Determine the source (U.S. or foreign) of each item of income Rafael received in 2014. $$\begin{array} { | | c | l | } \hline{ \text { Income } } & \text { Source } \\\hline & \\\hline \text { Compensation } & \text { U.S. source } \\\hline \text { Dividend } & \text { U.S. source } \\\hline \text { Interest } & \text { Forcign source } \\\hline \text { Rent } & \text { U.S. source } \\\hline \text { Gain on the sale of stock } & \text { U.S. source } \\\hline\end{array}$$