New York Guangdong Finance, Inc. v. Commissioner

CARL E. STEWART, Circuit Judge:

New York Guangdong Finance, Inc. (“Guangdong”) appeals the Tax Court’s judgment sustaining in part the Commissioner of Internal Revenue’s (“Commissioner”) notice of deficiency for withholding tax deficiencies and additions to tax. We AFFIRM.

I. BACKGROUND

During the 1990s, Guangdong engaged in loan transactions with two foreign corporations, Guangdong International Trust & Investment Corporation (“GITIC”) and Guang Xin Enterprises, Ltd. (“GXE”). GITIC, a financial institution, was incorporated in the People’s Republic of China and was wholly owned and controlled…