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Income resourced by treaty refers to certain types of income that are subject to special tax treatment based on a tax treaty between the United States and another country. Tax treaties are agreements between two countries designed to avoid double taxation, reduce tax withholding rates, and enable mutual cooperation in tax matters. In the context of U.S. taxation, if you're a U.S. resident with income from a foreign source that would otherwise be subject to U.S. tax, a tax treaty might provide relief by reallocating or resourcing that income to the foreign country. This means the income would be treated as if it were earned in the foreign country, rather than in the U.S., for tax purposes. This can result in a reduced tax liability, lower withholding rates, or the elimination of certain taxes altogether. Keep in mind that tax treaties are specific to each country and can be complex. To determine if your income qualifies for tax treaty benefits, you'll need to review the relevant tax treaty between the U.S. and the country in question. Additionally, you may need to file certain forms, such as IRS Form 8833, to claim the benefits provided by a tax treaty.