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<h1>Entertainers' and athletes' foreign income can be taxed locally unless activities are funded by public funds from their resident state.</h1> Income earned by entertainers and athletes from their personal activities in a foreign Contracting State may be taxed in that state, overriding certain other articles. If such income accrues to another person, it may still be taxed in the state where the activities occur. However, if the entertainer or athlete's activities are funded substantially by public funds from their resident state, their income is taxable only in their resident state. Similarly, if income accrues to another person supported by public funds from the state where the activities occur, it is taxable only in that state.