Form 1040-NR may reject with code SNEC-F1040NR-018 if Other Interest income is included on Schedule NEC line 2c in one of the two Columns D without a tax rate:
SNEC-F1040NR-018
If there is no Form 1042-S with 'IncomeTypeCd' having the value "01" or "07" in the return and Schedule NEC (Form 1040-NR), 'OtherInterestAmt' in 'IncomeTaxRtOthUndTrtyRuleGrp' or 'IncomeTaxRtOth2UndTrtyRuleGrp' has a non-zero value, then the corresponding 'TaxRt' must be greater than 30%.
If the income should be reported on Schedule NEC, the tax return getting this reject will need to be filed in paper form. This is a limitation of the Modernized e-File system.
Additional Information: