"Taro saw (Noriko wears a dress)."
To extend your example: formal(past(miru))(topic="Taro", object="Noriko")
"Taro saw Noriko."
formal(present(kiru))(topic="Noriko", object="doresu")
"Noriko wears a dress."
Nested: formal(past(miru))(topic="Taro", object=(formal(present(kiru))(topic="Noriko", object="doresu")) )
"Taro saw (Noriko wears a dress)."
"Taro saw Noriko wear a dress."
"Taro wa (doresu wo kiru Noriko wa(?)) wo mimashita"
"Taro wa doresu wo kiru Noriko wo mimashita"
Does that make sense?*Please help correct any errors, as I have never formally studied the Japanese language.