Tax-Haven Subsidiaries Are Typically Established in a Country That Can

question 62

Multiple Choice

Tax-haven subsidiaries are typically established in a country that can meet the following requirements:

• A) a low tax on foreign investment or sales income earned by resident corporations and a low dividend withholding tax on dividends paid to the parent firm.
• B) the facilities to support financial services, for example, good communications, professional qualified office workers, and reputable banking services.
• C) a stable government that encourages the establishment of foreign-owned financial and service facilities within its borders.
• D) all of the above

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Definitions:

Life Changes

Significant transitions or modifications in one's life circumstances, which can impact an individual's psychological and physical well-being.

Daily Hassles

Minor everyday problems or annoyances that, collectively, can affect a person's mental health.

Negative

Characterized by a lack of positive attributes, or the presence of adverse or undesirable qualities.

Positive

Characterized by or displaying affirmation or acceptance; commonly used to describe a constructive or optimistic outlook.