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Explain Why $1 Today Is Not Equal to $1 in the Future

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Essay

Explain why $1 today is not equal to $1 in the future. Why is understanding this concept particularly important for tax planning? What tax strategy exploits this concept?


Definitions:

European Union

A political and economic union of 27 member states that are located primarily in Europe, which aims to ensure the free movement of people, goods, services, and capital.

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