What Does the Term "Cutoff' Refer To

question 12

Multiple Choice

What does the term "cutoff' refer to?

• A) a base value for a concept
• B) value that is lowest value in a range
• C) value that marks a change of status
• D) a modal value in a range

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Definitions:

Foreign Tax Credit

An irreversible tax credit for income taxes remitted to a foreign country because of withholdings on foreign income tax.

Taxable Income

Income that is subject to taxation, after all allowed deductions and exemptions are subtracted from gross income.

U.S. Tax Liability

The total amount of tax owed to the federal government by an individual or entity.

Foreign Income Taxes

Taxes paid to a foreign government on income earned from sources within that foreign country.