Under the NAFTA Agreement, in Order to Benefit from a Duty-Free

question 58

True/False

Under the NAFTA agreement, in order to benefit from a duty-free status, goods must have a 51% North American content.

---

Definitions:

Deduction Limit

Maximum amount that can be deducted from taxable income for certain expenses or contributions, as specified by tax laws.

Itemized Deduction

Itemized deductions are specific expenses allowed by the IRS that can be deducted from taxable income to reduce the amount of tax owed.

Moving Expenses

Costs incurred for relocating, which in certain situations, may be deductible for tax purposes.

Above-the-line Deduction

A deduction from gross income that can be taken without itemizing deductions, reducing adjusted gross income, and available to all taxpayers who qualify.