The Foreign Taxes That an MNC Can Usually Use as Credits

question 34

Multiple Choice

The foreign taxes that an MNC can usually use as credits against its domestic income taxes include:

• A)all foreign taxes paid by the MNC or its subsidiaries.
• B)only those taxes that the MNC pays directly.
• C)foreign corporate income taxes and foreign withholding taxes.
• D)only those taxes that are paid to countries approved by the home country of the MNC.

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Definitions:

Cast Iron

A type of iron-carbon alloy that is noted for its high resistance to wear and its ability to be cast into complex shapes.

Metering Valve

A component in the braking system that regulates the pressure to the brakes, often used in rear to balance braking force.

Proportioning Valve

A valve in a vehicle's braking system that adjusts the pressure between the front and rear brakes, ensuring balanced braking.

Delay

A situation in which something happens later than planned or expected.