A Taxpayer Who Is Physically Present in a Foreign Country

question 69

True/False

A taxpayer who is physically present in a foreign country for 330 full days out of a 12-month period and maintains a tax home there has satisfied the bona fide foreign resident test.

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Definitions:

Interest Expense

The cost incurred by an entity for borrowed funds, which is typically charged as a percentage of the principal loan amount.

Dividends Per Common Share

The amount of a company's profit distributed to each outstanding share of common stock.

Price-Earnings Ratio

A valuation ratio of a company's current share price compared to its per-share earnings, often used to assess if a stock is over or under-valued.

Net Income

The total profit of a company after all expenses and taxes have been deducted from revenues, indicating the financial performance over a specific time period.