Illegal Bribes and Kickbacks Are Not Deductible as Business Expenses

question 81

True/False

Illegal bribes and kickbacks are not deductible as business expenses but fines imposed by a governmental unit are deductible as long as the fines are incurred in the ordinary course of business.
No deductions are allowed for expenditures against public policy.

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Definitions:

Importing

The act of bringing goods or services into one country from another for sale.

Account Surpluses

Situations where a country's exports exceed its imports over a given period, leading to a positive balance of trade.

International Gold Standard

A monetary system in which the standard economic unit of account is based on a fixed quantity of gold, facilitating international trade and investment.

Exports

Products or services traded or sold from one nation to another.