3 ms·
Why? The parent suggested to discount the tax paid abroad from the taxes to be paid in the US. It is the double-taxation prevention agreement. Me being a cynic
by eecc 5y ago
Why? The parent suggested to discount the tax paid abroad from the taxes to be paid in the US. It is the double-taxation prevention agreement.
Me being a cynical bastard will expect countries rallying to offer themselves to the US and reduce their cut to buy political favor.
- realityking 5y agoDouble taxation agreements describe rules to assign the taxation of an activity to a jurisdiction. The other jurisdiction can then no longer tax that activity. With your proposal you do end up taxing it twice, just at a reduced rate. As I understand it, that would require changes to double taxation agreements.