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AFP CTP Question # 43 Topic 5 Discussion

CTP Exam Topic 5 Question 43 Discussion:
Question #: 43
Topic #: 5

Which one of the following is true of capital repatriation for multinational companies?


A.

Payment of dividends may not be taxed by host governments.


B.

Management fees paid by the subsidiary may require negotiation with the host government.


C.

Transfer pricing can be used to locate profits in subsidiaries in high tax jurisdictions.


D.

Intracompany loans which are paid back promptly may be considered dividends.


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