FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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ABC Co. was incorporated in Canada in 2015, however, it never did business in Canada. It had a permanent establishment in the US only. How will ABC be taxed?
a. taxed in Canada on its Canadian income only
b. Taxed in the US only since that is where the permanent establishment is
c. Taxed in both Canada and the US based on share of income
d. Taxed in Canada on its world income and given a foreign tax credit for any US taxes paid
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