Chapter 21 Questions - Questionsedit2, 3, 4, 5 subtitle...

Info iconThis preview shows pages 1–5. Sign up to view the full content.

View Full Document Right Arrow Icon
Click to edit Master subtitle style 6/6/11 Chapter 21 Homework Questions Questions 1, 2, 3, 4, 5 By Team 1
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
6/6/11 Question 1 The twin objectives of taxation are tax neutrality and tax equity. Tax neutrality has its foundations in the principles of economic efficiency and equity. Tax neutrality is determined by three criteria: 1. Capital-export neutrality: the criterion that an ideal tax Discuss the twin objectives of taxation. Be sure to define the key words.
Background image of page 2
6/6/11 Question 1 2. National neutrality: taxable income is taxed in the same manner by the taxpayer’s national tax authority regardless of where in the world it is earned. 2. Capital-import neutrality: this criterion implies that the tax burden a host country imposes on the foreign subsidiary of a MNC should be the same regardless of the country in which the MNC is incorporated and the
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
6/6/11 Question 2 Income Tax A direct tax; tax paid directly by the taxpayer on whom it is levied. Levied on active income; income that results from
Background image of page 4
Image of page 5
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 06/06/2011 for the course FINA 4810 taught by Professor Hamilton during the Spring '08 term at University of Georgia Athens.

Page1 / 10

Chapter 21 Questions - Questionsedit2, 3, 4, 5 subtitle...

This preview shows document pages 1 - 5. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online