42. The U.S. system for taxing income earned inside its borders by non-U.S. persons is referred to as inbound taxationbecause such foreign persons are earning income by coming into the United States.
43. GreenCo, a domestic corporation, earns $25 million of taxable income from U.S. sources and $5 million of taxable income from foreign sources. What amount of taxable income does GreenCo report on its U.S. tax return?
44. Without the foreign tax credit, double taxation would result when:a. The United States taxes the U.S.-source income of a U.S. resident.*b. The United States and a foreign country both tax the foreign-source income of a U.S. resident.c. A foreign country taxes the foreign-source income of a nonresident alien.d. Only the United States taxes the foreign-source income of a U.S. resident (e.g., a treaty prevents foreign taxation).
45. U.S. income tax treaties:
46. Which of the following statements is falsein regard to the U.S. income tax treaty program?