A company has subsidiaries in host countries A and B. Country A has a statutory corporate tax

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A company has subsidiaries in host countries A and B. Country A has a statutory corporate tax rate of 30 percent, whereas country B’s is 40 percent. What are some specific reasons that country B’s effective tax rate might actually be more favorable to the firm?

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Global Accounting And Control A Managerial Emphasis

ISBN: 9780471128083

1st Edition

Authors: Sidney J. Gray, Stephen B. Salter, Lee H. Radebaugh

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