Spartan Corporation, a U$.$S$.$ corporation, reported $$9$ million of pretax income from its business operations in Spartania, which were

conducted through a foreign branch. Spartania taxes branch income at $15$ percent, and the United States taxes corporate income at $21$

percent.

Required:

a$.$ If the United States provided no mechanism for mitigating double taxation, what would be the total tax $($U$.$S$.$ and foreign$)$ on the $$9$

million of branch profits?

b$.$ Assume the United States allows U$.$S$.$ corporations to exclude foreign source income from U$.$S$.$ taxation. What would be the total tax

on the $$9$ million of branch profits?

c$.$ Assume the United States allows U$.$S$.$ corporations to claim a deduction for foreign income taxes. What would be the total tax on the

$$9$ million of branch profits?

d$-1.$ Assume the United States allows U$.$S$.$ corporations to claim a credit for foreign income taxes paid on foreign source income. What

would be the total tax on the $$9$ million of branch profits?

d$-2.$ Assume the United States allows U$.$S$.$ corporations to claim a credit for foreign income taxes paid on foreign source income. What

would be your answer if Spartania taxed branch profits at $30$ percent?

$($For all requirements, enter your answers in dollars and not in millions of dollars.$)$