alleryStart learning →Countries taxing world income of residents usually use
AExemption by home state
BForeign tax credit method
CTerritorial taxation method
DWithholding tax method
Answer & Solution
Correct answer: B. Foreign tax credit method
Countries taxing residents on worldwide income use the foreign tax credit method to prevent double tax.
Keep practising Double Taxation
Browse all Double Taxation questions for CA Final, or explore more Taxation topics.
Related questions
One test of residence in India under the Income-tax Act is a stay of at least how many dayAfter which leaks did the EU and OECD seek automatic exchange of information on tax rulingWhich WTO agreement recognises advance rulings?Customs advance rulings commonly deal with which matter?A ruling may be modified or revoked because of which development?An advance ruling typically does not bind courts or whom else?A deemed paid credit covers taxes paid by which entity on dividends received?Singapore grants foreign tax credit only to whom?