Double Tax Relief
Nearly all tax treaties provide a specific mechanism for eliminating it, but the risk of double taxation is still potentially present. This mechanism usually requires that each country grant a credit for the taxes of the other country to reduce the taxes of a resident of the country. The treaty may or may not provide mechanisms for limiting this credit, and may or may not limit the application of local law mechanisms to do the same.
Read more about this topic: Tax Treaty
Famous quotes containing the words double, tax and/or relief:
“Because I have work to care about, it is possible that I may be less difficult to get along with than other women when the double chins start to form.”
—Gloria Steinem (b. 1934)
“If you tax too high, the revenue will yield nothing.”
—Ralph Waldo Emerson (1803–1882)
“Desert rains are usually so definitely demarked that the story of the man who washed his hands in the edge of an Arizona thunder shower without wetting his cuffs seems almost credible.”
—Administration in the State of Ariz, U.S. public relief program (1935-1943)