Jane,a citizen of Country X,received a corporate dividend in the amount of £10,000 from a company in the U.K. Country X did not tax Jane's dividend. Country X is using what kind of approach toward foreign source income?

Question

Quizplus · Accepted Answer

The territorial approach towards foreign source income is adopted by Country X, which means that the country only taxes income that is earned within its borders. In this case, Jane's dividend income was earned outside Country X, and hence Country X did not tax it.

Jane,a Citizen of Country X,received a Corporate Dividend in the Amount