In a(n) _______ tax system, only domestic income is taxed by the domestic government. Foreign-source income is not taxed as long as it is earned in an active business.

Name: In a(n) _______ tax system, only domestic income is taxed by the domestic government. Foreign-source income is not taxed as long as it is earned in an active business.
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A territorial tax system only taxes domestic income and exempts foreign-source income as long as it is earned in an active business.

In A(n) _______ Tax System, Only Domestic Income Is Taxed