A(n) ________ is a middleman in a foreign country or U.S. possession that can obtain a corporate tax exemption on a portion of the earnings generated by the sale or lease of export property.

Question

Quizplus · Accepted Answer

A Foreign Sales Corporation (FSC) is designed to provide a tax incentive for U.S. companies to sell their products abroad. By setting up an FSC in a foreign country or U.S. possession, a portion of the earnings from the sale or lease of export property can be exempt from U.S. corporate taxes, acting as a middleman to facilitate these transactions.

A(n) ________ Is a Middleman in a Foreign Country or U.S