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Which of the Following Statements Regarding Income Sourcing Is Correct

Question 81

Multiple Choice

Which of the following statements regarding income sourcing is correct?


A) Everything else being equal, a larger foreign-source income decreases the foreign tax credit limitation for U.S. persons.
B) Everything else being equal, a larger foreign-source income increases the foreign tax credit limitation for U.S. persons.
C) Everything else being equal, a larger U.S.-source income increases the foreign tax credit limitation for U.S. persons.
D) Everything else being equal, changing foreign-source income does not change the foreign tax credit limitation for U.S. persons.

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