The major purpose of __________________ is to eliminate international double taxation and render mutual assistance in tax enforcement and in reducing barriers to trade and investment.

Question

Quizplus · Accepted Answer

Tax treaties are agreements between two or more countries that help to eliminate the double taxation of income or gains that arise in one country but are received by residents of another country. Tax treaties also provide for mutual assistance in tax enforcement and help to reduce barriers to trade and investment by ensuring that businesses and individuals are not subject to unfair or discriminatory tax treatment in other countries. Tax havens and tax shelters are not focused on eliminating double taxation or promoting fair and open trade and investment, and mutual funds are a type of investment vehicle that is not directly related to taxation or trade.

The Major Purpose of __________________ Is to Eliminate International Double