The conceptual model where a country imposes taxes on tax residents based on its worldwide income, regardless of its source, is called a:
A)territorial model
B)international model
C)worldwide model
D)continental model

Question

Quizplus · Accepted Answer

The term "worldwide income" is used to describe the income that is taxed under the worldwide model. This model is also referred to as the "worldwide taxation" or "global taxation" model. Under this model, a country taxes its tax residents on their income earned anywhere in the world, regardless of the income source. This means that if a person or business is a tax resident of a country that follows the worldwide model, they are required to pay taxes on their worldwide income to that country's tax authorities.  The other options (territorial, international, and continental) do not accurately describe this concept.

The Conceptual Model Where a Country Imposes Taxes on Tax