A "saving clause" in U.S. treaties prevents U.S. residents from using treaty provisions toavoid taxes on U.S. source income.

Question

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A "saving clause" is included in many U.S. tax treaties to ensure that the United States retains the right to tax its residents and citizens as if the treaty had not come into effect, effectively preventing them from using treaty provisions to avoid taxes on U.S. source income.

A "Saving Clause" in U