Tax-haven subsidiaries categorically referred to as International Offshore Financial Centers,have the following characteristics EXCEPT ________.
A) A low tax on foreign investment or sales income earned by resident corporations and a low dividend withholding tax on dividends paid to the parent firm.
B) A stable currency to permit easy conversion of funds into and out of the local currency. This requirement can be met by permitting and facilitating the use of Eurocurrencies.
C) A stable government that encourages the establishment of foreign-owned financial and service facilities within its borders.
D) All of the above are tax-haven subsidiary characteristics.

Question

Quizplus · Accepted Answer

All of the above characteristics, including low tax rates, stable currency, and a stable government that is welcoming to foreign investment, are commonly associated with tax-haven subsidiaries or International Offshore Financial Centers.

Tax-Haven Subsidiaries Categorically Referred to as International Offshore Financial Centers,have