What is double taxation in the context of FDI?
A) Taxation at twice the normal rate for foreign companies
B) Taxing the producers as well as suppliers
C) Taxation of income in both home and host country
D) Taxation of both income as well as dividends paid

Question

Quizplus · Accepted Answer

As an incentive to encourage domestic firms to undertake FDI, many countries have eliminated double taxation of foreign income (i.e., taxation of income in both the host country and the home country).

What Is Double Taxation in the Context of FDI