Double taxation is mitigated to some extent by tax credits,tax treaties,and the deferral principle.

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Tax credits allow taxpayers to offset taxes paid in one country against taxes owed in another country. Tax treaties between countries often contain provisions to prevent double taxation. The deferral principle allows taxpayers to delay paying taxes on income earned in a foreign country until that income is repatriated back to their home country. These measures help mitigate the impact of double taxation.

Double Taxation Is Mitigated to Some Extent by Tax Credits,tax