Which of the following statements is false in regard to the U.S.income tax treaty program?

Question

Quizplus · Accepted Answer

The statement that "the presence of a permanent establishment is not" an important consideration in applying tax treaties is false. The presence of a permanent establishment is a key factor in determining whether a taxpayer has a taxable presence in a foreign country and is therefore subject to tax in that country. Tax treaties often provide rules for determining when a foreign entity has a permanent establishment in the U.S. or vice versa.

Which of the Following Statements Is False in Regard to the U.S.income