double taxation
Dividends taxed again
Double taxation is the imposition of taxes twice on the same income or asset.
This commonly occurs when corporate profits are taxed at the company level, then taxed again as dividends when distributed to shareholders.
It also arises internationally when two countries both claim the right to tax the same earnings: The treaty was designed to prevent double taxation of overseas income.
Binding pact between nations
- jurisdictionLegal authority's scope
- residencyState of dwelling somewhere
- cross-borderSpanning national boundaries
- tax havenZero-rate wealth jurisdiction
repatriation · bilateral · OECD · expatriate · multinational · withholding tax · territorial · arm's length
Corporate profit share
- shareholderEquity owner in corporation
- corporationLegally separate business entity
- retained earningsProfits kept by company
- corporate profitsCompany net income
imputation · distribution · equity · pass-through · integration · withholding · tax bracket · earnings
Easing of distress
- avoidanceDeliberate keeping away
- eliminationAct of removing entirely
- mitigationReduction of severity
- tax creditDirect reduction of liability
deduction · exemption · tax treaty · harmonization · reform · compliance · fiscal policy · tax code
Factor discouraging action
- barrierObstruction preventing passage
- obstacleSomething blocking the way
- impedimentThing that obstructs progress
- hindranceBarrier to progress
discouragement · capital flight · inefficiency · distortion · burden · penalty · constraint · drawback
treaty
Binding pact between nations
- jurisdictionLegal authority's scope
- residencyState of dwelling somewhere
- cross-borderSpanning national boundaries
tax haven · repatriation · bilateral · OECD · expatriate · multinational · withholding tax · territorial · arm's length · tax treaty
dividend
Corporate profit share
- shareholderEquity owner in corporation
- corporationLegally separate business entity
- retained earningsProfits kept by company
corporate profits · imputation · distribution · equity · pass-through · integration · withholding · tax bracket · earnings · profit
relief
Easing of distress
- avoidanceDeliberate keeping away
- eliminationAct of removing entirely
- mitigationReduction of severity
tax credit · deduction · exemption · tax treaty · harmonization · reform · compliance · fiscal policy · tax code · regulation
disincentive
Factor discouraging action
- barrierObstruction preventing passage
- obstacleSomething blocking the way
- impedimentThing that obstructs progress
hindrance · discouragement · capital flight · inefficiency · distortion · burden · penalty · constraint · drawback
- taxationtax, income tax, sales tax, tax return, tax refund
- corporate taxestax rate, tax rates, tax liability, tax code, tax brackets
- income taxtax return, tax brackets, tax rates, tax bracket, tax rate
- corporate taxcorporate tax, corporation tax, tax liability, corporate income, tax rates
- expat taxesforeign income, tax treaty, foreign nationals, offshore income, residency status
- international taxtax treaty, withholding tax, tax haven, tax havens, arm's length
double taxationtax relief
Reduction in owed levies
tax exemption · tax-free status · tax credit · tax treaty · tax deduction
double, taxing, duplicate, doubled, doubling, duplicity, taxation, doubly, redouble