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A credit is allowed for foreign income taxes paid or accrued. The finance is limited to that part of U.S. tax due to foreign source income. It is not refundable, but any excess credit end up being the carried to other years to reduce tax.

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Copyright 2010 by RioneX IP Group LLC. All rights shy. This material may be freely copied and distributed subject to inclusion in the copyright notice, author information and all of the hyperlinks are kept still in effect.