Due to the time value of money, deferral of tax could result in significant savings. This is especially true in situations where foreign taxes imposed are lower than the U.S. tax that would have been applied if there were no deferral. The benefit is the difference between the foreign tax imposed and the U.S. tax rate.
Benefit to a deferral of tax for an outbound transaction? was last modified: March 24th, 2018 by David Klasing