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Tax Haven Affiliate |
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Tax haven affiliate A wholly owned entity in a low-tax jurisdiction that is used to channel funds to and from a multinational's foreign operations. The tax benefits of tax haven affiliates were largely removed in the US by the Tax Reform Act of 1986. Tax Haven Affiliate A wholly owned subsidiary of an American corporation in a foreign tax haven. Prior to the Tax Reform Act of 1986, a corporation could avoid taxes by placing a certain amount of its income in its tax haven affiliate, but this benefit is generally no longer permissible. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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