Answer the following statements true (T) or false (F)

1. U.S. shareholders are not taxed on dividends paid by a foreign subsidiary as long as the earnings are not remitted to them as dividends.
2. Under the Subpart F rules, controlled foreign corporations (CFCs) are required to distribute a certain portion of their income as dividends to their U.S. shareholders.
3. A nonresident alien can elect to be considered a resident alien if the nonresident alien is married to a U.S. citizen or a resident alien on the last day of the tax year and both spouses consent.
4. The federal income tax is the dominant form of taxation by the federal government.


1. TRUE
2. FALSE
3. TRUE
4. TRUE

Business

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