Double taxation

Double taxation occurs when the same income earned by a company, institution, or private individual is taxed in two different countries. For example, double taxation would mean that an expat working abroad is taxed on their income by the jurisdiction where they work, as well as by their home jurisdiction. This would seem them paying tax twice on the same income earned.

To help mitigate against individuals, businesses, or institutions facing double taxation, countries enter into double taxation agreements so that tax is only paid in one place.

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