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Quite a few different types of cross-border payments are subject to US withholding taxes, nevertheless the fees will often be diminished resulting from tax treaties. A reduced fee suggests Component of the cross-border payment could well be extra again.

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This has tax implications. Profits that a US firm earns, by way of example, from producing electric power in Canada or Mexico and offering through the border into the United States could be deemed overseas-supply profits.

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