In MSB anticipates that that it will have $ M of US source pretax income. MSB
anticipates that TNB will have $ of Canadian pretax income, which is subject to a
tax rate. The US tax rate is
a How much taxable income will MSB have to report on its US tax return?
b How much US tax, after considering Canadian foreign tax credits, will MSB have
to pay?
i What will MSBs effective tax rate be ie MSBs worldwide taxes divided
by worldwide pretax income
c Assume now that MSB has expanded to London, England ie the United
Kingdom MSB has acquired another bank "London National Bank" or LNB
MSB anticipates in that LNB will have $ MM of pretax income subject to
a UK tax rate.
i How much US tax, after considering foreign tax credits, will MSB have to
pay?
What will MSBs effective tax rate be
