Onward and Upward Corp. is a US corporation. It earns $100,000 of net income in the US and $50,000 of net income in Luxembourg in 2023. It pays Luxembourg tax of $20,000. US tax liability before credits is $31,500 (worldwide income of $150,000 x 21% federal corporate tax rate.

22. What is Onward and Upward Corp.'s foreign tax credit limitation for 2023?

Answer rating: 100% (QA)

Heres how to calculate the foreign tax credit limitation for Onward and Upward Corp in 2023 1 Calcul... View the full answer