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A large U.

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A large U.S. based multinational corporation favors use of intra-company loans to repatriate funds from its foreign subsidiaries in order to take advantage of the favorable tax treatment of loans. In those countries which restrict repayment of intra-company loans the corporation may need to:

A.

negotiate repayment with the host government.

B.

conduct the repayment at “arm’s length”.

C.

pay licensing fees to the host government.

D.

hire a multinational bank to act as an intermediary.

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