"The Importance of Controlled Foreign Corporations" Please respond to the following:
• Imagine you are an international tax consultant advising a client on the benefits of establishing a controlled foreign corporation (CFC). Analyze two (2) categories of foreign base company income. Next, create a scenario suggesting how a U.S. domiciled multinational entity (MNE) can use a CFC to defer income using one (1) of the categories you analyzed.
• Suggest at least two (2) advantages of using a CFC over a branch operation. Provide at least one (1) example for each suggested advantage.
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