Which of the Following Statements Regarding Translation of Foreign Taxes

Multiple Choice

Which of the following statements regarding translation of foreign taxes is true?

A) Foreign taxes are typically paid in a foreign currency and thus must be converted to U.S. dollars when used as a FTC on a U.S. return.
B) Foreign taxes are translated into U.S. dollars only when such translation provides a tax benefit to the taxpayer.
C) Translation of foreign taxes into U.S. dollars helps manage the U.S. balance of trade.
D) Translation of foreign taxes into U.S. dollars encourages foreign corporations to set up operations in the United States.