Branch profits tax (BPT)

Branch profits tax (BPT),

Definition of Branch profits tax (BPT):

  1. An additional income tax imposed by the IRS on foreign companies that earn profits from their U.S. business operations. Foreign companies pay the BPT in addition to the normal income tax on their U.S. profits. It is calculated as a percentage of after-tax profits.

Meaning of Branch profits tax (BPT) & Branch profits tax (BPT) Definition