Which of the following tax benefits does not arise when a U.S. corporation forms a corporation in Ireland through which to earn business profits in Ireland?
A) Potential exemption of U.S. tax on income earned by the corporation.
B) Treaty benefits on cross-border payments between the Irish corporation and the U.S. corporation.
C) Use of transfer pricing to shift income between the United States and Ireland.
D) Flow-through of losses from the Irish corporation to the tax return of the U.S. corporation.
Answer: D