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Repatriation of Profits

CATEGORY

Accounting and Audit

Definition

Repatriation of profits refers to the process of transferring earnings, dividends, or funds generated by a foreign subsidiary, branch, or investment back to the home country of the parent company or investor. Repatriation of profits allows multinational corporations, investors, or expatriates to access and utilize profits earned abroad for corporate operations, investment activities, shareholder distributions, or personal finances in their home countries. Repatriation of profits may involve currency conversion, tax considerations, regulatory compliance, and other factors impacting the timing, method, and cost of transferring funds across borders.

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