Assignment:
On October 14, 1993, Portugal’s Ministry of Finance announced that it would scrap the 20% withholding tax imposed on the interest payments due foreigners holding government bonds. At present, foreigners whose governments have a double-taxation treaty with Portugal wait up to two years to claim back a portion of the tax. What might have been Portugal’s motivations for scrapping the tax? What are the likely consequences of eliminating the withholding tax?
Your answer must be, typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.