Tax equalization policy

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Tax equalization policy is a policy ensuring that the expatriate assignment is tax-neutral. A policy that makes sure that expatriates' combined home and host taxes are no more than they would have paid if they remained in their home country. The expatriate's company pays for any additional taxes.

Definition

According to the HRBoK Guide,

Tax equalization policy. A policy ensuring that the expatriate assignment is tax-neutral. A policy that makes sure that expatriates' combined home and host taxes are no more than they would have paid if they remained in their home country. The expatriate's company pays for any additional taxes.
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