Tax credit method: allow deduction for foreign taxes subject to an attributable-tax limitation on domestic tax. The credit method requires a residence State to allow a deduction for income or capital taxes paid in the other Contracting State where that income or capital may be taxed there, subject to a limitation that the deduction cannot exceed the part of domestic tax attributable to the income or capital taxable in the other State. If income or capital is exempt at residence under the Convention, the residence State may still take that exempted amount into account when computing tax on the remaining income or capital. The UN Model mirrors the OECD provision.