CPE Packages (Incl. Ethics) for Multiple States and Qualifications Available. Price $4/credit - CLICK HERE to view.

Foreign Entity Classification For The Growing Business

4.5 (188)

Patrick McCormick, Doc. of Law

Culhane Meadows

Monday, January 27, 2020 | 09:30 AM EDT

  • CPA
  • EA

1.5 Credits


Subject Area


Course Description

Tax advisers often overlook the classification of foreign business interests owned by U.S. individuals for U.S. tax purposes. U.S. tax counsel must recognize that the IRC, not the situs country's laws, determines how to classify a U.S. taxpayer's foreign business holding. Foreign entities are subjected to United States income tax requirements when their income is effectively connected to the United States. Such entities can create tax and reporting requirements for U.S.-based stakeholders as well. 

Critically, the United States maintains its own distinct rules for classification of foreign entities and those rules are in no way impacted by how the entity is taxed in its home jurisdiction! In identifying the proper tax classification of a foreign business holding, advisers first must determine whether the business organization qualifies as a taxable entity separate from its owner(s), and if so, whether the entity is appropriately considered a trust or a business organization under U.S. tax law.

Join this webinar for an in-depth discussion of the relevant considerations in this context, including tax ramifications for foreign trusts, foreign corporations, and foreign pass-through entities. Listen as our expert panelist provides a thorough and practical guide to the tax and operational impacts of entity classification of foreign interests owned by U.S. taxpayers.

Learning Objectives

  • Awareness of how foreign organizations are classified for U.S. tax purposes.
  • Familiarity with special rules applicable to U.S. shareholder of foreign corporations.
  • Knowledge on consideration relevant in choosing an entity type.
  • To Identify when a foreign entity becomes subject to U.S. tax or informational reporting requirements
  • Available elections and planning to ensure favorable U.S. tax classification of foreign business entities

Who Should Attend?

  • Accountant
  • Accounting Firm
  • Auditors
  • CFO/Controller
  • CPA (Industry)
  • CPA - Mid Size Firm
  • CPA - Small Firm
  • CPA in Business
  • Enrolled Agent
  • Entrepreneurial CPA
  • Finance Pros
  • Others
  • Tax Attorney
  • Tax Firm
  • Tax Practitioners
  • Tax Pros
  • Xero Advisor
  • Young CPA


    [no_of_record] => 188
    [average] => 4.4521