Page 42 - Large Business IRS Training Guides
P. 42
Related Party
(cont’d)
• Section 318 attribution rules apply
except –
• “10 percent” replaces
“50 percent” in section
318(a)(2)(C), and
• Sections 318(a)(3)(A), (B), and (C) are not applied so
as to consider a United States person as owning
stock that is owned by a person who is not a United
States person
• Special
rules apply for partnerships (discussed
further below)
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