When a U.S. person opens a foreign corporation, they are often confronted with many additional tax filing obligations. The IRS Form 5471 is included with an income tax return to report the U.S. person's interest in the foreign corporation.
A CFC is a foreign corporation with substantial U.S. ownership. This article and video discuss the CFC tax rules and what it means to be a CFC.
When a U.S. person or entity transfers cash or other property to a foreign corporation, the person may be required to disclose those transfers on a Form 926. This example Form 926 covers a cash transfer to a foreign corporation in exchange for stock.
