FAQs for Form 8832 and Foreign Eligible Entities

 

Thông báo: Nội dung lịch sử


Đây là một tài liệu lưu trữ hoặc lịch sử và có thể không phản ánh luật pháp, chính sách hoặc thủ tục hiện hành.

Q1. How should an entity classification election be reported on line 1 if the classification of the foreign eligible entity was not relevant (as defined in Regulations sections 301.7701-3(d)(1)) before the effective date of the election? (added February 11, 2022)

A1.  If the classification of a foreign eligible entity was not relevant (as defined in Regulations section 301.7701-3(d)(1)) before the effective date of an entity classification election, box 1a should be checked and the election should be reported as an "Initial classification by a newly-formed entity," notwithstanding that the effective date of the election is subsequent to the date that the entity was formed in the foreign jurisdiction.  Although the election will generally effect a change in classification (see AM 2021-002 PDF), box 1b should not be checked.

Q2. How should a prior entity classification election be reported on line 2b if the classification of the foreign eligible entity was not relevant (as defined in Regulations sections 301.7701-3(d)(1)) before the effective date of that prior election? (added February 11, 2022)

A2.  If the classification of a foreign eligible entity was not relevant (as defined in Regulations sections 301.7701-3(d)(1)) before the effective date of a prior entity classification election, the entity may elect to change its classification within 60 months of such effective date regardless of whether that prior election effected a change in classification. See AM 2021-002 PDF. In this case, the box for "Yes" in line 2b should be checked and the prior entity classification election should be treated as an initial classification election by a newly-formed entity for purposes of determining whether the entity is eligible to make the election.