Which of the Following Persons Should Not Be Treated as a "U.S

question 11

Multiple Choice

Which of the following persons should not be treated as a "U.S. shareholder" of a controlled foreign corporation (CFC) for subpart F purposes?

• A) A U.S. citizen owning 5 percent of the CFC.
• B) A U.S. citizen owning 15 percent of the CFC.
• C) A U.S. corporation owning 15 percent of the CFC.
• D) All of the above named persons are U.S. shareholders for subpart F purposes.

---

Definitions:

Critical Part

A component or element that is considered essential for the successful operation or completion of a system, process, or project.

Contingencies of Power

Factors that affect the ability of one party to influence another, including conditions of dependency, substitutability, and centrality.

Authority

The power or right to give orders, make decisions, and enforce obedience.

Influence

The capacity or power of one party to affect the beliefs, behaviors, or development of others through direct or indirect means.