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

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 named persons are U.S. shareholders for subpart F purposes.


Answer: A


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