Instructions for IRS Form 1120-F "U.S. Income Tax Return of a Foreign Corporation"

This version of the form is not currently in use and is provided for reference only.
Download this version of Instructions for IRS Form 1120-F for the current year.

This document contains official instructions for IRS Form 1120-F, U.S. Income Tax Return of a Foreign Corporation - a tax form released and collected by the Internal Revenue Service (IRS), a subdivision of the U.S. Department of the Treasury. An up-to-date fillable IRS Form 1120-F Schedule P is available for download through this link.

Instruction Details:

  • This 36-page document is available for download in PDF;
  • Actual and applicable for filing 2020 taxes;
  • Complete, printable, and free.

Download your copy of the instructions by clicking the link below or browse hundreds of other forms in our library of IRS-released tax documents.

ADVERTISEMENT
ADVERTISEMENT

Download Instructions for IRS Form 1120-F "U.S. Income Tax Return of a Foreign Corporation"

152 times
Rate (4.5 / 5) 8 votes
2019
Department of the Treasury
Internal Revenue Service
Instructions for
Form 1120-F
U.S. Income Tax Return of a Foreign Corporation
1-800-THE-LOST (1-800-843-5678) if you
Section references are to the Internal Revenue
Contents
Page
Code unless otherwise noted.
recognize a child.
Schedule W . . . . . . . . . . . . . .
32
Contents
Page
The Taxpayer Advocate
Future Developments
Photographs of Missing Children . . . .
1
Service
The Taxpayer Advocate Service . . . . .
1
For the latest information about
How To Get Forms and
The Taxpayer Advocate Service (TAS) is
developments related to Form 1120-F and
Publications . . . . . . . . . . . . . . .
1
an independent organization within the
its instructions, such as legislation
General Instructions . . . . . . . . . . . . .
2
Internal Revenue Service that helps
enacted after they were published, go to
taxpayers and protects taxpayer rights.
Purpose of Form . . . . . . . . . . . .
2
IRS.gov/Form1120F.
TAS's job is to ensure that every taxpayer
Who Must File . . . . . . . . . . . . .
2
is treated fairly and knows and
Special Returns for Certain
What’s New
understands their rights under the
Organizations . . . . . . . . . . . .
3
Taxpayer Bill of
Rights.
Claim for Refund or Credit . . . . . .
3
New Schedule Q (Form 1120-F). If the
Paid Preparer Authorization . . . . .
5
corporation or any branch of the
As a taxpayer, the corporation has
Other Forms, Schedules,
corporation is a Qualified Derivatives
rights that the IRS must abide by in its
and Statements That May
Dealer (QDD), the corporation must attach
dealings with the corporation. TAS can
Be Required . . . . . . . . . . . . .
5
to Form 1120-F a Schedule Q (Form
help the corporation if:
Assembling the Return . . . . . . . .
6
1120-F), Tax Liability of Qualified
A problem is causing financial difficulty
Accounting Methods . . . . . . . . .
7
Derivatives Dealer (QDD), for each QDD.
for the business;
Accounting Period . . . . . . . . . . .
7
The new Schedule Q (Form 1120-F)
The business is facing an immediate
Rounding Off to Whole
replaces the previous requirement to
threat of adverse action; and
Dollars . . . . . . . . . . . . . . . .
7
attach a statement to Form 1120-F to
The corporation has tried repeatedly to
Recordkeeping . . . . . . . . . . . . .
8
provide information regarding a QDD’s tax
contact the IRS but no one has
Payment of Tax Due . . . . . . . . .
8
liability.
responded, or the IRS hasn't responded
Estimated Tax Payments . . . . . .
8
by the date promised.
Increase in penalty for failure to file.
Interest and Penalties . . . . . . . . .
9
For returns due after 2019, the minimum
TAS has offices in every state, the
Special Rules for Foreign
penalty for failure to file a return that is
District of Columbia, and Puerto Rico.
Corporations . . . . . . . . . . . .
9
more than 60 days late has increased to
Local advocates' numbers are in their
Specific Instructions . . . . . . . . . . . .
10
the smaller of the tax due or $435. See
local directories and at
Period Covered
. . . . . . . . . . .
10
Penalty for late filing of
return, later.
TaxpayerAdvocate.IRS.gov. The
Address . . . . . . . . . . . . . . . .
10
corporation can also call TAS at
Disaster relief for charitable contribu-
Employer Identification
1-877-777-4778.
tions. The 10% limit on the deduction for
Number (EIN) . . . . . . . . . . .
11
charitable contributions does not apply to
Computation of Tax Due or
TAS also works to resolve large-scale
contributions made after December 31,
Overpayment . . . . . . . . . . .
11
or systemic problems that affect many
2017, and before February 19, 2020, to
Section I—Income From
taxpayers. If the corporation knows of one
U.S. Sources Not
certain charitable organizations for relief in
of these broad issues, please report it to
Effectively Connected
qualified disaster areas. See
Temporary
TAS through the Systemic Advocacy
With the Conduct of a
suspension of 10% limitation for certain
Management System at IRS.gov/SAMS.
Trade or Business in the
disaster-related
contribution, later.
United States . . . . . . . . . . .
15
For more information, go to
IRS.gov/
Employee retention credit. Eligible
Section II—Income
Advocate.
employers in certain disaster areas can
Effectively Connected
With the Conduct of a
use Form 5884-A to report the employee
How To Get Forms and
Trade or Business in the
retention credit. See Form 5884-A and the
United States . . . . . . . . . . .
16
Publications
Instructions for Form 5884-A.
Income . . . . . . . . . . . . . . . . .
17
Photographs of Missing
Deductions . . . . . . . . . . . . . .
19
Internet. You can access the IRS website
24 hours a day, 7 days a week, at
IRS.gov
Schedule C—Dividends and
Children
Special Deductions . . . . . . .
25
to:
The Internal Revenue Service is a proud
Download forms, instructions, and
Schedule J—Tax
partner with the
National Center for
Computation . . . . . . . . . . .
26
publications;
Missing & Exploited Children®
(NCMEC).
Order IRS products online;
Section III—Branch Profits
Tax and Tax on Excess
Photographs of missing children selected
Research your tax questions online;
Interest . . . . . . . . . . . . . . .
27
by the Center may appear on pages that
Search publications online by topic or
Schedule L—Balance
would otherwise be blank. You can help
keyword;
Sheets per Books . . . . . . . .
30
bring these children home by looking at
View Internal Revenue Bulletins (IRBs)
Schedules M-1 and M-3 . . . . . .
32
the photographs and calling
published in the last few years; and
Mar 02, 2020
Cat. No. 11475L
2019
Department of the Treasury
Internal Revenue Service
Instructions for
Form 1120-F
U.S. Income Tax Return of a Foreign Corporation
1-800-THE-LOST (1-800-843-5678) if you
Section references are to the Internal Revenue
Contents
Page
Code unless otherwise noted.
recognize a child.
Schedule W . . . . . . . . . . . . . .
32
Contents
Page
The Taxpayer Advocate
Future Developments
Photographs of Missing Children . . . .
1
Service
The Taxpayer Advocate Service . . . . .
1
For the latest information about
How To Get Forms and
The Taxpayer Advocate Service (TAS) is
developments related to Form 1120-F and
Publications . . . . . . . . . . . . . . .
1
an independent organization within the
its instructions, such as legislation
General Instructions . . . . . . . . . . . . .
2
Internal Revenue Service that helps
enacted after they were published, go to
taxpayers and protects taxpayer rights.
Purpose of Form . . . . . . . . . . . .
2
IRS.gov/Form1120F.
TAS's job is to ensure that every taxpayer
Who Must File . . . . . . . . . . . . .
2
is treated fairly and knows and
Special Returns for Certain
What’s New
understands their rights under the
Organizations . . . . . . . . . . . .
3
Taxpayer Bill of
Rights.
Claim for Refund or Credit . . . . . .
3
New Schedule Q (Form 1120-F). If the
Paid Preparer Authorization . . . . .
5
corporation or any branch of the
As a taxpayer, the corporation has
Other Forms, Schedules,
corporation is a Qualified Derivatives
rights that the IRS must abide by in its
and Statements That May
Dealer (QDD), the corporation must attach
dealings with the corporation. TAS can
Be Required . . . . . . . . . . . . .
5
to Form 1120-F a Schedule Q (Form
help the corporation if:
Assembling the Return . . . . . . . .
6
1120-F), Tax Liability of Qualified
A problem is causing financial difficulty
Accounting Methods . . . . . . . . .
7
Derivatives Dealer (QDD), for each QDD.
for the business;
Accounting Period . . . . . . . . . . .
7
The new Schedule Q (Form 1120-F)
The business is facing an immediate
Rounding Off to Whole
replaces the previous requirement to
threat of adverse action; and
Dollars . . . . . . . . . . . . . . . .
7
attach a statement to Form 1120-F to
The corporation has tried repeatedly to
Recordkeeping . . . . . . . . . . . . .
8
provide information regarding a QDD’s tax
contact the IRS but no one has
Payment of Tax Due . . . . . . . . .
8
liability.
responded, or the IRS hasn't responded
Estimated Tax Payments . . . . . .
8
by the date promised.
Increase in penalty for failure to file.
Interest and Penalties . . . . . . . . .
9
For returns due after 2019, the minimum
TAS has offices in every state, the
Special Rules for Foreign
penalty for failure to file a return that is
District of Columbia, and Puerto Rico.
Corporations . . . . . . . . . . . .
9
more than 60 days late has increased to
Local advocates' numbers are in their
Specific Instructions . . . . . . . . . . . .
10
the smaller of the tax due or $435. See
local directories and at
Period Covered
. . . . . . . . . . .
10
Penalty for late filing of
return, later.
TaxpayerAdvocate.IRS.gov. The
Address . . . . . . . . . . . . . . . .
10
corporation can also call TAS at
Disaster relief for charitable contribu-
Employer Identification
1-877-777-4778.
tions. The 10% limit on the deduction for
Number (EIN) . . . . . . . . . . .
11
charitable contributions does not apply to
Computation of Tax Due or
TAS also works to resolve large-scale
contributions made after December 31,
Overpayment . . . . . . . . . . .
11
or systemic problems that affect many
2017, and before February 19, 2020, to
Section I—Income From
taxpayers. If the corporation knows of one
U.S. Sources Not
certain charitable organizations for relief in
of these broad issues, please report it to
Effectively Connected
qualified disaster areas. See
Temporary
TAS through the Systemic Advocacy
With the Conduct of a
suspension of 10% limitation for certain
Management System at IRS.gov/SAMS.
Trade or Business in the
disaster-related
contribution, later.
United States . . . . . . . . . . .
15
For more information, go to
IRS.gov/
Employee retention credit. Eligible
Section II—Income
Advocate.
employers in certain disaster areas can
Effectively Connected
With the Conduct of a
use Form 5884-A to report the employee
How To Get Forms and
Trade or Business in the
retention credit. See Form 5884-A and the
United States . . . . . . . . . . .
16
Publications
Instructions for Form 5884-A.
Income . . . . . . . . . . . . . . . . .
17
Photographs of Missing
Deductions . . . . . . . . . . . . . .
19
Internet. You can access the IRS website
24 hours a day, 7 days a week, at
IRS.gov
Schedule C—Dividends and
Children
Special Deductions . . . . . . .
25
to:
The Internal Revenue Service is a proud
Download forms, instructions, and
Schedule J—Tax
partner with the
National Center for
Computation . . . . . . . . . . .
26
publications;
Missing & Exploited Children®
(NCMEC).
Order IRS products online;
Section III—Branch Profits
Tax and Tax on Excess
Photographs of missing children selected
Research your tax questions online;
Interest . . . . . . . . . . . . . . .
27
by the Center may appear on pages that
Search publications online by topic or
Schedule L—Balance
would otherwise be blank. You can help
keyword;
Sheets per Books . . . . . . . .
30
bring these children home by looking at
View Internal Revenue Bulletins (IRBs)
Schedules M-1 and M-3 . . . . . .
32
the photographs and calling
published in the last few years; and
Mar 02, 2020
Cat. No. 11475L
Sign up to receive local and national tax
from filing by reason of a waiver provided
of the election must attach a copy of Form
news by email.
under section 6114 and the regulations
8832 to its Form 1120-F. See
Form
8832,
thereunder. If Form 8833 is required,
later, for additional information.
Tax forms and publications. The
complete item W(1) on page 2 of the form.
corporation can download or print all of the
Protective return. If a foreign
forms and publications it may need on
corporation conducts limited activities in
Others that must file Form 1120-F
IRS.gov/FormsPubs. Otherwise, the
the United States in a tax year that the
include the following.
corporation can go to
IRS.gov/
foreign corporation determines does not
A Mexican or Canadian branch of a
OrderForms
to place an order and have
give rise to gross income which is
U.S. mutual life insurance company. The
forms mailed to it. The corporation should
effectively connected with the conduct of a
branch must file Form 1120-F on the same
receive its order within 10 business days.
trade or business within the United States,
basis as a foreign corporation if the U.S.
the foreign corporation should follow the
company elects to exclude the branch's
General Instructions
instructions for filing a protective return to
income and expenses from its own gross
safeguard its right to receive the benefit of
income.
the deductions and credits attributable to
A receiver, assignee, or trustee in
Purpose of Form
that gross income under Regulations
dissolution or bankruptcy, if that person
Use Form 1120-F to report the income,
section 1.882-4(a)(3)(vi) in the event that it
has or holds title to virtually all of a foreign
gains, losses, deductions, credits, and to
is subsequently determined that the
corporation's property or business. Form
figure the U.S. income tax liability of a
original determination was incorrect. A
1120-F is due whether or not the property
foreign corporation. Also, use Form
foreign corporation should also file a
or business is being operated (see
1120-F to claim any refund that is due, to
protective return if it determines initially
Who Must
Sign, later, for additional
transmit Form 8833, Treaty-Based Return
that it has no U.S. tax liability under the
information).
Position Disclosure Under Section 6114 or
provisions of an applicable income tax
An agent in the United States, if the
7701(b), or to calculate and pay a foreign
treaty (for example, because its income is
foreign corporation has no office or place
corporation's branch profits tax liability
not attributable to a permanent
of business in the United States when the
and tax on excess interest, if any, under
establishment in the United States). See
return is due.
section 884.
Protective Return
Filers, later. A foreign
Treaty or Code exemption. If the
corporation that does not file a return will
Who Must File
corporation does not have any gross
lose the right to take deductions and
income for the tax year because it is
credits against effectively connected
Unless one of the exceptions under
claiming a treaty or Code exemption, it
income (ECI). See
Other Filing
Exceptions From Filing below applies or a
must still file Form 1120-F to show that the
Requirements, later.
special return is required (see
Special
income was exempted by treaty or Code.
Returns for Certain
Organizations, later), a
Qualified opportunity fund. To be
In this case, the corporation should only
foreign corporation must file Form 1120-F
certified as a qualified opportunity fund
complete the identifying information
if, during the tax year, the corporation:
(QOF), a foreign corporation organized in
(including items A through G) at the top of
Was engaged in a trade or business in
a U.S. possession must file Form 1120-F
page 1 of Form 1120-F and a statement
the United States, whether or not it had
and attach Form 8996, even if the
that indicates the nature and amount of
U.S. source income from that trade or
corporation had no income or expenses to
the exclusions claimed. In the case of a
business, and whether or not income from
report. See Item II on page 3 of Form
treaty exemption, the corporation may
such trade or business is exempt from
1120-F. Also see the Instructions for Form
complete item W(1) on page 2 of Form
U.S. tax under a tax treaty (see also
8996.
1120-F, which includes completing and
Protective Return
Filers, later);
attaching Form 8833, if required in lieu of
Qualified opportunity investment. If a
Had income, gains, or losses treated as
attaching a statement. In the case of a
foreign corporation is required to file Form
if they were effectively connected with the
Code exemption under section 883, the
8977 because it held a qualified
conduct of a U.S. trade or business (see
corporation must attach Schedule S (Form
investment in a QOF at any time during
Section
II, later); or
1120-F) in lieu of attaching a statement.
the year, the corporation must file Form
Was not engaged in a trade or business
1120-F and attach Form 8997, Initial and
in the United States, but had income from
Note. If the corporation does not have
Annual Statement of Qualified Opportunity
any U.S. source, if its tax liability has not
any gross income for the tax year because
Fund Investments. See the instructions for
been fully satisfied by the withholding of
it is claiming a treaty or Code exemption,
Form 8997.
tax at source under Chapter 3 of the Code.
and there was withholding at source, the
Was, or had a branch that was, a QDD.
Exceptions From Filing
corporation must complete the
Computation of Tax Due or Overpayment
This form is also required to be filed by:
A foreign corporation does not have to file
section at the bottom of page 1 of Form
A foreign corporation making a claim for
Form 1120-F if neither the foreign
1120-F (in addition to the information
the refund of an overpayment of tax for the
corporation nor any of its branches was a
specified in the previous paragraph) to
tax year. See
Simplified Procedure for
QDD and any of the following apply.
claim a refund of the amounts withheld.
Claiming a Refund of U.S. Tax Withheld at
It did not engage in a U.S. trade or
Source, later.
business during the year, and its full U.S.
Entities electing to be taxed as foreign
A foreign corporation claiming the
tax was withheld at source.
corporations. A foreign eligible entity
benefit of any deductions or credits. See
Its only U.S. source income is exempt
that elected to be classified as a
Other Filing
Requirements, later.
from U.S. taxation under section 881(c) or
corporation must file Form 1120-F under
A foreign corporation making a claim
(d).
the same circumstances as a per se
that an income treaty overruled or
It is a beneficiary of an estate or trust
corporation and an entity that defaults into
modified any provision of the Internal
engaged in a U.S. trade or business, but
corporate status unless it is required to file
Revenue Code with respect to income
would itself otherwise not need to file.
a special return listed under
Special
derived by the foreign corporation at any
Returns for Certain
Organizations, later.
time during the tax year, and such position
The entity must also have filed Form 8832,
is required to be disclosed on Form 8833.
Entity Classification Election. A foreign
See the instructions for Form 8833 for who
corporation filing Form 1120-F for the year
must file Form 8833, and who is exempt
Instructions for Form 1120-F (2019)
-2-
Special Returns for
transaction if the tax was withheld by a
a statement showing the gross amounts of
withholding agent other than the
income, applicable rate, and amount of
Certain Organizations
withholding agent from which you received
liability and withholding imposed for the
Instead of filing Form 1120-F, certain
the payment (amounts are reported in
respective amounts at each tax rate (for
foreign organizations must file special
box 8 of Form 1042-S). See Notice
example, if a corporation receives
returns.
2010-46, 2010-24 I.R.B. 757, for further
subsidiary dividends subject to tax at 5%
Form 1120-L, U.S. Life Insurance
information on limitations on refunds and
and portfolio dividends subject to tax at
Company Income Tax Return, as a foreign
credits permitted in such cases.
15%, a statement must be attached for
life insurance company.
Section I, line 2, to show the amount of
Simplified Procedure for
Form 1120-PC, U.S. Property and
dividend and tax liability for each
Claiming a Refund of U.S. Tax
Casualty Insurance Company Income Tax
respective rate).
Return, as a foreign nonlife insurance
Withheld at Source
Enter on line 11 the total U.S. tax
company.
liability for the reported income.
To make a claim for a refund, complete
Form 1120-FSC, U.S. Income Tax
Form 1120-F as follows.
Enter on line 12 the total U.S. tax
Return of a Foreign Sales Corporation, if
actually withheld from such income.
the corporation elected to be treated as a
Page 1. Enter the complete name,
FSC and the election is still in effect.
Check the appropriate box on line 13. A
address, and employer identification
fiscally transparent entity is one that is not
number (EIN) of the corporation. Check
Consolidated returns. A foreign
itself generally subject to income tax but
the applicable box to indicate the type of
corporation, regardless of whether it files a
one whose tax attributes flow through to
filing. Provide all the information required
special return, may not belong to an
its owners.
in items A through G.
affiliated group of corporations that files a
consolidated return. However, a Canadian
Refund amount. Enter on lines 1 and
Additional Documentation
or Mexican corporation described in
4, page 1, the amount from line 11,
section 1504(d), maintained solely for
Required
page 3. Enter on lines 5i and 5j the
complying with the laws of Canada or
amount from line 12, page 3. Enter the
The corporation must attach to Form
Mexico for title and operation of property,
excess of line 5j over line 4 on lines 8a
1120-F the following.
may elect to be treated as a domestic
and 9. This is the amount to be refunded
1. Proof of the withholding (for
corporation and thereby file as part of an
to you.
example, Form 1042-S).
affiliated group.
Signature. An authorized officer of the
2. A statement that describes the
Electronic Filing
corporation must sign and date the return.
basis for the claim for refund.
Corporations can generally electronically
Pages 2 and 3. Additional information.
3. Any required tax certifications (for
file (e-file) Form 1120-F, related forms,
Complete all items on pages 2 and 3 of
example, Form W-8BEN-E).
schedules, and attachments, Form 7004
Form 1120-F that apply to the corporation.
4. Any additional documentation to
(automatic extension of time to file), and
Page 3. Section I. Enter in column (b)
support the claim.
Forms 940, 941, and 944 (employment tax
the gross amount of each type of income
returns). If there is a balance due, the
Refund of backup withholding tax. If
received that is required to be reported in
corporation can authorize an electronic
the corporation is claiming a refund of
Section I (see
Section
I, later, for details).
funds withdrawal while e-filing. Form 1099
backup withholding tax based on its status
Include income from foreign sources that
and other information returns can also be
as a non-U.S. resident, it must:
was subject to backup withholding. Do not
electronically filed. The option to e-file
Provide a copy of the Form 1099 that
include income from which no U.S. tax
does not, however, apply to certain
shows the amount of reportable payment
was withheld. If the corporation is subject
returns.
and backup withholding, and
to backup withholding on gross proceeds
Attach a statement signed under
Certain corporations with total assets of
from sales of securities or transactions in
penalties of perjury that the corporation is
$10 million or more that file at least 250
regulated futures contracts, enter the
exempt from backup withholding because
returns a year are required to e-file Form
gross proceeds on line 10.
it is not a U.S. corporation or other U.S.
1120-F. See Regulations section
Enter in columns (c) and (d),
resident (for example, Form W-8BEN-E).
301.6011-5. However, these corporations
respectively, the correct rate and amount
can request a waiver of the electronic filing
of U.S. income tax liability for each type of
Refunds of U.S. withholding. If any of
requirements. See Notice 2010-13,
income reported in column (b). If the
the following apply, attach the information
2010-4 I.R.B. 327.
corporation is claiming a refund of U.S. tax
requested in addition to the additional
withheld in excess of the rate provided in a
documentation described earlier.
For more information, visit
IRS.gov/
tax treaty with the United States, enter the
If you are claiming a refund of U.S. tax
Businesses.
applicable treaty rate in column (c) and
withheld under Chapter 4, you must
figure the correct U.S. income tax liability
Claim for Refund or Credit
provide a statement explaining the basis
on the gross income reported in column
for the claim and must provide the other
If the corporation is filing Form 1120-F
(b).
information requested in this section to
only as a claim for refund or credit of tax
Enter in column (e) the U.S. tax actually
establish a reduced rate, or exemption
paid or withheld at source, the simplified
withheld at source (and not refunded by
from, tax under section 881. See
procedure described below may be used.
the payer or the withholding agent) from
Regulations section 1.1474-5 for the
This simplified procedure may not be used
each type of income reported. This should
requirements for claiming a credit or
by a corporation that was a QDD or had a
be the amount reported to you in box 10,
refund of tax withheld under Chapter 4.
branch that was a QDD.
Total withholding credit, of Form(s)
If claiming a refund of U.S. tax withheld
1042-S, which includes the total amount of
from portfolio interest, include a
Note. You cannot claim a refund based
federal tax withheld at source less any
description of the relevant debt obligation,
on a reduced rate of, or exemption from,
amount that was repaid to you by the
including the name of the issuer, CUSIP
U.S tax withheld from a substitute
withholding agent. If multiple rates of tax
number (if any), interest rate, scheduled
dividend payment made in connection
are applicable to a type of income, attach
maturity date, and the date the debt was
with a securities lending or similar
Instructions for Form 1120-F (2019)
-3-
issued. Also include a statement, signed
day of the 4th month after the date it
1. The charitable contributions
under penalties of perjury, that the
dissolved.
deduction (page 4, Section II, line 19).
corporation is the beneficial owner of the
2. The credit from Form 2439 (page 1,
However, a corporation with a fiscal tax
interest income and not a U.S. corporation
line 5f).
year ending June 30 must file by the 15th
or other U.S. resident (for example, Form
day of the 3rd month after the end of its
3. The credit for federal tax on fuels
W-8BEN-E).
tax year. A corporation with a short tax
(page 1, line 5g).
If claiming a reduced rate of, or
year ending anytime in June will be
4. U.S. income tax paid or withheld at
exemption from, tax based on a tax treaty,
treated as if the short year ended on June
source (page 1, line 5i).
provide a certificate of entitlement to treaty
30, and must file by the 15th day of the 3rd
benefits (for example, Form W-8BEN-E).
See Regulations section 1.882-4 for
month after the end of its tax year.
A separate statement should be provided
details.
that contains any additional
Extension of time to file. The
Private Delivery Services
representations necessary to explain the
corporation must file Form 7004,
basis for the claim. The corporation may
Application for Automatic Extension of
Corporations can use certain private
complete item W(1) on page 2 of the form
Time To File Certain Business Income
delivery services (PDS) designated by the
(which includes completing and attaching
Tax, Information, and Other Returns, by
IRS to meet the “timely mailing as timely
Form 8833, if required) in lieu of attaching
the return due date specified in the
filing” rule for tax returns. Go to
a statement.
previous two paragraphs to request an
www.irs.gov/pds.
extension of time to file. However, there is
The PDS can tell you how to get written
Note. To claim a reduced rate of, or
an exception that applies under
proof of the mailing date.
exemption from, tax based on a tax treaty,
Regulations section 1.6081-5. See the
the corporation must generally be a
Instructions for Form 7004 for additional
For the IRS mailing address to use if
resident of the particular treaty country
information.
you're using PDS, go to
within the meaning of the treaty and satisfy
exemption IRS.gov/PDSStreetAddresses.
Foreign Corporation With No
the limitation on benefits article, if any, in
Private delivery services cannot
Office or Place of Business in
the treaty with that country.
deliver items to P.O. boxes. You
If claiming a refund for overwithholding
!
the United States
must use the U.S. Postal Service
on a distribution from a U.S. corporation
CAUTION
A foreign corporation that does not
to mail any item to an IRS P.O. box
with respect to its stock because the
maintain an office or place of business in
address.
corporation has insufficient earnings and
the United States must generally file Form
profits to support ordinary dividend
1120-F by the 15th day of the 6th month
treatment, provide a statement that
Where To File
after the end of its tax year.
identifies the distributing corporation and
File Form 1120-F with the Internal
provides the basis for the claim.
Extension of time to file. File Form
Revenue Service Center, P.O. Box
If claiming a refund for overwithholding
7004 by the 15th day of the 6th month
409101, Ogden, UT 84409.
on a distribution from a mutual fund or a
after the end of the tax year to request an
real estate investment trust (REIT) with
extension of time to file. See the
Who Must Sign
respect to its stock because the
Instructions for Form 7004 for additional
The return must be signed and dated by:
distribution was designated as long-term
information.
capital gain or a return of capital, provide a
The president, vice president, treasurer,
Other Filing Requirements
statement that identifies the mutual fund or
assistant treasurer, chief accounting
officer; or
REIT and provide the basis for the claim.
If the due date of any filing falls on a
Any other corporate officer (such as tax
If claiming a refund for overwithholding
Saturday, Sunday, or legal holiday, the
officer) authorized to sign.
on a distribution from a U.S. corporation
corporation may file on the next business
with respect to its stock because, in the
day.
If a return is filed on behalf of a
foreign corporation's particular
Form 1120-F must be filed on a timely
corporation by a receiver, trustee, or
circumstances, the transaction qualifies as
basis and in a true and accurate manner in
assignee, the fiduciary must sign the
a redemption of stock under section 302,
order for a foreign corporation to take
return, instead of the corporate officer.
provide a statement that describes the
deductions and credits against its ECI. For
Returns and forms signed by a receiver or
transaction and presents the facts
these purposes, Form 1120-F is generally
trustee in bankruptcy on behalf of a
necessary to establish that the payment
considered to be timely filed if it is filed no
corporation must be accompanied by a
was (a) a complete redemption, (b) a
later than 18 months after the due date of
copy of the order or instructions of the
disproportionate redemption, or (c) not
the current year's return. An exception
court authorizing signing of the return or
essentially equivalent to a dividend.
may apply to foreign corporations that
form.
have yet to file Form 1120-F for the
When To File
If an employee of the corporation
preceding tax year. These filing deadlines
completes Form 1120-F, the paid preparer
may be waived in limited situations based
Foreign Corporation With an
space should remain blank. Anyone who
on the facts and circumstances, where the
prepares Form 1120-F but does not
Office or Place of Business in
foreign corporation establishes to the
charge the corporation should not
satisfaction of the Commissioner that the
the United States
complete that section. Generally, anyone
foreign corporation acted reasonably and
A foreign corporation that maintains an
who is paid to prepare the return must sign
in good faith in failing to file Form 1120-F.
office or place of business in the United
it and fill in the “Paid Preparer Use Only”
See Regulations section 1.882-4(a)(3)(ii)
States generally must file Form 1120-F by
area.
for more information about the waiver.
the 15th day of the 4th month after the end
The paid preparer must complete the
A foreign corporation is allowed the
of its tax year. A new corporation filing a
required preparer information and:
following deductions and credits
short-period return generally must file by
Sign the return in the space provided
regardless of whether Form 1120-F is
the 15th day of the 4th month after the
for the preparer's signature, and
timely filed.
short period ends. A corporation that has
Give a copy of the return to the
dissolved generally must file by the 15th
taxpayer.
Instructions for Form 1120-F (2019)
-4-
A paid preparer may sign original
1094-C and 1095-C to report the
year. Examples of when the corporation
or amended returns by rubber
information required under sections 6055
must attach a copy of the Form 8832 for
TIP
stamp, mechanical device, or
and 6056 about offers of health coverage
an entity in which it has an interest include
computer software program.
and enrollment in health coverage for their
the corporation's ownership of:
employees. Form 1094-C must be used to
An entity that elected to be a
report to the IRS summary information for
Paid Preparer
disregarded entity,
each employer and to transmit Forms
A foreign entity that elected to be a
Authorization
1095-C to the IRS. Form 1095-C is used
partnership but does not itself have a
to report information about each
If the corporation wants to allow the IRS to
Form 1065 filing requirement, and
employee. In addition, Forms 1094-C and
discuss its 2019 tax return with the paid
A foreign corporation that owns a
1095-C are used in determining whether
preparer who signed it, check the “Yes”
foreign entity that elected to be a
an employer owes payments under the
box in the signature area of the return.
disregarded entity.
employer shared responsibility provisions
This authorization applies only to the
The corporation does not need to
under section 4980H. For more
individual whose signature appears in the
attach the Form 8832 for an entity in which
information, see the Instructions for Forms
“Paid Preparer Use Only” section of the
it has an indirect interest if an entity in
1094-C and 1095-C. Also, for more
return. It does not apply to the firm, if any,
which it has an interest is already
information related to the Affordable Care
shown in that section.
attaching a copy of the Form 8832 with its
Act, visit IRS.gov/ACA.
return. See Regulations section
If the “Yes” box is checked, the
Form 5472, Information Return of a 25%
301.7701-3(c)(1)(ii).
corporation is authorizing the IRS to call
Foreign-Owned U.S. Corporation or a
the paid preparer to answer any questions
Form 8833, Treaty-Based Return
Foreign Corporation Engaged in a U.S.
that may arise during the processing of its
Position Disclosure Under Section 6114 or
Trade or Business. This form is filed by or
return. The corporation is also authorizing
7701(b). Use this form to make the
for a foreign corporation engaged in a U.S.
the paid preparer to:
treaty-based return position disclosure
trade or business that had certain
Give the IRS any information that is
required by section 6114.
reportable transactions with a related
missing from the return;
party. See the Instructions for Form 5472
Form 8848, Consent To Extend the Time
Call the IRS for information about the
for filing instructions and information for
To Assess the Branch Profits Tax Under
processing of the return or the status of
failure to file and maintain records.
Regulations Sections 1.884-2(a) and (c).
any related refund or payment(s); and
Use this form to execute a waiver of period
Respond to certain IRS notices about
Form 8275, Disclosure Statement, and
of limitations in regard to a termination or
math errors, offsets, and return
Form 8275-R, Regulation Disclosure
incorporation of a U.S. trade or business
preparation.
Statement. Use these forms to disclose
or liquidation or reorganization of a foreign
items or positions taken on a tax return
The corporation is not authorizing the
corporation or its domestic subsidiary.
that are not otherwise adequately
paid preparer to receive any refund check,
See the instructions for
Section III, Part
I,
disclosed on a tax return or that are
bind the corporation to anything (including
of Form 1120-F.
contrary to Treasury regulations (to avoid
any additional tax liability), or otherwise
parts of the accuracy-related penalty or
Form 8886, Reportable Transaction
represent the corporation before the IRS.
certain preparer penalties).
Disclosure Statement. Use this form to
The authorization will automatically end
disclose information for each reportable
Form 8300, Report of Cash Payments
no later than the due date (excluding
transaction in which the corporation
Over $10,000 Received in a Trade or
extensions) for filing the corporation's
participated. Form 8886 must be filed for
Business. Use this form to report the
2020 tax return. If the corporation wants to
each tax year that the federal income tax
receipt of more than $10,000 in cash or
expand the paid preparer's authorization
liability of the corporation is affected by its
foreign currency in one transaction or a
or revoke the authorization before it ends,
participation in the transaction. The
series of related transactions.
see Pub. 947, Practice Before the IRS and
following are reportable transactions.
Power of Attorney.
Form 8302, Electronic Deposit of Tax
1. Any listed transaction, which is a
Refund of $1 Million or More. The form
Other Forms, Schedules,
transaction that is the same as or
must be filed to request an electronic
substantially similar to one of the types of
and Statements That May
deposit of a tax refund of $1 million or
transactions that the IRS has determined
more.
Be Required
to be a tax avoidance transaction and
identified by notice, regulation, or other
Form 8832, Entity Classification Election.
Forms
published guidance as a listed
This form is filed by an eligible entity to
transaction.
elect how it will be classified for federal tax
A foreign corporation may have to file
purposes. If the corporation filed Form
some of the following forms and
2. Any transaction offered under
8832 to make an initial classification
schedules. See the form or schedule for
conditions of confidentiality for which the
election to be a corporation or to change
more information.
corporation (or a related party) paid an
its classification to be a corporation
For a list of additional forms the
advisor a fee of at least $250,000.
effective during the current tax year, the
corporation may need to file (most
3. Certain transactions for which the
corporation must attach a copy of the
notably, forms pertaining to the reporting
corporation (or a related party) has
Form 8832 to its Form 1120-F. If the
of various types of income, and any
contractual protection against
corporation owns a direct or indirect
related withholding, to U.S. persons,
disallowance of the tax benefits.
interest in an entity that is not required to
foreign persons, and the IRS), see Pub.
4. Certain transactions resulting in a
file a return, but for which a Form 8832
542, Corporations.
loss of at least $10 million in any single
was filed to make a change in the
Form 1094-C, Transmittal of Employer
year or $20 million in any combination of
classification of the entity that is effective
Health Coverage Statements, and Form
years.
during the current tax year, the
1095-C, Employer-Provided Health
corporation must attach a copy of the
5. Any transaction identified by the
Coverage Statement. Employers with 50
Form 8832 with respect to that entity
IRS by notice, regulation, or other
or more full-time employees (including
to its Form 1120-F for the current tax
full-time equivalent employees) use Forms
Instructions for Form 1120-F (2019)
-5-