What Does Passive Foreign Investment Company Mean?

Free Business Insurance Quote Click Here
What does Passive Foreign Investment Company mean? Read on to discover the definition & meaning of the term Passive Foreign Investment Company - to help you better understand the language used in insurance policies.

Passive Foreign Investment Company

Passive Foreign Investment Company

An offshore company whose income is more than 50 percent passive investment income or 75 percent of whose assets produce such passive investment income. If an offshore captive is deemed a PFIC, the tax burden on its owners will increase substantially.

We hope the you have a better understanding of the meaning of Passive Foreign Investment Company.

A | B | C | D | E | F | G | H | I | J | K | L | M | N | O | P | Q | R | S | T | U | V | W | X | Y | Z


Free Business Insurance Quote Click Here