Put T for Taxable income or N for Nontaxable income beside each item below as it normally would be treated for tax purposes.
-Foreign income of a controlled foreign corporation that has never paid a dividend.

Question

Quizplus · Accepted Answer

Foreign income of a controlled foreign corporation that has never paid a dividend is generally not taxable to the US shareholder until it is distributed as a dividend.

Put T for Taxable Income or N for Nontaxable Income