[Code of Federal Regulations]
[Title 26, Volume 11]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR1.1247-5]

[Page 378-379]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 1_INCOME TAXES--Table of Contents
 
Sec. 1.1247-5  Information and recordkeeping requirements.

    (a) General. In order to carry out the purposes of section 1247, a 
foreign investment company shall keep the

[[Page 379]]

records and comply with the information requirements prescribed by this 
section for each taxable year of the company for which the election 
under section 1247(a) is in effect. See section 1247(a)(1)(C).
    (b) Recordkeeping requirements. The company shall maintain and 
preserve such permanent books of account, records, and other documents 
as are sufficient to establish in accordance with the provisions of 
Sec. 1.1247-2 what its taxable income would be if it were a domestic 
corporation. Generally, if the books and records of the company are 
maintained in the manner prescribed by regulations under section 30 of 
the Investment Company Act of 1940 (15 U.S.C. 80a-30), the requirements 
of the preceding sentence shall be considered satisfied. Such books, 
records, and other documents shall be available for inspection in the 
United States by authorized internal revenue officers or employees, and 
shall be maintained so long as the contents thereof may be material in 
the administration of section 1247.
    (c) Information returns. The company shall file, for each taxable 
year during which the election under section 1247(a) is in effect, on or 
before the 15th day of the third month following the close of its 
taxable year or on or before May 1, 1965, whichever is later, with the 
Director of International Operations, Internal Revenue Service, 
Washington, DC, 20225:
    (1) Form 1120, modified so as to be an annual information return, 
establishing the amount of its taxable income referred to in paragraph 
(b) of this section, and
    (2) Form 2438, modified so as to be an annual information return, 
establishing the amount of the company's excess capital gains (referred 
to in paragraph (a)(1) of Sec. 1.1247-3) for the taxable year, the 
distributed portion thereof, and the amount of the undistributed portion 
thereof.

[T.D. 6798, 30 FR 1178, Feb. 4, 1965]