JJK
Level 3
02-02-2021
06:25 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Hello:
If US Parent sends a quarterly $10,000 to help financing a foreign sub operating (foreign sub is not making money yet), is this considered as Related Party Transaction and needed to report/file any Form?
I read the IRS rule but still unclear. Thank you.
This discussion has been locked.
New comments cannot be posted on this discussion anymore. Start a
new discussion
2 Comments 2
itonewbie
Level 15
02-04-2021
11:17 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
What's the exact nature? Capital injection, related-party loans at below-market-rate, etc.?
---------------------------------------------------------------------------------
Still an AllStar
Still an AllStar
JJK
Level 3
02-09-2021
06:54 AM
- Mark as New
- Bookmark
- Subscribe
- Permalink
- Report Inappropriate Content
Just for helping sub operation, no stock exchange. For parent, this will be Due from sub, if sub makes any money in the future.