PFIC Training Series – PFIC Taxation Fundamentals

Part 1

Instructor: Mary Beth Lougen, EA, USTCP
IRS Program Number: NMVBP-T-00110-18-O

This course is the first in the Passive Foreign Investment Companies series training, that gives a broad overview of the tax law related to passive foreign investment companies, or PFICs. Failing to properly file Form 8621 can expose your client to both onerous penalties and an unlimited statute of limitations for the assessment of tax. Even though the PFIC provisions are among the most complicated and punitive sections of the Internal Revenue Code, we will explain PFICs in plain English so you can explain them to your clients.

Learning Objectives:

• Explain what qualifies as a PFIC and how to identify them.
• Describe when a taxpayer must file Form 8621.
• Compare and contrast the three different taxation regimes for PFICs.
• Understand the potential penalties & statute of limitation issues with PFIC non-compliance.