The Law Dictionary

Your Free Online Legal Dictionary • Featuring Black’s Law Dictionary, 2nd Ed.

PASSIVE FOREIGN INVESTMENT CORPORATION (PFIC) Definition & Legal Meaning

Definition & Citations:

A company foreign to the United States, which makes most of its money through investments. It must pass the Asset Test or the Income Test. Usually, investors follow differing regulations regarding the taxation process.

Disclaimer

This article contains general legal information but does not constitute professional legal advice for your particular situation. The Law Dictionary is not a law firm, and this page does not create an attorney-client or legal adviser relationship. If you have specific questions, please consult a qualified attorney licensed in your jurisdiction.