passive foreign investment company (PFIC)
A passive foreign investment company (PFIC) is an offshore company whose income is more than 50 percent passive investment income or 75 percent of whose assets produce such passive investment income.
passive foreign investment company (PFIC)
A passive foreign investment company (PFIC) is an offshore company whose income is more than 50 percent passive investment income or 75 percent of whose assets produce such passive investment income.
Additional Information
If an offshore captive is deemed a PFIC, the tax burden on its owners will increase substantially.
