controlled foreign corporations
§ 1.951A-6 Adjustments related to tested losses.
26 C.F.R. Part 1 — Income Taxes · 2026 edition · updated 2026-10-04 · United States
(a) Scope. This section provides rules relating to adjustments related to tested losses. Paragraph (b) of this section provides rules that increase the earnings and profits of a tested loss CFC for purposes of section 952(c)(1)(A). Paragraph (c) of this section is reserved for a rule for tested loss adjustments.
(b) Increase of earnings and profits of tested loss CFC for purposes of section 952(c)(1)(A). For purposes of section 952(c)(1)(A) with respect to a CFC inclusion year, the earnings and profits of a tested loss CFC are increased by an amount equal to the tested loss of the tested loss CFC for the CFC inclusion year.
(c) [Reserved]
[T.D. 9866, 84 FR 29341, June 21, 2019]
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