Exceptions From Filing

Foreign person. A foreign person is not required to file Form 5713 unless that person:

1. Claims the benefits of the foreign tax credit,

2. Owns stock in an interest charge domestic international sales corporation (IC-DISC),

3. Is a foreign sales corporation (FSC) that has exempt foreign trade income, or

4. Has extraterritorial income (defined in section 114(e), as in effect before its repeal) excluded from gross income.

Members of a controlled group. A corporation that is a member of a controlled group (as defined in section 1563) is not required to file Form 5713 if all members of the controlled group joined in the filing of a consolidated income tax return and the common parent files Form 5713 on behalf of all members of the controlled group.

If all members of a controlled group did not join in the filing of a consolidated income tax return, each member of the controlled group must file Form 5713 separately.

That partner has no boycott operations that are independent of the partnership,

The partnership files Form 5713 with Form 1065, and

The partnership did not cooperate with or participate in an international boycott.

U.S. approved boycotts. You can comply with an international boycott imposed by a foreign country if the boycott is approved by U.S. law, regulations, or an Executive order. Do not report U.S. approved boycotts on Form 5713.

Unsolicited invitation to bid. If you receive an unsolicited invitation to bid for a contract that contains a request to participate in or cooperate with an international boycott, you are required to file Form 5713 only if you accept the invitation.