IRS Form: Draft Form 965 Instructions on Transition Tax (IRC §965)

Draft instructions to Form 965, Inclusion of Deferred Foreign Income Upon Transition to Participation Exemption System, released January 3. For 2019 tax years, Form 965 will be used only for tax code Section 965(a) inclusions derived solely through interests in pass-through entities that are U.S. shareholders of deferred foreign income corporations (DFICs), the draft instruction note. In these cases, the taxpayer or other filer will complete the January 2020 revisions of Form 965, and, if applicable, Schedule F (Form 965), and Schedule H (Form 965). The term “2019 tax year” refers to 2019 calendar years and fiscal tax ...