§ 897(k)(3)(A)

a qualified shareholder

UNDECIDED

0 of 7 settled

  1. 1

    § 897(k)(3)(A)

    ALL OF

    The term “qualified shareholder” means a foreign person which—

    “a foreign person” Opening words
    “is eligible for benefits of a comprehensive income tax treaty with the United States which includes an exchange of information program and the principal class of interests of which is listed and regularly traded on 1 or more recognized stock exchanges (as defined in such comprehensive income tax treaty), or is a foreign partnership that is created or organized under foreign law as a limited partnership in a jurisdiction that has an agreement for the exchange of information with respect to taxes with the United States and has a class of limited partnership units which is regularly traded on the New York Stock Exchange or Nasdaq Stock Market and such class of limited partnership units value is greater than 50 percent of the value of all the partnership units,” § 897(k)(3)(A)(i)

    Step 2 clause (i) satisfied UNDECIDED

    “is a qualified collective investment vehicle, and” § 897(k)(3)(A)(ii) needs Step 4 a qualified collective investment vehicle UNDECIDED
    “maintains records on the identity of each person who, at any time during the foreign person’s taxable year, holds directly 5 percent or more of the class of interest described in subclause (I) or (II) of clause (i), as the case may be.” § 897(k)(3)(A)(iii)
  2. 2

    § 897(k)(3)(A)(i)

    clause (i) satisfied

    ANY OF

    “a foreign person which—” Enclosing § 897(k)(3)(A)
    “is eligible for benefits of a comprehensive income tax treaty with the United States which includes an exchange of information program and the principal class of interests of which is listed and regularly traded on 1 or more recognized stock exchanges (as defined in such comprehensive income tax treaty), or” § 897(k)(3)(A)(i)(I)

    Step 3 meets treaty listing test UNDECIDED

    “is a foreign partnership that is created or organized under foreign law as a limited partnership in a jurisdiction that has an agreement for the exchange of information with respect to taxes with the United States and has a class of limited partnership units which is regularly traded on the New York Stock Exchange or Nasdaq Stock Market and such class of limited partnership units value is greater than 50 percent of the value of all the partnership units,” § 897(k)(3)(A)(i)(II)
  3. 3

    § 897(k)(3)(A)(i)(I)

    meets treaty listing test

    ALL OF
    “a foreign person which—” Enclosing § 897(k)(3)(A)
    “is eligible for benefits of a comprehensive income tax treaty with the United States which includes an exchange of information program”
    “the principal class of interests of which is listed and regularly traded on 1 or more recognized stock exchanges (as defined in such comprehensive income tax treaty)”
  4. 4

    § 897(k)(3)(B)

    a qualified collective investment vehicle

    ANY OF

    For purposes of this subsection, the term “qualified collective investment vehicle” means a foreign person—

    “a foreign person—” Opening words
    “which— is eligible for benefits under the comprehensive income tax treaty described in subparagraph (A)(i)(I), but only if the dividends article of such treaty imposes conditions on the benefits allowable in the case of dividends paid by a real estate investment trust, and is eligible under such treaty for a reduced rate of withholding with respect to ordinary dividends paid by a real estate investment trust even if such person holds more than 10 percent of the stock of such real estate investment trust,” § 897(k)(3)(B)(i)

    Step 5 a qualified collective investment vehicle UNDECIDED

    “which— is a publicly traded partnership (as defined in section 7704(b)) to which subsection (a) of section 7704 does not apply, is a withholding foreign partnership for purposes of chapters 3, 4, and 61, and if such foreign partnership were a domestic corporation, would be a United States real property holding corporation (determined without regard to paragraph (1)) at any time during the 5-year period ending on the date of disposition of, or distribution with respect to, such partnership’s interests in a real estate investment trust, or” § 897(k)(3)(B)(ii)

    Step 6 a qualified collective investment vehicle UNDECIDED

    “which is designated as a qualified collective investment vehicle by the Secretary and is either— fiscally transparent within the meaning of section 894, or required to include dividends in its gross income, but entitled to a deduction for distributions to persons holding interests (other than interests solely as a creditor) in such foreign person.” § 897(k)(3)(B)(iii)
  5. 5

    § 897(k)(3)(B)(i)

    a qualified collective investment vehicle

    ALL OF

    which—

    “a foreign person—” Enclosing § 897(k)(3)(B)
    “is eligible for benefits under the comprehensive income tax treaty described in subparagraph (A)(i)(I), but only if the dividends article of such treaty imposes conditions on the benefits allowable in the case of dividends paid by a real estate investment trust, and” § 897(k)(3)(B)(i)(I)
    “is eligible under such treaty for a reduced rate of withholding with respect to ordinary dividends paid by a real estate investment trust even if such person holds more than 10 percent of the stock of such real estate investment trust,” § 897(k)(3)(B)(i)(II)
  6. 6

    § 897(k)(3)(B)(ii)

    a qualified collective investment vehicle

    ALL OF

    which—

    “a foreign person” Enclosing § 897(k)(3)(B)
    “is a publicly traded partnership (as defined in section 7704(b)) to which subsection (a) of section 7704 does not apply,” § 897(k)(3)(B)(ii)(I) needs Step 7 a publicly traded partnership UNDECIDED
    “is a withholding foreign partnership for purposes of chapters 3, 4, and 61, and” § 897(k)(3)(B)(ii)(II)
    “if such foreign partnership were a domestic corporation, would be a United States real property holding corporation (determined without regard to paragraph (1)) at any time during the 5-year period ending on the date of disposition of, or distribution with respect to, such partnership’s interests in a real estate investment trust, or” § 897(k)(3)(B)(ii)(III)
  7. 7

    § 7704(b)

    a publicly traded partnership

    ANY OF

    For purposes of this section, the term “publicly traded partnership” means any partnership if—

    “any partnership” Opening words
    “interests in such partnership are traded on an established securities market, or” § 7704(b)(1)
    “interests in such partnership are readily tradable on a secondary market (or the substantial equivalent thereof).” § 7704(b)(2)

    “Substantial” implies facts and circumstances. No regulation cites this provision (eCFR, Oct 19, 2026)