,,ii  #aaf? ,,congress  #a/ ,session    
,s4 #behi  ,,9 ,,! ,,s5ate ,,( ,,!      
,,unit$ ,,/ates  ,septemb] #bf1         
#bjai,mr4 ,isakson introduc$ ! foll[+   
bill2 :i* 0 read twice & ref]r$ to !    
,committee on ,f9ance  ,a ,,bill  ,to   
am5d ! ,int]nal ,rev5ue ,code ( #aihf to
 re/ore ! limitation on d[nw>d          
attribution ( /ock own]%ip 9 apply+ !   
con/ructive own]%ip rules to controll$  
=eign corporations1 & = o!r purposes4   
#a4 ,re/oration ( limitation on d[nw>d  
attribution ( /ock own]%ip 9 apply+     
con/ructive own]%ip rules  7a7 ,9 g5]al 
,section #ieh7;b7 ( ! ,int]nal ,rev5ue  
,code ( #aihf is am5d$-- 7#a7 by ins]t+ 
aft] p>agraph 7#c7 ! foll[+3  7#d7      
,subp>agraphs 7,a71 7,b71 & 7,c7 (      
section #cah7;a77#c7 %all n be appli$ s 
z to consid] a ,unit$ ,/ates p]son z    
own+ /ock :i* is own$ by a p]son :o is n
 a ,unit$ ,/ates p]son4  1 &  7#b7 by   
/rik+ ,p>agraph 7#a7 9 ! la/ s5t5ce &   
ins]t+ ,p>agraphs 7#a7 & 7#d74  7b7     
,=eign controll$ ,unit$ ,/ates %>ehold]s

 ,subp>t ,f ( "p ,,iii ( sub*apt] ,n (  
*apt] #a ( su* ,code is am5d$ by ins]t+ 
aft] section #iea;,a ! foll[+ new       
section3  #iea;,b4 ,am\nts includ$ 9    
gross income ( =eign controll$ ,unit$   
,/ates %>ehold]s  7a7 ,9 g5]al ,9 ! case
 ( any =eign controll$ ,unit$ ,/ates    
%>ehold] ( a =eign controll$ =eign      
corporation--  7#a7 ?is subp>t 7o!r ?an 
sections #iea;,a1 #iea7;b71 #ieg1 &     
#ife7 %all be appli$ ) respect to su*   
%>ehold] 7sep>ately f1 & 9 addition to1 
! application ( ?is subp>t )\t reg>d to 
?is section7--  7,a7 by sub/itut+ =eign 
controll$ ,unit$ ,/ates %>ehold] =      
,unit$ ,/ates %>ehold] ea* place x      
appe>s !re91 &  7,b7 by sub/itut+ =eign 
controll$ =eign corporation = controll$ 
=eign corporation ea* place x appe>s    
!re91 &  7#b7 sections #iea;,a & #ife   
%all be appli$ ) respect to su* %>ehold]
 -- 7,a7 by treat+ ea* ref]5ce to ,unit$
 ,/ates %>ehold] 9 su* sections z       
includ+ a ref]5ce to su* %>ehold]1 &    
7,b7 by treat+ ea* ref]5ce to controll$ 

=eign corporation 9 su* sections z      
includ+ a ref]5ce to su* =eign controll$
 =eign corporation4  7b7 ,=eign         
controll$ ,unit$ ,/ates %>ehold] ,=     
purposes ( ?is section1 ! t]m =eign     
controll$ ,unit$ ,/ates %>ehold] means1 
) respect to any =eign corporation1 any 
,unit$ ,/ates p]son :i* w\ld be a ,unit$
 ,/ates %>ehold] ) respect to su* =eign 
corporation if--  7#a7 section #iea7;b7 
7 appli$ by sub/itut+ m ?an #ej p]c5t = 
#aj p]c5t or m1 &  7#b7 section #ieh7;b7
 7 appli$ )\t reg>d to p>agraph 7#d7    
!re(4  7c7 ,=eign controll$ =eign       
corporation ,= purposes ( ?is section1 !
 t]m =eign controll$ =eign corporation  
means a =eign corporation1 o!r ?an a    
controll$ =eign corporation1 :i* w\ld be
 a controll$ =eign corporation if       
section #ieg7;a7 7 appli$--  7#a7 by    
sub/itut+ =eign controll$ ,unit$ ,/ates 
%>ehold]s = ,unit$ ,/ates %>ehold]s1 &  
7#b7 by sub/itut+ section #ieh7;b7 7o!r 
?an p>agraph 7#d7 !re(7 = section       
#ieh7;b74  7d7 ,regulations ,! ,secret>y

 %all prescribe su* regulations or o!r  
guidance z may be necess>y or           
appropriate to c>ry out ! purposes ( ?is
 section1 includ+ regulations or o!r    
guidance--  7#a7 to treat a =eign       
controll$ ,unit$ ,/ates %>ehold] or a   
=eign controll$ =eign corporation z a   
,unit$ ,/ates %>ehold] or z a controll$ 
=eign corporation1 respectively1 =      
purposes ( provisions ( ?is title o!r   
?an ?is subp>t1 &  7#b7 to prev5t !     
avoidance ( ! purposes ( ?is section4  4
  7c7 ,cl]ical am5dm5t ,! table (       
sections = subp>t ,f ( "p ,,iii (       
sub*apt] ,n ( *apt] #a ( su* ,code is   
am5d$ by ins]t+ aft] ! item relat+ to   
section #iea;,a ! foll[+ new item3      
,sec4 #iea;,b4 ,am\nts includ$ 9 gross  
income ( =eign controll$ ,unit$ ,/ates  
%>ehold]s4  4  7d7 ,effective date ,!   
am5dm5ts made by ?is section %all apply 
to-- 7#a7 ! la/ taxable ye> ( =eign     
corporations beg9n+ be=e ,janu>y #a1    
#bjah1 & ea* subsequ5t taxable ye> ( su*
 =eign corporations1 &  7#b7 taxable    

ye>s ( ,unit$ ,/ates p]sons 9 :i* or )  
:i* su* taxable ye>s ( =eign            
corporations end4