Читать книгу International Taxation - Adnan Islam - Страница 42

Although the analysis of whether a corporation has a branch or an affiliated corporation is made under U.S. principles, foreign law must also be considered to determine the legal relationships of the entity, the shareholders and the general public. A U.S. taxpayer generally does not rely on the designation or labeling of the entity by that foreign jurisdiction. However, in the case of the Jamul entity in example 1, it is Jamul law that tells us that there is no free transferability of interests, no continuity of life, and no limitation of liability of the shareholders.