All U.S. business enterprises in which a foreign person (in the broad legal sense, including a company) owns directly and/or indirectly a ten-percent-or-more voting interest (or the equivalent) are subject to these reporting requirements. This includes foreign ownership of real estate, improved and unimproved, except residential real estate held exclusively for personal use and not for profit making purposes.
Annual report: For reporting financial and operating data of a U.S. affiliate on the Annual Survey of Foreign Direct Investment in the United States (Forms BE-15A, BE-15B, BE-15(EZ), and BE-15 Claim for Exemption) Form BE-15 Claim for Exemption http://www.bea.gov/surveys/pdf/be15claim_web.pdf (ELECTRONIC FILING: www.bea.gov/efile) – This report is required if foreign ownership in the U.S affiliate falls below 10 percent, the U.S. affiliate is fully consolidated or merged into another U.S. affiliate, or if all of the following three items for the affiliate are $40 million or less (positive or negative):
1. Total assets;
2. Annual sales or gross operating revenues; and
3. Annual net income after provision for U.S. income taxes.
Following an initial filing, the BE-15 Claim for Exemption is not required annually from U.S. affiliates that meet the stated exemption criteria from year to year. However, the BE-15 Claim for Exemption must be filed if BEA mails you a BE-15 form and the U.S. business enterprise is exempt from filing the BE-15A, BE- 15B, or BE-15(EZ).
Copies of the report forms and instructions are available on BEA’s Web site at www.bea.gov/fdi.
Have a question? Contact Daniel Gray. Your comments are always welcome!
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