Foreign Investment Company

Foreign Investment Company means:
any foreign corporation registered under the Investment Company Act of 1940, either as a management company or as a unit investment trust, or engaged in the business of investing in securities, commodities, or other interests at a time when 50% of more of the total combined voting power or the total value of all classes of stock are held directly or indirectly by a U.S. citizen. Special provisions cover the gain from the sale of foreign investment company stock. Former IRC (check if this IRC provision is current here) § 1246(b)(1).