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Possessions Corporation
(redirected from Possession Corporations)

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Possessions corporation
A type of corporation permitted under the US tax code whose branch operation in a US possession can obtain tax benefits as though it were operating as a foreign subsidiary.

Possessions Corporation
A U.S. corporation that does a significant amount of business in an American overseas possession, usually in Puerto Rico. The IRS allows these corporations to take a tax credit for the business they conduct in the possessions. See also: Form 5735.


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Our effective tax rate increased in the first quarter of fiscal 2007 from the first quarter of fiscal 2006 partially due to the expiration of a federal tax credit for possession corporations, which provided a tax benefit related to our operations in Puerto Rico.
possession corporations Total Total claiming credit assets receipts (1) (2) (3) All U.
 
 
 
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