Yes. You’ll need to disclose the ownership interest, probably, via something like a 5471 included in the S corporation tax return and the returns of the shareholders.

We are an S corp looking to buy shares in a Belgian Company.

Is that Ok?

Thanks

Ajay

Thanks for confirming that it can be done.

Nothing about the S corporation rules prohibits what you want to to do.

Your home country surely has employment laws the S corp needs to follow. And you being employed in another country will probably create a “tax presence” for the S corporation.

I have a quick question. I am non-resident alien working for an S-Corporation. Is it possible that I re-locate back to my home country and still remain an employee of the S-Corporation?

THnaks
_RD

So I think what’s confusing here is this: The prohibition against foreign shareholders means only US citizens and permanent residents (and things that are basically equivalent to US citizens and permanent residents) can own shares in an S corporation.

However, these US citizens and permanent residents don’t have to be physically located on US soil. They could be located in some foreign country.

But isn’t it one of the requirements that an S-corporation can not have a foreign shareholder?