### Question
What does possession corporation mean?


### Answer
**Possession corporation** has the following meaning in *26 U.S.C. § 936*:

> a domestic corporation for which the election provided in subsection (a) is in effect

#### Citation:
  - *26 U.S.C. § 936*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter N-Tax Based on Income From Sources Within or Without the United States > PART III-INCOME FROM SOURCES WITHOUT THE UNITED STATES > Subpart D-Possessions of the United States**

