### Question
How is the term shared FSC defined?


### Answer
The term **shared FSC** is defined in *26 U.S.C. § 927* as the following:

> any corporation if—


(A) such corporation maintains a separate account for transactions with each shareholder (and persons related to such shareholder),


(B) distributions to each shareholder are based on the amounts in the separate account maintained with respect to such shareholder, and


(C) such corporation meets such other requirements as the Secretary may by regulations prescribe

#### Citation:
  - *26 U.S.C. § 927*
  - 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 C-Taxation of Foreign Sales Corporations**

