### Question
How is the term expanded affiliated group defined?


### Answer
The term **expanded affiliated group** is defined in *26 U.S.C. § 7874* as the following:

> an affiliated group as defined in section 1504(a) but without regard to section 1504(b)(3), except that section 1504(a) shall be applied by substituting "more than 50 percent" for "at least 80 percent" each place it appears

#### Citation:
  - *26 U.S.C. § 7874*
  - Heading: **Subtitle F-Procedure and Administration > CHAPTER 80-GENERAL RULES > Subchapter C-Provisions Affecting More Than One Subtitle**

