### Question
What is the definition of qualified subsidiary?


### Answer
The definition of **qualified subsidiary** is as follows in *26 U.S.C. § 501*:

> any corporation if, at all times during the period such corporation was in existence, 100 percent of the stock of such corporation is held by the corporation or trust described in subparagraph (A)

#### Citation:
  - *26 U.S.C. § 501*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter F-Exempt Organizations > PART I-GENERAL RULE**

