I represent a large defined benefit master trust which has been advised by its tax adviser that it may need to file a Form 5471 (Information Return of U.S. Persons With Respect to Certain Foreign Corporations) because it owns over 10% of a foreign investment that qualifies as a CFC. This form is supposed to be filed with an income tax return (or, if applicable, partnership or exempt organization (Form 990) return). The trust is not otherwise required to file a Form 990 because it has no income to report. Does anyone have experience with a trust taking the position that a Form 5471 is not required under these circumstances because there is no required tax return? Or is the trust required to now file a Form 990 (reporting no income) so it has a tax return to which the Form 5471 can be attached?
