Section 250 Deduction for GILTI and FDII
In more detail
Form 8993 computes the Section 250 deduction against GILTI, lowering the effective US rate on the included profits of a controlled foreign corporation. For an American with a UK limited company it partly offsets the Form 8992 inclusion. Its availability and size interact with whether a Section 962 election is made and with foreign tax credits, so the forms are best modelled together rather than in isolation.
Does Form 8993 apply to your situation?
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