Schedule G (Form 1120) (Rev. 12-2011)
Page 2
General Instructions
Purpose of Form
Use Schedule G (Form 1120) to provide
information applicable to certain entities,
individuals, and estates that own, directly,
20% or more, or own, directly or indirectly,
50% or more of the total voting power of all
classes of the corporation’s stock entitled
to vote.
Who Must File
Every corporation that answers “Yes” to
Form 1120, Schedule K, Questions 4a or
4b, must file Schedule G to provide the
additional information requested for certain
entities, individuals, and estates owning the
corporation’s voting stock.
Constructive Ownership of
the Corporation
For purposes of Schedule G (Form 1120),
the constructive ownership rules of section
267(c) (excluding section 267(c)(3)) apply to
ownership of interests in corporate stock
and ownership of interests in the profit,
loss, or capital of a partnership. An interest
in the corporation owned directly or
indirectly by or for another entity
(corporation, partnership, estate, or trust) is
considered to be owned proportionately by
the owners (shareholders, partners, or
beneficiaries) of the owning entity. Also,
under section 267(c), an individual is
considered to own an interest owned
directly or indirectly by or for his or her
family. The family of an individual includes
only that individual’s spouse, brothers,
sisters, ancestors, and lineal descendants.
An interest will be attributed from an
individual under the family attribution rules
only if the person to whom the interest is
attributed owns a direct or an indirect
interest in the corporation under section
267(c)(1) or (5). However, for purposes of
these instructions, an individual will not be
considered to own, under section 267(c)(2),
an interest in the corporation owned,
directly or indirectly, by a family member
unless the individual also owns an interest
in the corporation either directly or
indirectly through a corporation,
partnership or trust.
Example 1. Corporation A owns,
directly, a 50% interest in the profit, loss,
or capital of Partnership B. Corporation A
also owns, directly, a 15% interest in the
profit, loss, or capital of Partnership C and
owns, directly, 15% of the voting stock of
Corporation D. Partnership B owns,
directly, a 70% interest in the profit, loss,
or capital of Partnership C and owns,
directly, 70% of the voting stock of
Corporation D. Corporation A owns,
indirectly, through Partnership B, a 35%
interest (50% of 70%) in the profit, loss, or
capital of Partnership C and owns,
indirectly, 35% of the voting stock of
Corporation D. Corporation A owns,
directly or indirectly, a 50% interest in the
profit, loss, or capital of Partnership C
(15% directly and 35% indirectly), and
owns, directly or indirectly, 50% of the
voting stock of Corporation D (15% directly
and 35% indirectly).
Corporation D reports in Part I that its
voting stock is owned, directly or indirectly,
50% by Corporation A and is owned,
directly, 70% by Partnership B.
Example 2. A owns, directly, 50% of the
voting stock of Corporation X. B, the
daughter of A, does not own, directly, any
interest in Corporation X and does not
own, indirectly, any interest in Corporation
X through any entity (corporation,
partnership, trust, or estate). Therefore, the
family attribution rules do not apply and,
for the purposes of Part II, the 50% interest
of A in Corporation X is not attributed to B.
Example 3. A owns, directly, 50% of the
voting stock of Corporation X. B, the
daughter of A, does not own, directly, any
interest in X but does own, indirectly, 10%
of the voting stock of Corporation X
through Trust T of which she is the sole
beneficiary. No other family member of A or
B owns, directly, any interest in
Corporation X nor does any own, indirectly,
any interest in Corporation X through any
entity. Neither A nor B owns any other
interest in Corporation X through any entity.
For the purposes of Part II, the 50%
interest of A in the voting stock of
Corporation X is attributed to B and the
10% interest of B in the voting stock of
Corporation X is attributed to A. A owns,
directly or indirectly, 60% of the voting
stock of Corporation X, 50% directly and
10% indirectly through B. B owns, directly
or indirectly, 60% of the voting stock of
Corporation X (50% indirectly through A
and 10% indirectly through Trust T).
Specific Instructions
Part I
Complete Part I if the corporation
answered “Yes” to Form 1120, Schedule K,
Question 4a. List each foreign or domestic
corporation, partnership, trust, or tax-
exempt organization that owns, at the end
of the tax year, directly 20% or more, or
owns, directly or indirectly, 50% or more of
the total voting power of all classes of the
corporation’s stock entitled to vote.
Indicate the name of the entity, employer
identification number (if any), type of entity
(corporation, partnership, trust, or tax-
exempt organization), country of
organization, and the percentage owned,
directly or indirectly, of the voting stock of
the corporation.
For an affiliated group filing a
consolidated tax return, list the parent
corporation rather than the subsidiary
members. List the entity owner of a
disregarded entity rather than the
disregarded entity. If the owner of a
disregarded entity is an individual rather
than an entity, list the individual in Part II.
Part II
Complete Part II if the corporation
answered “Yes” to Form 1120, Schedule K,
Question 4b. List each individual or estate
that owns, at the end of the tax year,
directly 20% or more, or owns, directly or
indirectly, 50% or more, of the total voting
power of all classes of the corporation’s
stock entitled to vote. Indicate the name of
the individual or estate, taxpayer
identification number (if any), country of
citizenship (for an estate, the citizenship of
the decedent), and the percentage owned,
directly or indirectly, of the voting stock of
the corporation.
