What is a qualified electing fund (QEF)?
• Election by any passive foreign investment company to be treated as qualified electing fund. A passive foreign investment company will be treated as a qualified electing fund with respect to the taxpayer if an election by the taxpayer under the Code applies to such company for the taxable year and such company complies with various requirements for the purposes of determining the ordinary earnings and net capital gain of such company, and otherwise carrying out the purposes of the Code.
