Reg. § 1.545-1 Definition.
(a) Undistributed personal holding company income is the amount which is subject to the personal holding company tax imposed under section . Undistributed personal holding company income is the taxable income of the corporation adjusted in the manner described in section and , and section and , less the deduction for dividends paid. See part IV (section and following), subchapter G, chapter 1 of the Code, and the regulations thereunder, relating to the dividends paid deduction.
(b) For purposes of the imposition of the personal holding company tax on a foreign corporation, resident or nonresident, which files or causes to be filed a return, the undistributed personal holding company income shall be computed on the basis of the taxable income from sources within the United States, and such income shall be adjusted in accordance with the principles of section and , and section and . For purposes of the imposition of such tax on a foreign corporation, resident or nonresident, which files no return, the undistributed personal holding company income shall be computed on the basis of the gross income from sources within the United States without allowance of any deductions. For purposes of this paragraph, a nonresident foreign corporation will be considered to have filed a return for any taxable year ending before September 9, 1958, if the return for any such taxable year is filed on or before February 5, 1960.
[T.D. 6949, 33 FR 5525, Apr. 9, 1968]