We are a VC fund considering making an investment in a PFIC and while I know there are reporting obligations during the investment period, what additional impacts are there from a tax standpoint around sale or divestment?
Should we expect to pay additional taxes? Would these be passed on to LP's or charged at the Fund level? What strategies can be taken to mitigate any impacts?
Should we expect to pay additional taxes? Would these be passed on to LP's or charged at the Fund level? What strategies can be taken to mitigate any impacts?
