Specifically Attributable Taxes

and Income (Section 999(c)(2))

SCHEDULE B

(Form 5713)

(Rev. December 2004) O

Department of the Treasury

Internal Revenue Service  Attach to Form 5713.  See instructions on page 2.

Name Identifying n

Name of country being boycotted (check one) Israel Other (identify) 

Specifically Attributable Taxes and Income by Operation (Use a separate line for each o

Principal business activity Foreign tax credit Subpart F income IC-DISC incom

Name of country

Taxable incom

attributable to

boycott

operations

Prorated share of

international

boycott income

Foreign taxes

attributable to

boycott

operations

Code Description

(1) (2) (3) (4) (5) (6) 

a

b

c

d

e

f

g

h

i

j

k

l

m

n

o Total 

Important: If you are involved in more than one international boycott, use a separate Schedule B (Form 571

specifically attributable taxes and income for each boycott.

For Paperwork Reduction Act Notice, see the instructions for Form 5713. Cat. No. 12060S Schedule B (Form 5

 Complete only if you are not computing a loss of tax benefits

using the international boycott factor on Schedule A (Form 5713).
Schedule B (Form 5713) (Rev. 12-2004) 

Enter the column (4

Schedule C (Form 571

General Instructions

Section references are to the Internal

Revenue Code unless otherwise noted. Column (5). Enter you

of the controlled foreig

income that is attribut

boycott operation. (Th

share of the non-exem

FSC. See section 923

before its repeal.) This 

eligible for tax deferra

foreign corporation’s i

attributable to earning

that are included in gr

under section 951 (ex

of section 952(a)(3)). A

amounts excluded fro

income by section 95

the amount to enter in 

are allowed a reasona

deductions (including 

allocable to that incom

Who Must File

Specific Instructions

File Schedule B (Form 5713) for the

period covered by your income tax

return. Report only your own taxes

and income; do not include the taxes

and income of other members of any

controlled groups to which you

belong.

Enter the column (5

Schedule C (Form 571

Columns (1) through (7)

Column (6). An IC-DIS

income attributable to 

participation or coope

eligible for deferral.

Certain shareholders. IC-DISC

benefits, certain FSC benefits, the

“deemed paid” foreign tax credit under

section 902, and the deferral of

subpart F income are lost at the

shareholder level. Shareholders in an

IC-DISC, certain FSCs, or a foreign

corporation must report their prorated

share of the tax benefits denied. The

denial of these benefits is discussed in

the specific instructions for columns

(4) through (7).

Column (2). Enter the principal

business activity code of the boycott

operation from the list beginning on

page 5 of the Instructions for

Form 5713.

Column (3). Briefly describe the

principal business activity of the

boycott operation. For IC-DISCs, enter

the major product code and

description in parentheses. See the

Instructions for Schedule N of

Form 1120-IC-DISC for a list of the

codes.

Column (7). A FSC’s 

attributable to boycott 

cooperation is not elig

exemption from incom

column (7) the taxable 

attributable to foreign 

a FSC for each boyco

would have been exem

not been boycott part

cooperation.

Column (4). Enter the foreign taxes

paid, accrued, or deemed paid that

are attributable to the boycott

operation. These taxes are not eligible

for the foreign tax credit. Omit foreign

taxes otherwise disallowed under

sections 901 through 907, 911, and

6038. For more information, see

Part N of the Treasury Department’s

International Boycott Guidelines.

All of your operations in a boycotting

country are considered to be boycott

operations, unless you rebut the

presumption of participation in or

cooperation with the boycott (as

explained below). In addition, your

operations that are not in a boycotting

country are boycott operations if they

are connected to your participation in

or cooperation with the boycott.

Enter the column (7

Schedule C (Form 571

If you are a shareho

IC-DISC, follow these 

boycott operation and 

in column (6).

In completing columns (1) through (7),

show all specifically identifiable taxes

and income in each appropriate

column from one operation on one

line.

Column (1). Enter the name of the

country that requires participation in or

cooperation with an international

boycott as a condition of doing

business in that country. The country

named in column (1) is not necessarily

the country where you have

operations. For example, if you have

operations in Country Z that is not a

boycotting country and the operation

relates to Country X that is a

boycotting country, enter the name of

Country X in column (1). See page 2

of the Instructions for Form 5713 for a

list of boycotting countries.

Printed on recycled paper

Boycott Operations

Rebutting the presumption of

boycott participation or cooperation.

One act of participation or cooperation

creates the presumption that you

participate in or cooperate with the

boycott unless you rebut the

presumption. The presumption applies

to all of your operations and those of

each member of any controlled groups

(defined in section 993(a)(3)) to which

you belong, in each country that helps

carry out the boycott.

Complete Schedule B (Form 5713) if:

1. Determine the po

amount on Form 1120

Schedule J, Part I, line 

attributable to the boy

2. Subtract that am

IC-DISC’s taxable inco

to the boycott operati

year, before reduction 

distributions.

3. If you are a C co

determine your pro ra

remainder and multipl

16/17. If you are not a 

determine your pro ra

remainder.

4. Enter the result in 

● You participated in or cooperated

with an international boycott and

● You figure the loss of tax benefits by

specifically attributing taxes and

income.

If you do not specifically attribute

taxes and income for this purpose,

you must compute the international

boycott factor on Schedule A

(Form 5713).

You can rebut the presumption of

participation in or cooperation with a

boycott for a particular operation by

demonstrating that the operation is

separate from any participation in or

Enter the column (6

Schedule C (Form 571

cooperation with an international

boycott. The presumption applies only

to operations in countries that carry

out the boycott. Therefore, you do not

need to rebut the presumption for

operations that are related to those

countries if the operations take place

outside of those countries.

Do not use Schedule B (Form 5713)

to figure the reduction to foreign trade

income qualifying for the

extraterritorial income exclusion.

Instead, use Schedule A (Form 5713).