If it is necessary to convert from a foreign currency, attach a statement explaining how the conversion rate was determined. See Categories of Income on page 2 for descriptions. If the corporation has dividends from more than one noncontrolled section 902 corporation, complete a separate Form 1118 for dividends received from each of those corporations. Each separate form must identify the name and country of incorporation of each noncontrolled section 902 corporation in the space provided. Complete part of an additional Form 1118 that shows the totals of all the separate Forms 1118 for each noncontrolled section 902 corporation.
Gross income equals gross receipts reduced by cost of goods sold.
Report the applicable deductions to this gross income in columns 9 and 10. Be sure to include in all columns the gross income and deductions that pertain to foreign branches. Include taxes deemed paid by a domestic corporation under section 902 or section 960 on distributions by a foreign corporation in income as dividend gross-up. Enter all interest received from foreign sources. Include gross income, including compensation, commissions, fees, etc., for technical, managerial, engineering, construction, scientific, or similar services outside the United States.