foreign corporations

A foreign corporation is a company that is registered and operates in one country but conducts business or has a physical presence in another country. For example, an American company opening a branch or subsidiary in Canada is considered a foreign corporation in Canada. These companies are subject to the laws and regulations of the country where they operate, and they may face different tax and legal requirements depending on the jurisdiction. Essentially, "foreign" indicates the company's country of origin differs from where it is currently doing business.