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Here is the official word from Microsoft TechNet, The C:\Users folder is shared when any sub folders from C:\Users\<username>\ is shared. The article is stale and mostly unhelpful, but worth knowing to complete the story.
To share a host folder with a virtual machine in VirtualBox, you must specify the path of that folder and choose for it a share name that the guest can use to access it. Hence, first create the shared folder on the host; then, within the guest, connect to it.ith the shared folders feature of VirtualBox, you can access files of your host system from within the guest system. This is similar how you would use network shares in Windows networks -- except that shared folders do not need require networking, only the Guest Additions.