Page:United States Statutes at Large Volume 102 Part 4.djvu/430

 102 STAT. 3400

26 USC 382 note.

PUBLIC LAW 100-647—NOV. 10, 1988 without regard to paragraph (4) thereof), appropriate adjustments to value, built-in gain or loss, and other items so that items are not omitted or taken into account more than once." (25) Clause (ii) of section 382(1)(5)(A) of the 1986 Code is amended by striking out "stock of controlling corporation" and inserting in lieu thereof "stock of a controlling corporation". (26) Clause (ii) of section 382(h)(3)(B) of the 1986 Code is amended by striking out "there shall not" and inserting in lieu thereof "except as provided in regulations, there shall not". (27) Subparagraph (B) of section 382(1)(5) of the 1986 Code is amended by striking out "the net operating loss deduction under section 172(a) for any post-change year shall be determined" and inserting in lieu thereof "the pre-chcmge losses and excess credits (within the meaning of section 383(a)(2)) which may be carried to a post-change year shall be computed". (28XA) Clause (ii) of section 382(h)(3)(A) of the 1986 Code is amended by striking out "determinations under clause (i)" and inserting in lieu thereof "to the extent provided in regulations, determinations under clause (i)". (B) The amendment made by subparagraph (A) shall apply in the case of ownership changes on or sifter June 21, 1988. (29) Subclause (I) of section 382(l)(5)(F)(iii) of the 1986 Code is amended by striking out "section 368(a)(D)(ii)" and inserting in lieu thereof "section 368(a)(3)(D)(ii)". (e) AMENDMENTS RELATED TO SECTION 631 OF THE REFORM ACT.—

(1) Clause (ii) of section 336(d)(2)(B) of the 1986 Code is amended to read as follows: "(ii)

CERTAIN ACQUISITIONS TREATED AS PART OF

PLAN.—For purposes of clause (i), any property described in clause (i)(1) acquired by the liquidated corporation after the date 2 years before the date of the adoption of the plan of complete liquidation shall, except as provided in regulations, be treated as acquired as part of a plan described in clause (i)(II)." (2) Paragraph (3) of section 336(d) of the 1986 Code is amended by adding at the end thereof the following new sentence: "The preceding sentence shall apply to any distribution to the 80percent distributee only if subsection (a) or (b)(1) of section 337 applies to such distribution." (3) Subsection (e) of section 336 of the 1986 Code is amended by striking out "such corporation may elect" and inserting in lieu thereof "an election may be made. (4) Subparagraph (B) of section 337(b)(2) of the 1986 Code is amended— (A) by striking out "or 511(b)(2)" in clause (i), (B) by striking out "in an unrelated trade or business (as defined in section 513)" in clause (i) and inserting in lieu thereof "in an activity the income from which is subject to tax under section 511(a)", and (C) by striking out "an unrelated trade or business of such organization" in clause (ii) and inserting in lieu thereof "an activity referred to in clause (i)". (5)(A) Subsection (d) of section 337 of the 1986 Code is amended— (i) by striking out "made to this subpart by the Tax Reform Act of 1986" and inserting in lieu thereof "made by subtitle D of title VI of the Tax Reform Act of 1986", and

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