Page:United States Statutes at Large Volume 81.djvu/181

 81 STAT.]

PUBLIC LAW 90-59-JULY 31, 1967

147

(b) APPLICATION OF EXECUTIVE ORDER 11198, ETC.— ^° 5sc Jai^' (1) The table in section 4931(c) (relating to debt obligations note. with maturity from 1 to 3 years) is amended to read as follows: _ J | Stat. 839; "If the period remaining to maturity is: "At least 1 year, but less than 1 ^ years At least 1 ^ years, but less than l^^ years At least IV2 years, but less than 1% years At least 1% years, but less than 2^4 years At least 2 ^ years, but less than 2% years At least 2% years, but less than 3 years

The tax, as a percentage of actual value, i s: 1. 58 percent 1, 95 percent 2. 25 percent 2. 78 percent 3. 45 percent 4.13 percent."

(2) Section 3(e)(1)(A) of the Interest Equalization Tax Extension Act of 1965 is amended to read as follows: " (A) by striking out subsection (c) (as amended by the Interest Equalization Tax Extension Act of 19G7) and redesignating subsections (d) and (e) as subsections (c) and (d), respectively;".

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^^ ^t^'- ^^s.

(c) EFFECTIVE DATE AND SPECIAL RULES.— (1) GENERAL RUiJE.—The amendments made by subsection (a)

shall apply only with respect to acquisitions of stock or debt obligations made after January 25, 1967. The amendment made by I)aragraph (1) of subsection (b) shall apply only with respect to acquisitions of debt obligations made after January 25, 1967, and before February 21, 1967 (the date on which the amendments made by section 3(e)(1) of the Interest Equalization Tax Extension Act of 1965 became effective). (2) PREEXISTING COMMITMENTS.—Except as provided in section 4911(b)(2)(C)(iii) of the Internal Revenue Code of 1954 (as added by such amendments), such amendments shall not apply to an acquisition— (A) made pursuant to an obligation to acquire which on January 25, 1967— (i) was unconditional, or (ii) was subject only to conditions contained in a formal contract under which partial performance had occurred; or (B) as to which on or before January 25, 1967, the acquiring United States person (or, in a case where 2 or more United States persons are making acquisitions as part of a single transaction, a majority in interest of such persons) had taken every action to signify approval of the acquisition under the procedures ordinarily employed by such person (or persons) in similar transactions and had sent or deposited for delivery to the foreign person from whom the acquisition was made written evidence of such approval in the form of a commitment letter, memorandum of terms, draft purchase contract, or other document setting forth, or referring to a document sent by the foreign person from whom the acquisition was made which set forth, the principal terms of such acquisition, subject only to the execution of formal documents evidencing the acquisition and to customary closing conditions. (3) PUBLIC OFFERINGS.—Such amendments shall not apply to an acquisition made on or before March 27, 1967, if— (A) a reijistration statement (within the meaning of the Securities Act of 1933) was in effect with respect to the stock or debt obligation acquired at the time ot its acquisition;

Ante, p. 146.

'^^ Stat. 74.

15 USC 77a.

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