Corporate Reorganizations; Distributions under Sections 368(a)(1)(D) and 354(b)(1)(B):

Federal Register Volume 76, Number 154 (Wednesday, August 10, 2011)

Rules and Regulations

Page 49300

From the Federal Register Online via the Government Printing Office [www.gpo.gov]

FR Doc No: 2011-20224

DEPARTMENT OF THE TREASURY

Internal Revenue Service 26 CFR Part 1

TD 9475

RIN 1545-BF83

Corporate Reorganizations; Distributions Under Sections 368(a)(1)(D) and 354(b)(1)(B); Correction

AGENCY: Internal Revenue Service (IRS), Treasury.

ACTION: Correcting amendment.

SUMMARY: This document describes a correction to final regulations (TD 9475) that were published on Friday, December 18, 2009 (74 FR 67053).

The regulations provide guidance regarding the qualification of certain transactions as reorganizations described in section 368(a)(1)(D) where no stock and/or securities of the acquiring corporation is issued and distributed in the transaction. This document also contains final regulations under section 358 that provide guidance regarding the determination of the basis of stock or securities in a reorganization described in section 368(a)(1)(D) where no stock and/or securities of the acquiring corporation is issued and distributed in the transaction.

This document also contains final regulations under section 1502 that govern reorganizations described in section 368(a)(1)(D) involving members of a consolidated group.

DATES: This correction is effective on August 10, 2011 and is applicable on December 18, 2009.

FOR FURTHER INFORMATION CONTACT: Bruce A. Decker, (202) 622-7790 (not a toll-free number).

SUPPLEMENTARY INFORMATION:

Background

The final regulations (TD 9475) that are the subject of this document are under sections 358, 368 and 1502 of the Internal Revenue

Code.

Need for Correction

As published, the final regulations (TD 9475) contain an error that may prove to be misleading and is in need of clarification.

List of Subjects in 26 CFR Part 1

Income taxes, Reporting and recordkeeping requirements.

Correction of Publication

Accordingly, 26 CFR part 1 is corrected by making the following correcting amendment:

PART 1--INCOME TAXES 0

Paragraph 1. The authority citation for part 1 continues to read in part as follows:

Authority: 26 U.S.C. 7805. * * * 0

Par. 2. Section 1.1502-13 is amended by adding paragraph (l)(6) to read as follows:

Sec. 1.1502-13 Intercompany transactions.

* * * * *

(l) * * *

(6) Effective/applicability date. (i) In general. Paragraph

(f)(7)(i) Example 4. applies to transactions occurring on or after

December 18, 2009.

(ii) [Reserved]

* * * * *

LaNita Van Dyke,

Chief, Publications and Regulations Branch, Legal Processing Division,

Associate Chief Counsel, (Procedure and Administration).

FR Doc. 2011-20224 Filed 8-9-11; 8:45 am

BILLING CODE 4830-01-P