- (1) Basis of Property Acquired on Liquidation of Subsidiary. The basis of property acquired by a corporation as a result of a liquidation of a subsidiary to which §40-18-8(h), Code of Ala. 1975, applies shall be determined in accordance with 26 U.S.C. §334(b). For interpretation of federal statutes adopted by the Alabama Legislature see Rule 810-3-1.1-.01, Operating Rules.
- (2) §40-18-8(h) concerns the complete liquidation of subsidiaries satisfying the requirements of 26 U.S.C. §332.
Author: Ed Cutter, CPA
Statutory Authority: Code of Ala. 1975, §§40-2A-7(a)(5), 40-18-6.
History: New Rule: Filed April 28, 1999; effective June 2, 1999.