Consolidated return election may mitigate stock basis decrease from phantom item.: An article from: The Tax Adviser

This digital document is an article from The Tax Adviser, published by American Institute of CPA's on June 1, 1995. The length of the article is 2175 words. The page length shown above is based on a typical 300-word page. The article is delivered in HTML format and is available in your Amazon.com Digital Locker immediately after purchase. You can view it with any web browser.

From the supplier: The August 1994 IRS regulations for consolidated returns separate stock basis from earnings and profits calculations for members of a consolidated group and provide taxpayers with some relief from stock basis adjustments that may occur because of acquisition of a subsidiary with net operating losses. The election under the IRC section 1502 regulations allows the group to elect to treat separate return carryover net operating losses as having expired immediately before the acquisition of the subsidiary. This election allows the consolidated group to avoid reducing basis by the amount of the loss when it expires.

Citation Details
Title: Consolidated return election may mitigate stock basis decrease from phantom item.
Author: Mike Frankel
Publication:The Tax Adviser (Magazine/Journal)
Date: June 1, 1995
Publisher: American Institute of CPA's
Volume: 26 Issue: n6 Page: 352(3)

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