Article: S corporation AAAs and C corporation AE&Ps. (accumulated adjustment accounts, accumulated earnings & profits)

The proposed Sec. 1368 regulations released June 9, 1992 for S distributions apparently might require combining positive and negative accumulated adjustment accounts (AAAs) of constituent S corporations after a merger of the corporations (Prop. Regs. Sec. 1.1368-2(d)(2)). Previous guidance under Sec. 1368 included Letter Ruling 9009.051, which concluded that the positive AAAs of constituent S corporations in a statutory merger should be combined. However, Letter Ruling 9046036 concluded that the positive and negative AAAs of constituent S corporations would be segregated after a merger, citing Sec. 381(c)(2). Prop. Regs. Sec. 1.1368-2(d)(2) refers to a merger of the AAAs ...

Related newspaper, magazine, and journal articles:

 
 
Newsweek Harper's Magazine The Washington Post Chicago Tribune Crain's Chicago Business PRNewswire Pediatric News The Nation Advertising Age The Economist (US) A FREE trial gives you access to over 80 million articles! Access over 6,500 publications with a FREE trial!