14 Limitations under IRC 382, on the use of the Net Operating Losses held by an acquired corporation are determined by: a. The value of the old loss corporation multiplied by the long-term tax-exempt rate. b. The ratio of intangible assets acquired versus total assets c. Percentage of profits generated by the acquired corporation compared to the consolidated group d. The number of years over which the acquired corporation accumulated the losses

14 Limitations under IRC 382, on the use of the Net Operating Losses held by an acquired corporation are determined by: a. The value of the old loss corporation multiplied by the long-term tax-exempt rate. b. The ratio of intangible assets acquired versus total assets c. Percentage of profits generated by the acquired corporation compared to the consolidated group d. The number of years over which the acquired corporation accumulated the losses

Individual Income Taxes

43rd Edition

ISBN:9780357109731

Author:Hoffman

Publisher:Hoffman

Chapter17: Property Transactions: §1231 And Recapture Provisions

Section: Chapter Questions

Problem 18DQ

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Concept explainers

Consolidation

Consolidation in general examination implies an asset oscillating between well-defined methods of trading status. Consolidation is commonly known as market indecisiveness, which completes when the asset's values move forward or backward the trading structure.

Question

14 Limitations under IRC 382, on the use of the Net Operating Losses held by an acquired corporation are determined by:

a. The value of the old loss corporation multiplied by the long-term tax-exempt rate.
b. The ratio of intangible assets acquired versus total assets
c. Percentage of profits generated by the acquired corporation compared to the consolidated group
d. The number of years over which the acquired corporation accumulated the losses

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