If the net proceeds of the sale were distributed to the acquired corporation's shareholders immediately before the merger and not retained, the transaction could continue to qualify as a type A reorganization, because a statutory merger does not have a "substantially all" requirement (as in other types of reorganizations).
368-2(b)(1)(iii), Example (9), a stock acquisition of a target followed by the conversion of the target from a corporation to an LLC under state law cannot qualify as a statutory merger or consolidation.
Accordingly, Y's acquisition of V's assets does not qualify as a statutory merger or consolidation for Sec.
Research and experimental activities under section 174 and the creation of intangibles do not qualify as being substantial in nature for any QPP other than computer software and sound recordings.
In determining whether the 20-percent test is met, research and experimental costs under section 174 and the costs of creating intangibles do not qualify as conversion costs for any QPP other than computer software and sound recordings.
The general audit plan correctly notes that the legislative history confirms that no formal scientific hypothesis is necessary for a method to qualify as
a process of experimentation.
Since loan amounts may exceed the limit after October 13, 1987, only a portion may be grandfathered; the excess may qualify as
home equity debt.
does not qualify as a WCFB), the proper treatment depends on whether the educational assistance is provided as a cash payment or in-kind.
Although some of these amounts might also qualify as a deductible/tax-free WCFB, the qualified EAP rules apply first.
meets its basic design specifications related to function and performance level" would not qualify as R&E expenditures under section 174 unless they were made to cure a significant design defect, obtain significant cost reductions, or achieve significantly enhanced function or performance levels.
Taxpayers that initially applied either the timeline approach of the 1989 regulations or the "operational feasibility" standard of the 1983 regulations to computer software development expenditures should now find that more of these costs qualify as R&E expenditures under the uncertainty standard of the final regulations.
Even if a plan mainly benefits a select group of management or highly compensated employees, it must be unfunded to qualify as
a top-hat plan.
The Supreme Court also ruled that voluntary contributions of unencumbered property to a qualified plan by a disqualified party will not qualify as
Some (but not all) types of trusts may qualify as S shareholders; as such, several commonly used estate planning techniques involving trusts must be modified before they can be used in conjunction with S stock.
Certain nonforeign trusts can qualify as S shareholders.