When a New Corporation Is Created from the Old Subsidiary

question 43

Multiple Choice

When a new corporation is created from the old subsidiary under provisions of § 338, the new corporation may

• A)Adopt any tax year that suits its purposes, limited only by the consolidated return rules
• B)Disregard anti-churning rules and use ACRS depreciation for all of the purchased property
• C)Not have available any net operating loss carryovers of the old subsidiary
• D)Do all of the above

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