December 6, 1971 - 3 Pub. Law 92-177. 85 STAT. 496 (3) The corporation shall not retain any excess business holdings which would subject it to tax under section 4943 of the Code. 83 Stat. 507. (4) The corporation shall not make any investments which 26 USC 4943. would subject it to tax under section 4944 of the Code. (5) The corporation shall not make any taxable expenditures which would subject it to tax under section 4945 of the Code. With respect to any such corporation organized prior to January 1, Effective date, 1970, subsection (a) shall apply to taxable years beginning on or after January 1, 1972. (b) The governing instrument of any corporation described in subsection (a) may be amended, in the manner provided by law for amendment of such governing instrument, expressly to include the provisions required by section 508 (e) of the Code. (c) The provisions of subsection (a) shall not apply to any corporation to the extent that its governing instrument is amended in the manner provided by law for amendment of such governing instrument, expressly to exclude the application of subsection (a). (d) For purposes of this section, the term "corporation" includes an "Corporation." association (other than an association treated as a trust described in section 1801 of title 21 of the District of Columbia Code). (e) For the purposes of this section, the term "Code" means the Internal Revenue Code of 1954. SEC. 3. Except as otherwise provided in this Act, or in the amendments made by this Act, the provisions of this Act shall first apply with respect to taxable years of trusts and corporations beginning on or after January 1, 1970. SEC. 4. The table of chapters for title 21 of the District of Columbia Code is amended by inserting after the item relating to chapter 17 the following: 18. Charitable and split-interest trusts." Approved December 6, 1971. Ante, p. 494. "Code." 68A Stat. 3. Effective date. LEGISLATIVE HISTORY: HOUSE REPORT No. 92-610 (Comm. on the District of Columbia). Nov. 8, considered and passed House. Mr. WILLIAM S. COREY, Chairman, Taxation Committee, DEPARTMENT OF THE TREASURY, INTERNAL REVENUE SERVICE, Washington, D.C., January 12, 1972. The Bar Association of the District of Columbia, DEAR MR. COREY: This replies to your letter dated December 21, 1971, requesting a ruling that Public Law 92-177, a copy of which you submitted, satisfies the requirements of section 508 (e) (1) (A) and (B) of the Internal Revenue Code of 1954 with respect to private foundations under section 509, charitable trusts under section 4947 (a) (1), and split-interest trusts under section 4947 (a) (2) to the extent applicable, in the District of Columbia. We have reviewed this enacted legislation and it is our opinion that the provisions of the legislation satisfy the requirements of section 508(e) (1) (B) and (T) of the Internal Revenue Code of 1954 with respect to private foundations under section 509, charitable trusts under section 4947 (a) (1), and split-interest trusts under section 4947 (a) (2) to the extent applicable, governed by the laws of the District of Columbia, except for such corporations which expressly provide in their governing instruments that the applicable sections of District of Columbia law do not apply to them and except in the case of trusts where otherwise provided by decree of a court of competent jurisdiction. Sincerely yours, LINDEN HAMBLEN, Director, Miscellaneous and Special Provisions Tax Division. O COMMITTEE ON THE DISTRICT OF COLUMBIA NINETY-SECOND CONGRESS FIRST SESSION ON H.R. 5638 TO EXTEND THE PENALTY FOR ASSAULT ON A POLICE 59-596 O MARCH 29, 1971 Printed for the use of the Committee on the District of Columbia U.S. GOVERNMENT PRINTING OFFICE WASHINGTON: 1971 |