KPMG PPT - Tax Executives Institute, Inc.
KPMG PPT - Tax Executives Institute, Inc.
KPMG PPT - Tax Executives Institute, Inc.
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Unified Loss Rules<br />
Attribute Reduction Rule<br />
►<br />
►<br />
►<br />
►<br />
The attribute reduction is limited to the lesser of<br />
► The net stock loss; and<br />
► The aggregate inside loss.<br />
The net stock loss is<br />
► The excess, if any, of the aggregate basis of all shares of the<br />
subsidiary’s stock transferred by members in the transaction over the<br />
value of those shares.<br />
The aggregate inside loss, with adjustments for lower-tier subsidiaries, is<br />
► The excess, if any, of the subsidiary’s net inside attribute amount over<br />
the value of all outstanding shares of subsidiary stock.<br />
Net attribute amount is the same as in the basis reduction rule.<br />
©2012 <strong>KPMG</strong> LLP, a Delaware limited liability partnership and the U.S. member firm of the <strong>KPMG</strong> network of independent member<br />
firms affiliated with <strong>KPMG</strong> International Cooperative (“<strong>KPMG</strong> International”), a Swiss entity. All rights reserved.<br />
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