- 38 -
Based on an Agreement dated January 30, 1984 by and
among Alumax Inc., AMAX Inc., Mitsui and Co., Ltd. and
Mitsui and Co. (U.S.A.) Inc. as amended that gives AMAX
Inc. 80% of the voting power of all classes of Alumax
stock entitled to vote, Alumax and each of its subsid-
iaries hereby elects under United States Treasury
Regulations Section 1.1502-76(b)(5)(i) to become a
member of the group of which AMAX Inc. is the common
parent as of January 1, 1984[;]
and (3) a "Disclosure Statement under Section 6661 of the Inter-
nal Revenue Code" that was required to be filed as part of that
return in accordance with an agreement between Amax and Mitsui
USA and that provided:
An Agreement dated January 30, 1984 by and among
Alumax Inc., AMAX Inc., Mitsui & Co. Ltd. and Mitsui &
Co. (U.S.A.), Inc. as amended (a copy of which is
attached hereto) gives AMAX Inc. 80% of the voting
power of all classes of Alumax stock entitled to vote.
* * * Based on the Agreement Alumax and each of its
subsidiaries has elected under United States Treasury
Regulations Section 1.1502-76(b)(5)(i) to become a
member of the group of which AMAX Inc. is the common
parent as of January 1, 1984. Accordingly, Alumax and
each of its subsidiaries is included as of January 1,
1984 in the AMAX Inc. Consolidated Income Tax Return
filed for the year ended December 31, 1984.
As a result of the inclusion of petitioners' group in the
consolidated returns filed by Amax for 1984, 1985, and 1986,
(1) the taxable income of petitioners' group for each of those
years was offset in the computation in those returns of the
consolidated taxable income by net operating losses of members of
the Amax group; and (2) general business credits (credits) under
section 38 of petitioners' group for each of the years 1984,
1985, and 1986 (consisting of investment tax credits for those
years and jobs credits for 1984 and 1985) were carried back
Page: Previous 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 NextLast modified: May 25, 2011