- 98 -
to attempt by legislation to prescribe the various
detailed and complicated rules necessary to meet the
many differing and complicated situations. Accord-
ingly, it has found it necessary to delegate power to
the Commissioner to prescribe regulations legislative
in character covering them. * * * Furthermore, the
section requires that all the corporations joining in
the filing of a consolidated return must consent to the
regulations prescribed prior to the date on which the
return is filed.
Among the regulations which it is expected that
the Commissioner will prescribe are: * * * (5) that the
corporations filing the consolidated return must desig-
nate one of their members as the agent for the group,
in order that all notices may be mailed to the agent,
deficiencies collected, refunds made, interest com-
puted, and proceedings before the Board of Tax Appeals
conducted as though the agent were the taxpayer. [S.
Rept. 960, 70th Cong., 1st Sess. (1928), 1939-1 C.B.
(Part 2) 409, 419.]
Congress ultimately accepted the Senate Finance Committee's
recommendations and enacted section 141(b) of the 1928 Act. The
Secretary responded to the enactment of section 141(b) of the
1928 Act and promulgated, inter alia, article 17(a) of Regula-
tions 75. That regulation, like its successor section 1.1502-
77(c), Income Tax Regs., designates the common parent of a group
of corporations that files a consolidated return as the agent for
those corporations in extending the period of limitations for the
assessment of tax against any of those corporations, regardless
whether any of them is required to file a separate return.
In connection with the enactment of the 1954 Code, the House
proposed incorporating into law the then extant regulations under
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