- 7 - the amount of the net operating loss for such taxable year. The consolidated return regulations provide rules concerning the determination and use of NOL's in the consolidated return context. Section 1.1502-11(a), Income Tax Regs., prescribes that consolidated taxable income is to be determined by taking into account the separate taxable income of each member of the group and, among other things, "Any consolidated net operating loss deduction". Id. Section 1.1502-21A(a), Income Tax Regs.,3 provides that the CNOL deduction is equal to the aggregate of the CNOL carryovers and carrybacks to the taxable year. In pertinent part, section 1.1502-21A(b)(1), Income Tax Regs., provides that the CNOL carryovers and carrybacks to the taxable year shall consist of any of the group's CNOL's that may be carried back or over to the taxable year under the provisions of section 172(b). 3 During 1996, the Department of the Treasury promulgated sec. 1.1502-21T, Temporary Income Tax Regs., 61 Fed. Reg. 33328 (June 27, 1996), generally effective for consolidated return years beginning on or after Jan. 1, 1997, sec. 1.1502-21T(g)(1), Temporary Income Tax Regs., 61 Fed. Reg. 33333 (June 27, 1986). Former sec. 1.1502-21, Income Tax Regs., was redesignated sec. 1.1502-21A, Income Tax Regs., generally effective for consolidated return years beginning before Jan. 1, 1997. T.D. 8677, 1996-2 C.B. 119, 127. In certain circumstances, a consolidated group may apply the temporary regulations to all consolidated return years ending on or after Jan. 29, 1991, and beginning before Jan. 1, 1997. Sec. 1.1502-21T(g)(3), Temporary Income Tax Regs, 61 Fed. Reg. 33333 (June 27, 1986). The consolidated return year in issue began before Jan. 1, 1997, and neither party contends that the temporary regulations apply in the instant case. Accordingly, it is undisputed that sec. 1.1502-21A, Income Tax Regs., applies to the consolidated return year in issue.Page: Previous 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 Next
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