The Limited, Inc., and Consolidated Subsidiaries - Page 29

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          modifying (and, thus, describing or limiting) the noun “persons”.           
          The phrase expresses an action required of such persons.  That              
          action is to carry on “the banking business”.  Congress' use of             
          the definite article “the” to modify the subordinate term                   
          “banking business” indicates a purpose to particularize the                 
          activity or activities required of such persons.  Such persons              
          must do something in particular:  They must carry on (i.e.,                 
          conduct) a business.  Not any business, but the banking business;           
          not a banking business (which would suggest a variety of                    
          businesses that would qualify) but the banking business.  Our               
          textual analysis convinces us that Congress did not intend that             
          the term "persons carrying on the banking business" apply to                
          every person that is conducting one or more of the activities               
          that are considered to be part of a banking business by any                 
          statute, agency, or industry.  Therefore it is not sufficient for           
          petitioner to prove that the activities and business that WFNNB             
          carried on were a banking business.  Rather, the issue is whether           
          WFNNB was “carrying on the banking business”, as those terms are            
          used in section 956(b)(2)(A).  (Emphasis added.)                            
               From the context of the term “the banking business” we infer           
          that Congress meant a group of activities carried on to aid the             
          domestic business activities of controlled foreign corporations.            
          For example, section 956(b)(2)(B) and (C) except, from the                  
          definition of U.S. property, property that is purchased for                 

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Last modified: May 25, 2011