The Limited, Inc., and Consolidated Subsidiaries - Page 33

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          aid its domestic business activities, except as the issuer of a             
          private-label credit card or as the recipient of large deposits             
          of funds that are not needed immediately.  Those are insufficient           
          services for us to conclude that WFNNB was “carrying on the                 
          banking business” as Congress used that phrase in section                   
                    2.  Dividend Equivalence                                          
               As originally enacted, in 1962, the repatriation provision             
          classified as U.S. property virtually all investments by a                  
          controlled foreign corporation of its earnings in the United                
          States.  There was little, if any, reason for Congress to include           
          a related-party restriction in the exception for section 956                
          deposits.11  By 1976, however, the tax writing committees of                

          11   From the enactment of the Bank Holding Company Act of 1956             
          (BHCA), Pub. L. 91-607, ch. 240, 70 Stat. 133, currently codified           
          at 12 U.S.C. secs. 1841-1850 (1994), until its amendment by the             
          Bank Holding Company Act Amendments of 1970 (BHCA 1970                      
          Amendments), Pub. L. 91-607, 84 Stat. 1760, a bank holding                  
          company was defined as a company having control over two or more            
          banks.  The BHCA would, thus, not have impeded a nonbanking                 
          company, such as petitioner, from owning a single bank.                     
          Nevertheless, petitioner has failed to show us that, in 1962                
          (when subpart F was enacted), that possibility was any more than            
          theoretical.  See S. Rept. 91-1084 (1970), 1970 U.S.C.C.A.N.,               
          p. 5519, 5522 (accompanying H.R. 6778, which was enacted as BHCA            
          1970 Amendments, and describing "the theoretical freedom of a               
          one-bank holding company to engage in any business, or acquire              
          anything it desires (subject to antitrust laws)"; Conf. Rept. 91-           
          1747 (1970), 1970 U.S.C.C.A.N., p. 5561, 5562 (also accompanying            
          H.R. 6778 and stating that, “[i]n the late 1960's”, nonbank                 
          corporations began acquiring one bank, “thus mixing banking and             
          nonbanking in complete contravention of the purpose of both                 

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