- 16 - The only authority cited by petitioner in support of its position is Tech. Adv. Mem. 96-27-003 (Feb. 28, 1996).12 The TAM concluded that the definition of “redemption” in section 317(b) may have some general application in the determination of whether a redemption took place for the purposes of section 1.1502-13(f)(1), Income Tax Regs. Petitioner reads into this that respondent’s administrative position was that the definition of property set forth in section 317(a) is similarly relevant to the interpretation of the consolidated return regulations. This assumption is inaccurate. In G.C.M. 39,608 (Mar. 5, 1987),13 respondent determined that the gain realized on a consolidated subsidiary’s distribution of its parent’s stock to its parent in a section 311 transaction resulted in a deferral of gain pursuant to section 1.1502-14(c)(1), Income Tax Regs. The G.C.M. found the stock of the parent corporation to be “property” for purposes of the consolidated return regulations even though the stock was held by the parent as treasury stock after the distribution. The G.C.M. concurrently looked to the section 317(b) definition of 12Technical advice memoranda (TAMs) and private letter rulings have no precedential value but merely represent the Commissioner’s position as to a specific set of facts. See sec. 6110(k)(3); Bunney v. Commissioner, 114 T.C. ___, ___ n.2 (2000) (slip op. at 5). 13A general counsel memorandum is a legal opinion from one division of the Commissioner’s Office of Chief Counsel to another and is not binding on this Court. See Old Harbor Native Corp. v. Commissioner, 104 T.C. 191, 207 (1995).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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