61 STAT.] 80TH CONG. , 1ST SESS.-CH. 249-JULY 15, 1947 (1) the "net operating loss carry-over" from any taxable year beginning after December 31, 1938, under the law applicable to such taxable year, and (2) the "excess profits credit carry-over" or the "unused excess profits credit carry-over" from any taxable year beginning after December 31, 1939, under the law applicable to such taxable year, the net operating losses and the unused excess profits credits of such predecessor corporation for the taxable year in which the acquisition occurred and for the two preceding taxable years shall be carry-overs to such successor corporation in the manner and to the extent provided in regulations prescribed by the Commissioner of Internal Revenue, with the approval of the Secretary of the Treasury, as necessary to apply such net operating losses and unused excess profits credits as carry-overs so far as possible as if the predecessor corporation had been made use of in such proceeding instead of the successor corporation. (b) For the purposes of this section, the taxable year of the suc- cessor corporation in which the acquisition occurred shall be consid- ered as a taxable year succeeding the taxable year of the predecessor corporation in which the acquisition occurred. (c) For the purposes of this section, if the period, beginning on the first day of the taxable year of the predecessor corporation in which the acquisition occurred and ending on the last day of the taxable year of the successor corporation in which the acquisition occurred, is not more than twelve months, the number of taxable years to which such net operating loss or unused excess profits credit is a carry-over shall be three instead of two, and such regulations shall prescribe (as nearly as possible in the same manner as provided in section 122 (b) (2) and section 710 (c) (3) (B) of such code) the amount to be carried over to the last of such succeeding years. SEC. 2. (a) In the case of any taxable year of the successor corpor- ation, if- (1) the aggregate for such taxable year of the taxes of the successor corporation imposed by chapter 1 and subchapter E of chapter 2 of the Internal Revenue Code, computed without regard to this Act, is less than the amount of- (2) the aggregate of such taxes (determined under regulations prescribed by the Commissioner with the approval of the Secre- tary) that would have been imposed on the predecessor corpora- tion for such taxable year if the predecessor corporation had been made use of in such proceeding instead of the successor corporation, then the taxes of the successor corporation for such taxable year shall be the taxes computed without regard to this Act. (b) In the case of any taxable year to which subsection (a) of this section is not applicable, if- (1) the aggregate for such taxable year of the taxes of the successor corporation imposed by chapter 1 and subchapter E of chapter 2 of the Internal Revenue Code, computed without regard to this section, is less than the amount of- (2) the aggregate of such taxes (determined under regula- tions prescribed by the Commissioner with the approval of the Secretary) that would have been imposed on the predecessor corporation for such taxable year if the predecessor corporation had been made use of in such proceeding instead of the successor corporation, 325 Carry-overs to suc- cessor corporations. Taxable year. 53 Stat. 867; 66 Stat. 900. 26U.S. C .§ 122(b) (2), 710 (c) (3) (B). Taxes of successor corporation. 53 Stat. 4; S4 Stat. 975. m2U. S . J. 1-421 , ,1 0-784. .1rite, pp.5, 179; pl.t, pp. 714 , 918, 919, 920 SuPra.
�
