72d CONGRESS . SESS . I. CH. 209 . JUNE 6, 1932 .
213 SEC. 132. PA YMEN TS U NDER 192 8 ACT. Any amount pai d be fore or after the enactment of this Act on account of the tax imposed for a fiscal year beginning in 1931 and ending in 1932 by Title II of the Rev enue Act of 1928 shall be credited toward the payment of the tax imposed for such fiscal year by this Act, and if the amount so paid exceeds the amount of such tax imposed by this Act, the excess shall be credited or refunded in accordance with the provisions of section 322 . Su pple ment D-R etur ns and P aymen t of Tax INCOME TAX Actgyments under 192 8 credits or refunds . Vol .45,p.882 Post, p . 242 . Returns and Pay- ment of Tax. [Supplementary to Subtitle B, Part V] SEC. 141 . CONSOLIDATED RETURNS OF CORPORATIONS .
Cons olid ated ret urns of corporations . (a) PRIVILEGE TO FILE CONSOLIDATED REmiuNs .-An affiliated Affiliated corpora- group of corporations shall, subject to the provisions of this section, tions may make . have the privilege of making a consolidated return for the taxable year in lieu of separate returns . The making of a consolidated Consent required . return shall be upon the condition that all the corporations which have been members of the affiliated group at any time during the taxable year for which the return is made consent to all the regula- c Returns made ~~o or r tions under subsection (b) (or, in case such regulations are not tiers • prescribed prior to the making of the return, then the regulations vol. 45, p . 831. prescribed under section 141(b) of the Revenue Act of 1928 in so far as not inconsistent with this Act) prescribed prior to the making of such return ; and the making of a consolidated return shall be considered as such consent . In the case of a corporation which is a Frac tion al p art of member of the affiliated group for a fractional part of the year the y ear- consolidated return shall include the income of such corporation for such part of the year as it is a member of the affiliated group . (b) REGULATIONS .--The Commissioner, with the approval of the te R r me i~netiai c ° l~latuitya~ Secretary, shall prescribe such regulations as he may deem necessary in order that the tax liability of an affiliated group of corporations malting a consolidated return and of each corporation in the group, both during and after the period of affiliation, may be determined, computed, assessed, collected, and adjusted in such manner as clearly to reflect the income and to prevent avoidance of tax liability . (C) COMPUTATION AND PAYMENT of T_Ax .In any case in which a payment of tax. and consolidated return is made the tax shall be determined, computed, assessed, collected, and adjusted in accordance with the regulations mReturns w orsr to under subsection (b) (or, in case such regulations are not prescribed Vol. 45, p. 831. prior to the making of the return, then the regulations prescribed under section 141(b) of the Revenue Act of 1928 in so far as not inconsistent with this Act) prescribed prior to the date on which such return is made ; except that for the taxable years 1932 and 1933 E 4e ce epp.° there shall be added to the rate of tax prescribed by sections 13(a), Post, pp . 223,225 . 177 . 201(b), and 204(a), a rate of 3/4 of 1 per centum . (d) DEFINITION OF " AFFILIATED GRouP " .- As used in this section defiAned .iced group" an " affiliated group " me ans one or more chains of corporations connected through stock ownership with a common parent corpora- t ion if- (1) At least 95 per centum of the stock of each of the corpora- members°S°nersiup of tions (except the common parent corporation) is owned directly by one or more of the other corporations ; and (2) The common parent corporation owns directly at least 95 ti at parent corpora per centum of the stock of at least one of the other corporations. As used in this subsection the term " stock " does not include non- Nonvoting stock not voting stock which is limited and preferred as to dividends .
included .
