CH. 1—NORMAL TAXES AND SURTAXES
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(19) CHAEITABLE CONTRIBUTIONS IN EXCESS OF PRIOR YEARS'
LIMITATION.—Contributions made in the taxable year ending on the date of distribution or transfer and the prior taxable year by the distributor or transferor corporation in excess of the amount deductible under section 170(b)(2) in such taxable years shall be deductible by the acquiring corporation in its first two taxable years which begin after the date of distribution or transfer, subject to the limitations imposed in section 170(b)(2). SEC. 382. SPECIAL LIMITATIONS ON NET OPERATING LOSS CARRYOVERS. (a) PURCHASE o r A CORPORATION AND CHANGE IN I T S TRADE OR BUSINESS.—
(1) IN GENERAL.—If, at the end of a taxable year of a corporation— (A) any one or more of those persons described in paragraph (2) own a percentage of the total fair market value of the outstanding stock of such corporation which is at least 50 percentage points • more than such person or persons owned at^—• ' (i) the beginning of such taxable year, or "; (ii) the beginning of the prior taxable year, (B) the increase in percentage points at the end of such taxable i year is attributable to— (i) a purchase by such person or persons of such stock, the . stock of another corporation owning stock in such corporation, or an interest in a partnership or trust owning stock in such corporation, or
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(ii) a decrease in the amount of such stock outstanding or the amount of stock outstanding of another corporation owning "[ stock in such corporation, except a decrease resulting from a redemption to pay death taxes to which section 303 applies, and (C) such corporation has not continued to carry on a trade or business substantially the same as that conducted before any change in the percentage ownership of the fair market value of such stock, the net operating loss carryovers, if any, from prior taxable years of such corporation to such taxable year and subsequent taxable years shall not be included in the net operating loss deduction for such taxable year and subsequent taxable years. (2) DESCRIPTION OF PERSON OR PERSONS.—The person or persons
referred to in paragraph (1) shall be the 10 persons (or such lesser number as there are persons owning the outstanding stock at the end of such taxable year) who own the greatest percentage of the fair market value of such stock at the end of such taxable year; except that, if any other person owns the same percentage of such stock at such time as is owned by one of the 10 persons, such person shall also be included. If any of the persons are so related that such stock owned by one is attributed to the other under the rules specified in paragraph (3), such persons shall be considered as only one person solely for the purpose of selecting the 10 persons (more or less) who own the greatest percentage of the fair market value of such outstanding stock. § 382(a)(2)
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