98 STAT. 570
PUBLIC LAW 98-369—JULY 18, 1984 ..
the property distributed is determined under section 301(d)(2) of the Internal Revenue Code of 1954. (B) 80-PERCENT CORPORATE SHAREHOLDER.—The term "80-
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percent corporate shareholder" means, with respect to any distribution, any corporation which owns— (i) stock in the corporation making the distribution possessing at least 80 percent of the total combined voting power of all classes of stock entitled to vote, and (ii) at least 80 percent of the total number of shares of all other classes of stock of the distributing corporation (except nonvoting stock which is limited and preferred as to dividends). (C) SPECIAL RULE FOR AFFILIATED GROUP FIUNG CONSOLIDATED RETURN.—For purposes of this paragraph and para-
graph (4), all members of the same affiliated group (as defined in section 1504 of the Internal Revenue Code of 1954) which file a consolidated return for the taxable year which includes the date of the distribution shall be treated as 1 corporation. (4) EXCEPTION FOR CERTAIN DISTRIBUTIONS WHERE TENDER OFFER COMMENCED ON MAY 23, 1984.—
(A) IN GENERAL.—The amendments made by subsection (a) shall not apply to any distribution made before September 1, 1986, if— (i) such distribution consists of qualified stock held " '^' * (directly or indirectly) on June 15, 1984, by the distributing corporation, (ii) control of the distributing corporation (as defined Post, p. 584. lebnrj r in section 368(c) of the Internal Revenue Code of 1954) is acquired other than in a tax-free transaction after ( 3' f. • ^ ^ January 1, 1984, but before January 1, 1985, (iii) a tender offer for the shares of the distributing corporation was commenced on May 23, 1984, and was amended on May 24, 1984, and 3iiK>, (iv) the distributing corporation and the distributee corporation are members of the same affiliated group ,; 8 - c A r* (as defined in section 1504 of such Code) which filed a consolidated return for the taxable year which includes the date of the distribution. If the common parent of any affiliated group filing a consolidated return meets the requirements of clauses (ii) and (iii), , each other member of such group shall be treated as meeting .«,>!i ' such requirements. (B) QUALIFIED STOCK.—For purposes of subparagraph (A), -4o;::< ki i ifii the term "qualified stock" means any stock in a corporation which on June 15, 1984, was a member of the same affiliated group as the distributing corporation and which filed a consolidated return with the distributing corporation for the taxable year which included June 15, 1984. ^ * " —"'" '
(5) EXCEPTION FOR CERTAIN DISTRIBUTIONS.—
(A) IN GENERAL.—The amendments made by this section shall not apply to distributions before February 1, 1986, if— or, '.Si (i) the distribution consists of property held on March 7, 1984 (or property acquired thereafter in the ordinary nc.; + «>" course of a trade or business) by— (I) the controlled corporation, or (II) any subsidiary controlled corporation,
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