PUBLIC LAWS-CH. 619-OCT. 21 , 1942 Signed consents. Payment. 26U.8.0.ji143 (), 144, and notes; 8upp. I, §§ 143 (b), 144. Ante, pp . 808, 861. 53 Stat. 75, 78. 26U. S .C. § 211(a), 231 (a); Suipp. I, §§ 211 (a), 231 (a). Ante, pp. 807, 808, 861. 53 Stat. 462. 26U.S.C.§3761 and note. 52 Stat. 578. 53 Stat. 83 . 26U.S.C.i272(0 and note. 53 Stat. 108. 26U. .C. 506; Supp. I, 506. Ante, p. 895. 49 Stat. 1732; 52 Stat. 561; 53 Stat. 108. 26U. S.C. 1i05. Ante, pp. 835, 846. (2) Such claim is accompanied by signed consents made under oath by each person to whom the corporation made such distri- bution agreeing to the inclusion of the amount of such distribu- tion to him in his gross income as a taxable dividend. If any such person is no longer in existence or is under disability then the consent may be made by his legal representative; and (3) Each such consent filed is accompanied by cash, or such other medium of payment as 'the Commissioner may by regula- tions authorize, in an amount equal to the amount that would be required by section 143 (b) or 144 of the applicable revenue law to be deducted and withheld by the corporation if the amount of the distribution to the shareholder had been paid to the shareholder in cash as a dividend. The amount accompany- ing such consent shall be credited against the tax under the applicable revenue law imposed by section 211 (a) or 231 (a) upon the shareholder. (h) OVERPAYMENTS AND DEFICIENCIES. -I f the refund or credit of any overpayment for any taxable year, to the extent resulting from the application of subsections (e) and (g) of this section is pre- vented on the date of the enactment of this Act or within one year from such date, then, notwithstanding any other provision of law or rule of law (other than this subsection and other than section 3761 of the Internal Revenue Code or section 3229 of the Revised Statutes, or such section as amended by section 815 of the Revenue Act of 1938, relating to compromises), such overpayment shall be refunded or credited in the same manner as in the case of an income tax erroneously collected if claim therefor is filed within one year from the date of the enactment of this Act. If the assessment or collec- tion of any deficiency for any taxable year, to the extent resulting from the application of subsections (e) and (g) of this section, is prevented on the date of the filing of the shareholders' consents referred to in subsection (e) or on the date of filing of the claim referred to in subsection (g) (1) or within one year from the date of filing of such consents or claim, as the case may be, then, notwith- standing any other provision of law or rule of law, such deficiency shall be assessed and collected if assessment is made within one year from the date of the filing of such consents or claim, as the case may be. The failure of a shareholder to include in his gross income for the proper taxable year the amount specified in the consent made by him referred to in subsection (g) (2) shall have the same effect, with respect to the deficiency resulting therefrom, as is provided in section 272 (f) of the applicable revenue law with respect to a deficiency resulting from a mathematical error appearing on the face of the return. (i) ADDITIONAL CREDIT OR REFUND FOR PRIOR YEARS.-Section 506 of the Internal Revenue Code (relating to deficiency dividends) is amended by adding at the end thereof the following new subsection: "(j) ADDITIONAL CREDIT OR REFUND FOR PRIOR TAXABLE YEAR. - "(1) ELECTION TO HAVE A CERTAIN DIVIDEND CONSIDERED AS A DEFICIENCY DrIDEND.-If a corporation was a personal holding company for any taxable year beginning after December 31, 1936, and prior to January 1, 1942, and its adjusted net income, Title 1A net income or Subchapter A net income, in the case of a tax imposed by Titles 1A of the Revenue Acts of 1936 and 1938, or Subchapter A of the Internal Revenue Code, as the case may be exceeds the sum of (A) the earnings and profits accumufated after February 28, 1913, as of the beginning of the taxable year and (B) the earnings and profits of the taxable year (computed 898 [56 STAT.
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