546 ^ v l 0.1-461 (d).
PUBLIC LAW 183—OCT. 20, 1951
[65 STAT.
ning of its base period (determined without reference to section 461 (d)) and". (3) By striking from paragraph (3) thereof the words "which had commenced business prior to the beginning of its base period" and by inserting in lieu thereof the following: "which had commenced business prior to the end of its base period".
SEC. 5 5 AVERAGE BASE PERIOD NET INCOME—ALTERNATIVE BASED 0. ON GROWTH. 26U.^s.c*§'435(e).
Section 435(e)(2)(G) (relating to the alternative based on growth) is hereby amended by striking out the word "only'*. SEC. 506. ADJUSTMENTS FOR CHANGES IN INADMISSIBLE ASSETS IN CASE OF BANKS. 26u.*s.c^§'435(g). (^) AMENDMENT OF SECTION 435 (g).—Section 435(g) (relating to net capital addition or reduction) is hereby amended by redesignating paragraph (8) as paragraph (11) and by adding after paragraph (7) the following new paragraph: " (8)
ADJUSTMENTS FOR CHANGES I N INADMISSIBLE ASSETS I N CASE
Ante, p. 491.
Q^ BANKS.—In the case of a bank (as defined in section 104)— " (A) If the increase in total assets for the taxable year exceeds the net capital addition computed without regard to the adjustment under paragraph (1) for an increase in inadmissible assets, then the net capital addition for the taxable year shall not be less than the excess of— " (i) the amount determined under the first sentence of paragraph (1) over "(ii) an amount which bears the same ratio to the increase in inadmissible assets for the taxable year, determined under paragraph (6), as the amount computed under such first sentence Dears to the increase in total assets for the taxable year. "(B) If the decrease in total assets for the taxable year exceeds the net capital reduction computed without regard to the adjustment under paragraph (2) for a decrease in inadmissible assets, then the net capital reduction for the taxable year shall not be less than the excess of— " (i) the amount determined under the first sentence of paragraph (2) over "(ii) an amount which bears the same ratio to the decrease in inadmissible assets for the taxable year, determined under paragraph (5), as the amount computed under such first sentence bears to the decrease in total assets for the taxable year. For the purpose of this paragraph, the increase or decrease in total assets for the taxable year shall be computed in the same manner as the increase or decrease in inadmissible assets for the taxable year is computed under paragraph (5), except that such computations shall be made with respect to all assets, whether admissible 64 sta| mh ^^ oj, inadmissible assets as defined in section 440." ^W.p. 502. • (b) AMENDMENT OF SECTION 438.—Section 438 (relating to new capK a t. 1159. ital credit changes) is hereby amended by adding after subsection (f) 26 U.S.C. § 438. (^Q following new subsection: "(g)
Ante, p. 491. ^^p^'^-
ADJUSTMENTS FOR INADMISSIBLE ASSETS IN CASE OF BANKS.—
jj^ ^j^g ^.g^gg ^f j^ fcank (as defined in section 104), if the increase in total assets for the taxable year (determined in the manner provided in the last sentence of section 435(g)(8)) exceeds the net new capital addition computed without regard to the adjustment under subsection (b)
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