Page:United States Statutes at Large Volume 65.djvu/596

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562 64 Stat. 1149. 2 6 U.S.C. § 435(d). Ante, p. 561.

64 Stat. 1206. 26 U.S.C. § 463.

PUBLIC LAW 183—OCT. 20, 1951

[65 STAT.

(d) by recomputing its excess profits net income under the provisions of section 462(b)(4), the amount of the component corporation's excess profits net income for any month which shall be taken into account by the acquiring corporation shall be such portion of the component corporations excess profits net income for such month as is determined on the basis of the earnings experience of the assets transferred and the assets retained by the component corporation." (5) Section 463 (relating to capital changes) is amended by inserting at the end thereof the following new subsection: "(c) COMPONENT CORPORATION W H I C H W A S A PURCHASING CORPORATION IN A PREVIOTJS TRANSACTION.—The Secretary shall provide by

Ante, p. 561. 64 Stat. 1208. 26 U.S.C. § 464.

64 Stat. 1177. 26 U. 8. C. § 450 (b) (1).

Ante, p. 547.

regulations for the application of this section in cases to which section 462 (b)(4) is applicable." (6) Section 464 (relating to capital changes during the base period) is amended by inserting at the end thereof the following new subsection: "(c) The Secretary shall provide by regulation for the application of this section in cases to which section 462(b)(4) is applicable." SEC 522. STRATEGIC MINERALS. Section 450(b)(1) (relating to corporations engaged in mining of strategic minerals) is hereby amended by inserting after "chromite," the following: "bauxite,". SEC. 523. EFFECTIVE DATE OF TITLE V. Except as otherwise provided in section 506(d), the amendments made by this title shall be applicable only with respect to taxable years ending after June 30, 1950.

TITLE VI—MISCELLANEOUS PROVISIONS AND AMENDMENTS 64 Stat. 953. 26 U.S.C. §101note.

SEC. 60L EXEMPTION OF CERTAIN ORGANIZATIONS FROM INCOME TAX FOR PRIOR TAXABLE YEARS. Section 302 of the Revenue Act of 1950 (relating to exemption of certain organizations for past years) is amended by adding at the end thereof the following new subsection: " (d) PROFITS INURING TO THE BENEirr OF CERTAIN EDUCATIONAL ORGANIZATIONS OR HOSPITALS.—For any taxable year beginning prior

53 Stat. 33. 26 U.S.C. § 101. Ante, pp. 490-492.

to January 1, 1951, an organization operated for the primary purpose of carrying on a trade or business for profit, no part of the net earnings of which inures to the benefit of any private shareholder or individual and all of the net earnings of which inure to the benefit of an educational organization which normally maintains a regular faculty and curriculum and normally has a regularly organized body of pupils or students in attendance at the place where its educational activities are regularly carried on, or to the benefit of a hospital, or an institution for the rehabilitation of physically handicapped persons, which maintains or is building for proper maintenance a hospital or institution staffed or to be staffed by qualified professional persons for the treatment of the sick and/or the rehabilitation of the physically handicapped, shall not be denied exemption from taxation under section 101 of the Internal Revenue Code on the ground that it is carrying on a trade or business for profit. The determination as to whether an organization other than one described in this subsection is exempt under section 101 of the Internal Revenue Code from taxation for any taxable year beginning before January 1, 1951, shall be made as if this