Page 462 - Large Business IRS Training Guides
P. 462
Old IRC
367(a)(3)(C)- Branch Loss Recapture
to the 2017 TCJA, the ATB
• Prior
exception under
IRC 367(a)(3) did not
apply
to gain realized on the transfer
assets of a foreign branch (FB) to a
of
foreign corporation (FC)
to the extent
of
net losses sustained by the FB
before the transfer.
“Old IRC
367(a)(3)(C).”
• Old IRC
367(a)(3)(C) branch loss
limited to:
recapture was
under
• Nonrecognition transactions
367(a)(1) and
IRC
• Gain in the assets
transferred.
* Alternatively,
could be
of a foreign
the assets
(FDE)
disregarded entity
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