§ 597. Treatment of transactions in which Federal financial assistance provided
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(a)General rule The treatment for purposes of this chapter of any transaction in which Federal financial assistance is provided with respect to a bank or domestic building and loan association shall be determined under regulations prescribed by the Secretary.
(b)Principles used in prescribing regulations
(1)Treatment of taxable asset acquisitions In the case of any acquisition of assets to which section 381(a) does not apply, the regulations prescribed under subsection
(a)shall—
(A)provide that Federal financial assistance shall be properly taken into account by the institution from which the assets were acquired, and
(B)provide the proper method of allocating basis among the assets so acquired (including rights to receive Federal financial assistance).
(2)Other transactions In the case of any transaction not described in paragraph (1), the regulations prescribed under subsection
(a)shall provide for the proper treatment of Federal financial assistance and appropriate adjustments to basis or other tax attributes in connection with such assistance.
(3)Denial of double benefit No regulations prescribed under this section shall permit the utilization of any deduction (or other tax benefit) if such amount was in effect reimbursed by nontaxable Federal financial assistance.
(c)Federal financial assistance For purposes of this section, the term “Federal financial assistance” means—
(1)any money or other property provided with respect to a domestic building and loan association by the Federal Savings and Loan Insurance Corporation or the Resolution Trust Corporation pursuant to section 406(f) of the National Housing Act (or under any other similar provision of law), and
(2)any money or other property provided with respect to a bank or domestic building and loan association by the Federal Deposit Insurance Corporation pursuant to section 11(f) or 13(c) of the Federal Deposit Insurance Act (or under any other similar provision of law),
regardless of whether any note or other instrument is issued in exchange therefor.
(d)Domestic building and loan association For purposes of this section, the term “domestic building and loan association” has the meaning given such term by section 7701(a)(19) without regard to subparagraph
(C)thereof.
(Added Pub. L. 97–34, title II, § 244(a), Aug. 13, 1981, 95 Stat. 255; amended Pub. L. 99–514, title IX, § 904(b)(1), Oct. 22, 1986, 100 Stat. 2385; Pub. L. 100–647, title IV, § 4012(b)(2)(A)–(D)(i), (c)(1), Nov. 10, 1988, 102 Stat. 3657, 3658; Pub. L. 101–73, title XIV, § 1401(a)(3)(A), (b)(1), Aug. 9, 1989, 103 Stat. 548, 549; Pub. L. 101–239, title VII, § 7841(e)(1), Dec. 19, 1989, 103 Stat. 2429; Pub. L. 101–508, title XI, § 11704(a)(7), Nov. 5, 1990, 104 Stat. 1388–518; Pub. L. 115–141, div. U, title IV, § 401(b)(25), Mar. 23, 2018, 132 Stat. 1203.)
Connections21 cite this · traces to 6
Cited by 21 sections · top 7
U.S. Code
statutes-at-large
- Public Law 100–647To make technical corrections relating to the Tax Reform Act of 1986, and for other purposes
- Public Law 101–73To reform, recapitalize, and consolidate the Federal deposit insurance system, to enhance the regulatory and enforcement powers of Federal financial institutions regulatory agencies, and for other purposes
- Public Law 97–34To amend the Internal Revenue Code of 1954 to encourage economic growth through reduction of the tax rates for individual taxpayers, acceleration of capital cost recovery of investment in plant, equipment, and real property, and incentives for savings, and for other purposes
- Public Law 101–239To provide for reconciliation pursuant to section 5 of the concurrent resolution on the budget for the fiscal year 1990
Traces to 6 documents
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- Pub. L. 97–34, title II, § 244(a)
- 95 Stat. 255
- Pub. L. 99–514, title IX, § 904(b)(1)
- 100 Stat. 2385
- Pub. L. 100–647, title IV, § 4012(b)(2)(A)
- 102 Stat. 3657
- Pub. L. 101–73, title XIV, § 1401(a)(3)(A)
- 103 Stat. 548
- Pub. L. 101–239, title VII, § 7841(e)(1)
- 103 Stat. 2429
- Pub. L. 101–508, title XI, § 11704(a)(7)
- 104 Stat. 1388–518
- 132 Stat. 1203
- section 1729 of Title 12
- Pub. L. 101–73, title IV, § 407
- 103 Stat. 363
- Pub. L. 101–508
- Pub. L. 101–73, § 1401(b)(1)
- Pub. L. 99–514, § 904(b)(1)
- Pub. L. 101–73, § 1401(a)(3)(A)
- Pub. L. 101–239
- Pub. L. 100–647, § 4012(b)(2)(D)(i)
- Pub. L. 100–647, § 4012(b)(2)(A)
- Pub. L. 100–647, § 4012(b)(2)(C)
- Pub. L. 100–647, § 4012(c)(1)
- Pub. L. 100–647, § 4012(b)(2)(B)
- section 4012(c)(1) of Pub. L. 100–647
- Pub. L. 100–647, title IV, § 4012(a)(2)
- Pub. L. 101–239, title VII, § 7841(e)(2)
- Pub. L. 101–73
- Pub. L. 101–73, title XIV, § 1401(c)(3)
- 103 Stat. 550
- Pub. L. 100–647, title IV, § 4012(b)(2)(E)
- 102 Stat. 3658
- Pub. L. 100–647, title IV, § 4012(c)(3)
- 102 Stat. 3660
- Pub. L. 101–73, title XIV, § 1401(b)(2)
- 103 Stat. 549
- Pub. L. 99–514, title IX, § 904(c)(2)
- 102 Stat. 3656
+ 10 more
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§ 597
Treatment of transactions in which Federal financial assistance provided
Stat.×16
U.S.C.×5
Pub. L.Pub. L. 97–34, title II, § 244(a)
Stat.95 Stat. 255
Pub. L.Pub. L. 99–514, title IX, § 904(b)(1)
Stat.100 Stat. 2385
Pub. L.Pub. L. 100–647, title IV, § 4012(b)(2)(A)
Cites 56 · showing 11Cited by 21 across 2 sources