[Code of Federal Regulations]
[Title 26, Volume 12]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR1.1502-41A]

[Page 581-582]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 1_INCOME TAXES--Table of Contents
 
Sec. 1.1502-41A  Determination of consolidated net long-term capital 

gain and consolidated net short-term capital loss generally applicable 
for consolidated return years beginning before January 1, 1997.

    (a) Consolidated net long-term capital gain. The consolidated net 
long-term capital gain shall be determined by taking into account (1) 
those gains and losses to which Sec. 1.1502-22A(a) applies which are 
treated as long term under section 1222, and (2) the consolidated 
section 1231 net gain (computed in accordance with Sec. 1.1502-23A).

[[Page 582]]

    (b) Consolidated net short-term capital loss. The consolidated net 
short-term capital loss shall be determined by taking into account (1) 
those gains and losses to which Sec. 1.1502-22A(a) applies which are 
treated as short term under section 1222, and (2) the consolidated net 
capital loss carryovers and carrybacks to the taxable year (as 
determined under Sec. 1.1502-22A(b)).
    (c) Effective date. This section applies to any consolidated return 
years to which Sec. 1.1502-21(h) or 1.1502-21T(g) in effect prior to 
June 25, 1999, as contained in 26 CFR part 1 revised April 1, 1999, as 
applicable does not apply. See Sec. 1.1502-21(h) or 1.1502-21T(g) in 
effect prior to June 25, 1999, as contained in 26 CFR part 1 revised 
April 1, 1999, as applicable for effective dates of these sections.

[T.D, 6894, 31 FR 11794, Sept. 8, 1966, as amended by T.D. 8677, 61 FR 
33323, June 27, 1996. Redesignated and amended by T.D. 8677, 61 FR 
33334, June 27, 1996; T.D. 8823, 64 FR 36099, 36100, July 2, 1999]

 REGULATIONS APPLICABLE TO TAXABLE YEARS BEGINNING BEFORE JUNE 28, 2002