annual interest to be paid or incurred

(4)The term “annual interest to be paid or incurred” means— (A)if subparagraph (B) does not apply, the annual interest to be paid or incurred by the issuing corporation only, determined by reference to its total indebtedness outstanding, or (B)if projected earnings are determined under clause (ii) of paragraph (3)(A), the annual interest to be paid or incurred by both the issuing corporation and the acquired corporation, determined by reference to their combined total indebtedness outstanding.

Source

26 USC § 279(c)(4)


Scoping language

For purposes of subsection
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