Ala. Admin. Code r. 810-3-6-.15 - Basis Of Replacement Property In Sale Of Stock To An Employee Stock Ownership Plan Or Cooperative

If securities are sold to an employee stock ownership plan or an eligible work-owned cooperative, and gain was not recognized pursuant to § 40-18-8(n), Code of Ala. 1975, the basis of the qualified replacement property, as defined by 26 U.S.C. § 1042, shall be determined in accordance with 26 U.S.C. § 1042(d). For interpretation of federal statutes adopted by the Alabama Legislature see Rule 810-3-1.1 -.01, Operating Rules.

Author: Ed Cutter, CPA

Notes

Ala. Admin. Code r. 810-3-6-.15

New Rule: Filed April 28, 1999; effective June 2, 1999.

Statutory Authority: Code of Ala. 1975, §§ 40-2A-7(a)(5), 40-18-6.