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Part I. Rulings and Decisions Under the Internal Revenue Code of 1986 Section 1374. Tax Imposed on Certain Built-In Gains 26 CFR 1. 1374 4 Recognized built-in gain or loss. Built-in gains tax. The built-in gains tax under 1374 will not apply to the timber coal and domestic iron ore transactions described in the four situations in the ruling. Rev. Rul. 2001 50 Situation 4 An S corporation holds coal or domestic iron ore property with built-in gain...

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