NORTH CAROLINA GENERAL ASSEMBLY

1969 SESSION

CHAPTER 1120

SENATE BILL 749

AN ACT TO AMEND G.S. 105-144(b) RELATIVE TO CASH DIVIDENDS PAID BY CORPORATION IN LIQUIDATION.

The General Assembly of North Carolina do enact:

Section 1.  G.S. 105-144(b) is hereby amended by adding a new sentence at the end thereof to read as follows:

"Cash dividends paid by a corporation prior to January 1, 1969, from earnings derived from the sale of substantially all its assets under the provisions of Section 337 of the Internal Revenue Code of 1954 shall be subject to the provision of Section 105-147(7) to the extent the gain on such sale shall be taxable by the State of North Carolina. Provided, however, that this Act shall not apply to pending litigation in a court of competent jurisdiction."

Sec. 2.  All laws and clauses of laws in conflict with this Act are hereby repealed.

Sec. 3.  This Act shall become effective upon ratification.

In the General Assembly read three times and ratified, this the 30th day of June, 1969.