SECTION 6. COMMENTS

The Treasury Department and the IRS request comments on the rules described in this notice. In particular, § 1.367(b)– 10(b)(3) currently provides that the deemed distribution described in § 1.367(b)–10(b)(1) is treated as occurring immediately before the P acquisition.

Comments are requested on whether, in light of the modifications announced by this notice, it may be more appropriate (in particular, when T is a foreign corporation) to treat the deemed distribution as occurring immediately after, rather than before, the triangular reorganization. In addition, comments are requested as to whether any specific adjustments to excess asset basis should be allowed, or not allowed, consistent with the principles underlying Section 4.03 of this notice. Finally, comments are requested as to whether there are transactions other than those described in Section 3 of this notice that may give rise to excess asset basis.

Written comments may be submitted to the Office of Associate Chief Counsel (International), Attention: Lynlee Baker, Internal Revenue Service, IR– 4554, 1111 Constitution Avenue, NW, Washington, DC 20224. Alternatively, taxpayers may submit comments electronically to Notice.comments@ irscounsel.treas.gov. Comments will be available for public inspection and copying. Written or electronic comments must be received by March 2, 2017.