Authorizes the nonrecognition of gain or loss, under the Internal Revenue Code, on the transfer of rail properties of a transferor railroad corporation to the Consolidated Rail Corporation pursuant to an order under the Regional Rail Reorganization Act to carry out the final system plan, in exchange solely for stock of the Consolidated Rail Corporation, securities of such Corporation, certificates of value of the United States Railway Association, or any combination thereof.
Prohibits the carryover of any net operating loss of a transferor corporation to the Consolidated Rail Corporation.
Makes technical and conforming amendments.
Permits a Corporation to use specified expired net operating loss carryovers where such Corporation has received an award, settlement, or redemption includable in gross income.