Learn or Find Bookkeeping, Payroll, Accounting, QuickBooks, or Tax Terms
Select a letter below or enter a term or keyword.
A statutory merger (that is, one effected under the laws of the state) is a reorganization for income tax purposes, upon which no gain or loss is recognized under the conditions specified in the Code. A merger is the union of two or more corporations into one, the others giving up their existence and transferring all of their properties and libailites to the one continuing corporation. It is distinguishable from a consolidation, which is the transfer of two or more corporations into a new corporation, the transferring corporations giving up their existence.