When substantially all of the assets of the target corporation are received in exchange for voting stock and selected liabilities, the restructuring can qualify as a "Type C" reorganization.

Question

Quizplus · Accepted Answer

According to the Internal Revenue Code (IRC) section 368(a)(1)(C), a Type C reorganization occurs when substantially all of the assets of the target corporation are received in exchange for voting stock and selected liabilities. Therefore, the statement is true.

When Substantially All of the Assets of the Target Corporation