What is reorganization?
A general term describing corporate amalgamations or readjustments. The classification of the Internal Revenue Code is widely used in general corporate literature. A Class A reorganization is a statutory merger or consolidation (I. e., pursuant to the business corporation act of a specific state). A Class B reorganization is a transaction by which one corporation exchanges its voting shares for the voting shares of another corporation. A Class C reorganization is a transaction in which one corporation exchanges its voting shares for the property and assets of another corporation. A Class D reorganization is a “spin off’ of assets by one corporation to a new corporation; a Class E reorganization is a recapitalization; a Class F reorganization is a “mere change of identity, form, or place of organization, however effected.
