1965_session laws_630_2
CHAPTER 629 AN ACT TO AMEND G. S. 37-5 RELATING TO THE TREATMENT OF CORPORATE DISTRIBUTIONS BY FIDUCIARIES AS PRINCIPAL AND AS INCOME. The General Assembly of North Carolina do enact:
Amend G. S. 37-5 by renumbering the present subsection -5 as subsection (6) and by adding a new subsection -5 immediately following the present subsection (4), as follows: (5) Distributions made from ordinary income by a regulated investment company shal] be deemed income. All distributions made by such a company from capita] gains, whether in the form of cash or an option to take new stock or cash or an option to purchase additional shares, shall be deemed principal.