US Laws, Codes, Statutes & Cases

5260.  Any other provision of law notwithstanding, every
corporation, during any period or periods such corporation is deemed
to be a "private foundation" as defined in Section 509 of the
Internal Revenue Code of 1954 as amended by Section 101 of the Tax
Reform Act of 1969 (all references in this section to the Internal
Revenue Code shall refer to such code as amended by such act), shall
distribute its income for each taxable year (and principal, if
necessary) at such time and in such manner as not to subject such
corporation to tax under Section 4942 of such code, (as modified by
paragraph 3 of subsection (1) of Section 101 of the Tax Reform Act of
1969), and such corporation shall not engage in any act of
self-dealing as defined in subsection (d) of Section 4941 of such
code (as modified by paragraph (2) of subsection (1) of Section 101
of the Tax Reform Act of 1969), retain any excess business holdings
as defined in subsection (c) of Section 4943 of such code, make any
investments in such manner as to subject such corporation to tax
under Section 4944 of such code, or make any taxable expenditure as
defined in subsection (d) of Section 4945 of such code (as modified
by paragraph (5) of subsection (1) of Section 101 of the Tax Reform
Act of 1969).
   This section shall apply to any such corporation and any provision
contained in its articles of incorporation or other governing
instrument inconsistent with this section or to the contrary thereof
shall be without effect.