Excise Tax on Repurchase of Corporate Stock; Correction

<RULE> DEPARTMENT OF THE TREASURY <SUBAGY>Internal Revenue Service</SUBAGY> <CFR>26 CFR Part 58</CFR> <DEPDOC>[TD 10037]</DEPDOC> <RIN>RIN 1545-BQ59</RIN> <SUBJECT>Excise Tax on Repurchase of Corporate Stock; Correction</SUBJECT> <HD SOURCE="HED">AGENCY:</HD> Internal Revenue Service (IRS), Treasury. <HD SOURCE="HED">ACTION:</HD> Final rule; correction and correcting amendments. <SUM> <HD SOURCE="HED">SUMMARY:</HD> This document includes corrections to Treasury Decision 10037 published in the <E T="04">Federal Register</E> on Monday, November 24, 2025. Treasury Decision 10037 contains final regulations that provide guidance regarding the application of the excise tax on repurchases of corporate stock made after December 31, 2022. </SUM> <DATES> <HD SOURCE="HED">DATES:</HD> <E T="03">Effective date:</E> These corrections are effective on December 19, 2025. <E T="03">Applicability date:</E> For dates of applicability, <E T="03">see</E> §§ 1.1275-6(f)(12)(iii)(B), 58.4501-6, 58.4501-7(r), and 58.6011-1(d). </DATES> <FURINF> <HD SOURCE="HED">FOR FURTHER INFORMATION CONTACT:</HD> Concerning § 58.4501-7, Brittany N. Dobi of the Office of Associate Chief Counsel (International) at (202) 317-5469 (not a toll-free number). For all other issues, Kailee H. Hock of the Office of Associate Chief Counsel (Corporate) at (202) 317-3181 (not a toll-free number). </FURINF> <SUPLINF> <HD SOURCE="HED">SUPPLEMENTARY INFORMATION:</HD> <HD SOURCE="HD1">Background</HD> The final regulations (TD 10037) subject to these corrections are issued under sections 1275, 4501, and 6011 of the Internal Revenue Code (Code). <HD SOURCE="HD1">Correction of Publication</HD> Accordingly, FR Doc. 2025-20721 (TD 10037), appearing on page 53144 in the <E T="04">Federal Register</E> on Monday, November 24, 2025, is corrected as follows: 1. On page 53150, in the second column, in the first full paragraph, the sixth line from the top of the paragraph is corrected to read “purposes. <E T="03">See</E> § 1.368-2(m)(3)(iii)”. 2. On page 53150, in the third column, in the second full paragraph, the sixth line from the top of the paragraph is corrected to read “§ 1.368-2(m)(3)(iii)), and because such a”. <LSTSUB> <HD SOURCE="HED">List of Subjects in 26 CFR Part 58</HD> Excise taxes, Stocks, Reporting and recordkeeping requirements. </LSTSUB> <HD SOURCE="HD1">Correction to the Regulations</HD> Accordingly, 26 CFR part 58 is corrected by making the following correcting amendments: <HD SOURCE="HED">PART 58—STOCK REPURCHASE EXCISE TAX</HD> <REGTEXT TITLE="26" PART="58"> <E T="04">Paragraph 1.</E> The authority citation for part 58 continues to read in part as follows: <HD SOURCE="HED">Authority: </HD> 26 U.S.C. 4501(f) and 7805. </REGTEXT> <REGTEXT TITLE="26" PART="58"> <E T="04">Par. 2.</E> Section 58.4501-5 is amended by removing the first two sentences of paragraph (b)(11)(ii) and revising the last sentence of paragraph (b)(11)(iii) to read as follows: <SECTION> <SECTNO>§ 58.4501-5</SECTNO> <SUBJECT> Examples.</SUBJECT> <STARS/> (b) * * * (11) * * * (iii) * * * Consequently, Corporation X's stock repurchase excise tax base for its 2025 taxable year is $20x ($100x−$80x). <STARS/> </SECTION> </REGTEXT> <SIG> <NAME>Oluwafunmilayo A. Taylor,</NAME> Chief, Publications and Regulations Section, Associate Chief Counsel. (Procedure and Administration) </SIG> </SUPLINF> <FRDOC>[FR Doc. 2025-23460 Filed 12-18-25; 8:45 am]</FRDOC> </RULE>