i. The Securities and Exchange Act enforces transparency, making tunneling harder
to conceal intercorporate dividend tax at 10% of the regular rate.
ii. No capital gains tax on property fromcomplete liquidation of a controlled subsidiary.
iii. The Public Utilities Holding Company Act “Death Sentence Clause” bans pyramids
more than two layers in height in the public utilities industries.
iv. Intercorporate dividends tax at 15% of regular rate.
v. No capital gains tax on any assets from complete liquidation of a subsidiary.
vi. Investment Companies Act regulates listed companies with extensive
shareholdings in other listed companies as investment companies.