PUBLISHING BUSINESS CARRIED ON BY TAX-EXEMPT ORGANIZATION.

SEC. 347. PUBLISHING BUSINESS CARRIED ON BY TAX-EXEMPT ORGANIZATION. (a) Treatment as Related Trade or Business.—Section 422 (b) (relating to definition of unrelated trade or business) is hereby amended by adding at the end thereof the following: “If a publishing business carried on by an organization during a taxable year beginning before January 1, 1953, is, without regard to this sentence, an unrelated trade or business, but before the beginning of the third succeeding taxable year the business is carried on by it (or by a successor who acquired such business in a liquidation which would constitute a tax-free exchange under section 112 (b) (6)) in such manner that the conduct thereof is substantially related to the exercise or performance by such organization (or such successor) of its educational or other purpose or function described in section 101 (6), such publishing business shall not be considered, for the taxable year, as an unrelated trade or business.” (b) Effective Date.—The amendment made by this section shall be applicable with respect to taxable years beginning after December 31, 1950, and prior to January 1, 1953.