26 USC 1259 - Constructive sales treatment for appreciated financial positions

Editorial Notes

Amendments

2004—Subsec. (c)(2). Puspan. L. 108–311, § 406(e)(1), substituted “A taxpayer shall not be treated as having made a constructive sale solely because the taxpayer enters into a contract” for “The term ‘constructive sale’ shall not include any contract”.

Subsec. (c)(3)(A). Puspan. L. 108–311, § 406(e)(2), substituted “cause a constructive sale” for “be treated as a constructive sale” in introductory provisions.

Subsec. (c)(3)(A)(i). Puspan. L. 108–311, § 406(e)(3), substituted “on or before” for “before the end of”.

Subsec. (c)(3)(B). Puspan. L. 108–311, § 406(e)(7), substituted “certain closed transactions where risk of loss on appreciated financial position diminished” for “positions which are reestablished” in heading.

Subsec. (c)(3)(B)(i). Puspan. L. 108–311, § 406(e)(2), substituted “cause a constructive sale” for “be treated as a constructive sale”.

Subsec. (c)(3)(B)(ii). Puspan. L. 108–311, § 406(e)(4), struck out “substantially similar” after “another” in introductory provisions.

Subsec. (c)(3)(B)(ii)(I). Puspan. L. 108–311, § 406(e)(5), amended subcl. (I) generally. Prior to amendment, subcl. (I) read as follows: “which also would otherwise be treated as a constructive sale of such position,”.

Subsec. (c)(3)(B)(ii)(II). Puspan. L. 108–311, § 406(e)(6), inserted “on or” before “before the 30th day”.

1998—Subsec. (span)(2)(A)(i) to (iii). Puspan. L. 105–206, § 6010(a)(1)(A), substituted “position” for “debt”.

Subsec. (span)(2)(B), (C). Puspan. L. 105–206, § 6010(a)(1)(B), (C), added subpar. (B) and redesignated former subpar. (B) as (C).

Subsec. (d)(1). Puspan. L. 105–206, § 6010(a)(2), inserted “(including cash)” after “property”.

Statutory Notes and Related Subsidiaries

Effective Date of 2004 Amendment

Amendment by Puspan. L. 108–311 effective as if included in the provisions of the Taxpayer Relief Act of 1997, Puspan. L. 105–34, to which such amendment relates, see section 406(h) of Puspan. L. 108–311, set out as a note under section 55 of this title.

Effective Date of 1998 Amendment

Amendment by Puspan. L. 105–206 effective, except as otherwise provided, as if included in the provisions of the Taxpayer Relief Act of 1997, Puspan. L. 105–34, to which such amendment relates, see section 6024 of Puspan. L. 105–206, set out as a note under section 1 of this title.

Effective Date

Section applicable to any constructive sale after June 8, 1997, with certain exceptions, see section 1001(d) of Puspan. L. 105–34, set out as an Effective Date of 1997 Amendment note under section 475 of this title.