26 USC 1012 - Basis of property

U.S Code last checked for updates: May 16, 2024

§ 1012.

Basis of property—cost

(a)

In general

(b)

Special rule for apportioned real estate taxes

(c)

Determinations by account

(1)

In general

(2)

Application to certain regulated investment companies

(A)

In general

(B)

Election for treatment as single account

If a regulated investment company described in subparagraph (A) elects to have this subparagraph apply with respect to one or more of its stockholders—

(i)

subparagraph (A) shall not apply with respect to any stock in such regulated investment company held by such stockholders, and

(ii)

all stock in such regulated investment company which is held by such stockholders shall be treated as covered securities described in section 6045(g)(3) without regard to the date of the acquisition of such stock.

A rule similar to the rule of the preceding sentence shall apply with respect to a broker holding such stock as a nominee.

(3)

Definitions

(d)

Average basis for stock acquired pursuant to a dividend reinvestment plan

(1)

In general

(2)

Treatment after transfer

(3)

Separate accounts; election for treatment as single account

(A)

In general

(B)

Average basis method

(4)

Dividend reinvestment plan

For purposes of this subsection—

(A)

In general

(B)

Initial stock acquisition treated as acquired in connection with plan

(Aug. 16, 1954, ch. 736, 68A Stat. 296; Pub. L. 110–343, div. B, title IV, § 403(b), Oct. 3, 2008, 122 Stat. 3857; Pub. L. 113–295, div. A, title II, §§ 210(f)(1)–(3), 220(n), Dec. 19, 2014, 128 Stat. 4031, 4032, 4036.)

cite as: 26 USC 1012