26 USC 1058 - Transfers of securities under certain agreements

U.S Code last checked for updates: Nov 26, 2024

§ 1058.

Transfers of securities under certain agreements

(a)

General rule

(b)

Agreement requirements

In order to meet the requirements of this subsection, an agreement shall—

(1)

provide for the return to the transferor of securities identical to the securities transferred;

(2)

require that payments shall be made to the transferor of amounts equivalent to all interest, dividends, and other distributions which the owner of the securities is entitled to receive during the period beginning with the transfer of the securities by the transferor and ending with the transfer of identical securities back to the transferor;

(3)

not reduce the risk of loss or opportunity for gain of the transferor of the securities in the securities transferred; and

(4)

meet such other requirements as the Secretary may by regulation prescribe.

(c)

Basis

(Added Pub. L. 95–345, § 2(d)(1), Aug. 15, 1978, 92 Stat. 482.)

cite as: 26 USC 1058