Treasury Regulations · 26 CFR
§ 1.1015-2. Transfer of property in trust after December 31, 1920.
Regulation text, no changes From the eCFR, current as of October 15, 2026. The eCFR is an authoritative but unofficial editorial compilation of the Code of Federal Regulations; the official text is the annual CFR on govinfo. Compare it with this section on ecfr.gov (external site) or the official annual CFR on govinfo (external site).
Regulation under 26 U.S.C. § 1015
Cite as 26 CFR § 1.1015-2
At a glance
Read from the text and its source citation. Not part of the regulation.
- Status
- In the current eCFR
- Source
- T.D. 6500, 25 FR 11402, Nov. 26, 1960; 25 FR 14021, Dec. 21, 1960; T.D. 9989, 89 FR 17606, Mar. 11, 2024, unless otherwise noted.
- Issued under
- 26 U.S.C. § 1015
- Length
- 228 words · about 1 min to read
- Cross-references
- cites 0 Code sections and 1 regulation; cited by 0
¶(a) General rule.
¶(1) In the case of property acquired after December 31, 1920, by transfer in trust (other than by a transfer in trust by a gift, bequest, or devise) the basis of property so acquired is the same as it would be in the hands of the grantor increased in the amount of gain or decreased in the amount of loss recognized to the grantor upon such transfer under the law applicable to the year in which the transfer was made. If the taxpayer acquired the property by a transfer in trust, this basis applies whether the property be in the hands of the trustee, or the beneficiary, and whether acquired prior to the termination of the trust and distribution of the property, or thereafter.
¶(2) The principles stated in paragraph (b) of § 1.1015-1 concerning the uniform basis are applicable in determining the basis of property where more than one person acquires an interest in property by transfer in trust after December 31, 1920.
¶(b) Reinvestment by fiduciary. If the property is an investment made by the fiduciary (as, for example, in the case of a sale by the fiduciary of property transferred by the grantor, and the reinvestment of the proceeds), the cost or other basis to the fiduciary is taken in lieu of the basis specified in paragraph (a) of this section.
Cross-references
Computed from the citations in the text of 26 CFR.
Regulations it cites
Where it sits in 26 CFR
- Subchapter A Income tax
- Part 1 Income taxes
- Basis Rules of General Application
Nearby sections
- § 1.1014-8 Bequest, devise, or inheritance of a remainder interest.
- § 1.1014-9 Special rule with respect to DISC stock.
- § 1.1014-10 Basis of property acquired from a decedent must be consistent with property's Federal estate tax value.
- § 1.1015-1 Basis of property acquired by gift after December 31, 1920.
- § 1.1015-2 Transfer of property in trust after December 31, 1920.
- § 1.1015-3 Gift or transfer in trust before January 1, 1921.
- § 1.1015-4 Transfers in part a gift and in part a sale.
- § 1.1015-5 Increased basis for gift tax paid.
- § 1.1016-1 Adjustments to basis; scope of section.