Treasury Regulations · 26 CFR
§ 1.651(a)-3. Distribution of amounts other than income.
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. § 651(a)
Cite as 26 CFR § 1.651(a)-3
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. § 651(a)
- Length
- 250 words · about 1 min to read
- Cross-references
- cites 3 Code sections and 0 regulations; cited by 0
¶(a) A trust does not qualify for treatment under section 651 for any taxable year in which it actually distributes corpus. For example, a trust which is required to distribute all of its income currently would not qualify as a simple trust under section 651 in the year of its termination since in that year actual distributions of corpus would be made.
¶(b) A trust, otherwise qualifying under section 651, which may make a distribution of corpus in the discretion of the trustee, or which is required under the terms of its governing instrument to make a distribution of corpus upon the happening of a specified event, will be disqualified for treatment under section 651 only for the taxable year in which an actual distribution of corpus is made. For example: Under the terms of a trust, which is required to distribute all of its income currently, half of the corpus is to be distributed to beneficiary A when he becomes 30 years of age. The trust reports on the calendar year basis. On December 28, 1954, A becomes 30 years of age and the trustee distributes half of the corpus of the trust to him on January 3, 1955. The trust will be disqualified for treatment under section 651 only for the taxable year 1955, the year in which an actual distribution of corpus is made.
Cross-references
Computed from the citations in the text of 26 CFR.
Code sections it cites
Where it sits in 26 CFR
- Subchapter A Income tax
- Part 1 Income taxes
- Trusts which distribute current income only
Nearby sections
- § 1.651(a)-1 Simple trusts; deduction for distributions; in general.
- § 1.651(a)-2 Income required to be distributed currently.
- § 1.651(a)-3 Distribution of amounts other than income.
- § 1.651(a)-4 Charitable purposes.
- § 1.651(a)-5 Estates.
- § 1.651(b)-1 Deduction for distributions to beneficiaries.
- § 1.652(a)-1 Simple trusts; inclusion of amounts in income of beneficiaries.