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Treasury Regulations · 26 CFR

§ 31.3406(h)-1. Definitions.

In effect eCFR current as of October 15, 2026

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. § 3406(h)

Cite as 26 CFR § 31.3406(h)-1

At a glance

Read from the text and its source citation. Not part of the regulation.

Status
In the current eCFR
Issued
December 21, 1995 by T.D. 8637
Last amended
July 26, 2002 by T.D. 9010
Issued under
26 U.S.C. § 3406(h)
Length
351 words · about 2 min to read
Defines
1 term
Cross-references
cites 5 Code sections and 5 regulations; cited by 7
(a) In general. For purposes of section 3406 and the regulations thereunder, the definitions of this section apply.
(b) Taxpayer identification number—
(1) In general. Taxpayer identification number means the identifying number assigned to a person under section 6109 (relating to identifying numbers, generally a nine-digit social security number for an individual and a nine-digit employer identification number for a nonindividual, e.g., a corporation, partnership, trust, or estate). An obviously incorrect number is not considered a taxpayer identification number. See § 31.6011(b)-2 and § 301.6109-1 of this chapter for provisions relating to obtaining a taxpayer identification number.
(2) Obviously incorrect number. Obviously incorrect number means a number that does not contain nine digits or a number that includes an alpha character as one of the nine digits.
(c) Broker. Broker is defined in section 6045(c)(1) and § 1.6045-1(a)(1) of this chapter. If there could be more than one broker with respect to any acquisition, only the broker having the closest contact (as determined under 1.6045-1(c)(3)(iii) and (iv) of this chapter) with the payee is treated as a broker. In the case of any instrument, the term broker does not include any person who is the payor with respect to the instrument as described in § 31.3406(a)-2.
(d) Readily tradable instrument. Readily tradable instrument means—
(1) Any instrument that is part of an issue any portion of which is traded on an established securities market (within the meaning of section 453(f)(5)); or
(2) Any instrument that is regularly quoted by brokers or dealers making a market.
(e) Day. Day means a calendar day unless specified otherwise under any section of the regulations under section 3406. For example, see §§ 31.3406(d)-5(a) and 31.3406(g)-3(a)(2).
(f) Business day. Business day means any day other than a Saturday, Sunday, or legal holiday (within the meaning of section 7503).

[T.D. 8637, 60 FR 66130, Dec. 21, 1995; 61 FR 12135, Mar. 25, 1996, as amended by T.D. 9010, 67 FR 48760, July 26, 2002]

Terms defined here

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Other regulations under § 3406

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Cross-references

Computed from the citations in the text of 26 CFR.

Code sections it cites

Regulations it cites

Cited by 7 other regulations

Amendment history

From the source citation at the end of the section, newest first. T.D. is a Treasury decision; FR is the Federal Register.

  1. Amended by T.D. 9010 (67 FR 48760)
  2. Amended (61 FR 12135)
  3. Issued by T.D. 8637 (60 FR 66130)

Where it sits in 26 CFR

  1. Subchapter C Employment taxes and collection of income tax at source
  2. Part 31 Employment taxes and collection of income tax at source
  3. Subpart E Collection of Income Tax at Source

Nearby sections