Internal Revenue Code · 26 U.S.C.
§ 1036. Stock for stock of same corporation
Official text, no changes From the Office of the Law Revision Counsel, release point 119-121 (current through Public Law 119-121 (October 9, 2026)). Compare it with the official text at uscode.house.gov (external site).
Cite as 26 U.S.C. § 1036
At a glance
Read from the text, the source credit and the official notes. Not part of the law.
- Status
- In force
- Enacted
- August 5, 1997 by Pub. L. 105–34
- Length
- 3 subsections · 147 words · about 1 min to read
- Cross-references
- cites 2; cited by 3 Code sections and 19 other regulations
- Regulations
- 1 issued under this section
No gain or loss shall be recognized if common stock in a corporation is exchanged solely for common stock in the same corporation, or if preferred stock in a corporation is exchanged solely for preferred stock in the same corporation.
For purposes of this section, nonqualified preferred stock (as defined in section 351(g)(2)) shall be treated as property other than stock.
(Aug. 16, 1954, ch. 736, 68A Stat. 309; Pub. L. 105–34, title X, § 1014(e)(3), Aug. 5, 1997, 111 Stat. 921.)
Regulations under this section
Treasury regulations (26 CFR) issued under § 1036
Cross-references
Computed from the citations in the text of Title 26 and 26 CFR.
This section cites 2 other sections
- § 351(g)(2) Transfer to corporation controlled by transferor
- § 1031 Exchange of real property held for productive use or investment
Cited by 3 Code sections
- § 83(g) Property transferred in connection with performance of services
- § 424(b) Definitions and special rules
- § 1031(b) Exchange of real property held for productive use or investment
Cited in 19 regulations not issued under it
- § 1.83-8 Applicability of section and transitional rules.
- § 1.245A(e)-1 Special rules for hybrid dividends.
- § 1.303-2 Requirements.
- § 1.306-2 Exception.
- § 1.306-3 Section 306 stock defined.
- § 1.355-0 Outline of sections.
- § 1.355-6 Recognition of gain on certain distributions of stock or securities in controlled corporation.
- § 1.358-2 Allocation of basis among nonrecognition property.
- § 1.367(a)-0 Table of contents.
- § 1.367(a)-7 Outbound transfers of property described in section 361(a) or (b).
- § 1.367(a)-8 Gain recognition agreement requirements.
- § 1.422-5 Permissible provisions.
- § 1.424-1 Definitions and special rules applicable to statutory options.
- § 1.1031(b)-1 Receipt of other property or money in tax-free exchange.
- § 1.1031(d)-1 Property acquired upon a tax-free exchange.
- § 1.1400Z2-0 Table of Contents.
- § 1.1400Z2(b)-1 Inclusion of gains that have been deferred under section 1400Z-2(a).
- § 58.4501-0 Table of contents.
- § 58.4501-4 Application of netting rule.
Amendment history
From the source credit and the official notes, newest first.
- Enacted by Pub. L. 105–34Parts changed in 1997: (b)
Where it sits in the Code
- Subtitle A Income Taxes
- Chapter 1 NORMAL TAXES AND SURTAXES
- Subchapter O Gain or Loss on Disposition of Property
- Part III COMMON NONTAXABLE EXCHANGES
Nearby sections
- § 1032 Exchange of stock for property
- § 1033 Involuntary conversions
- § 1034 Repealed
- § 1035 Certain exchanges of insurance policies
- § 1036 Stock for stock of same corporation
- § 1037 Certain exchanges of United States obligations
- § 1038 Certain reacquisitions of real property
- § 1039 Repealed
- § 1040 Transfer of certain farm, etc., real property
Official notes
Show the Law Revision Counsel's notes (amendments, effective dates)
Editorial Notes
Amendments
1997—Subsecs. (b), (c). Pub. L. 105–34 added subsec. (b) and redesignated former subsec. (b) as (c).
Statutory Notes and Related Subsidiaries
Effective Date of 1997 Amendment
Amendment by Pub. L. 105–34 applicable, with certain exceptions, to transactions after June 8, 1997, see section 1014(f) of Pub. L. 105–34, set out as a note under section 351 of this title.