Internal Revenue Code · 26 U.S.C.
§ 677. Income for benefit of grantor
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. § 677
At a glance
Read from the text, the source credit and the official notes. Not part of the law.
- Status
- In force
- Enacted
- December 30, 1969 by Pub. L. 91–172
- Last amended
- October 22, 1986 by Pub. L. 99–514
- Amendments
- 1 dated changes in the source credit
- Length
- 2 subsections · 373 words · about 2 min to read
- Cross-references
- cites 5; cited by 1 Code section and 19 other regulations
- Regulations
- 2 issued under this section
Income of a trust shall not be considered taxable to the grantor under subsection (a) or any other provision of this chapter merely because such income in the discretion of another person, the trustee, or the grantor acting as trustee or co-trustee, may be applied or distributed for the support or maintenance of a beneficiary (other than the grantor’s spouse) whom the grantor is legally obligated to support or maintain, except to the extent that such income is so applied or distributed. In cases where the amounts so applied or distributed are paid out of corpus or out of other than income for the taxable year, such amounts shall be considered to be an amount paid or credited within the meaning of paragraph (2) of section 661(a) and shall be taxed to the grantor under section 662.
(Aug. 16, 1954, ch. 736, 68A Stat. 230; Pub. L. 91–172, title III, § 332(a), Dec. 30, 1969, 83 Stat. 599; Pub. L. 99–514, title XIV, § 1402(b)(3), Oct. 22, 1986, 100 Stat. 2712.)
Regulations under this section
Treasury regulations (26 CFR) issued under § 677
Cross-references
Computed from the citations in the text of Title 26 and 26 CFR.
This section cites 5 other sections
- § 674 Power to control beneficial enjoyment
- § 170(c) Charitable, etc., contributions and gifts
- § 673 Reversionary interests
- § 661(a) Deduction for estates and trusts accumulating income or distributing corpus
- § 662 Inclusion of amounts in gross income of beneficiaries of estates and trusts accumulating income or distributing corpus
Cited by 1 Code section
Cited in 19 regulations not issued under it
- § 1.58-3 Estates and trusts.
- § 1.641(c)-1 Electing small business trust.
- § 1.643(c)-1 Definition of “beneficiary”.
- § 1.661(a)-2 Deduction for distributions to beneficiaries.
- § 1.662(a)-3 Other amounts distributed.
- § 1.665(b)-1 Accumulation distributions of trusts other than certain foreign trusts; in general.
- § 1.665(c)-1 Accumulation distributions of certain foreign trusts; in general.
- § 1.665(b)-1A Accumulation distributions.
- § 1.671-1 Grantors and others treated as substantial owners; scope.
- § 1.671-3 Attribution or inclusion of income, deductions, and credits against tax.
- § 1.672(a)-1 Definition of adverse party.
- § 1.672(d)-1 Power subject to condition precedent.
- § 1.672(f)-3 Exceptions to general rule.
- § 1.673(a)-1 Reversionary interests; income payable to beneficiaries other than certain charitable organizations; general rule.
- § 1.674(b)-1 Excepted powers exercisable by any person.
- § 1.1032-3 Disposition of stock or stock options in certain transactions not qualifying under any other nonrecognition provision.
- § 1.1361-1 S corporation defined.
- § 1.9006-1 Interest and penalties in case of certain taxable years.
- § 301.7701-4 Trusts.
Amendment history
From the source credit and the official notes, newest first.
Where it sits in the Code
- Subtitle A Income Taxes
- Chapter 1 NORMAL TAXES AND SURTAXES
- Subchapter J Estates, Trusts, Beneficiaries, and Decedents
- Part I ESTATES, TRUSTS, AND BENEFICIARIES
- Subpart E Grantors and Others Treated as Substantial Owners
Nearby sections
Official notes
Show the Law Revision Counsel's notes (amendments, effective dates)
Editorial Notes
Amendments
1986—Subsec. (a). Pub. L. 99–514 substituted “the occurrence of an event” for “the expiration of a period” and “the occurrence of the event” for “the expiration of the period” in last sentence.
1969—Subsec. (a)(1) to (3). Pub. L. 91–172, § 332(a)(1), inserted “or the grantor’s spouse” after “the grantor” in pars. (1), (2), and (3).
Subsec. (b). Pub. L. 91–172, § 332(a)(2), inserted “(other than the grantor’s spouse)” after “beneficiary”.
Statutory Notes and Related Subsidiaries
Effective Date of 1986 Amendment
Amendment by Pub. L. 99–514 applicable with respect to transfers in trust made after Mar. 1, 1986, except for transfers pursuant to a certain binding property settlement agreement, see section 1402(c) of Pub. L. 99–514, set out as a note under section 673 of this title.
Effective Date of 1969 Amendment
Pub. L. 91–172, title III, § 332(b), Dec. 30, 1969, 83 Stat. 599, provided that: “The amendments made by subsection (a) [amending this section] shall apply in respect of property transferred in trust after October 9, 1969.”