Current through Pub. L. 119-100Open in workspace

§ 1287 Denial of capital gain treatment for gains on certain obligations not in registered form

(a) In general

If any registration-required obligation is not in registered form, any gain on the sale or other disposition of such obligation shall be treated as ordinary income (unless the issuance of such obligation was subject to tax under section ).

(b) Definitions

For purposes of subsection (a)—

(1) Registration-required obligation

The term “registration-required obligation” has the meaning given to such term by section .

(2) Registered form

The term “registered form” has the same meaning as when used in section .

(Added Pub. L. 98–369, div. A, title I, § 41(a), July 18, 1984, 98 Stat. 552; amended Pub. L. 111–147, title V, § 502(a)(2)(D), Mar. 18, 2010, 124 Stat. 107.)

Operative text only. Editorial notes, amendment history, and effective dates: official OLRC text of § 1287

Source: decipher.legal/usc/26/1287 · Internal Revenue Code, current through Pub. L. 119-100 (OLRC XML of 2026-04-17)