26 U.S.C. § 65 — Ordinary loss defined

submitted 50 years ago by Pub. L. 94-455 to r/title-26-INTERNAL-REVENUE-CODE · 66 words · no verdicts yet

in plain englishAI-generated · not legal advice

'Ordinary loss' includes any loss from selling property that isn't a capital asset. If another part of this subtitle already treats a loss as 'ordinary loss,' this section confirms it's treated the same way.

This section defines a tax term, mirroring how section 64 defines 'ordinary income.' 'Ordinary loss' includes any loss from the sale or exchange of property, as long as that property is not a capital asset. It also has a coordinating rule: if some other part of this subtitle treats or considers a loss as 'ordinary loss,' that loss is treated as loss from property that is not a capital asset.

the actual law source: uscode.house.gov ↗public domain

For purposes of this subtitle, the term “ordinary loss” includes any loss from the sale or exchange of property which is not a capital asset. Any loss from the sale or exchange of property which is treated or considered, under other provisions of this subtitle, as “ordinary loss” shall be treated as loss from the sale or exchange of property which is not a capital asset.

Source credit: (Added Pub. L. 94–455, title XIX, § 1901(a)(11), Oct. 4, 1976, 90 Stat. 1765.)

history & why it existsrecord from the source credit

1976Enacted · Pub. L. 94-455 · 90 Stat. 1765

A history note hasn’t been published yet. The record shows enactment by Pub. L. 94-455 on 1976-10-04.

all 0 arguments · sorted by: best

no arguments yet — make the first case