26 USC § 1054 - Certain stock of Federal National Mortgage Association

---
identifier: "/us/usc/t26/s1054"
source: "usc"
legal_status: "official_prima_facie"
title: "26 USC § 1054 - Certain stock of Federal National Mortgage Association"
title_number: 26
title_name: "INTERNAL REVENUE CODE"
section_number: "1054"
section_name: "Certain stock of Federal National Mortgage Association"
chapter_number: 1
chapter_name: "NORMAL TAXES AND SURTAXES"
subchapter_number: "O"
subchapter_name: "Gain or Loss on Disposition of Property"
part_number: "IV"
part_name: "SPECIAL RULES"
positive_law: false
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Added Pub. L. 86–779, § 8(b), Sept. 14, 1960, 74 Stat. 1003.)"
---


# § 1054. Certain stock of Federal National Mortgage Association

In the case of a share of stock issued pursuant to section 303(c) of the Federal National Mortgage Association Charter Act (12 U.S.C., sec. 1718), the basis of such share in the hands of the initial holder shall be an amount equal to the capital contributions evidenced by such share reduced by the amount (if any) required by section 162(d) to be treated (with respect to such share) as ordinary and necessary expenses paid or incurred in carrying on a trade or business.

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**Source Credit**: (Added Pub. L. 86–779, § 8(b), Sept. 14, 1960, 74 Stat. 1003.)

## Editorial Notes

### Prior Provisions

A prior section 1054 was renumbered .

## Statutory Notes and Related Subsidiaries

### Effective Date

Section applicable with respect to taxable years beginning after , see , set out as an Effective Date of 1960 Amendment note under .