Source: http://ecfr.io/Title-26/se26.9.1_1584_62
Timestamp: 2020-02-21 00:35:34
Document Index: 199154910

Matched Legal Cases: ['§1', 'art 1', '§1', 'art 1', '§1', 'art 1', '§1', '§1', '§1', '§1', '§1']

[26 CFR §1.584-2] Title 26 Part 1 → §1.584-2 : Code of Federal Regulations ';
Title 26 Part 1 → §1.584-2
Title 26 → Chapter I → Subchapter A → Part 1 → §1.584-2
§1.584-2 Income of participants in common trust fund.
(1) Its proportionate share of short-term capital gains and losses, computed as provided in §1.584-3;
(2) Its proportionate share of long-term capital gains and losses, computed as provided in §1.584-3; and
(3) Its proportionate share of the ordinary taxable income or the ordinary net loss of the common trust fund, computed as provided in §1.584-3.
(c)(1) The proportionate share of each participant's short-term capital gains and losses, long-term capital gains and losses, ordinary taxable income or ordinary net loss, dividends and interest received, and tax withheld at the source shall be determined under the method of accounting adopted by the bank in accordance with the written plan by which the common trust fund is established and administered, provided such method clearly reflects the income of each participant.
Example. (i) The plan of a common trust fund provides for quarterly valuation dates and for the computation and the distribution of the income upon a quarterly basis, except that there shall be no distribution of capital gains. The participants are as follows: Trusts A, B, C, and D for the first quarter; Trusts A, B, C, and E for the second quarter; and Trusts A, B, F, and G for the third and fourth quarters, the participants having equal participating interests. As computed upon the quarterly basis, the ordinary taxable income, the short-term capital gain, and the long-term capital loss for the taxable year were as follows: