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TITLE 26-INTERNAL REVENUE CODE the treatment of condemnations as a sale at election of taxpayer for provisions relating to involuntary con- versions providing for different treatment for differ- ent dates of conversion, and struck out provision relat- ing to cross reference to section 1033 for treatment of residences involuntarily converted after December 31, 1953. Subsec. (J). Pub. L. 94-455 §§ 1901(a)(129)(E), 1906(b)(13)(A), struck out "after December 31, 1950," before "the taxpayer during a taxable year", and "or his delegate" following "Secretary" wherever appear- ing. 1975--Subsec. (a). Pub. L. 94-12, § 207(a)(1), substi- tuted "18 months" for "1 year" wherever appearing. Subsec. (c)(4). Pub. L. 94-12, § 207(a)(1), substituted "18 months" for "1 year". Subsec. (c)(5). Pub. L. 94-12, § 207(a)(1), (2), (b), sub- stituted "18 months" for "1 year" and "one year", re- spectively, and "2 years" for "18 months". Subsec. (d). Pub. L. 94-12, § 207(a)(1), substituted "18 months" for "1 year". Subsec. (h). Pub. L. 94-12, § 207(a)(1), substituted "18 months" for "1 year". Pub. L. 93-597 struck out "and during an induction period (as defined in section 112(c)(5))" after "date of the sale of the old residence. 1964-Subsec. (k). Pub. L. 88-272 added subsec. (k). 1958-Subsec. (i)(2). Pub. L. 85-866 added subsec. (i)(2) and redesignated former par. (2) as (3). Subsec. (i)(3). Pub. L. 85-866, redesignated former par. (2) as (3). EFCTIvE DATE OF 1976 AMENDMENT Amendment of subsecs. (a), (b), (d), (I), (j) by section 1901(a)(129) of Pub. L. 94-455 effective for taxable years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L. 94-455, set out as an Effective Date of 1976 Amendment note under section 2 of this title. EFFECTIVE DATE OF 1975 AMENDMENT Section 209(e) of Pub. L. 94-12 provided that: "The amendments made by section 207 [amending this sec- tion] shall apply to old residences (within the meaning of section 1034 of the Internal Revenue Code of 1954) [this section] sold or exchanged after December 31, 1974, in taxable years ending after such date." Section 6(c) of Pub. L. 93-597 provided that: "The amendments made by this section [amending this sec- tion and section 2201 of this title] shall take effect on July 1, 1973." EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88-272 applicable to disposi- tions after Dec. 31, 1963, in taxable years ending after such date, see section 206(c) of Pub. L. 88-272 set out as Effective Date note under section 121 of this title. CRoss REFERENCES Adjustments to basis, see section 1016 of this title. Notice of deficiency, see section 6212 of this title. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 44, 121, 512, 1016, 1038, 1223, 1250, 6212, 6504 of this title. § 1035. Certain exchanges of insurance policies (a) General rules No gain or loss shall be recognized on the ex- change of- (1) a contract of life insurance for another contract of life insurance or for an endow- ment or annuity contract; or (2) a contract of endowment insurance (A) for another contract of endowment insurance which provides for regular payments begin- ning at a date not later than the date pay- ments would have begun under the contract exchanged, or (B) for an annuity contract; or (3) an annuity contract for an annuity con- tract. (b) Definitions For the purpose of this section-- (1) Endowment contract A contract of endowment insurance is a con- tract with a life insurance company as de- fined in section 801 which depends in part on the life expectancy of the insured, but which may be payable in full in a single payment during his life. (2) Annuity contract An annuity contract is a contract to which paragraph (1) applies but which may be pay- able during the life of the annuitant only in installments. (3) Life insurance contract A contract of life insurance is a contract to which paragraph (1) applies but which is not ordinarily payable in full during the life of the insured. (c) Cross references (1) For rules relating to recognition of gain or loss where an exchange is not solely in kind, see subsections (b) and (c) of section 1031. (2) For rules relating to the basis of property acquired in an exchange described in subsection (a), see subsec. tion (d) of section 1031. (Aug. 16, 1954, ch. 736, 68A Stat. 309.) SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 1031 of this title. § 1036. Stock for stock of same corporation (a) General rule No gain or loss shall be recognized if common stock in a corporation is exchanged solely for common stock in the same corporation, or if preferred stock in a corporation is exchanged solely for preferred stock in the same corpora- tion. (b) Cross references (1) For rules relating to recognition of gain or loss where an exchange is not solely in kind, see subsections (M} and (c) of section 1031. (2) For rules relating to the basis of property acquired in an exchange described in subsection (a), see subsec- tion (d) of Pection 1031. (Aug. 16, 1954, ch. 736, 68A Stat. 309.) CROSS REFERENCES Exchange of stock and securities in certain reorgani- zations, see section 354 of this title. SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 83, 425, 1031 of this title. § 1037. Certain exchanges of United States obligations (a) General rule When so provided by regulations promulgat- ed by the Secretary in connection with the issue of obligations of the United States, no gain or loss shall be recognized on the surren- der to the United States of obligations of the United States issued under the Second Liberty Bond Act in exchange solely for other obliga- tions issued under such Act. Page 651 § 1037