26 U.S.C. § 6039 — Returns required in connection with cer-

Page 3343 TITLE 26—INTERNAL REVENUE CODE § 6039 priate to carry out the purposes of this section, including regulations or other guidance which provide appropriate exceptions from the applica- tion of this section in the case of— (1) classes of assets identified by the Sec- retary, including any assets with respect to which the Secretary determines that disclo- sure under this section would be duplicative of other disclosures, (2) nonresident aliens, and (3) bona fide residents of any possession of the United States. (Added Pub. L. 111–147, title V, § 511(a), Mar. 18, 2010, 124 Stat. 109.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 111–147, title V, § 511(c), Mar. 18, 2010, 124 Stat. 110, provided that: ‘‘The amendments made by this sec- tion [enacting this section] shall apply to taxable years beginning after the date of the enactment of this Act [Mar. 18, 2010].’’ § 6038E. Information with respect to assignment of lower rates or refunds by foreign pro- ducers of beer, wine, and distilled spirits Any foreign producer that elects to make an assignment described in section 5001(c), 5041(c), or 5051(a) shall provide such information, at such time and in such manner, as the Secretary may prescribe in order to make such assign- ment, including information about the con- trolled group structure of such foreign producer. (Added Pub. L. 116–260, div. EE, title I, § 107(d)(1), Dec. 27, 2020, 134 Stat. 3048.) Statutory Notes and Related Subsidiaries EFFECTIVE DATE Pub. L. 116–260, div. EE, title I, § 107(d)(3), Dec. 27, 2020, 134 Stat. 3048, provided that: ‘‘The amendments made by this subsection [enacting ths section] shall apply to elections to make an assignment under section 5001(c), 5041(c), or 5051(a) of the Internal Revenue Code of 1986 after December 31, 2020.’’ § 6039. Returns required in connection with cer- tain options (a) Requirement of reporting Every corporation— (1) which in any calendar year transfers to any person a share of stock pursuant to such person’s exercise of an incentive stock option, or (2) which in any calendar year records (or has by its agent recorded) a transfer of the legal title of a share of stock acquired by the transferor pursuant to his exercise of an op- tion described in section 423(c) (relating to special rule where option price is between 85 percent and 100 percent of value of stock), shall, for such calendar year, make a return at such time and in such manner, and setting forth such information, as the Secretary may by regu- lations prescribe. (b) Statements to be furnished to persons with respect to whom information is reported Every corporation making a return under sub- section (a) shall furnish to each person whose name is set forth in such return a written state- ment setting forth such information as the Sec- retary may by regulations prescribe. The writ- ten statement required under the preceding sen- tence shall be furnished to such person on or be- fore January 31 of the year following the cal- endar year for which the return under sub- section (a) was made. (c) Special rules For purposes of this section— (1) Treatment by employer to be determinative Any option which the corporation treats as an incentive stock option or an option granted under an employee stock purchase plan shall be deemed to be such an option. (2) Subsection (a)(2) applies only to first trans- fer described therein A statement is required by reason of a trans- fer described in subsection (a)(2) of a share only with respect to the first transfer of such share by the person who exercised the option. (3) Identification of stock Any corporation which transfers any share of stock pursuant to the exercise of any option described in subsection (a)(2) shall identify such stock in a manner adequate to carry out the purposes of this section. (d) Cross references For definition of— (1) the term ‘‘incentive stock option’’, see section 422(b), and (2) the term ‘‘employee stock purchase plan’’, see section 423(b). (Added Pub. L. 88–272, title II, § 221(b)(1), Feb. 26, 1964, 78 Stat. 73; amended Pub. L. 94–455, title XIX, § 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834; Pub. L. 96–167, § 7(a), Dec. 29, 1979, 93 Stat. 1276; Pub. L. 97–34, title II, § 251(b)(5), Aug. 13, 1981, 95 Stat. 259; Pub. L. 101–508, title XI, § 11801(c)(9)(J), Nov. 5, 1990, 104 Stat. 1388–526; Pub. L. 105–206, title VI, § 6023(20), July 22, 1998, 112 Stat. 825; Pub. L. 109–432, div. A, title IV, § 403(a), (b), (c)(3), (4), Dec. 20, 2006, 120 Stat. 2954, 2955; Pub. L. 115–141, div. U, title IV, § 401(a)(259), Mar. 23, 2018, 132 Stat. 1196.) Editorial Notes PRIOR PROVISIONS A prior section 6039 was renumbered section 6040 of this title. AMENDMENTS 2018—Subsec. (d)(2). Pub. L. 115–141 amended par. (2) generally. Prior to amendment, par. (2) read as follows: ‘‘the term ‘employee stock purchase plan’ see section 423(b).’’ 2006—Pub. L. 109–432, § 403(c)(3), substituted ‘‘Re- turns’’ for ‘‘Information’’ in section catchline. Subsec. (a). Pub. L. 109–432, § 403(a), (c)(4), substituted ‘‘Requirement of reporting’’ for ‘‘Furnishing of infor- mation’’ in heading and amended concluding provisions generally. Prior to amendment, concluding provisions read as follows: ‘‘shall (on or before January 31 of the following calendar year) furnish to such person a writ- ten statement in such manner and setting forth such information as the Secretary may by regulations pre- scribe.’’ Subsecs. (b) to (d). Pub. L. 109–432, § 403(b), added sub- sec. (b) and redesignated former subsecs. (b) and (c) as (c) and (d), respectively. Page 3344 TITLE 26—INTERNAL REVENUE CODE [§ 6039A 1998—Subsec. (a)(1). Pub. L. 105–206 inserted ‘‘to any person’’ after ‘‘transfers’’. 1990—Subsec. (a)(1), (2). Pub. L. 101–508, § 11801(c)(9)(J)(i), added pars. (1) and (2) and struck out former pars. (1) and (2) which read as follows: ‘‘(1) which in any calendar year transfers a share of stock to any person pursuant to such person’s exercise of a qualified stock option, an incentive stock option, or a restricted stock option, or ‘‘(2) which in any calendar year records (or has by its agent recorded) a transfer of the legal title of a share of stock— ‘‘(A) acquired by the transfer or pursuant to his ex- ercise of an option described in section 423(c) (relat- ing to special rule where option price is between 85 percent and 100 percent of value of stock), or ‘‘(B) acquired by the transferor pursuant to his ex- ercise of a restricted stock option described in sec- tion 424(c)(1) (relating to options under which option price is between 85 percent and 95 percent of value of stock),’’. Subsec. (b)(1). Pub. L. 101–508, § 11801(c)(9)(J)(ii), sub- stituted ‘‘an incentive stock option or an’’ for ‘‘a quali- fied stock option, incentive stock option, a restricted stock option, or an’’. Subsec. (c). Pub. L. 101–508, § 11801(c)(9)(J)(iii), amend- ed subsec. (c) generally, striking out references for defi- nitions of ‘‘qualified stock option’’ and ‘‘restricted stock option’’. 1981—Subsec. (a)(1). Pub. L. 97–34, § 251(b)(5)(A), in- serted ‘‘, an incentive stock option,’’ after ‘‘qualified stock option’’. Subsec. (b)(1). Pub. L. 97–34, § 251(b)(5)(B), inserted ‘‘incentive stock option,’’ after ‘‘qualified stock op- tion,’’. Subsec. (c)(4). Pub. L. 97–34, § 251(b)(5)(C), added par. (4). 1979—Subsec. (a). Pub. L. 96–167 substituted ‘‘Fur- nishing of information’’ for ‘‘Requirement of report- ing’’ in heading, and in closing par. substituted provi- sions relating to the furnishing, on or before Jan. 31 of the following calendar year, a written statement in such manner and setting forth such information, as prescribed by regulation for provisions prescribing the making of a return at such time and in such manner as prescribed by regulation, determining qualified stock options, restricted stock options or options granted under an employee stock purchase plan to be options under the provisions of this section, and restricting the necessity of a return only to the first transfer of such share. Subsec. (b). Pub. L. 96–167 added subsec. (b). Former subsec. (b), requiring every corporation making a re- turn to furnish each person named in the return a writ- ten statement setting forth such information as pre- scribed by regulation, and requiring such statement to be furnished before January 31 of the year following the calendar year for which the return was made, was struck out. Subsec. (c). Pub. L. 96–167 redesignated subsec. (d) as (c). Former subsec. (c), requiring any corporation transferring any share of stock pursuant to the exer- cise of an option described in subsec. (a)(2) to identify such stock, was struck out. Subsec. (d). Pub. L. 96–167 redesignated subsec. (d) as (c). 1976—Subsecs. (a), (b). Pub. L. 94–455 struck out ‘‘or his delegate’’ after ‘‘Secretary’’. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2006 AMENDMENT Pub. L. 109–432, div. A, title IV, § 403(d), Dec. 20, 2006, 120 Stat. 2955, provided that: ‘‘The amendments made by this section [amending this section and section 6724 of this title] shall apply to calendar years beginning after the date of the enactment of this Act [Dec. 20, 2006].’’ EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97–34 applicable with respect to options granted on or after Jan. 1, 1976, and exercised on or after Jan. 1, 1981, or outstanding on Jan. 1, 1981, or granted on or after Jan. 1, 1976, and outstanding Aug. 13, 1981, see section 251(c) of Pub. L. 97–34, set out as an Effective Date note under section 422 of this title. EFFECTIVE DATE OF 1979 AMENDMENT Amendment by Pub. L. 96–167 applicable with respect to calendar years beginning after 1979, see section 7(c) of Pub. L. 96–167, set out as a note under section 6652 of this title. EFFECTIVE DATE Section applicable to stock transferred pursuant to options exercised on or after Jan. 1, 1964, See section 221(e) of Pub. L. 88–272, set out as an Effective Date of 1964 Amendment note under section 421 of this title. SAVINGS PROVISION For provisions that nothing in amendment by Pub. L. 101–508 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Nov. 5, 1990, for purposes of determining liabil- ity for tax for periods ending after Nov. 5, 1990, see sec- tion 11821(b) of Pub. L. 101–508, set out as a note under section 45K of this title. [§ 6039A. Repealed. Pub. L. 96–223, title IV, § 401(a), Apr. 2, 1980, 94 Stat. 299] Section, added Pub. L. 94–455, title XX, § 2005(d)(1), Oct. 4, 1976, 90 Stat. 1877, related to information regard- ing carryover basis property acquired from a decedent. Repeal was achieved by repealing section 2005(d)(1) of Pub. L. 94–455 and the amendments made by that sec- tion. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF REPEAL AND REVIVAL OF PRIOR LAW Repeal applicable in respect of decedents dying after Dec. 31, 1976, and, except for certain elections, this title to be applied and administered as if this section had not been enacted, see section 401(b), (e) of Pub. L. 96–223, set out as an Effective Date of 1980 Amendment and Revival of Prior Law note under section 1023 of this title. [§ 6039B. Repealed. Pub. L. 99–514, title XIII, § 1303(b)(5), Oct. 22, 1986, 100 Stat. 2658] Section, added Pub. L. 95–600, title VI, § 601(b)(4), Nov. 6, 1978, 92 Stat. 2896; amended Pub. L. 96–595, § 3(b), Dec. 24, 1980, 94 Stat. 3466, related to returns of general stock ownership corporations. Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF REPEAL Repeal effective Oct. 22, 1986, see section 1311(f) of Pub. L. 99–514, as amended, set out as an Effective Date; Transitional Rules note under section 141 of this title. § 6039C. Returns with respect to foreign persons holding direct investments in United States real property interests (a) General rule To the extent provided in regulations, any for- eign person holding direct investments in United States real property interests for the cal- endar year shall make a return setting forth— (1) the name and address of such person, (2) a description of all United States real property interests held by such person at any time during the calendar year, and