# Prop. Treas. Reg. § 1.305-7: Certain transactions treated as distributions.

Proposed regulation, not in force. CO-8-91, 94-14971, published 1994-06-22 <https://www.federalregister.gov/documents/1994/06/22/94-14971/distributions-of-stock-and-stock-rights>. Interprets 26 U.S.C. § 305.

Par. 4. Section 1.305-7 is amended by revising the fourth sentence in the concluding text of paragraph (a) to read as follows:

(a) * * *

* * * For example, where a redemption premium exists with respect to a class of preferred stock under the circumstances described in Sec. 1.305-5(b) and the other requirements of this section are also met, the distribution will be deemed made with respect to such preferred stock, in stock of the same class. * * *

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