In the case of a sale or exchange of an interest in a partnership, gain or loss shall be recognized to the transferor partner. Such gain or loss shall be considered as gain or loss from the sale or exchange of a capital asset, except as otherwise provided in section 751 (relating to unrealized receivables and inventory items).
Aug. 16, 1954, ch. 73668A Stat. 248Pub. L. 107–147, title IV, § 417(12)116 Stat. 56(, ; , , .)
Editorial Notes
Amendments
Pub. L. 107–1472002— struck out “which have appreciated substantially in value” after “inventory items”.