CHAPTER 14. General Rules for Determining Capital Gains and Losses [18151. - 18181.]

Cal. Revenue and Taxation Code - RTC 14.
in effect

Cal. Revenue and Taxation Code - RTC § 18151.5. Section 18151.5.

Section 301 of Title III of Division A of the Emergency Economic Stabilization Act of 2008 (Public Law 110-343), relating to gain or loss from sale of certain preferred stock, shall not apply.

Cal. Revenue and Taxation Code - RTC § 18151.9. Section 18151.9.

The amendments made to Sections 1221(a)(3) and 1231(b)(1)(C) of the Internal Revenue Code by Section 13314 of Public Law 115-97, relating to certain self-created property not treated as a capital asset, shall not apply.

Cal. Revenue and Taxation Code - RTC § 18154. Section 18154.

Notwithstanding any other law, for purposes of this part, the natural gas transmission line explosion on September 9, 2010, in San Bruno, California, shall be treated as a federally declared disaster within the meaning of Section 1033 of the Internal Revenue Code.

Cal. Revenue and Taxation Code - RTC § 18155.5. Section 18155.5.

Section 1223 of the Internal Revenue Code, relating to holding period of property, is modified to additionally provide that in determining the period for which the taxpayer has held property the acquisition of which resulted under Section 18038.5 in the nonrecognition of any part of the gain realized on the sale of other property, there shall be included the period for which that other property has been held as of the date of the sale.

Cal. Revenue and Taxation Code - RTC § 18155.6. Section 18155.6.

For taxable years beginning on or after January 1, 2010, specific reference to Sections 1223(4) to (16), inclusive, of the Internal Revenue Code in this part shall instead be treated as a reference to Sections 1223(3) to (15), inclusive, of the Internal Revenue Code, respectively.

Cal. Revenue and Taxation Code - RTC § 18165. Section 18165.

(a) Section 1245(a)(2)(C) of the Internal Revenue Code, relating to certain deductions treated as amortization, is modified to also refer to Sections 17252.5, 17265, and 17266. (b) Section 1245(b)(8) of the Internal Revenue Code, relating to disposition of amortizable Section 197 intangibles, shall apply to dispositions of property on or after January 1, 2010.

Cal. Revenue and Taxation Code - RTC § 18171. Section 18171.

Section 1250(b) of the Internal Revenue Code, relating to additional depreciation, is modified as follows: (a) “Depreciation adjustments,” as defined in Section 1250(b)(3) of the Internal Revenue Code, do not include the following: (1) For taxable years beginning on or after January 1, 1983, amortization under Section 17251 or under Section 188 of the Internal Revenue Code. (2) For taxable years beginning prior to January 1, 1983, amortization under former Section 17226, relating to pollution control facilities, or former Section 17227, relating to trademarks. (b) “Additional depreciation,” as defined in Section 1250(b)(4) of the Internal Revenue Code, includes the following: (1) For taxable years beginning on or after January 1, 1983, amortization under Section 167(k) of the Internal Revenue Code. (2) For taxable years beginning before January 1, 1983, amortization under former Section 17211.7, relating to low-income rental housing, or former Section 17228.5, relating to certified historic structures.

Cal. Revenue and Taxation Code - RTC § 18171.5. Section 18171.5.

Section 1250(a) of the Internal Revenue Code is modified as follows: (a) The date “December 31, 1970” is substituted for “July 24, 1969,” and “December 31, 1969.” (b) The date “January 1, 1971” is substituted for “January 1, 1970.” (c) The date “December 31, 1976” is substituted for “December 31, 1975.” (d) The date “January 1, 1977” is substituted for “January 1, 1976.”

Cal. Revenue and Taxation Code - RTC § 18177. Section 18177.

Section 1275(a)(3) of the Internal Revenue Code, relating to the definition of tax-exempt obligations, does not apply but instead the term “tax-exempt obligation” means an obligation the interest on which is exempt from tax under this part.

Cal. Revenue and Taxation Code - RTC § 18178. Section 18178.

Section 1272 of the Internal Revenue Code shall be modified as follows: (a) For taxable years beginning on or after January 1, 1987, and before the taxable year in which the debt obligation matures or is sold, exchanged, or otherwise disposed, the amount included in gross income under this part shall be the same as the amount included in gross income on the federal tax return. (b) The difference between the amount included in gross income on the federal return and the amount included in gross income under this part, with respect to obligations issued after December 31, 1984, for taxable years beginning before January 1, 1987, shall be included in gross income in the taxable year in which the debt obligation matures or is sold, exchanged, or otherwise disposed. (c) Section 1004(b) of the Taxpayer Relief Act of 1997 (P.L. 105-34), relating to the effective date for determination of original issue discount where pooled debt obligations are subject to acceleration, is modified to provide that the changes to Section 1272(a)(6) of the Internal Revenue Code made by the act adding this subdivision shall apply to taxable years beginning on or after January 1, 1998, and the amount taken into account under Section 481 of the Internal Revenue Code shall be taken into account ratably over the four-taxable-year period beginning with the first taxable year beginning on or after January 1, 1998.

Cal. Revenue and Taxation Code - RTC § 18180. Section 18180.

(a) Section 7872 of the Internal Revenue Code, relating to treatment of loans with below market interest rates, shall apply, except as otherwise provided. (b) Section 7872(h) of the Internal Revenue Code, relating to exception for loans to qualified continuing care facilities, shall apply to calendar years beginning on or after January 1, 2010, with respect to loans made before, on, or after that date.
Source: CA Legislative Counsel Bulk DataURL: https://downloads.leginfo.legislature.ca.gov/pubinfo_2025.zipFetched: 6/27/2026

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