---
kind: "section"
citation: "26 C.F.R. § 2.1-27"
title: "26"
number: "2.1-27"
heading: "Controlled corporation."
url: "https://uscodex.org/cfr/26/2.1-27"
---

# §2.1-27. Controlled corporation.


For the purpose of section 511 of the Act and the regulations in this part a new vessel is considered as constructed, reconstructed, reconditioned, or acquired by the taxpayer if constructed, reconstructed, reconditioned, or acquired by a corporation at a time when the taxpayer owns not less than 95 percent of the total number of shares of each class of stock of the corporation.


## Notes

### Authority

Authority: Sec. 511(b), 49 Stat. 1985, as amended, sec. 7805, 68A Stat. 917; 26 U.S.C. 7805, 46 U.S.C. 1161(b).

### Source

Source: T.D. 6820, 30 FR 6030, Apr. 29, 1965, unless otherwise noted.