---
kind: "section"
citation: "26 U.S.C. § 1011"
title: "26"
title_heading: "Internal Revenue Code"
number: "1011"
heading: "Adjusted basis for determining gain or loss"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/26/1011"
units:
  - "Subtitle A — Income Taxes"
  - "Chapter 1 — Normal Taxes and Surtaxes"
  - "Subchapter O — Gain or Loss on Disposition of Property"
  - "Part II — Basis Rules of General Application"
---

# §1011. Adjusted basis for determining gain or loss

- (a) **General rule—** The adjusted basis for determining the gain or loss from the sale or other [disposition](/usc/26/424.md?p=c-1) of [property](/usc/26/317.md?p=a), whenever acquired, shall be the basis (determined under [section 1012](/usc/26/1012.md) or other [applicable sections](/usc/26/414.md?p=t-2) of this subchapter and subchapters C (relating to corporate distributions and adjustments), K (relating to [partners](/usc/26/761.md?p=b) and [partnerships](/usc/26/761.md?p=a)), and P (relating to capital gains and losses)), adjusted as provided in section 1016.
- (b) **Bargain sale to a charitable organization—** If a deduction is allowable under [section 170](/usc/26/170.md) (relating to charitable contributions) by reason of a sale, then the adjusted basis for determining the gain from such sale shall be that portion of the adjusted basis which bears the same ratio to the adjusted basis as the amount realized bears to the fair market [value](/usc/26/851.md?p=c-4) of the [property](/usc/26/317.md?p=a).

## Source credit

(Aug. 16, 1954, ch. 736, 68A Stat. 296; Pub. L. 91–172, title II, § 201(f), Dec. 30, 1969, 83 Stat. 564.)

## Notes

### Editorial Notes

### Amendments

1969—Pub. L. 91–172 redesignated existing provisions as subsec. (a) and added subsec. (b).

### Statutory Notes and Related Subsidiaries

### Effective Date of 1969 Amendment

Amendment by Pub. L. 91–172 applicable with respect to sales made after Dec. 19, 1969, see section 201(g)(6) of Pub. L. 91–172, set out as a note under section 170 of this title.