# Treatment of Certain Interests in Corporations as Stock or Indebtedness
> **IRS** · Final regulations and temporary regulations. · Published 2016-10-21 · Effective 2016-10-21 · 81 FR 72858
## Document
- **Document number:** 2016-25105
- **Category:** tax-irs
- **Sub-agency:** IRS
- **Federal Register citation:** 81 FR 72858
- **CFR reference:** 26 CFR 1
- **Publication date:** 2016-10-21
- **Effective date:** 2016-10-21
- **Treasury docket:** TD 9790
## Abstract

This document contains final and temporary regulations under section 385 of the Internal Revenue Code (Code) that establish threshold documentation requirements that ordinarily must be satisfied in order for certain related-party interests in a corporation to be treated as indebtedness for federal tax purposes, and treat as stock certain related-party interests that otherwise would be treated as indebtedness for federal tax purposes. The final and temporary regulations generally affect corporations, including those that are partners of certain partnerships, when those corporations or partnerships issue purported indebtedness to related corporations or partnerships.

## Source
- [Federal Register document](https://www.federalregister.gov/documents/2016/10/21/2016-25105/treatment-of-certain-interests-in-corporations-as-stock-or-indebtedness)
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