Code of Federal Regulations Title 26. Internal Revenue § 26.1.6049(d)–5T Reporting by brokers of interest and original issue discount on and after January 1, 1986 (temporary)

For purposes of § 1.6049–5(c), relating to original issue discount treated as interest subject to reporting, on and after January 1, 1986, a payor who is a broker or middleman holding as a nominee—

must determine whether that obligation is one that was issued at a discount and the amount of discount that is includible in the income of the owner. However, before January 1, 1987, reporting is required only with respect to certificates of deposit (or any such other obligations) held by a broker or middleman as a nominee on or after June 1, 1986, that were sold by the broker or middleman (whether for the broker's account or as an agent of the issuer) to the owner. The preceding two sentences do not apply to certificates of deposit (or any such other obligations) held on or after January 1, 1986, but disposed of before June 1, 1986;  reporting requirements with respect to such certificates of deposit (or any other such obligations) shall be determined under the provisions of § 1.6049–5(c) as in effect immediately prior to publication of this § 1.6049–5T.