No gain or loss shall be recognized if common stock in a corporation is exchanged solely for common stock in the same corporation, or if preferred stock in a corporation is exchanged solely for preferred stock in the same corporation.
(1) For rules relating to recognition of gain or loss where
an exchange is not solely in kind, see subsections (b) and (c)
of section 1031.
(2) For rules relating to the basis of property acquired in
an exchange described in subsection (a), see subsection (d) of
section 1031.
(Aug. 16, 1954, ch. 736, 68A Stat. 309.)
Exchange of stock and securities in certain reorganizations, see section 354 of this title.
This section is referred to in sections 83, 424, 1031 of this title.