[Code of Federal Regulations]
[Title 26, Volume 8]
[Revised as of April 1, 2004]
From the U.S. Government Printing Office via GPO Access
[CITE: 26CFR1.676(a)-1]

[Page 303]
 
                       TITLE 26--INTERNAL REVENUE
 
    CHAPTER I--INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY 
                               (CONTINUED)
 
PART 1_INCOME TAXES--Table of Contents
 
Sec. 1.676(a)-1  Power to revest title to portion of trust property in 
grantor; general rule.

    If a power to revest in the grantor title to any portion of a trust 
is exercisable by the grantor or a nonadverse party, or both, without 
the approval or consent of an adverse party, the grantor is treated as 
the owner of that portion, except as provided in section 676(b) 
(relating to powers affecting beneficial enjoyment of income only after 
the expiration of certain periods of time). If the title to a portion of 
the trust will revest in the grantor upon the exercise of a power by the 
grantor or a nonadverse party, or both, the grantor is treated as the 
owner of that portion regardless of whether the power is a power to 
revoke, to terminate, to alter or amend, or to appoint. See section 671 
and Sec. Sec. 1.671-2 and 1.671-3 for rules for treatment of items of 
income, deduction, and credit when a person is treated as the owner of 
all or only a portion of a trust.