---
type: "LegalText"
title: "26 U.S.C. § 1021"
description: "Sale of annuities"
jurisdiction: "us"
corpus: "united_states_code"
kind: "code_section"
title_number: 26
title_name: "INTERNAL REVENUE CODE"
chapter_number: "1"
chapter_name: "NORMAL TAXES AND SURTAXES"
section: "1021"
citation: "26 U.S.C. § 1021"
status: "current"
release_point: "119-100"
release_date: "2026-06-26"
source: "official"
source_url: "https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc26@119-100.zip"
source_identifier: "/us/usc/t26/s1021"
source_file: "data/legal/raw/us/code/title-26/usc26.xml"
source_hash: "c5ca893da5bc3a211bb69f3e6edc23c446a9a22f6ab2f1f0c15234d486475c69"
raw_snapshot_hash: "a261f094809116f42a96648a3d5eee80fa010379d67412551c21dd5c900b27f4"
text_hash: "868fc08f42e6af98af4769c0ae407e2e0e3c8cb6a613ef71c7901b46ab5f5857"
retrieved_at: "2026-07-04"
confidence: "official"
tags: ["legal", "us-code"]
---

# 26 U.S.C. § 1021 - Sale of annuities

## Text

In case of the sale of an annuity contract, the adjusted basis shall in no case be less than zero.

(Aug. 16, 1954, ch. 736, 68A Stat. 302.)