BONDS WITH COUPONS DETACHED.

SEC. 51. BONDS WITH COUPONS DETACHED. Section 1232 (c) (relating to bonds with excess number of coupons detached) is amended to read as follows: “(c) Bond With Unmatured Coupons Detached.— If a bond or other evidence of indebtedness issued at any time with interest coupons— “(1) is purchased after August 16, 1954, and before January 1, 1958, and the purchaser does not receive all the coupons which first become payable more than 12 months after the date of the purchase, or “(2) is purchased after December 31, 1957, and the purchaser does not receive all the coupons which first become payable after the date of the purchase, then the gain on the sale or other disposition of such evidence of indebtedness by such purchaser (or by a person whose basis is determined by reference to the basis in the hands of such purchaser) shall be considered as gain from the sale or exchange of property which is not a capital asset to the extent that the fair market value (determined as of the time of the purchase) of the evidence of indebtedness with coupons attached exceeds the purchase price. If this subsection and subsection (a) (2) (A) apply with respect to gain realized on the sale or exchange of any evidence of indebtedness, then subsection (a) (2) (A) shall apply with respect to that part of the gain to which this subsection does not apply.”