### Question
What does section 306 stock mean?


### Answer
**Section 306 stock** has the following meaning in *26 U.S.C. § 306*:

> stock which meets the requirements of subparagraph (A), (B), or (C) of this paragraph

#### Citation:
  - *26 U.S.C. § 306*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter C-Corporate Distributions and Adjustments > PART I-DISTRIBUTIONS BY CORPORATIONS > Subpart A-Effects on Recipients**

