### Question
How does CHAPTER I—INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY (CONTINUED) define reversionary interest?


### Answer
Under *26 CFR § 1.170-2*, **reversionary interest** is defined as:

> a possibility that after the possession or enjoyment of property or its income has been obtained by a charitable donee, the property or its income may revest in the grantor or his estate, or may be subject to a power exercisable by the grantor or a nonadverse party (within the meaning of section 672 (b)), or both, to revest in, or return to or for the benefit of, the grantor or his estate the property or income therefrom. 

#### Citation:
  - *26 CFR § 1.170-2*
  - Heading: **PART 1—INCOME TAXES > CHAPTER I—INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY (CONTINUED)**

