U.S. Code / Title 26 — Internal Revenue Code / Subtitle A—Income Taxes / Chapter 1—Normal Taxes and Surtaxes / Subchapter P—Capital Gains and Losses / Part V—Special Rules for Bonds and…Title 26SubpartSubpart B—Market Discount on BondsContents§ 1276. Disposition gain representing accrued market discount treated as ordinary income§ 1277. Deferral of interest deduction allocable to accrued market discount§ 1278. Definitions and special rules