other property includes securities. However, it does not include securities permitted under section 354 or section 355 to be received tax free. Thus, when securities are surrendered in a transaction to which section 354 or section 355 is applicable, the characterization of the securities received as other property does not include securities received where the principal amount of such securities does not exceed the principal amount of securities surrendered in the transaction. If a greater principal amount of securities is received in an exchange described in section 354 (other than subsection (c) or (d) thereof) or section 355 over the principal amount of securities surrendered, the termother propertyincludes the fair market value of such excess principal amount as of the date of the exchange. If no securities are surrendered in exchange, the termother propertyincludes the fair market value, as of the date of receipt, of the entire principal amount of the securities received.