§ 1.531-1 Imposition of tax.
Amended 1988, 1993, 2001, 2003, 2013
- 2013 Pub. L. 112-240 Pub. L. 112–240 substituted “20 percent” for “15 percent”.
- 2003 Pub. L. 108-27 Pub. L. 108–27 substituted “equal to 15 percent of the accumulated taxable income.” for “equal to the product of the highest rate of tax under section 1(c) and the accumulated taxable income.”
- 2001 Pub. L. 107-16 Pub. L. 107–16 substituted “equal to the product of the highest rate of tax under section 1(c) and the accumulated taxable income.” for “equal to 39.6 percent of the accumulated taxable income.”
- 1993 Pub. L. 103-66 Pub. L. 103–66, § 13202(b), substituted “39.6 percent” for “36 percent”.
- 1993 Pub. L. 103-66 Pub. L. 103–66, § 13201(b)(1), substituted “36 percent” for “28 percent”.
- 1988 Pub. L. 100-647 Pub. L. 100–647 amended section generally. Prior to amendment, section read as follows: “In addition to other taxes imposed by this chapter, there is hereby imposed for each taxable year on the accumulated taxable income (as defined in section 535) of every corporation described in section 532, an accumulated earnings tax equal to the sum of—
“(1) 27½ percent of the accumulated taxable income not in excess of $100,000, plus
“(2) 38½ percent of the accumulated taxable income in excess of $100,000.”
Cases: John P. Scripps Newspapers v. Commissioner, 44 T.C. 453 (1965); GPD, Inc. v. Commissioner, 508 F.2d 1076 (6th Cir. 1974); Magic Mart, Inc. v. Commissioner, 51 T.C. 775 (1969)
In addition to other taxes imposed by this chapter, there is hereby imposed for each taxable year on the accumulated taxable income (as defined in section 535) of each corporation described in section 532, an accumulated earnings tax equal to 20 percent of the accumulated taxable income.