# 26 U.S.C. § 531: Imposition of accumulated earnings tax

Source: OLRC release point 119-134 <https://uscode.house.gov/us/usc/119-134/t26/s531>. Cite pinpoints as 26 U.S.C. § 531(a)(1).

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.

## Regulations

- [Treas. Reg. § 1.531-1](/26/reg/1.531-1.md): Imposition of tax. (interprets § 531)

## Leading cases

- [John P. Scripps Newspapers v. Commissioner, 44 T.C. 453 (1965)](https://www.courtlistener.com/opinion/4701845/john-p-scripps-newspapers-v-commissioner/)
- [GPD, Inc. v. Commissioner, 508 F.2d 1076 (6th Cir. 1974)](https://www.courtlistener.com/opinion/324424/gpd-inc-v-commissioner-of-internal-revenue/)
- [Magic Mart, Inc. v. Commissioner, 51 T.C. 775 (1969)](https://www.courtlistener.com/opinion/4702630/magic-mart-inc-v-commissioner/)

## Connections

Cites: § 532 Corporations subject to accumulated earnings tax; § 535 Accumulated taxable income

Cited by: § 26 Limitation based on tax liability; definition of tax liability; § 111 Recovery of tax benefit items; § 532 Corporations subject to accumulated earnings tax; § 534 Burden of proof; § 535 Accumulated taxable income; § 536 Income not placed on annual basis; § 545 Undistributed personal holding company income; § 563 Rules relating to dividends paid after close of taxable year; § 1298 Special rules; § 6601 Interest on underpayment, nonpayment, or extensions of time for payment, of tax; § 7518 Tax incentives relating to merchant marine capital construction funds

Derived from: 1939 § 102(a); 1939 § 509

## Amendments

- 1954-08-16: [Act Aug. 16, 1954, ch. 736](/26/act/1954-ch736.md), 68A Stat. 179
- 1988-11-10: [Pub. L. 100-647](/26/act/100-647.md), 102 Stat. 3349
- 1993-08-10: [Pub. L. 103-66](/26/act/103-66.md), 107 Stat. 459
- 2001-06-07: [Pub. L. 107-16](/26/act/107-16.md), 115 Stat. 43
- 2003-05-28: [Pub. L. 108-27](/26/act/108-27.md), 117 Stat. 764
- 2013-01-02: [Pub. L. 112-240](/26/act/112-240.md), 126 Stat. 2319