Skip to main content
Find a Lawyer

26 U.S.C. § 1378 - U.S. Code - Unannotated Title 26. Internal Revenue Code § 1378. Taxable year of S corporation

Current as of January 01, 2024 | Updated by Findlaw Staff

(a) General rule.--For purposes of this subtitle, the taxable year of an S corporation shall be a permitted year.

(b) Permitted year defined.--For purposes of this section, the term “permitted year” means a taxable year which--

(1) is a year ending December 31, or

(2) is any other accounting period for which the corporation establishes a business purpose to the satisfaction of the Secretary.

For purposes of paragraph (2), any deferral of income to shareholders shall not be treated as a business purpose.

Previous Part of Code Next Part of Code
Back to Chapter List

Cite this article: FindLaw.com - 26 U.S.C. § 1378 - U.S. Code - Unannotated Title 26. Internal Revenue Code § 1378. Taxable year of S corporation - last updated January 01, 2024 | https://codes.findlaw.com/us/title-26-internal-revenue-code/26-usc-sect-1378/

FindLaw Codes may not reflect the most recent version of the law in your jurisdiction. Please verify the status of the code you are researching with the state legislature before relying on it for your legal needs.

Was this helpful?

Welcome to FindLaw's Cases & Codes

A free source of state and federal court opinions, state laws, and the United States Code. For more information about the legal concepts addressed by these cases and statutes, visit FindLaw’s Learn About the Law.

Go to Learn About the Law

Latest Blog Posts

For Legal Professionals

Learn About The Law

Get help with your legal needs

FindLaw’s Learn About the Law features thousands of informational articles to help you understand your options. And if you’re ready to hire an attorney, find one in your area who can help.

Go to Learn About the Law

Need to Find an Attorney?

Search our directory by legal issue

Enter information in one or both fields (Required)

Copied to clipboard