26 U.S.C. § 561 | Definition of deduction for dividends paid

(a)

General rule

The deduction for dividends paid shall be the sum of—

(1)

the dividends paid during the taxable year,

(2)

the consent dividends for the taxable year (determined under section 565), and

(3)

in the case of a personal holding company, the dividend carryover described in section 564.

(b)

Special rules applicable

In determining the deduction for dividends paid, the rules provided in section 562 (relating to rules applicable in determining dividends eligible for dividends paid deduction) and section 563 (relating to dividends paid after the close of the taxable year) shall be applicable.

Aug. 16, 1954, ch. 736 68A Stat. 198 Pub. L. 87–403, § 3(f)Feb. 2, 196276 Stat. 8 Pub. L. 94–455, title XIX, § 1901(b)(32)(H)Oct. 4, 197690 Stat. 1800(, ; , , ; , , .)

Editorial Notes

Amendments

Pub. L. 94–4551976—Subsec. (b). redesignated existing provisions of par. (1) as subsec. (b) and struck out par. (2) relating to special adjustment on disposition of antitrust stock as a dividend.

Pub. L. 87–4031962—Subsec. (b). designated existing provisions as par. (1) and added par. (2).

Statutory Notes and Related Subsidiaries

Effective Date of 1976 Amendment

Pub. L. 94–455Dec. 31, 1976section 1901(d) of Pub. L. 94–455 section 2 of this titleAmendment by applicable with respect to taxable years beginning after , see , set out as a note under .

Effective Date of 1962 Amendment

Pub. L. 87–403Feb. 2, 1962section 3(g) of Pub. L. 87–403 section 312 of this titleAmendment by applicable only with respect to distributions made after , see , set out as a note under .