# 26 U.S.C. § 541: Imposition of personal holding company tax

> Federal · Statutes · In force

URL: https://www.frixlaw.com/law-library/statutes/usc_t26_s541

## Section

- **Citation:** 26 U.S.C. § 541
- **Heading:** Imposition of personal holding company tax
- **Jurisdiction:** Federal
- **Kind:** Statutes
- **Status:** In force
- **Text as of:** September 16, 2026
- **Source:** Publisher's official text
- **Location:** Title 26—INTERNAL REVENUE CODE > Subtitle A—Income Taxes > CHAPTER 1—NORMAL TAXES AND SURTAXES > Subchapter G—Corporations Used to Avoid Income Tax on Shareholders > PART II—PERSONAL HOLDING COMPANIES

## Text

In addition to other taxes imposed by this chapter, there is hereby imposed for each taxable year on the undistributed personal holding company income (as defined in section 545) of every personal holding company (as defined in section 542) a personal holding company tax equal to 20 percent of the undistributed personal holding company income.

( Aug. 16, 1954, ch. 736 , 68A Stat. 182 ; Pub. L. 88–272, title II, § 225(a) , Feb. 26, 1964 , 78 Stat. 79 ; Pub. L. 97–34, title I, § 101(d)(2) , Aug. 13, 1981 , 95 Stat. 184 ; Pub. L. 99–514, title I, § 104(b)(8) , Oct. 22, 1986 , 100 Stat. 2105 ; Pub. L. 101–508, title XI, § 11802(f)(1) , Nov. 5, 1990 , 104 Stat. 1388–530 ; Pub. L. 103–66, title XIII , §§ 13201(b)(2), 13202(b), Aug. 10, 1993 , 107 Stat. 459 , 461; Pub. L. 107–16, title I, § 101(c)(5) , June 7, 2001 , 115 Stat. 43 ; Pub. L. 108–27, title III, § 302(e)(6) , May 28, 2003 , 117 Stat. 764 ; Pub. L. 112–240, title I, § 102(c)(1)(B) , Jan. 2, 2013 , 126 Stat. 2319 .)

## Nearby sections

- [26 U.S.C. § 531 Imposition of accumulated earnings tax](https://www.frixlaw.com/law-library/statutes/usc_t26_s531.md)
- [26 U.S.C. § 532 Corporations subject to accumulated earnings tax](https://www.frixlaw.com/law-library/statutes/usc_t26_s532.md)
- [26 U.S.C. § 533 Evidence of purpose to avoid income tax](https://www.frixlaw.com/law-library/statutes/usc_t26_s533.md)
- [26 U.S.C. § 534 Burden of proof](https://www.frixlaw.com/law-library/statutes/usc_t26_s534.md)
- [26 U.S.C. § 535 Accumulated taxable income](https://www.frixlaw.com/law-library/statutes/usc_t26_s535.md)
- [26 U.S.C. § 536 Income not placed on annual basis](https://www.frixlaw.com/law-library/statutes/usc_t26_s536.md)
- [26 U.S.C. § 537 Reasonable needs of the business](https://www.frixlaw.com/law-library/statutes/usc_t26_s537.md)
- [26 U.S.C. § 541 Imposition of personal holding company tax](https://www.frixlaw.com/law-library/statutes/usc_t26_s541.md)
- [26 U.S.C. § 542 Definition of personal holding company](https://www.frixlaw.com/law-library/statutes/usc_t26_s542.md)
- [26 U.S.C. § 543 Personal holding company income](https://www.frixlaw.com/law-library/statutes/usc_t26_s543.md)
- [26 U.S.C. § 544 Rules for determining stock ownership](https://www.frixlaw.com/law-library/statutes/usc_t26_s544.md)
- [26 U.S.C. § 545 Undistributed personal holding company income](https://www.frixlaw.com/law-library/statutes/usc_t26_s545.md)
- [26 U.S.C. § 546 Income not placed on annual basis](https://www.frixlaw.com/law-library/statutes/usc_t26_s546.md)
- [26 U.S.C. § 547 Deduction for deficiency dividends](https://www.frixlaw.com/law-library/statutes/usc_t26_s547.md)

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Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/usc_t26_s541. Check the current official text before relying on it. Not legal advice.