
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 26USC276]

 
                     TITLE 26--INTERNAL REVENUE CODE
 
                        Subtitle A--Income Taxes
 
                  CHAPTER 1--NORMAL TAXES AND SURTAXES
 
               Subchapter B--Computation of Taxable Income
 
                      PART IX--ITEMS NOT DEDUCTIBLE
 
Sec. 276. Certain indirect contributions to political parties


(a) Disallowance of deduction

    No deduction otherwise allowable under this chapter shall be allowed 
for any amount paid or incurred for--
        (1) advertising in a convention program of a political party, or 
    in any other publication if any part of the proceeds of such 
    publication directly or indirectly inures (or is intended to inure) 
    to or for the use of a political party or a political candidate,
        (2) admission to any dinner or program, if any part of the 
    proceeds of such dinner or program directly or indirectly inures (or 
    is intended to inure) to or for the use of a political party or a 
    political candidate, or
        (3) admission to an inaugural ball, inaugural gala, inaugural 
    parade, or inaugural concert, or to any similar event which is 
    identified with a political party or a political candidate.

(b) Definitions

    For purposes of this section--

                         (1) Political party

        The term ``political party'' means--
            (A) a political party;
            (B) a National, State, or local committee of a political 
        party; or
            (C) a committee, association, or organization, whether 
        incorporated or not, which directly or indirectly accepts 
        contributions (as defined in section 271(b)(2)) or make 
        expenditures (as defined in section 271(b)(3)) for the purpose 
        of influencing or attempting to influence the selection, 
        nomination, or election of any individual to any Federal, State, 
        or local elective public office, or the election of presidential 
        and vice-presidential electors, whether or not such individual 
        or electors are selected, nominated, or elected.

        (2) Proceeds inuring to or for the use of political 
                                 candidates

        Proceeds shall be treated as inuring to or for the use of a 
    political candidate only if--
            (A) such proceeds may be used directly or indirectly for the 
        purpose of furthering his candidacy for selection, nomination, 
        or election to any elective public office, and
            (B) such proceeds are not received by such candidate in the 
        ordinary course of a trade or business (other than the trade or 
        business of holding elective public office).

(c) Cross reference

            For disallowance of certain entertainment, etc., expenses, 
        see section 274.

(Added Pub. L. 89-368, title III, Sec. 301(a), Mar. 15, 1966, 80 Stat. 
66; amended Pub. L. 90-364, title I, Sec. 108(a), June 28, 1968, 82 
Stat. 268; Pub. L. 93-443, title IV, Sec. 406(d), Oct. 15, 1974, 88 
Stat. 1296.)


                               Amendments

    1974--Subsecs. (c), (d). Pub. L. 93-443 struck out subsec. (c) 
relating to advertising in a convention program of a national political 
convention, and redesignated subsec. (d) as (c).
    1968--Subsecs. (c), (d). Pub. L. 90-364 added subsec. (c) and 
redesignated former subsec. (c) as (d).


                    Effective Date of 1974 Amendment

    Amendment by Pub. L. 93-443 applicable with respect to taxable years 
beginning after Dec. 31, 1974, see section 410(c)(1) of Pub. L. 93-443, 
set out as a note under section 431 of Title 2, The Congress.


                    Effective Date of 1968 Amendment

    Section 108(b) of Pub. L. 90-364 provided that: ``The amendments 
made by subsection (a) [amending this section] shall apply with respect 
to amounts paid or incurred on or after January 1, 1968.''


                             Effective Date

    Section 301(c) of Pub. L. 89-368 provided that: ``The amendments 
made by subsections (a) and (b) [enacting this section] shall apply to 
taxable years beginning after December 31, 1965, but only with respect 
to amounts paid or incurred after the date of the enactment of this Act 
[Mar. 15, 1966].''


 Program Advertising for Presidential and Vice-Presidential Nominating 
                               Conventions

    Pub. L. 90-346, June 18, 1968, 82 Stat. 183, provided for 
advertising in a convention program of a national political convention, 
applicable with respect to amounts paid or incurred on or after Jan. 1, 
1968, prior to repeal by Pub. L. 93-625, Sec. 10(g), Jan. 3, 1975, 88 
Stat. 2119.
