Treasury Regulations · 26 CFR
§ 1.507-5. Aggregate tax benefit; in general.
Regulation text, no changes From the eCFR, current as of October 15, 2026. The eCFR is an authoritative but unofficial editorial compilation of the Code of Federal Regulations; the official text is the annual CFR on govinfo. Compare it with this section on ecfr.gov (external site) or the official annual CFR on govinfo (external site).
Regulation under 26 U.S.C. § 507
Cite as 26 CFR § 1.507-5
At a glance
Read from the text and its source citation. Not part of the regulation.
- Status
- In the current eCFR
- Issued
- December 21, 1972 by T.D. 7233
- Issued under
- 26 U.S.C. § 507
- Length
- 345 words · about 2 min to read
- Cross-references
- cites 4 Code sections and 1 regulation; cited by 0
¶(a) General rule. For purposes of section 507(c)(1), the aggregate tax benefit resulting from the section 501(c)(3) status of any private foundation is the sum of:
¶(1) The aggregate increases in tax under chapters 1, 11, and 12 (or the corresponding provisions of prior law) which would have been imposed with respect to all substantial contributors to the foundation if deductions for all contributions made by such contributors to the foundation after February 28, 1913, had been disallowed,
¶(2) The aggregate increases in tax under chapter 1 (or the corresponding provisions of prior law) which would have been imposed with respect to the income of the private foundation for taxable years beginning after December 31, 1912, if (i) it had not been exempt from tax under section 501(a) (or the corresponding provisions of prior law), and (ii) in the case of a trust, deductions under section 642(c) (or the corresponding provisions of prior law) had been limited to 20 percent of the taxable income of the trust (computed without the benefit of section 642(c) but with the benefit of section 170(b)(1)(A)),
¶(4) Interest on the increases in tax determined under subparagraphs (1), (2), and (3) of this paragraph from the first date on which each such increase would have been due and payable to the date on which the organization ceases to be a private foundation.
¶(b) Contributions. In computing the amount of the aggregate increases in tax under subparagraph (1) of this paragraph, all deductions attributable to a particular contribution shall be included. For example, if a substantial contributor has taken deductions under sections 170 and 2522 (or the corresponding provisions of prior law) with respect to the same contribution, the amount of each deduction shall be included in the computations under section 507(d)(1)(A). Accordingly, the aggregate tax benefit may exceed the fair market value of the property transferred.
[T.D. 7233, 37 FR 28161, Dec. 21, 1972]
Cross-references
Computed from the citations in the text of 26 CFR.
Code sections it cites
- § 507 Termination of private foundation status
- § 501 Exemption from tax on corporations, certain trusts, etc.
- § 642 Special rules for credits and deductions
- § 170 Charitable, etc., contributions and gifts
Regulations it cites
Amendment history
From the source citation at the end of the section, newest first. T.D. is a Treasury decision; FR is the Federal Register.
- Issued by T.D. 7233 (37 FR 28161)
Where it sits in 26 CFR
- Subchapter A Income tax
- Part 1 Income taxes
- Private Foundations
Nearby sections
- § 1.507-1 General rule.
- § 1.507-2 Special rules; transfer to, or operation as, public charity.
- § 1.507-3 Special rules; transferee foundations.
- § 1.507-4 Imposition of tax.
- § 1.507-5 Aggregate tax benefit; in general.
- § 1.507-6 Substantial contributor defined.
- § 1.507-7 Value of assets.
- § 1.507-8 Liability in case of transfers.
- § 1.507-9 Abatement of taxes.