Internal Revenue Code · 26 U.S.C.
§ 52. Special rules
Official text, no changes From the Office of the Law Revision Counsel, release point 119-121 (current through Public Law 119-121 (October 9, 2026)). Compare it with the official text at uscode.house.gov (external site).
Cite as 26 U.S.C. § 52
At a glance
Read from the text, the source credit and the official notes. Not part of the law.
- Status
- In force
- Added
- May 23, 1977 by Pub. L. 95–30
- Last amended
- November 21, 2011 by Pub. L. 112–56
- Amendments
- 8 dated changes in the source credit
- Length
- 5 subsections · 600 words · about 3 min to read
- Defines
- 1 term
- Cross-references
- cites 8; cited by 38 Code sections and 20 other regulations
- Regulations
- 3 issued under this section
No credit shall be allowed under section 38 for any work opportunity credit determined under this subpart to any organization (other than a cooperative described in section 521) which is exempt from income tax under this chapter.
For credit against payroll taxes for employment of qualified veterans by qualified tax-exempt organizations, see section 3111(e).
(Added Pub. L. 95–30, title II, § 202(b), May 23, 1977, 91 Stat. 143; amended Pub. L. 95–600, title III, § 321(c)(1), Nov. 6, 1978, 92 Stat. 2835; Pub. L. 96–222, title I, § 103(a)(5), Apr. 1, 1980, 94 Stat. 209; Pub. L. 97–354, § 5(a)(11), Oct. 19, 1982, 96 Stat. 1693; Pub. L. 98–369, div. A, title IV, § 474(p)(4)–(7), July 18, 1984, 98 Stat. 838; Pub. L. 101–508, title XI, § 11813(b)(4), Nov. 5, 1990, 104 Stat. 1388–551; Pub. L. 104–188, title I, § 1616(b)(2), Aug. 20, 1996, 110 Stat. 1856; Pub. L. 105–34, title XVI, § 1601(b), Aug. 5, 1997, 111 Stat. 1087; Pub. L. 112–56, title II, § 261(e)(1), Nov. 21, 2011, 125 Stat. 730.)
Terms defined here
Where the text says “the term … means”. Select a term to jump to its definition.
Regulations under this section
Treasury regulations (26 CFR) issued under § 52
Cross-references
Computed from the citations in the text of Title 26 and 26 CFR.
This section cites 8 other sections
- § 51(a) Amount of credit
- § 1563(a) Definitions and special rules
- § 38 General business credit
- § 521 Exemption of farmers’ cooperatives from tax
- § 3111(e) Rate of tax
- § 851 Definition of regulated investment company
- § 1381(a) Organizations to which part applies
- § 46 Amount of credit
Cited by 38 Code sections
- § 30B(f)(4)(A) Alternative motor vehicle credit
- § 40(d)(5) Alcohol, etc., used as fuel
- § 40A(d)(4) Biodiesel and renewable diesel used as fuel
- § 41(b)(3)(C)(i) Credit for increasing research activities
- § 42(d)(2)(D)(ii) Low-income housing credit
- § 44(d)(2)(A) Expenditures to provide access to disabled individuals
- § 45(e)(4) Electricity produced from certain renewable resources, etc.
- § 45A(e)(2)(A) Indian employment credit
- § 45E(e)(1) Small employer pension plan startup costs
- § 45F(e)(1) Employer-provided child care credit
- § 45K(d)(7) Credit for producing fuel from a nonconventional source
- § 45P(e) Employer wage credit for employees who are active duty members of the uniformed services
- § 45R(e)(5)(B) Employee health insurance expenses of small employers
- § 45X(d)(1) Advanced manufacturing production credit
- § 45Y(g)(4) Clean electricity production credit
- § 45Z(f)(3) Clean fuel production credit
- § 51(f)(2) Amount of credit
- § 59(k)(1)(D) Other definitions and special rules
- § 59A(e)(3) Tax on base erosion payments of taxpayers with substantial gross receipts
- § 101(j)(3)(B)(ii)(II) Certain death benefits
- § 125(j)(5)(D)(ii) Cafeteria plans
- § 167(h)(5)(B)(iii)(II) Depreciation
- § 199A(g)(3)(D)(ii)(II) Qualified business income
- § 264(e)(5)(B) Certain amounts paid in connection with insurance contracts
Show 14 more
- § 280C(a) Certain expenses for which credits are allowable
- § 448(c)(2) Limitation on use of cash method of accounting
- § 453A(b)(2)(B) Special rules for nondealers
- § 465(b)(3)(C)(ii) Deductions limited to amount at risk
- § 474(d)(1)(B) Simplified dollar-value LIFO method for certain small businesses
- § 856(d)(9)(F) Definition of real estate investment trust
- § 1355(a)(2)(B) Definitions and special rules
- § 1397(a)(2)(B) Other definitions and special rules
- § 3134(d) Employee retention credit for employers subject to closure due to COVID–19
- § 4182(c)(2) Exemptions
- § 5000(b)(2)(A) Certain group health plans
- § 6053(c)(4)(C) Reporting of tips
- § 9701(c)(2)(A)(i) Definitions of general applicability
- § 9704(j)(2)(D) Liability of assigned operators
Cited in 20 regulations not issued under it
- § 1.42-6 Buildings qualifying for carryover allocations.
- § 1.44B-1 Credit for employment of certain new employees.
- § 1.45D-1 New markets tax credit.
- § 1.45R-3 Calculating the credit.
- § 1.45X-2 Sale to unrelated person.
- § 1.45Y-1 Clean electricity production credit.
- § 1.51-1 Amount of credit.
- § 1.83-7 Taxation of nonqualified stock options.
- § 1.163(j)-2 Deduction for business interest expense limited.
- § 1.199A-9 Domestic production gross receipts.
- § 1.263A-7 Changing a method of accounting under section 263A.
- § 1.409A-1 Definitions and covered plans.
- § 1.448-1T Limitation on the use of the cash receipts and disbursements method of accounting (temporary).
- § 1.860E-1 Treatment of taxable income of a residual interest holder in excess of daily accruals.
- § 31.3402(g)-1 Supplemental wage payments.
- § 31.6053-3 Reporting by certain large food or beverage establishments with respect to tips.
- § 51.2 Explanation of terms.
- § 54.9801-2 Definitions.
- § 54.9816-6T Methodology for calculating qualifying payment amount (temporary).
- § 57.2 Explanation of terms.
Amendment history
From the source credit and the official notes, newest first.
- Amended by Pub. L. 112–56Parts changed in 2011: (c)
- Amended by Pub. L. 105–34Parts changed in 1997: (c)
- Amended by Pub. L. 104–188Parts changed in 1996: (e)(1)
- Amended by Pub. L. 101–508Parts changed in 1990: (e)
- Amended by Pub. L. 98–369Parts changed in 1984: (a) (b)(2) (c) (d)(2)
- Amended by Pub. L. 97–354Parts changed in 1982: (d)
- Amended by Pub. L. 96–222Parts changed in 1980: (f)
- Amended by Pub. L. 95–600Parts changed in 1978: (a) (c) (e) (f) (i) (j)
- Added by Pub. L. 95–30
Where it sits in the Code
- Subtitle A Income Taxes
- Chapter 1 NORMAL TAXES AND SURTAXES
- Subchapter A Determination of Tax Liability
- Part IV CREDITS AGAINST TAX
- Subpart F Rules for Computing Work Opportunity Credit
Nearby sections
- § 51 Amount of credit
- § 51A Repealed
- § 52 Special rules
Official notes
Show the Law Revision Counsel's notes (amendments, effective dates)
Editorial Notes
References in Text
The date of the enactment of the Revenue Reconciliation Act of 1990, referred to in subsec. (e), is the date of enactment of Pub. L. 101–508, which was approved Nov. 5, 1990.
Amendments
2011—Subsec. (c). Pub. L. 112–56 designated existing provisions as par. (1), inserted heading, and added par. (2).
1997—Subsec. (c). Pub. L. 105–34 substituted “work opportunity credit” for “targeted jobs credit”.
1996—Subsec. (e)(1) to (3). Pub. L. 104–188 redesignated pars. (2) and (3) as (1) and (2), respectively, and struck out former par. (1) which read as follows: “an organization to which section 593 (relating to reserves for losses on loans) applies,”.
1990—Subsec. (e). Pub. L. 101–508 substituted “section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)” for “section 46” in concluding provisions.
1984—Subsec. (a). Pub. L. 98–369, § 474(p)(4), substituted “the credit (if any) determined under section 51(a) with respect to each such member” for “the credit (if any) allowable by section 44B to each such member”.
Subsec. (b)(2). Pub. L. 98–369, § 474(p)(5), substituted “the credit (if any) determined under section 51(a)” for “the credit (if any) allowable by section 44B”.
Subsec. (c). Pub. L. 98–369, § 474(p)(6), substituted “credit shall be allowed under section 38 for any targeted jobs credit determined under this subpart” for “credit shall be allowed under section 44B”.
Subsec. (d)(2). Pub. L. 98–369, § 474(p)(7), substituted “, subject to section 38(c), a credit under section 38(a)” for “, subject to section 53 a credit under section 44B”.
1982—Subsecs. (d) to (f). Pub. L. 97–354 struck out subsec. (d) relating to apportionment of credit among shareholders, and redesignated subsecs. (e) and (f) as (d) and (e), respectively.
1980—Subsec. (f). Pub. L. 96–222 substituted “subsections (e) and (h) of section 46” for “section 46(e)”.
1978—Subsecs. (a), (b). Pub. L. 95–600, § 321(c)(1)(B), substituted “proportionate share of the wages” for “proportionate contribution to the increase in unemployment insurance wages”.
Subsecs. (c), (d). Pub. L. 95–600, § 321(c)(1)(A), struck out subsec. (c) which related to dispositions by an employer, and redesignated subsecs. (d) and (f) as (c) and (d), respectively.
Subsec. (e). Pub. L. 95–600, § 321(c)(1)(A), (C), redesignated subsec. (g) as (e) and struck out par. (3) which provided that the $100,000 amount specified in section 51(d) applicable to such estate or trust be reduced to an amount which bears the same ratio to $100,000 as the portion of the credit allocable to the estate or trust under paragraph (1) bears to the entire amount of such credit. Former subsec. (e), which related to a change in status from self-employed to employee, was struck out.
Subsecs. (f) to (h). Pub. L. 95–600, § 321(c)(1)(A), redesignated subsecs. (f) to (h) as (d) to (f), respectively.
Subsec. (i). Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (i) which related to a $50,000 limitation in the case of married individuals filing separate returns.
Subsec. (j). Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (j) which related to certain short taxable years.
Statutory Notes and Related Subsidiaries
Effective Date of 2011 Amendment
Amendment by Pub. L. 112–56 applicable to individuals who begin work for the employer after Nov. 21, 2011, see section 261(g) of Pub. L. 112–56, set out as a note under section 51 of this title.
Effective Date of 1997 Amendment
Amendment by Pub. L. 105–34 effective as if included in the provisions of the Small Business Job Protection Act of 1996, Pub. L. 104–188, to which it relates, see section 1601(j) of Pub. L. 105–34, set out as a note under section 23 of this title.
Effective Date of 1996 Amendment
Amendment by Pub. L. 104–188 applicable to taxable years beginning after Dec. 31, 1995, see section 1616(c) of Pub. L. 104–188, set out as a note under section 593 of this title.
Effective Date of 1990 Amendment
Amendment by Pub. L. 101–508 applicable to property placed in service after Dec. 31, 1990, but not applicable to any transition property (as defined in section 49(e) of this title), any property with respect to which qualified progress expenditures were previously taken into account under section 46(d) of this title, and any property described in section 46(b)(2)(C) of this title, as such sections were in effect on Nov. 4, 1990, see section 11813(c) of Pub. L. 101–508, set out as a note under section 45K of this title.
Effective Date of 1984 Amendment
Amendment by Pub. L. 98–369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98–369, set out as a note under section 21 of this title.
Effective Date of 1982 Amendment
Amendment by Pub. L. 97–354 applicable to taxable years beginning after Dec. 31, 1982, see section 6(a) of Pub. L. 97–354, set out as an Effective Date note under section 1361 of this title.
Effective Date of 1980 Amendment
Amendment by Pub. L. 96–222 effective, except as otherwise provided, as if it had been included in the provisions of the Revenue Act of 1978, Pub. L. 95–600, to which such amendment relates, see section 201 of Pub. L. 96–222, set out as a note under section 32 of this title.
Effective Date of 1978 Amendment
Amendment by Pub. L. 95–600 applicable to amounts paid or incurred after Dec. 31, 1978, in taxable years ending after such date, see section 321(d)(1) of Pub. L. 95–600, set out as a note under section 51 of this title.
Effective Date
Section applicable to taxable years beginning after Dec. 31, 1976, and to credit carrybacks from such years, see section 202(e) of Pub. L. 95–30, set out as a note under section 51 of this title.
Savings Provision
For provisions that nothing in amendment by Pub. L. 101–508 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Nov. 5, 1990, for purposes of determining liability for tax for periods ending after Nov. 5, 1990, see section 11821(b) of Pub. L. 101–508, set out as a note under section 45K of this title.