Title 26 — Internal Revenue CodeRelease 119-73

§526 Shipowners’ Protection and Indemnity Associations

Title 26 › Subtitle Subtitle A— Income Taxes › Chapter 1— NORMAL TAXES AND SURTAXES › Subchapter F— Exempt Organizations › Part V— SHIPOWNERS’ PROTECTION AND INDEMNITY ASSOCIATIONS › § 526

Last updated Apr 6, 2026|Official source

Summary

Nonprofit mutual associations that shipowners form to protect and indemnify each other do not pay tax on their member receipts, as long as no private shareholder profits from the earnings. They are still taxed like everyone else on their income from interest, dividends, and rents.

Full Legal Text

Title 26, §526

Internal Revenue Code — Source: USLM XML via OLRC

There shall not be included in gross income the receipts of shipowners’ mutual protection and indemnity associations not organized for profit, and no part of the net earnings of which inures to the benefit of any private shareholder; but such corporations shall be subject as other persons to the tax on their taxable income from interest, dividends, and rents.

Reference

Citations & Metadata

Citation

26 U.S.C. § 526

Title 26 — Internal Revenue Code

Last Updated

Apr 6, 2026

Release point: 119-73