TaxGuided
United States IRC sections

Statute section

IRC section 301

Distributions of property

Country

United States

Section

301

Updated

2026-05-20

Operative text

Section 301 governs the tax treatment of distributions of property by a corporation to a shareholder. Distributions out of earnings and profits are taxable as dividends; in excess of E&P, they reduce stock basis; further excess gives rise to gain.

Cross-references

26 U.S.C. 31626 U.S.C. 312

Primary sources

Important disclaimer

This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.