I.R.C. § 271(b) Definitions
I.R.C. § 271(b)(1) Political Party
For purposes of subsection (a), the term “political party” means—
I.R.C. § 271(b)(1)(C)
a committee, association, or organization which accepts contributions or makes expenditures
for the purpose of influencing or attempting to influence the election of presidential
or vice-presidential electors or of any individual whose name is presented for election
to any Federal, State, or local elective public office, whether or not such individual
I.R.C. § 271(b)(2) Contributions
For purposes of paragraph (1)(C), the term “contributions"
includes a gift, subscription, loan, advance, or deposit, of money, or anything of
value, and includes a contract, promise, or agreement to make a contribution, whether
or not legally enforceable.
I.R.C. § 271(b)(3) Expenditures
For purposes of paragraph (1)(C), the term “expenditures"
includes a payment, distribution, loan, advance, deposit, or gift, of money, or anything
of value, and includes a contract, promise, or agreement to make an expenditure,
whether or not legally enforceable.
I.R.C. § 271(c) Exception
In the case of a taxpayer who uses an accrual method of accounting, subsection (a)
shall not apply to a debt which accrued as a receivable on a bona fide sale of goods
or services in the ordinary course of the taxpayer's trade or business if—
I.R.C. § 271(c)(1)
for the taxable year in which such receivable accrued, more than 30 percent of all
receivables which accrued in the ordinary course of the trades and businesses of
the taxpayer were due from political parties, and
I.R.C. § 271(c)(2)
the taxpayer made substantial continuing efforts to collect on the debt.
(Aug. 16, 1954, ch. 736, 68A Stat. 82; Oct. 4, 1976,
Pub. L. 94-455, title XXI, 2104(a), 90 Stat. 1901.)