#### § 1.441-0 Table of contents.

This section lists the captions contained in §§ 1.441-1 through 1.441-4 as follows:

## § 1.441-1 Period for computation of taxable income.

(a) Computation of taxable income.

(1) In general.

(2) Length of taxable year.

(b) General rules and definitions.

(1) Taxable year.

(1) Required taxable year.

(i) In general.

(ii) Exceptions.

(A) 52-53-week taxable years.

(B) Partnerships, S corporations, and PSCs.

(C) Specified foreign corporations.

(3) Annual accounting period.

(4) Calendar year.

(5) Fiscal year.

(i) Definition.

(ii) Recognition.

(6) Grandfathered fiscal year.

(7) Books.

(8) Taxpayer.

(c) Adoption of taxable year.

(1) In general.

(2) Approval required.

(i) Taxpayers with required taxable years.

(ii) Taxpayers without books.

(d) Retention of taxable year.

(e) Change of taxable year.

(f) Obtaining approval of the Commissioner or making a section 444 election.

## § 1.441-2 Election of taxable year consisting of 52-53 weeks

(a) In general.

(1) Election.

(2) Effect.

(3) Eligible taxpayer.

(4) Example.

(b) Procedures to elect a 52-53-week taxable year.

(1) Adoption of a 52-53-week taxable year.

(i) In general.

(ii) Filing requirement.

(2) Change to (or from) a 52-53-week taxable year.

(i) In general.

(ii) Special rules for short period required to effect the change.

(3) Examples.

(c) Application of effective dates.

(1) In general.

(2) Examples.

(3) Changes in tax rates.

(4) Examples.

(d) Computation of taxable income.

(e) Treatment of taxable years ending with reference to the same calendar month.

(1) Pass-through entities.

(2) Personal service corporations and employee-owners.

(3) Definitions.

(i) Pass-through entity.

(ii) Owner of a pass-through entity.

(4) Examples.

(5) Transition rule.

## § 1.441-3 Taxable year of a personal service corporation

(a) Taxable year.

(1) Required taxable year.

(2) Exceptions.

(b) Adoption, change, or retention of taxable year.

(1) Adoption of taxable year.

(2) Change in taxable year.

(3) Retention of taxable year.

(4) Procedures for obtaining approval or making a section 444 election.

(5) Examples.

(c) Personal service corporation defined.

(1) In general.

(2) Testing period.

(i) In general.

(ii) New corporations.

(3) Examples.

(d) Performance of personal services.

(1) Activities described in section 448(d)(2)(A).

(2) Activities not described in section 448(d)(2)(A).

(e) Principal activity.

(1) General rule.

(2) Compensation cost.

(i) Amounts included.

(ii) Amounts excluded.

(3) Attribution of compensation cost to personal service activity.

(i) Employees involved only in the performance of personal services.

(ii) Employees involved only in activities that are not treated as the performance of personal services.

(iii) Other employees.

(A) Compensation cost attributable to personal service activity.

(B) Compensation cost not attributable to personal service activity.

(f) Services substantially performed by employee-owners.

(1) General rule.

(2) Compensation cost attributable to personal services.

(3) Examples.

(g) Employee-owner defined.

(1) General rule.

(2) Special rule for independent contractors who are owners.

(h) Special rules for affiliated groups filing consolidated returns.

(1) In general.

(2) Examples.

## § 1.441-4 Effective date

[T.D. 8996, 67 FR 35012, May 17, 2002]