26 Usc 44

26 USC 44: Expenditures to provide access to disabled individuals
Text contains those laws in effect on September 30, 2020
From Title 26-INTERNAL REVENUE CODE
Subtitle A-Income Taxes
CHAPTER 1-NORMAL TAXES AND SURTAXES
Subchapter A-Determination of Tax Liability
PART IV-CREDITS AGAINST TAX
Subpart D-Business Related Credits
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Source Credit
References In Text
Prior Provisions
Effective Date

§44. Expenditures to provide access to disabled individuals
(a) General rule
For purposes of section 38, in the case of an eligible small business, the amount of the
disabled access credit determined under this section for any taxable year shall be an amount
equal to 50 percent of so much of the eligible access expenditures for the taxable year as
exceed $250 but do not exceed $10,250.

(b) Eligible small business
For purposes of this section, the term "eligible small business" means any person if(1) either(A) the gross receipts of such person for the preceding taxable year did not
exceed $1,000,000, or
(B) in the case of a person to which subparagraph (A) does not apply, such
person employed not more than 30 full-time employees during the preceding
taxable year, and
(2) such person elects the application of this section for the taxable year.
For purposes of paragraph (1)(B), an employee shall be considered full-time if such employee
is employed at least 30 hours per week for 20 or more calendar weeks in the taxable year.

(c) Eligible access expenditures
For purposes of this section-

(1) In general
The term "eligible access expenditures" means amounts paid or incurred by an
eligible small business for the purpose of enabling such eligible small business to
comply with applicable requirements under the Americans With Disabilities Act of
1990 (as in effect on the date of the enactment of this section).

(2) Certain expenditures included
The term "eligible access expenditures" includes amounts paid or incurred(A) for the purpose of removing architectural, communication, physical, or
transportation barriers which prevent a business from being accessible to, or
usable by, individuals with disabilities,

(B) to provide qualified interpreters or other effective methods of making aurally
delivered materials available to individuals with hearing impairments,
(C) to provide qualified readers, taped texts, and other effective methods of
making visually delivered materials available to individuals with visual impairments,
(D) to acquire or modify equipment or devices for individuals with disabilities, or
(E) to provide other similar services, modifications, materials, or equipment.

(3) Expenditures must be reasonable
Amounts paid or incurred for the purposes described in paragraph (2) shall include
only expenditures which are reasonable and shall not include expenditures which are
unnecessary to accomplish such purposes.

(4) Expenses in connection with new construction are not eligible
The term "eligible access expenditures" shall not include amounts described in
paragraph (2)(A) which are paid or incurred in connection with any facility first placed
in service after the date of the enactment of this section.

(5) Expenditures must meet standards
The term "eligible access expenditures" shall not include any amount unless the
taxpayer establishes, to the satisfaction of the Secretary, that the resulting removal of
any barrier (or the provision of any services, modifications, materials, or equipment)
meets the standards promulgated by the Secretary with the concurrence of the
Architectural and Transportation Barriers Compliance Board and set forth in
regulations prescribed by the Secretary.

(d) Definition of disability; special rules
For purposes of this section-

(1) Disability
The term "disability" has the same meaning as when used in the Americans With
Disabilities Act of 1990 (as in effect on the date of the enactment of this section).

(2) Controlled groups
(A) In general
All members of the same controlled group of corporations (within the meaning of
section 52(a)) and all persons under common control (within the meaning of
section 52(b)) shall be treated as 1 person for purposes of this section.

(B) Dollar limitation
The Secretary shall apportion the dollar limitation under subsection (a) among
the members of any group described in subparagraph (A) in such manner as the
Secretary shall by regulations prescribe.

(3) Partnerships and S corporations
In the case of a partnership, the limitation under subsection (a) shall apply with
respect to the partnership and each partner. A similar rule shall apply in the case of
an S corporation and its shareholders.

(4) Short years
The Secretary shall prescribe such adjustments as may be appropriate for
purposes of paragraph (1) of subsection (b) if the preceding taxable year is a taxable
year of less than 12 months.

(5) Gross receipts

Gross receipts for any taxable year shall be reduced by returns and allowances
made during such year.

(6) Treatment of predecessors
The reference to any person in paragraph (1) of subsection (b) shall be treated as
including a reference to any predecessor.

(7) Denial of double benefit
In the case of the amount of the credit determined under this section(A) no deduction or credit shall be allowed for such amount under any other
provision of this chapter, and
(B) no increase in the adjusted basis of any property shall result from such
amount.

(e) Regulations
The Secretary shall prescribe regulations necessary to carry out the purposes of this section.
(Added Pub. L. 101–508, title XI, §11611(a), Nov. 5, 1990, 104 Stat. 1388–501 .)
REFERENCES IN TEXT
The Americans With Disabilities Act of 1990, referred to in subsecs. (c)(1) and (d)(1) is Pub.
L. 101–336, July 26, 1990, 104 Stat. 327 , as amended, which is classified principally to chapter
126 (§12101 et seq.) of Title 42, The Public Health and Welfare. For complete classification of
this Act to the Code, see Short Title note set out under section 12101 of Title 42 and Tables.
The date of the enactment of this section, referred to in subsecs. (c)(1), (4) and (d)(1), is the
date of enactment of Pub. L. 101–508, which was approved Nov. 5, 1990.
PRIOR PROVISIONS
A prior section 44, added Pub. L. 94–12, title II, §208(a), Mar. 29, 1975, 89 Stat. 32 ;
amended Pub. L. 94–45, title IV, §401(a), June 30, 1975, 89 Stat. 243 ; Pub. L. 94–455, title
XIX, §1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834 , related to purchase of new principal
residence, prior to repeal by Pub. L. 98–369, div. A, title IV, §474(m)(1), July 18, 1984, 98 Stat.
833 , applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such
years.
Another prior section 44 was renumbered section 37 of this title.
EFFECTIVE DATE
Section applicable to expenditures paid or incurred after Nov. 5, 1990, see section
11611(e)(1) of Pub. L. 101–508, set out as an Effective Date of 1990 Amendment note under
section 38 of this title.