Tax-exempt organization
(42) Tax-exempt organization. The term tax-exempt organization means any entity subject to tax under section 511. (43) Tentative taxable income(i) In general. The term tentative taxable income, with respect to a taxpayer and a taxable year, generally is determined in the same manner as taxable income under section 63 but for this purpose computed without regard to the application of the section 163(j) limitation. Tentative taxable income is computed without regard to any disallowed business interest expense carryforwards. (ii) [Reserved] (iii) Special rules for defining tentative taxable income. (A) For special rules defining the tentative taxable income of a RIC or REIT, see 1.163(j)-4(b)(4)(ii). (B) For special rules defining the tentative taxable income of consolidated groups, see 1.163(j)-4(d)(2)(iv). (C) For special rules defining the tentative taxable income of a partnership, see 1.163(j)-6(d)(1). (D) For special rules defining the tentative taxable income of an S corporation, see 1.163(j)-6(l)(3). (E) For special rules clarifying that tentative taxable income takes sections 461(l), 465, and 469 into account, see 1.163(j)-3(b)(4). (F) For special rules clarifying that tentative taxable income takes sections 461(l), 465, and 469 into account, see 1.163(j)-3(b)(4). (G) For special rules clarifying that tentative taxable income takes sections 461(l), 465, and 469 into account, see 1.163(j)-3(b)(4). (44) Trade or business(i) In general. The term trade or business means a trade or business within the meaning of section 162. (ii) Excepted trade or business. The term excepted trade or business means the trade or business of performing services as an employee, an electing real property trade or business, an electing farming business, or an excepted regulated utility trade or business. For additional rules related to excepted trades or businesses, including elections made under section 163(j)(7)(B) and (C), see 1.163(j)-9. (iii) Non-excepted trade or business. The term non-excepted trade or business means any trade or business that is not an excepted trade or business. (45) Unadjusted basis. The term unadjusted basis means the basis as determined under section 1012 or other applicable sections of chapter 1 of subtitle A of the Code, including subchapters O (relating to gain or loss on dispositions of property), C (relating to corporate distributions and adjustments), K (relating to partners and partnerships), and P (relating to capital gains and losses) of the Code. Unadjusted basis is determined without regard to any adjustments described in section 1016(a)(2) or (3), any adjustments for tax credits claimed by the taxpayer (for example, under section 50(c)), or any adjustments for any portion of the basis that the taxpayer has elected to treat as an expense (for example, under section 179, 179B, or 179C). (46) United States shareholder. The term United States shareholder has the meaning provided in section 951(b).