26 CFR § 2.1-5 - Tentative authorization to establish fund.

---
identifier: "/us/cfr/t26/s2.1-5"
source: "ecfr"
legal_status: "authoritative_unofficial"
title: "26 CFR § 2.1-5 - Tentative authorization to establish fund."
title_number: 26
title_name: "Internal Revenue"
section_number: "2.1-5"
section_name: "Tentative authorization to establish fund."
chapter_name: "INTERNAL REVENUE SERVICE, DEPARTMENT OF THE TREASURY"
subchapter_number: "A"
subchapter_name: "INCOME TAX"
part_number: "2"
part_name: "MARITIME CONSTRUCTION RESERVE FUND"
positive_law: false
currency: "2026-03-24"
last_updated: "2026-03-24"
format_version: "1.1.0"
generator: "[email protected]"
authority: "Sec. 511(b), 49 Stat. 1985, as amended, sec. 7805, 68A Stat. 917; 26 U.S.C. 7805, 46 U.S.C. 1161(b)."
regulatory_source: "T.D. 6820, 30 FR 6030, Apr. 29, 1965, unless otherwise noted."
cfr_part: "2"
---


# 2.1-5 Tentative authorization to establish fund.

Where the time between the receipt by the Administration of the application for permission to establish a construction reserve fund and the date prior to which an amount received from the sale or loss of a vessel must be deposited to come within the scope of section 511 of the Act is insufficient to permit a determination of the eligibility of the applicant, the Administration may tentatively authorize the establishment of a construction reserve fund and the deposit of such amount therein. Such tentative authorization shall be subject to rescission by the Administration if subsequently it is determined that the applicant is not entitled to the benefits of section 511 of the Act, or has not complied with the statutory requirements. For example, a tentative authorization will be rescinded if the Administration ascertains that the applicant is not a citizen. Upon such determination, the fund shall be closed and all amounts on deposit therein shall be withdrawn.