26 USC § 701 - Partners, not partnership, subject to tax

---
identifier: "/us/usc/t26/s701"
source: "usc"
legal_status: "official_prima_facie"
title: "26 USC § 701 - Partners, not partnership, subject to tax"
title_number: 26
title_name: "INTERNAL REVENUE CODE"
section_number: "701"
section_name: "Partners, not partnership, subject to tax"
chapter_number: 1
chapter_name: "NORMAL TAXES AND SURTAXES"
subchapter_number: "K"
subchapter_name: "Partners and Partnerships"
part_number: "I"
part_name: "DETERMINATION OF TAX LIABILITY"
positive_law: false
currency: "119-84"
last_updated: "2026-04-17"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Aug. 16, 1954, ch. 736, 68A Stat. 239.)"
---


# § 701. Partners, not partnership, subject to tax

A partnership as such shall not be subject to the income tax imposed by this chapter. Persons carrying on business as partners shall be liable for income tax only in their separate or individual capacities.

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**Source Credit**: (Aug. 16, 1954, ch. 736, 68A Stat. 239.)