26 U.S.C. § 139E — Indian general welfare benefits

This section excludes certain tribal general-welfare benefits from taxable income. (a) In general. Taxable income does not include the value of an "Indian general welfare benefit." (b) Indian general welfare benefit. This means any payment or service given to (or for) a tribal member, spouse, or dependent under a tribal government program, but only if: (1) the program follows specific written guidelines and does not favor members of the tribe's governing body; and (2) the benefits are: (A) open to any tribal member who meets the guidelines; (B) meant to promote general welfare; (C) not lavish or extravagant; and (D) not really payment for services performed. (c) Definitions and special rules. (1) "Indian tribal government" includes its agencies and any Alaska Native regional or village corporation set up under the Alaska Native Claims Settlement Act. (2) "Dependent" follows section 152's definition, without three of its usual limits. (3) The Secretary, working with the Tribal Advisory Committee created by a 2014 law, must set guidelines for what counts as "lavish or extravagant." (4) A program still counts as a tribal government program even if it was created through tribal custom or traditional government practice, not a formal law. (5) Cultural items, reimbursed costs, or cash honorariums given for taking part in cultural or ceremonial activities that pass down tribal culture do not count as payment for services.