### Question
How does the law define undiscounted unpaid losses?


### Answer
Under *26 U.S.C. § 846*, **undiscounted unpaid losses** is defined as:

> the unpaid losses shown in the annual statement filed by the taxpayer for the year ending with or within the taxable year of the taxpayer

#### Citation:
  - *26 U.S.C. § 846*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter L-Insurance Companies > PART III-PROVISIONS OF GENERAL APPLICATION**

