### Question
How does the law define regulated public utility?


### Answer
Under *26 U.S.C. § 118*, **regulated public utility** is defined as:

> given such term by section 7701(a)(33), except that such term shall not include any utility which is not required to provide water or sewerage disposal services to members of the general public in its service area.

#### Citation:
  - *26 U.S.C. § 118*
  - Heading: **Subtitle A-Income Taxes > CHAPTER 1-NORMAL TAXES AND SURTAXES > Subchapter B-Computation of Taxable Income > PART III-ITEMS SPECIFICALLY EXCLUDED FROM GROSS INCOME**

