HR 5771 ENR: Tax Increase Prevention Act of 2014
U.S. House of Representatives
text/xml
EN
Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.
ATax Increase Prevention Act of 2014
1.
(a)This division may be cited as the Tax Increase Prevention Act of 2014
.
(b)Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
(c)The table of contents for this Act is as follows:
Division A—Tax Increase Prevention Act of 2014
Sec. 1. Short title, etc.
Title I—Certain expiring provisions
Subtitle A—Individual tax extenders
Sec. 101. Extension of deduction for certain expenses of elementary and secondary school teachers.
Sec. 102. Extension of exclusion from gross income of discharge of qualified principal residence indebtedness.
Sec. 103. Extension of parity for employer-provided mass transit and parking benefits.
Sec. 104. Extension of mortgage insurance premiums treated as qualified residence interest.
Sec. 105. Extension of deduction of State and local general sales taxes.
Sec. 106. Extension of special rule for contributions of capital gain real property made for conservation purposes.
Sec. 107. Extension of above-the-line deduction for qualified tuition and related expenses.
Sec. 108. Extension of tax-free distributions from individual retirement plans for charitable purposes.
Subtitle B—Business tax extenders
Sec. 111. Extension of research credit.
Sec. 112. Extension of temporary minimum low-income housing tax credit rate for non-federally subsidized buildings.
Sec. 113. Extension of military housing allowance exclusion for determining whether a tenant in certain counties is low-income.
Sec. 114. Extension of Indian employment tax credit.
Sec. 115. Extension of new markets tax credit.
Sec. 116. Extension of railroad track maintenance credit.
Sec. 117. Extension of mine rescue team training credit.
Sec. 118. Extension of employer wage credit for employees who are active duty members of the uniformed services.
Sec. 119. Extension of work opportunity tax credit.
Sec. 120. Extension of qualified zone academy bonds.
Sec. 121. Extension of classification of certain race horses as 3-year property.
Sec. 122. Extension of 15-year straight-line cost recovery for qualified leasehold improvements, qualified restaurant buildings and improvements, and qualified retail improvements.
Sec. 123. Extension of 7-year recovery period for motorsports entertainment complexes.
Sec. 124. Extension of accelerated depreciation for business property on an Indian reservation.
Sec. 125. Extension of bonus depreciation.
Sec. 126. Extension of enhanced charitable deduction for contributions of food inventory.
Sec. 127. Extension of increased expensing limitations and treatment of certain real property as section 179 property.
Sec. 128. Extension of election to expense mine safety equipment.
Sec. 129. Extension of special expensing rules for certain film and television productions.
Sec. 130. Extension of deduction allowable with respect to income attributable to domestic production activities in Puerto Rico.
Sec. 131. Extension of modification of tax treatment of certain payments to controlling exempt organizations.
Sec. 132. Extension of treatment of certain dividends of regulated investment companies.
Sec. 133. Extension of RIC qualified investment entity treatment under FIRPTA.
Sec. 134. Extension of subpart F exception for active financing income.
Sec. 135. Extension of look-thru treatment of payments between related controlled foreign corporations under foreign personal holding company rules.
Sec. 136. Extension of temporary exclusion of 100 percent of gain on certain small business stock.
Sec. 137. Extension of basis adjustment to stock of S corporations making charitable contributions of property.
Sec. 138. Extension of reduction in S-corporation recognition period for built-in gains tax.
Sec. 139. Extension of empowerment zone tax incentives.
Sec. 140. Extension of temporary increase in limit on cover over of rum excise taxes to Puerto Rico and the Virgin Islands.
Sec. 141. Extension of American Samoa economic development credit.
Subtitle C—Energy tax extenders
Sec. 151. Extension of credit for nonbusiness energy property.
Sec. 152. Extension of second generation biofuel producer credit.
Sec. 153. Extension of incentives for biodiesel and renewable diesel.
Sec. 154. Extension of production credit for Indian coal facilities placed in service before 2009.
Sec. 155. Extension of credits with respect to facilities producing energy from certain renewable resources.
Sec. 156. Extension of credit for energy-efficient new homes.
Sec. 157. Extension of special allowance for second generation biofuel plant property.
Sec. 158. Extension of energy efficient commercial buildings deduction.
Sec. 159. Extension of special rule for sales or dispositions to implement FERC or State electric restructuring policy for qualified electric utilities.
Sec. 160. Extension of excise tax credits relating to certain fuels.
Sec. 161. Extension of credit for alternative fuel vehicle refueling property.
Subtitle D—Extenders relating to multiemployer defined benefit pension plans
Sec. 171. Extension of automatic extension of amortization periods.
Sec. 172. Extension of shortfall funding method and endangered and critical rules.
Title II—Technical Corrections
Sec. 201. Short title.
Sec. 202. Amendments relating to American Taxpayer Relief Act of 2012.
Sec. 203. Amendment relating to Middle Class Tax Relief and Job Creation Act of 2012.
Sec. 204. Amendment relating to FAA Modernization and Reform Act of 2012.
Sec. 205. Amendments relating to Regulated Investment Company Modernization Act of 2010.
Sec. 206. Amendments relating to Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010.
Sec. 207. Amendments relating to Creating Small Business Jobs Act of 2010.
Sec. 208. Clerical amendment relating to Hiring Incentives to Restore Employment Act.
Sec. 209. Amendments relating to American Recovery and Reinvestment Tax Act of 2009.
Sec. 210. Amendments relating to Energy Improvement and Extension Act of 2008.
Sec. 211. Amendments relating to Tax Extenders and Alternative Minimum Tax Relief Act of 2008.
Sec. 212. Clerical amendments relating to Housing Assistance Tax Act of 2008.
Sec. 213. Amendments and provision relating to Heroes Earnings Assistance and Relief Tax Act of 2008.
Sec. 214. Amendments relating to Economic Stimulus Act of 2008.
Sec. 215. Amendments relating to Tax Technical Corrections Act of 2007.
Sec. 216. Amendment relating to Tax Relief and Health Care Act of 2006.
Sec. 217. Amendment relating to Safe, Accountable, Flexible, Efficient Transportation Equity Act of 2005: A Legacy for Users.
Sec. 218. Amendments relating to Energy Tax Incentives Act of 2005.
Sec. 219. Amendments relating to American Jobs Creation Act of 2004.
Sec. 220. Other clerical corrections.
Sec. 221. Deadwood provisions.
Title III—Joint Committee on Taxation
Sec. 301. Increased refund and credit threshold for Joint Committee on Taxation review of C corporation return.
Title IV—Budgetary effects
Sec. 401. Budgetary effects.
Division B—Achieving a Better Life Experience Act of 2014
Sec. 1. Short title; etc.
Title I—Qualified Able Programs
Sec. 101. Purposes.
Sec. 102. Qualified ABLE programs.
Sec. 103. Treatment of ABLE accounts under certain Federal programs.
Sec. 104. Treatment of ABLE accounts in bankruptcy.
Sec. 105. Investment direction rule for 529 plans.
Title II—Offsets
Sec. 201. Correction to workers compensation offset age.
Sec. 202. Accelerated application of relative value targets for misvalued services in the Medicare physician fee schedule.
Sec. 203. Consistent treatment of vacuum erection systems in Medicare Parts B and D.
Sec. 204. One-year delay of implementation of oral-only policy under Medicare ESRD prospective payment system.
Sec. 205. Modification relating to Inland Waterways Trust Fund financing rate.
Sec. 206. Certified professional employer organizations.
Sec. 207. Exclusion of dividends from controlled foreign corporations from the definition of personal holding company income for purposes of the personal holding company rules.
Sec. 208. Inflation adjustment for certain civil penalties under the Internal Revenue Code of 1986.
Sec. 209. Increase in continuous levy.
<enum>I</enum><header>Certain expiring provisions</header>
<subtitle id="HE6B7B0C076F1442A9804E1E6B45B09F6"><enum>A</enum><header>Individual tax extenders</header>
<section id="H0B38FAB94C4F4E74B862B1B8F1181B21"><enum>101.</enum><header>Extension of deduction for certain expenses of elementary and secondary school teachers</header>
<subsection id="H1D9F5CA1DD424AF2AA9F827734185663"><enum>(a)</enum><header>In general</header><text>Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/62">section 62(a)(2)</external-xref> is amended by striking <quote>or 2013</quote> and inserting <quote>2013, or 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H923DC57EE85C43FC9BD65D0616691D64"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="HFA0870A6FDE34277B2BE445506891627" section-type="subsequent-section"><enum>102.</enum><header>Extension of exclusion from gross income of discharge of qualified principal residence indebtedness</header>
<subsection id="H6559905B353041AAA2ED84E5CA2B1740"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (E) of <external-xref legal-doc="usc" parsable-cite="usc/26/108">section 108(a)(1)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF3145D7A997E4BCC942E91FB879ACB6E"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to indebtedness discharged after December 31, 2013.</text> </subsection></section>
<section id="H7DCC2B7634734A05B0602F9BD27E655B"><enum>103.</enum><header>Extension of parity for employer-provided mass transit and parking benefits</header>
<subsection id="HE8B8CAEEE1594811A62D511A0464FA02"><enum>(a)</enum><header>In general</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/132">section 132(f)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H9082F494A3574172869523DE555BF350"><enum>(b)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to months after December 31, 2013.</text> </subsection></section>
<section id="HF1F5341EF35743B694021FF9DFAF4256"><enum>104.</enum><header>Extension of mortgage insurance premiums treated as qualified residence interest</header>
<subsection id="H193761F4FB8149CFBFD82120D6A1D664"><enum>(a)</enum><header>In general</header><text>Subclause (I) of <external-xref legal-doc="usc" parsable-cite="usc/26/163">section 163(h)(3)(E)(iv)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HB7B8FD1B92F04DBCB8D3B2801810AFE0"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to amounts paid or accrued after December 31, 2013.</text> </subsection></section>
<section id="H36CF2A63115F4E14AF8B77D7F46466FD"><enum>105.</enum><header>Extension of deduction of State and local general sales taxes</header>
<subsection id="H3CBE0226D9034B4D8F89B23CD60C7339"><enum>(a)</enum><header>In general</header><text>Subparagraph (I) of <external-xref legal-doc="usc" parsable-cite="usc/26/164">section 164(b)(5)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H73E1687CB7FE4B91AF791CADB63821F2"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="H51D69AB4A78D4CE9A5917DA066F7B3B4"><enum>106.</enum><header>Extension of special rule for contributions of capital gain real property made for conservation purposes</header>
<subsection id="HB476BFFF145D4435987CBF0C8060FE61"><enum>(a)</enum><header>In general</header><text>Clause (vi) of <external-xref legal-doc="usc" parsable-cite="usc/26/170">section 170(b)(1)(E)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection id="H75B397461F6848228AB585915758F7B0"><enum>(b)</enum><header>Contributions by certain corporate farmers and ranchers</header><text>Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/170">section 170(b)(2)(B)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H88078A03FB9D43D18B8C388D11A76F61"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to contributions made in taxable years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H343420639B774AF5A7EE12A3A6E1396F"><enum>107.</enum><header>Extension of above-the-line deduction for qualified tuition and related expenses</header>
<subsection id="HA42ADC91E29A4B2D9A9DB22179D38121"><enum>(a)</enum><header>In general</header><text>Subsection (e) of <external-xref legal-doc="usc" parsable-cite="usc/26/222">section 222</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCE047E159BC643A891B76004E9BDA107"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="HC89E168899EE44359485E13EF3969C37"><enum>108.</enum><header>Extension of tax-free distributions from individual retirement plans for charitable purposes</header>
<subsection id="H8E48A9848C2B4301A68210033DB24B2C"><enum>(a)</enum><header>In general</header><text>Subparagraph (F) of <external-xref legal-doc="usc" parsable-cite="usc/26/408">section 408(d)(8)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H79B41364E66E4C959A34B4A59118AB45"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to distributions made in taxable years beginning after December 31, 2013.</text> </subsection></section></subtitle>
<subtitle id="H669CF53BA82743B4967E1B6DDCB46210"><enum>B</enum><header>Business tax extenders</header>
<section id="H88E24721470D4CB0A0590C8E3F9B650B"><enum>111.</enum><header>Extension of research credit</header>
<subsection id="HC6DE41955C9D4EB3A196FE60C29072DF"><enum>(a)</enum><header>In general</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/41">section 41(h)</external-xref> is amended by striking <quote>paid or incurred</quote> and all that follows and inserting <quote>paid or incurred after December 31, 2014.</quote>.</text> </subsection>
<subsection id="HBC767376E1A7483E8B1E4BAB5F143E57"><enum>(b)</enum><header>Conforming amendment</header><text>Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/45C">section 45C(b)(1)</external-xref> is amended to read as follows:</text>
<quoted-block act-name="" id="H0B418DCF08A94001B6029519569E6088" style="OLC">
<subparagraph id="HFBE91E9F6E814766865E87B6A8597C47"><enum>(D)</enum><header>Special rule</header><text>If section 41 is not in effect for any period, such section shall be deemed to remain in effect for such period for purposes of this paragraph.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H938BFDB24383496380FF951C65B70D53"><enum>(c)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to amounts paid or incurred after December 31, 2013.</text> </subsection></section>
<section commented="no" id="HF1512238EE904F16B905AD8C221966C1"><enum>112.</enum><header>Extension of temporary minimum low-income housing tax credit rate for non-federally subsidized buildings</header>
<subsection commented="no" id="H0D1B09369F4F40F092835904CB1FCE68"><enum>(a)</enum><header>In general</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/42">section 42(b)(2)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HEE7D1079B62C46F4A222F147A50D8C57"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall take effect on January 1, 2014.</text> </subsection></section>
<section id="H4C0187A69C304B7AB289B2D945677303"><enum>113.</enum><header>Extension of military housing allowance exclusion for determining whether a tenant in certain counties is low-income</header>
<subsection id="HEEF711673EC2406682407D96F0FAAF9B"><enum>(a)</enum><header>In general</header><text>Subsection (b) of section 3005 of the Housing Assistance Tax Act of 2008 is amended by striking <quote>January 1, 2014</quote> each place it appears and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection id="H0B01972717204FA2A3774D1FDD27690E"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall take effect as if included in the enactment of section 3005 of the Housing Assistance Tax Act of 2008.</text> </subsection></section>
<section id="HA4D19ACE325941DEB548AC943A5FBA12"><enum>114.</enum><header>Extension of Indian employment tax credit</header>
<subsection id="H2CBB30630F804FD1A7FA93D85E188BF6"><enum>(a)</enum><header>In general</header><text>Subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/45A">section 45A</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H74510AB8DFB2478F8F92A0C45B8876C2"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HC97DB9F320304FD2901370A5B5A053D6"><enum>115.</enum><header>Extension of new markets tax credit</header>
<subsection id="H58B54105D18D48929810C94E118EC16C"><enum>(a)</enum><header>In general</header><text>Subparagraph (G) of <external-xref legal-doc="usc" parsable-cite="usc/26/45D">section 45D(f)(1)</external-xref> is amended by striking <quote>and 2013</quote> and inserting <quote>2013, and 2014</quote>.</text> </subsection>
<subsection id="H308A37B243894E0495A04B7AD0F8D003"><enum>(b)</enum><header>Carryover of unused limitation</header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/45D">section 45D(f)</external-xref> is amended by striking <quote>2018</quote> and inserting <quote>2019</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H652B4C1303404A40B8244AF0DD2C95FC"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to calendar years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H3D7F13CD82624AC19F208FE114D60163"><enum>116.</enum><header>Extension of railroad track maintenance credit</header>
<subsection commented="no" display-inline="no-display-inline" id="H11287B67C1AA4573A45158D8516D361E"><enum>(a)</enum><header>In general</header><text>Subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/45G">section 45G</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCE5872A5F15842C1ADC8E33D3EA17ECB"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to expenditures paid or incurred in taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="HBDBC5F2AE6CE4E84947AD15A95C20489"><enum>117.</enum><header>Extension of mine rescue team training credit</header>
<subsection id="H3D092DC6D6B9481A8809AF5723A07D42"><enum>(a)</enum><header>In general</header><text>Subsection (e) of <external-xref legal-doc="usc" parsable-cite="usc/26/45N">section 45N</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCE1D940AF2AF4B41B7A10786C722E0A0"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H7AD5CB3D0FCB494AA759A2246CADD99C"><enum>118.</enum><header>Extension of employer wage credit for employees who are active duty members of the uniformed services</header>
<subsection commented="no" display-inline="no-display-inline" id="HA6F3683A630348359089B5AF03993A28"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/45P">section 45P</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H860BFC6070354B0096BCF8BA6D371E55"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to payments made after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HE19FBE1FC6444270BF28D91DC55DDA3B"><enum>119.</enum><header>Extension of work opportunity tax credit</header>
<subsection commented="no" display-inline="no-display-inline" id="H3C279B50CE2445338363862FA9D43B06"><enum>(a)</enum><header>In general</header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/51">section 51(c)</external-xref> is amended by striking <quote>for the employer</quote> and all that follows and inserting <quote>for the employer after December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H78DE9C350C8C4D1CA50F002B896C7A60"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to individuals who begin work for the employer after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HDCC8B5558C39484DAC19AA3150D87418"><enum>120.</enum><header>Extension of qualified zone academy bonds</header>
<subsection commented="no" display-inline="no-display-inline" id="H5B683A9386F2495CBE3C64A24F21BB5C"><enum>(a)</enum><header>Extension</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/54E">section 54E(c)</external-xref> is amended by striking <quote>and 2013</quote> and inserting <quote>2013, and 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H660FF11DF56144CAA21C354EE1ABD515"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to obligations issued after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H4EC2262AED1F4AA0B6C776E5C599B0BE"><enum>121.</enum><header>Extension of classification of certain race horses as 3-year property</header>
<subsection commented="no" display-inline="no-display-inline" id="H4858A3395D454161879238A4D27434DE"><enum>(a)</enum><header>In general</header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(e)(3)(A)</external-xref> is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="H000C935379DB4BA8A2ACACDE63D3A2DB"><enum>(1)</enum><text>by striking <quote>January 1, 2014</quote> in subclause (I) and inserting <quote>January 1, 2015</quote>, and</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H6A4DE9855A7C49F69D0BB8216642889D"><enum>(2)</enum><text>by striking <quote>December 31, 2013</quote> in subclause (II) and inserting <quote>December 31, 2014</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H3C30F4191BCD45E6808D1BE142C51A01"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section id="H07B4D35D67384E7EB442CE68A53C1576"><enum>122.</enum><header>Extension of 15-year straight-line cost recovery for qualified leasehold improvements, qualified restaurant buildings and improvements, and qualified retail improvements</header>
<subsection id="H02AD14D0B6DE43DA9D093C3B9CD4EC75"><enum>(a)</enum><header>In general</header><text>Clauses (iv), (v), and (ix) of section 168(e)(3)(E) are each amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HEAEDCE050DF7426E96D8976171836E4D"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section id="H6ADF5FDCF4E345A3AB49A95784AE7A81"><enum>123.</enum><header>Extension of 7-year recovery period for motorsports entertainment complexes</header>
<subsection id="H4353A3036FBF4C0581ED9CE007651C24"><enum>(a)</enum><header>In general</header><text>Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(i)(15)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H8317CFABD7A948FFB1AD283C8A80DC52"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section id="H1B91AC0C165848039F44DAA03889C9E9"><enum>124.</enum><header>Extension of accelerated depreciation for business property on an Indian reservation</header>
<subsection id="H4DBDD5B089564C6680466D74479393CE"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(j)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF7A8EE70F0FC42DC95ECCC76A1A2334A"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section id="H16C399E4DF96497B9A61C8056FAF31F8"><enum>125.</enum><header>Extension of bonus depreciation</header>
<subsection id="H0ED89C688C8E43FD93AF5ACB5E15A3B2"><enum>(a)</enum><header>In general</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)</external-xref> is amended—</text>
<paragraph id="H6C910139E06540E2825A7619170B6632"><enum>(1)</enum><text>by striking <quote>January 1, 2015</quote> in subparagraph (A)(iv) and inserting <quote>January 1, 2016</quote>, and</text> </paragraph>
<paragraph id="H54CEE49D33A14DED97A89C82BFFA6548"><enum>(2)</enum><text>by striking <quote>January 1, 2014</quote> each place it appears and inserting <quote>January 1, 2015</quote>.</text> </paragraph></subsection>
<subsection id="HB121AAEBCF9541C39B5EE8CA3A9D2FD5"><enum>(b)</enum><header>Special rule for Federal long-Term contracts</header><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/460">section 460(c)(6)(B)</external-xref> is amended by striking <quote>January 1, 2014 (January 1, 2015</quote> and inserting <quote>January 1, 2015 (January 1, 2016</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H8E2C4693DAFC4C3299F46CBFEC4DD36C"><enum>(c)</enum><header>Extension of election To accelerate the AMT credit in lieu of bonus depreciation</header>
<paragraph commented="no" display-inline="no-display-inline" id="HF7D2D1A750F843459C1807B352BC9EE2"><enum>(1)</enum><header>In general</header><text>Subclause (II) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(4)(D)(iii)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HC4AE78667E534002B4816192F5A135B6"><enum>(2)</enum><header>Round 4 extension property</header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)</external-xref> is amended by adding at the end the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="H4FA81C87AF104DEBB77CEA93044200C2" style="OLC">
<subparagraph commented="no" id="H84C20EC207214753B5051B308650695E"><enum>(K)</enum><header>Special rules for round 4 extension property</header>
<clause commented="no" id="HE27450EB4B5D475DA9A6C205D529FAB2"><enum>(i)</enum><header>In general</header><text>In the case of round 4 extension property, in applying this paragraph to any taxpayer—</text>
<subclause commented="no" id="H77D9B11026074D6C9518AF751A5B9773"><enum>(I)</enum><text>the limitation described in subparagraph (B)(i) and the business credit increase amount under subparagraph (E)(iii) thereof shall not apply, and</text> </subclause>
<subclause commented="no" id="HAC1E1321E54D45C4847EA8386764948B"><enum>(II)</enum><text>the bonus depreciation amount, maximum amount, and maximum increase amount shall be computed separately from amounts computed with respect to eligible qualified property which is not round 4 extension property.</text> </subclause></clause>
<clause commented="no" id="H435FC13C6BD7480685E0FBB760352478"><enum>(ii)</enum><header>Election</header>
<subclause commented="no" id="H506B2F37C08C4F348692C89E5C5EE5E7"><enum>(I)</enum><text>A taxpayer who has an election in effect under this paragraph for round 3 extension property shall be treated as having an election in effect for round 4 extension property unless the taxpayer elects to not have this paragraph apply to round 4 extension property.</text> </subclause>
<subclause commented="no" id="HDDA37BF8D18843F9A2A84CCFC65FCB22"><enum>(II)</enum><text>A taxpayer who does not have an election in effect under this paragraph for round 3 extension property may elect to have this paragraph apply to round 4 extension property.</text> </subclause></clause>
<clause commented="no" id="H92833B289F7B46AA842B3874D0F9CCBE"><enum>(iii)</enum><header>Round 4 extension property</header><text>For purposes of this subparagraph, the term <term>round 4 extension property</term> means property which is eligible qualified property solely by reason of the extension of the application of the special allowance under paragraph (1) pursuant to the amendments made by section 125(a) of the <short-title>Tax Increase Prevention Act of 2014</short-title> (and the application of such extension to this paragraph pursuant to the amendment made by section 125(c) of such Act).</text></clause></subparagraph><after-quoted-block>. </after-quoted-block></quoted-block> </paragraph></subsection>
<subsection id="H3E5FC32F3DFB4D7B9C3B588C79E70C00"><enum>(d)</enum><header>Conforming amendments</header>
<paragraph id="H898AEDE8D36C4D7FB1B75DBF6CC6F95D"><enum>(1)</enum><text>The heading for subsection (k) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168</external-xref> is amended by striking <quote><header-in-text level="subsection" style="OLC">January 1, 2014</header-in-text></quote> and inserting <quote><header-in-text level="subsection" style="OLC">January 1, 2015</header-in-text></quote>.</text> </paragraph>
<paragraph id="H34203906A45F4348B16006788A8F48B8"><enum>(2)</enum><text>The heading for clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(2)(B)</external-xref> is amended by striking <quote><header-in-text level="clause" style="OLC">pre-January 1, 2014</header-in-text></quote> and inserting <quote><header-in-text level="clause" style="OLC">pre-January 1, 2015</header-in-text></quote>.</text> </paragraph>
<paragraph id="H8CDF9804829E4E72BA308E252FB7AF20"><enum>(3)</enum><text>Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(n)(2)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph>
<paragraph id="H4B2745E57EAB443A98AFB91F05473F9E"><enum>(4)</enum><text>Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/1400L">section 1400L(b)(2)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HD49D020F9E954001BE18C3A36910F2B7"><enum>(5)</enum><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/1400N">section 1400N(d)(3)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H413CCDA276DD4CC4834713C7D11E4E9B"><enum>(e)</enum><header>Effective date</header><text>The amendments made by this section shall apply to property placed in service after December 31, 2013, in taxable years ending after such date.</text> </subsection></section>
<section id="HAB3C9410404E4A1CA1BAAC23B2F80A8E"><enum>126.</enum><header>Extension of enhanced charitable deduction for contributions of food inventory</header>
<subsection id="HEBCF41A4CE3B486CACF94AE53695593D"><enum>(a)</enum><header>In general</header><text>Clause (iv) of <external-xref legal-doc="usc" parsable-cite="usc/26/170">section 170(e)(3)(C)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="HAD4CF4956D57402284FC541CF5707F9C"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to contributions made after December 31, 2013.</text> </subsection></section>
<section id="HE2CF0EB831B24EEEA3D55ABF81AFD351"><enum>127.</enum><header>Extension of increased expensing limitations and treatment of certain real property as section 179 property</header>
<subsection id="H2B5DEDD94EB4405B8C820C663D314594"><enum>(a)</enum><header>In general</header>
<paragraph id="H607989A43CE64DF7AFA1D806D457E14A"><enum>(1)</enum><header>Dollar limitation</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(b)(1)</external-xref> is amended—</text>
<subparagraph id="H8C552802ABE54C0589CAE9B288B21395"><enum>(A)</enum><text>by striking <quote>beginning in 2010, 2011, 2012, or 2013</quote> in subparagraph (B) and inserting <quote>beginning after 2009 and before 2015</quote>, and</text> </subparagraph>
<subparagraph id="H6A53DBE481E948C5A41605C4E9D1134F"><enum>(B)</enum><text>by striking <quote>2013</quote> in subparagraph (C) and inserting <quote>2014</quote>.</text> </subparagraph></paragraph>
<paragraph id="HCCD3CC416A1B424F954349C65B461A3C"><enum>(2)</enum><header>Reduction in limitation</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(b)(2)</external-xref> is amended—</text>
<subparagraph id="H11BBB5AEAAA74C5086F39113B14C95D9"><enum>(A)</enum><text>by striking <quote>beginning in 2010, 2011, 2012, or 2013</quote> in subparagraph (B) and inserting <quote>beginning after 2009 and before 2015</quote>, and</text> </subparagraph>
<subparagraph id="HC67A7FB0B6624EF6A09D6FB29BB54601"><enum>(B)</enum><text>by striking <quote>2013</quote> in subparagraph (C) and inserting <quote>2014</quote>.</text> </subparagraph></paragraph></subsection>
<subsection id="H6100ACF49F1444D5A72FECAF35FAD5C4"><enum>(b)</enum><header>Computer software</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(d)(1)(A)(ii)</external-xref> is amended by striking <quote>2014</quote> and inserting <quote>2015</quote>.</text> </subsection>
<subsection id="H469A1CED95944017A3896DC832B5C44A"><enum>(c)</enum><header>Election</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(c)(2)</external-xref> is amended by striking <quote>2014</quote> and inserting <quote>2015</quote>.</text> </subsection>
<subsection id="H7A8612D22807457CA93DE1FEE929CDA1"><enum>(d)</enum><header>Special rules for treatment of qualified real property</header>
<paragraph id="HF09457993FBD4BF8962A3F81A7055D74"><enum>(1)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(f)(1)</external-xref> is amended by striking <quote>beginning in 2010, 2011, 2012, or 2013</quote> and inserting <quote>beginning after 2009 and before 2015</quote>.</text> </paragraph>
<paragraph id="H40B9585DD2604D5EBBEE69AF98E6FC60"><enum>(2)</enum><header>Carryover limitation</header>
<subparagraph id="HF4D84013A68D4909911D10BD04B53834"><enum>(A)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/179">Section 179(f)(4)</external-xref> is amended by striking <quote>2013</quote> each place it appears and inserting <quote>2014</quote>.</text> </subparagraph>
<subparagraph id="HBECB97CB67B84086AA4DA7B818AC4CFE"><enum>(B)</enum><header>Conforming amendment</header><text>The heading of subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/179">section 179(f)(4)</external-xref> is amended by striking <quote><header-in-text level="subparagraph" style="OLC">2011 and 2012</header-in-text></quote> and inserting <quote><header-in-text level="subparagraph" style="OLC">2011, 2012, and 2013</header-in-text></quote>.</text> </subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HCCFB5AAF3A414914B5E19A71651C1259"><enum>(e)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HFDD600545ED5421F9B7C4540E897D92D"><enum>128.</enum><header>Extension of election to expense mine safety equipment</header>
<subsection id="HE7AD8CF614CA49F2A0DADAF6B4E60F61"><enum>(a)</enum><header>In general</header><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/179E">section 179E</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H7FD555113E8A495B8541A1A583BCCD13"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HC5DCCDC5899D4C4D8C919BE35B044A5A"><enum>129.</enum><header>Extension of special expensing rules for certain film and television productions</header>
<subsection id="H6729A11E302F43DB816D61E9583A035B"><enum>(a)</enum><header>In general</header><text>Subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/181">section 181</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection id="H39E9DDADDB3941CE91E954B94D41C280"><enum>(b)</enum><header>Effective dates</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to productions commencing after December 31, 2013.</text> </subsection></section>
<section id="H417B206BB2AF41BCA8FFD7B918543A50"><enum>130.</enum><header>Extension of deduction allowable with respect to income attributable to domestic production activities in Puerto Rico</header>
<subsection id="H8ED7C71DCD4F471DAD0B8F7707FFB077"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/199">section 199(d)(8)</external-xref> is amended—</text>
<paragraph id="HE19E4328583A4C04BCEC0295757EC60D"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>first 8 taxable years</quote> and inserting <quote>first 9 taxable years</quote>, and</text> </paragraph>
<paragraph id="HCD38CDB115014623A51FD3F20DCEE7FE"><enum>(2)</enum><text>by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H5318FA621D7044669715DA4B171021A0"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="HEDC89082C85F4F06A15DC817FC066748"><enum>131.</enum><header>Extension of modification of tax treatment of certain payments to controlling exempt organizations</header>
<subsection id="H3E8977BC868146B1B0B528090903EB39"><enum>(a)</enum><header>In general</header><text>Clause (iv) of <external-xref legal-doc="usc" parsable-cite="usc/26/512">section 512(b)(13)(E)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H159EDA694F87469B93ECF8774DCC3CA1"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to payments received or accrued after December 31, 2013.</text> </subsection></section>
<section id="HEC46B8250AC34210A3A5FA97C3AA85F2"><enum>132.</enum><header>Extension of treatment of certain dividends of regulated investment companies</header>
<subsection id="H021B959396B049828849B760AEE236DE"><enum>(a)</enum><header>In general</header><text>Paragraphs (1)(C)(v) and (2)(C)(v) of section 871(k) are each amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H6F66B294784D4705A06A2187F28D40E4"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H50C034EF649649A49A974CA5FDB8D360"><enum>133.</enum><header>Extension of RIC qualified investment entity treatment under FIRPTA</header>
<subsection id="HD09A3BA2469C4A248260B6B9E194F00D"><enum>(a)</enum><header>In general</header><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/897">section 897(h)(4)(A)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H7E77FEE2B9D94DC8812A8C7343AD73B0"><enum>(b)</enum><header>Effective date</header>
<paragraph commented="no" display-inline="no-display-inline" id="HE948973F3760405CBB9FB5690BB377FC"><enum>(1)</enum><header>In general</header><text>The amendment made by this section shall take effect on January 1, 2014. Notwithstanding the preceding sentence, such amendment shall not apply with respect to the withholding requirement under <external-xref legal-doc="usc" parsable-cite="usc/26/1445">section 1445</external-xref> of the Internal Revenue Code of 1986 for any payment made before the date of the enactment of this Act.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HB0A87588CA9042E3B93A7CCD9ECECA6A"><enum>(2)</enum><header>Amounts withheld on or before date of enactment</header><text>In the case of a regulated investment company—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HF04B20B1610447E9A945E81987840506"><enum>(A)</enum><text>which makes a distribution after December 31, 2013, and before the date of the enactment of this Act, and</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HB3E206CC2710434DBEB24B77364FA7A3"><enum>(B)</enum><text>which would (but for the second sentence of paragraph (1)) have been required to withhold with respect to such distribution under section 1445 of such Code,</text></subparagraph><continuation-text continuation-text-level="paragraph">such investment company shall not be liable to any person to whom such distribution was made for any amount so withheld and paid over to the Secretary of the Treasury.</continuation-text></paragraph></subsection></section>
<section id="HE9BEA9E7530C4CAAB576FB72A054A9C7"><enum>134.</enum><header>Extension of subpart F exception for active financing income</header>
<subsection id="H5C28BD257C074FFCBDED4FD66CD569E1"><enum>(a)</enum><header>Exempt insurance income</header><text display-inline="yes-display-inline">Paragraph (10) of <external-xref legal-doc="usc" parsable-cite="usc/26/953">section 953(e)</external-xref> is amended—</text>
<paragraph id="H336034FB2966466B94164BA8B035A89D"><enum>(1)</enum><text display-inline="yes-display-inline">by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>, and</text> </paragraph>
<paragraph id="H523741B9FC0841E8A041BFA350888CB7"><enum>(2)</enum><text>by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph></subsection>
<subsection id="H048232BBFF334C9DA741F162D032BCCE"><enum>(b)</enum><header>Special rule for income derived in the active conduct of banking, financing, or similar businesses</header><text>Paragraph (9) of <external-xref legal-doc="usc" parsable-cite="usc/26/954">section 954(h)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H2D61D0BAC61840708E278A939E6E509E"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2013, and to taxable years of United States shareholders with or within which any such taxable year of such foreign corporation ends.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H43FD34153C0D4F7A8E0DCCC454CA6017"><enum>135.</enum><header>Extension of look-thru treatment of payments between related controlled foreign corporations under foreign personal holding company rules</header>
<subsection commented="no" display-inline="no-display-inline" id="HD16E2511605449E3AF1D347D6DE02C4E"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/954">section 954(c)(6)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H5F73D64BC7AB4777A0FD25872D6EB0F4"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to taxable years of foreign corporations beginning after December 31, 2013, and to taxable years of United States shareholders with or within which such taxable years of foreign corporations end.</text> </subsection></section>
<section id="HADA93718D53D47478528991994F21BAB"><enum>136.</enum><header>Extension of temporary exclusion of 100 percent of gain on certain small business stock</header>
<subsection id="H5D783B4DEC33434E99F07B94B9455F84"><enum>(a)</enum><header>In general</header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/1202">section 1202(a)</external-xref> is amended—</text>
<paragraph id="H809F36D31AAD47BCAEB4E9D74B3343B9"><enum>(1)</enum><text>by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>, and</text> </paragraph>
<paragraph id="HC4162C68819C4E02A37B3D99F684BB62"><enum>(2)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">and 2013</header-in-text></quote> in the heading and inserting <quote><header-in-text level="paragraph" style="OLC">2013, and 2014</header-in-text></quote>.</text> </paragraph></subsection>
<subsection commented="no" id="H9A1BB9EB86BB48B68A8C7ED73858552F"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to stock acquired after December 31, 2013.</text> </subsection></section>
<section id="HD59171ED18A44F33B17F714AA2FD3644"><enum>137.</enum><header>Extension of basis adjustment to stock of S corporations making charitable contributions of property</header>
<subsection id="HA7CC178C59D948C581096B5A0139883E"><enum>(a)</enum><header>In general</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/1367">section 1367(a)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H5F902FE13F5549F39163C62652D2E4A6"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to contributions made in taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="H0C4969490CC04CEBBD9C9F72F28345D3"><enum>138.</enum><header>Extension of reduction in S-corporation recognition period for built-in gains tax</header>
<subsection id="H4B8A7321E4FD4C43B8C1241A49C30EBE"><enum>(a)</enum><header>In general</header><text>Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/1374">section 1374(d)(7)</external-xref> is amended—</text>
<paragraph id="HBD726425DB414D51816204C2AB1941A6"><enum>(1)</enum><text>by striking <quote>2012 or 2013</quote> and inserting <quote>2012, 2013, or 2014</quote>, and</text> </paragraph>
<paragraph id="H47F68E54D6E342BDBBD2EB02B4A13675"><enum>(2)</enum><text>by striking <quote><header-in-text level="subparagraph" style="OLC">2012 and 2013</header-in-text></quote> in the heading and inserting <quote><header-in-text level="subparagraph" style="OLC">2012, 2013, and 2014</header-in-text></quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HF5D1ECA481DB48E39EE18331643B034B"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section>
<section id="HA2E5B5FDD60C4B6F9E4AAB2BB929F9A4"><enum>139.</enum><header>Extension of empowerment zone tax incentives</header>
<subsection id="H202CAF99FE1B4CF1A96FCF095BF2DA8C"><enum>(a)</enum><header>In general</header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/1391">section 1391(d)(1)(A)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" id="H4CDF0BDF0DF0414396C87C66FD8ADF63"><enum>(b)</enum><header>Treatment of certain termination dates specified in nominations</header><text>In the case of a designation of an empowerment zone the nomination for which included a termination date which is contemporaneous with the date specified in subparagraph (A)(i) of <external-xref legal-doc="usc" parsable-cite="usc/26/1391">section 1391(d)(1)</external-xref> of the Internal Revenue Code of 1986 (as in effect before the enactment of this Act), subparagraph (B) of such section shall not apply with respect to such designation if, after the date of the enactment of this section, the entity which made such nomination amends the nomination to provide for a new termination date in such manner as the Secretary of the Treasury (or the Secretary’s designee) may provide.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H799D34053F084F22B74B137E1580D1F5"><enum>(c)</enum><header>Effective dates</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to periods after December 31, 2013.</text> </subsection></section>
<section id="HC1F6AB5A0C5B495394A0E2960923D9EE"><enum>140.</enum><header>Extension of temporary increase in limit on cover over of rum excise taxes to Puerto Rico and the Virgin Islands</header>
<subsection id="H4393EF776A9349848D3405454E32D0A5"><enum>(a)</enum><header>In general</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/7652">section 7652(f)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H2A449A51763A49F1890877A32C940C00"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to distilled spirits brought into the United States after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H1934FD78EDA24C04A9214271ADB04780"><enum>141.</enum><header>Extension of American Samoa economic development credit</header>
<subsection commented="no" display-inline="no-display-inline" id="H95EFF8966E934936B4B3A3FECEF8496C"><enum>(a)</enum><header>In general</header><text>Subsection (d) of section 119 of division A of the Tax Relief and Health Care Act of 2006 is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HC806584A4CE24B4F8BC486FF1F82E608"><enum>(1)</enum><text>by striking <quote>January 1, 2014</quote> each place it appears and inserting <quote>January 1, 2015</quote>,</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HB9997846DCA14F34A50860E8242452A1"><enum>(2)</enum><text>by striking <quote>first 8 taxable years</quote> in paragraph (1) and inserting <quote>first 9 taxable years</quote>, and</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H1FEC101115BC43698A49ABF067F21AFB"><enum>(3)</enum><text>by striking <quote>first 2 taxable years</quote> in paragraph (2) and inserting <quote>first 3 taxable years</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HBB8B2BF8056E4B5882F1910216B6DCA6"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to taxable years beginning after December 31, 2013.</text> </subsection></section></subtitle>
<subtitle commented="no" id="HD188D8CC98A34987BC79F321B182A2BF" level-type="subsequent"><enum>C</enum><header>Energy tax extenders</header>
<section commented="no" display-inline="no-display-inline" id="H68F0C7C30AAD4650B3BF7782F57E0F62"><enum>151.</enum><header>Extension of credit for nonbusiness energy property</header>
<subsection commented="no" display-inline="no-display-inline" id="H3853DE2E81E04635B3C2AA6A1CA5F895"><enum>(a)</enum><header>In general</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/25C">section 25C(g)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H68557D85E94644AA81E99D8C088B06BB"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section commented="no" id="HB56B05128F8741F592AED9166930D806"><enum>152.</enum><header>Extension of second generation biofuel producer credit</header>
<subsection id="HAEE5F96C8BEE482791E5F38F6B8BE62D"><enum>(a)</enum><header>In general</header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/40">section 40(b)(6)(J)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" id="HF1EA210A0DF14C49B05E531DCBD5800F"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to qualified second generation biofuel production after December 31, 2013.</text> </subsection></section>
<section id="H5B6261E179D24758946CDBC2CF7A70CF"><enum>153.</enum><header>Extension of incentives for biodiesel and renewable diesel</header>
<subsection id="H0549622051534213824830694A9D4996"><enum>(a)</enum><header>Credits for biodiesel and renewable diesel used as fuel</header><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/40A">section 40A</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H0E917E85B4A94A47B9EFA29A673266B5"><enum>(b)</enum><header display-inline="yes-display-inline">Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to fuel sold or used after December 31, 2013.</text> </subsection></section>
<section id="HFFC56DDB645B42289811054B10E0A1C3"><enum>154.</enum><header>Extension of production credit for Indian coal facilities placed in service before 2009</header>
<subsection id="H23B7B217C9C041D59C3A5F205250BB5A"><enum>(a)</enum><header>In general</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/45">section 45(e)(10)</external-xref> is amended by striking <quote>8-year period</quote> each place it appears and inserting <quote>9-year period</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H1BF475580F8F4FF0A57CCA501055DA59"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to coal produced after December 31, 2013.</text> </subsection></section>
<section commented="no" id="H25345DDEBB9C4EDDA589078BB0C5D185"><enum>155.</enum><header>Extension of credits with respect to facilities producing energy from certain renewable resources</header>
<subsection commented="no" id="H209D6CD4B3DE4E0DBDF2A93EE21050DC"><enum>(a)</enum><header>In general</header><text>The following provisions of section 45(d) are each amended by striking <quote>January 1, 2014</quote> each place it appears and inserting <quote>January 1, 2015</quote>:</text>
<paragraph commented="no" id="HB99CDB25ABD54AF5A8F4E81FB651F846"><enum>(1)</enum><text>Paragraph (1).</text> </paragraph>
<paragraph commented="no" id="H0371877218AD4EE7B36B86D3CFA18223"><enum>(2)</enum><text>Paragraph (2)(A).</text> </paragraph>
<paragraph commented="no" id="H47FD92B77EA04466B4294C84EB218B93"><enum>(3)</enum><text>Paragraph (3)(A).</text> </paragraph>
<paragraph commented="no" id="H2915BD639F4546B7A9CF4D29BD8EBEEE"><enum>(4)</enum><text>Paragraph (4)(B).</text> </paragraph>
<paragraph commented="no" id="H965E1070501F4A489572F95B5EFD9073"><enum>(5)</enum><text>Paragraph (6).</text> </paragraph>
<paragraph commented="no" id="HE0EE56E9EAAE41F7A50A753C9B4021DE"><enum>(6)</enum><text>Paragraph (7).</text> </paragraph>
<paragraph commented="no" id="H84FFFECD1F52425891F70A57E5E817E8"><enum>(7)</enum><text>Paragraph (9).</text> </paragraph>
<paragraph commented="no" id="H2018F5B8F69D46DF9E2E1C4A7BAED2E7"><enum>(8)</enum><text>Paragraph (11)(B).</text> </paragraph></subsection>
<subsection commented="no" id="H3798D79152AC444A9FAFF13713841837"><enum>(b)</enum><header>Extension of election to treat qualified facilities as energy property</header><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/48">section 48(a)(5)(C)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" id="H469D25D842A64CDD80F97E4A196D3871"><enum>(c)</enum><header>Effective dates</header><text>The amendments made by this section shall take effect on January 1, 2014.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H368D34E481494354ACEBE0443DA3D78D"><enum>156.</enum><header>Extension of credit for energy-efficient new homes</header>
<subsection commented="no" display-inline="no-display-inline" id="H3B5E4914ACF54BB2BF690CE3299664FD"><enum>(a)</enum><header>In general</header><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/45L">section 45L</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H541C72A32A024653B655FAA5BAC54D14"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to homes acquired after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H066082987F674A94801AFD6B513ABA6A"><enum>157.</enum><header>Extension of special allowance for second generation biofuel plant property</header>
<subsection commented="no" display-inline="no-display-inline" id="H0B1B7749F59B43E2BEE9ABF5971DE827"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(l)(2)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H5B3C6D4C36064C34BEB3AE44D4C7E9A4"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H274BFF9934B6404B8AC0A6160275513E"><enum>158.</enum><header>Extension of energy efficient commercial buildings deduction</header>
<subsection commented="no" display-inline="no-display-inline" id="H7B520FECCD3F410CA65157359DE3F2AC"><enum>(a)</enum><header>In general</header><text>Subsection (h) of <external-xref legal-doc="usc" parsable-cite="usc/26/179D">section 179D</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H952B212693544BABA3DE7F13633726B1"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to property placed in service after December 31, 2013.</text> </subsection></section>
<section id="H35E2BF8E13C047DE808FA0010DE88A67"><enum>159.</enum><header>Extension of special rule for sales or dispositions to implement FERC or State electric restructuring policy for qualified electric utilities</header>
<subsection id="HD48F83A4D7074DABAADF3EC4089749B3"><enum>(a)</enum><header>In general</header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/451">section 451(i)</external-xref> is amended by striking <quote>January 1, 2014</quote> and inserting <quote>January 1, 2015</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H8E2AD966530B498AB59453FD05BD4C38"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to dispositions after December 31, 2013.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="H616D26EA4EBD40E3BA738FB4D342C88F"><enum>160.</enum><header>Extension of excise tax credits relating to certain fuels</header>
<subsection id="HAD20A14DD9814B65BF83681655B389DC"><enum>(a)</enum><header>Excise tax credits and outlay payments for biodiesel and renewable diesel fuel mixtures</header>
<paragraph id="HF44ACE28C59B4297AFDF459DA154FBBA"><enum>(1)</enum><text>Paragraph (6) of <external-xref legal-doc="usc" parsable-cite="usc/26/6426">section 6426(c)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph>
<paragraph id="HD8BBD52F5EB0488681E5108B4EAC3D62"><enum>(2)</enum><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/6427">section 6427(e)(6)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H4EBD54009DE94220A49738D613985646"><enum>(b)</enum><header>Extension of alternative fuels excise tax credits</header>
<paragraph commented="no" display-inline="no-display-inline" id="H4760277261C844B3939D4E1759EECC11"><enum>(1)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6426">Sections 6426(d)(5)</external-xref> and <external-xref legal-doc="usc" parsable-cite="usc/26/6426"> 6426(e)(3)</external-xref> are each amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HF7B8121DD1A64B7F933D1B1574BF88CA"><enum>(2)</enum><header>Outlay payments for alternative fuels</header><text>Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/6427">section 6427(e)(6)</external-xref> is amended by striking <quote>December 31, 2013</quote> and inserting <quote>December 31, 2014</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H613BFB3E51B24D37952726981E5B41D2"><enum>(c)</enum><header>Extension of alternative fuels excise tax credits relating to liquefied hydrogen</header>
<paragraph commented="no" display-inline="no-display-inline" id="HDA1724FD5EA64CCDB6EE4D438563F238"><enum>(1)</enum><header>In general</header><text>Sections 6426(d)(5) and 6426(e)(3), as amended by subsection (b), are each amended by striking <quote>(September 30, 2014 in the case of any sale or use involving liquefied hydrogen)</quote>.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H161F2740593F4BB5A150989494F6BCE0"><enum>(2)</enum><header>Outlay payments for alternative fuels</header><text>Paragraph (6) of <external-xref legal-doc="usc" parsable-cite="usc/26/6427">section 6427(e)</external-xref> is amended—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HDA5447B95E1540F3985529BFB5BF7F06"><enum>(A)</enum><text>by striking <quote>except as provided in subparagraph (D), any</quote> in subparagraph (C), as amended by this Act, and inserting <quote>any</quote>,</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HC824963B98484F659E51205A54586903"><enum>(B)</enum><text>by striking the comma at the end of subparagraph (C) and inserting <quote>, and</quote>, and</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="HCB994AAF8CF24C439DFE8A4F39174C30"><enum>(C)</enum><text>by striking subparagraph (D) and redesignating subparagraph (E) as subparagraph (D).</text> </subparagraph></paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="HFDB989FDE29F4BF9B8586094EAE5CCAE"><enum>(d)</enum><header>Effective dates</header>
<paragraph commented="no" display-inline="no-display-inline" id="H2610F4EB708A482CA65F6D0564296693"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), the amendments made by this section shall apply to fuel sold or used after December 31, 2013.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HF993AA306137464D9B815F405EF74AAE"><enum>(2)</enum><header>Liquefied hydrogen</header><text>The amendments made by subsection (c) shall apply to fuel sold or used after September 30, 2014.</text> </paragraph></subsection>
<subsection id="H05884B8FBB4D4FAD9BBA2D6C32681520"><enum>(e)</enum><header>Special rule for certain periods during 2014</header><text>Notwithstanding any other provision of law, in the case of—</text>
<paragraph id="HF8FF4A73116247EEBF28619BBB1C9CB2"><enum>(1)</enum><text>any biodiesel mixture credit properly determined under <external-xref legal-doc="usc" parsable-cite="usc/26/6426">section 6426(c)</external-xref> of the Internal Revenue Code of 1986 for periods after December 31, 2013, and before the date of the enactment of this Act, and</text> </paragraph>
<paragraph id="H61C0B50EF6874B2991F46D4FC0EADF5F"><enum>(2)</enum><text>any alternative fuel credit properly determined under section 6426(d) of such Code for such periods,</text></paragraph><continuation-text continuation-text-level="subsection">such credit shall be allowed, and any refund or payment attributable to such credit (including any payment under section 6427(e) of such Code) shall be made, only in such manner as the Secretary of the Treasury (or the Secretary’s delegate) shall provide. Such Secretary shall issue guidance within 30 days after the date of the enactment of this Act providing for a one-time submission of claims covering periods described in the preceding sentence. Such guidance shall provide for a 180-day period for the submission of such claims (in such manner as prescribed by such Secretary) to begin not later than 30 days after such guidance is issued. Such claims shall be paid by such Secretary not later than 60 days after receipt. If such Secretary has not paid pursuant to a claim filed under this subsection within 60 days after the date of the filing of such claim, the claim shall be paid with interest from such date determined by using the overpayment rate and method under section 6621 of such Code.</continuation-text></subsection></section>
<section id="H68CE666656BE4DB499CFB2C88ECF4557"><enum>161.</enum><header>Extension of credit for alternative fuel vehicle refueling property</header>
<subsection id="H80697931DDFB407C9D097F7925B15AC6"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/30C">section 30C</external-xref> is amended by striking <quote>placed in service</quote> and all that follows and inserting <quote>placed in service after December 31, 2014.</quote>.</text></subsection>
<subsection id="H784F1B4170114B2B85F75BFBCFCAE0CC"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall apply to property placed in service after December 31, 2013.</text></subsection></section></subtitle>
<subtitle id="H21527B5A9DB546358D018E54770F3850" style="OLC"><enum>D</enum><header>Extenders relating to multiemployer defined benefit pension plans</header>
<section id="HDF323695E61D4DB1B9860971511F2C7E"><enum>171.</enum><header>Extension of automatic extension of amortization periods</header>
<subsection id="HA8B96F04E30D462AA65976E31A6C0E19"><enum>(a)</enum><header>In general</header><text>Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/431">section 431(d)(1)</external-xref> is amended by striking <quote>December 31, 2014</quote> and inserting <quote>December 31, 2015</quote>.</text> </subsection>
<subsection id="H98DED55DC9824849B02B9EBEE6818306"><enum>(b)</enum><header>Amendment to Employee Retirement Income Security Act of 1974</header><text>Subparagraph (C) of section 304(d)(1) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1084">29 U.S.C. 1084(d)(1)(C)</external-xref>) is amended by striking <quote>December 31, 2014</quote> and inserting <quote>December 31, 2015</quote>.</text> </subsection>
<subsection id="HD70DF78ED68C448085130DA9DBBD79F5"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to applications submitted under <external-xref legal-doc="usc" parsable-cite="usc/26/431">section 431(d)(1)(A)</external-xref> of the Internal Revenue Code of 1986 and section 304(d)(1)(C) of the Employee Retirement Income Security Act of 1974 after December 31, 2014.</text> </subsection></section>
<section id="H581073F593E54BFC982129E86242F774"><enum>172.</enum><header>Extension of shortfall funding method and endangered and critical rules</header>
<subsection id="HAABBF0905C3A4536BDB2E67FF3C9F1EA"><enum>(a)</enum><header>In general</header><text>Paragraphs (1) and (2) of section 221(c) of the Pension Protection Act of 2006 are each amended by striking <quote>December 31, 2014</quote> and inserting <quote>December 31, 2015</quote>.</text> </subsection>
<subsection id="H4C0B656DABE24E3AB8B3F46146ABC541"><enum>(b)</enum><header>Conforming amendment</header><text>Paragraph (2) of section 221(c) of the Pension Protection Act of 2006 is amended by striking <quote>January 1, 2015</quote> and inserting <quote>January 1, 2016</quote>.</text> </subsection>
<subsection id="H8722D1877AC04E56B2752772018F0B18"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to plan years beginning after December 31, 2014.</text> </subsection></section></subtitle>
<enum>II</enum><header>Technical Corrections</header>
<section id="HD196DB45246D42129652C33DC58E404B" section-type="subsequent-section"><enum>201.</enum><header>Short title</header><text display-inline="no-display-inline">This title may be cited as the <quote><short-title>Tax Technical Corrections Act of 2014</short-title></quote>.</text> </section>
<section id="H246B44ED167843B490F2EFE7AD0CECE1"><enum>202.</enum><header>Amendments relating to American Taxpayer Relief Act of 2012</header>
<subsection id="HC75054A25A3E468E8D70050BEB2184ED"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>101(b)</enum-in-header></header><text>Subclause (I) of <external-xref legal-doc="usc" parsable-cite="usc/26/642">section 642(b)(2)(C)(i)</external-xref> is amended by striking <quote>section 151(d)(3)(C)(iii)</quote> and inserting <quote>section 68(b)(1)(C)</quote>.</text> </subsection>
<subsection id="HF4959FCA90B44209B576FDCE16DEFEB5"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>102</enum-in-header></header><text display-inline="yes-display-inline">Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/911">section 911(f)(2)(B)</external-xref> is amended by striking <quote>described in section 1(h)(1)(B) shall be treated as a reference to such excess as determined</quote> and inserting <quote>described in section 1(h)(1)(B), and the reference in section 55(b)(3)(C)(ii) to the excess described in section 1(h)(1)(C)(ii), shall each be treated as a reference to each such excess as determined</quote>.</text> </subsection>
<subsection id="H323F5D28BBFC42B4AAD295AE52999599"><enum>(c)</enum><header>Amendments relating to section <enum-in-header>104</enum-in-header></header>
<paragraph id="HB586239940904F0DA8B6BF478290CC83"><enum>(1)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/55">section 55(d)(4)(B)</external-xref> is amended by inserting <quote>subparagraphs (A), (B), and (D) of</quote> before <quote>paragraph (1)</quote>.</text> </paragraph>
<paragraph id="HE91A51AE39E7484DA1F2E523DAA2DB69"><enum>(2)</enum><text display-inline="yes-display-inline">Subparagraph (C) of <external-xref legal-doc="usc" parsable-cite="usc/26/55">section 55(d)(4)</external-xref> is amended by striking <quote>increase</quote> and inserting <quote>increased amount</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H274C6ECC594F4504BF239F2D466B7820"><enum>(d)</enum><header>Amendments relating to section <enum-in-header>310</enum-in-header></header><text>Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/6431">section 6431(f)(3)(A)</external-xref> is amended—</text>
<paragraph commented="no" display-inline="no-display-inline" id="HA933260AB8C24EE887D009F8436B26B9"><enum>(1)</enum><text>by striking <quote>2011</quote> and inserting <quote>years after 2010</quote>, and</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H11B46963715047AD940749E4CE0A3854"><enum>(2)</enum><text>by striking <quote>of such allocation</quote> and inserting <quote>of any such allocation</quote>.</text> </paragraph></subsection>
<subsection commented="no" display-inline="no-display-inline" id="H49946BF32BC24B05B461F06A787CE5BC"><enum>(e)</enum><header display-inline="yes-display-inline">Amendment relating to section <enum-in-header>331</enum-in-header></header><text display-inline="yes-display-inline">Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(4)(J)</external-xref> is amended by striking <quote>any taxable year</quote> and inserting <quote>its first taxable year</quote>.</text> </subsection>
<subsection id="HC4E47C080DAE47ABA396A0430F01D7CD"><enum>(f)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provision of the American Taxpayer Relief Act of 2012 to which they relate.</text> </subsection></section>
<section id="H3263DD4561D2441194C3C5080BC08671"><enum>203.</enum><header>Amendment relating to Middle Class Tax Relief and Job Creation Act of 2012</header>
<subsection id="HD0EC4B5000B0438BBB3387957D956D07"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>7001</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (1) of section 7001 of the Middle Class Tax Relief and Job Creation Act of 2012 is amended by striking <quote>201(b)</quote> and inserting <quote>202(b)</quote>.</text> </subsection>
<subsection id="HD73BB4BBECAE46339205D1893D0DCCAA"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall take effect as if included in section 7001 of the Middle Class Tax Relief and Job Creation Act of 2012.</text> </subsection></section>
<section id="H6C19FED94C2D499CA8B3D0C532680BF9"><enum>204.</enum><header>Amendment relating to FAA Modernization and Reform Act of 2012</header>
<subsection id="H7C32D41D14C74BC6A384CCE64890254B"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>1107</enum-in-header></header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/4281">Section 4281</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H0A7A4F20182F489AA677858BD50E5B98" style="OLC">
<section id="H34473FF7A4F8487BA64668BB61C35F67"><enum>4281.</enum><header>Small aircraft on nonestablished lines</header>
<subsection id="HC79BAAC36F4D49C0842E2877C14E0CD8"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">The taxes imposed by sections 4261 and 4271 shall not apply to transportation by an aircraft having a maximum certificated takeoff weight of 6,000 pounds or less, except when such aircraft is operated on an established line or when such aircraft is a jet aircraft.</text> </subsection>
<subsection id="H9AFF57D7354C4ED492E9B96F58EFE5D5"><enum>(b)</enum><header>Maximum certificated takeoff weight</header><text>For purposes of this section, the term <term>maximum certificated takeoff weight</term> means the maximum such weight contained in the type certificate or airworthiness certificate.</text> </subsection>
<subsection id="HAC2C43BC5C8E448E9B46E3B03CCF5E4E"><enum>(c)</enum><header>Sightseeing</header><text>For purposes of this section, an aircraft shall not be considered as operated on an established line at any time during which such aircraft is being operated on a flight the sole purpose of which is sightseeing.</text> </subsection>
<subsection id="H053A19F26B4C44F58A357594A4EA02F0"><enum>(d)</enum><header>Jet aircraft</header><text>For purposes of this section, the term <term>jet aircraft</term> shall not include any aircraft which is a rotorcraft or propeller aircraft.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="HCFEC0E6242594CA8B2DB8A1B0D291565"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall take effect as if included in section 1107 of the FAA Modernization and Reform Act of 2012.</text> </subsection></section>
<section id="H3182916E9F544B0DA2E86499FAB03743"><enum>205.</enum><header>Amendments relating to Regulated Investment Company Modernization Act of 2010</header>
<subsection id="H067ABD9EEE224FE882E536A067F0D797"><enum>(a)</enum><header>Amendments relating to section <enum-in-header>101</enum-in-header></header>
<paragraph id="H92F95BF61D0F4A409DFCA1993924A2E4"><enum>(1)</enum><text>Subsection (c) of section 101 of the Regulated Investment Company Modernization Act of 2010 is amended—</text>
<subparagraph id="H4BE844E0EB2C4A18A1F9654830CC1899"><enum>(A)</enum><text>by striking <quote>paragraph (2)</quote> in paragraph (1) and inserting <quote>paragraphs (2) and (3)</quote>, and</text> </subparagraph>
<subparagraph id="H4A36284E88C5487FA19C44CE7AE1B7EE"><enum>(B)</enum><text>by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H9554347865C14E419BA512E2331B8E60" style="OLC">
<paragraph id="H44073457907B4FEE81836C97C7F03FA3"><enum>(3)</enum><header>Excise tax</header>
<subparagraph id="HC62D1C7E4D82405C9CBE4F5E97CDC73E"><enum>(A)</enum><header>In general</header><text>Except as provided in subparagraph (B), for purposes of <external-xref legal-doc="usc" parsable-cite="usc/26/4982">section 4982</external-xref> of the Internal Revenue Code of 1986, paragraphs (1) and (2) shall apply by substituting <quote>the 1-year periods taken into account under subsection (b)(1)(B) of such section with respect to calendar years beginning after December 31, 2010</quote> for <quote>taxable years beginning after the date of the enactment of this Act</quote>.</text> </subparagraph>
<subparagraph id="HECED69303FBE46A0A17F88ADDF21820C"><enum>(B)</enum><header>Election</header><text>A regulated investment company may elect to apply subparagraph (A) by substituting <quote>2011</quote> for <quote>2010</quote>. Such election shall be made at such time and in such form and manner as the Secretary of the Treasury (or the Secretary's delegate) shall prescribe.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph></paragraph>
<paragraph id="HE8DBBDDB5A684E38B62E18E6DD07C201"><enum>(2)</enum><text display-inline="yes-display-inline">The first sentence of paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/852">section 852(c)</external-xref> is amended—</text>
<subparagraph id="H238A64CE74054C6C9E800BBCD98E46D1"><enum>(A)</enum><text>by striking <quote>and without regard to</quote> and inserting <quote>, without regard to</quote>, and</text> </subparagraph>
<subparagraph id="H8BCF7443568F48FEA6C5C67C88F28CB8"><enum>(B)</enum><text>by inserting <quote>, and without regard to any capital loss arising on the first day of the taxable year by reason of clauses (ii) and (iii) of section 1212(a)(3)(A)</quote> before the period at the end.</text> </subparagraph></paragraph></subsection>
<subsection id="HF5C182E6CF0A4F829657B751A28B11EE"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>304</enum-in-header></header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/855">section 855(a)</external-xref> is amended by inserting <quote>on or</quote> before <quote>before</quote>.</text> </subsection>
<subsection id="HDBF01EEC258547849FE894192982CCE4"><enum>(c)</enum><header>Amendments relating to section <enum-in-header>308</enum-in-header></header>
<paragraph id="HBF9E120FA61F4CEB8D426C8E52EF4193"><enum>(1)</enum><text display-inline="yes-display-inline">Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/26/852">section 852(b)</external-xref> is amended by redesignating subparagraph (E) as subparagraph (G) and by striking subparagraphs (C) and (D) and inserting the following new subparagraphs:</text>
<quoted-block display-inline="no-display-inline" id="H67A960D9ECD549C297C22A94348DA7FE" style="OLC">
<subparagraph id="HAC3E7E620AF944FF99B4811B78DF4078"><enum>(C)</enum><header>Post-October capital loss</header><text display-inline="yes-display-inline">For purposes of this paragraph, the term <term>post-October capital loss</term> means—</text>
<clause id="HA051E986C7FA474A9F03F425A34D070B"><enum>(i)</enum><text>any net capital loss attributable to the portion of the taxable year after October 31, or</text> </clause>
<clause id="H6721B85AC68B4B19A2F492982AFE1F74"><enum>(ii)</enum><text>if there is no such loss—</text>
<subclause id="H7D8E10ECCA6A4B6C91F32E4E9900A4BF"><enum>(I)</enum><text>any net long-term capital loss attributable to such portion of the taxable year, or</text> </subclause>
<subclause id="H9E55171055034CBAB75215CC163F4E0E"><enum>(II)</enum><text>any net short-term capital loss attributable to such portion of the taxable year.</text> </subclause></clause></subparagraph>
<subparagraph id="HC24476BFA8F94690970DE73961066324"><enum>(D)</enum><header>Late-year ordinary loss</header><text>For purposes of this paragraph, the term <term>late-year ordinary loss</term> means the sum of any post-October specified loss and any post-December ordinary loss.</text> </subparagraph>
<subparagraph id="HC071902FE19A4C8383AA1EA1C609988B"><enum>(E)</enum><header>Post-October specified loss</header><text>For purposes of this paragraph, the term <term>post-October specified loss</term> means the excess (if any) of—</text>
<clause id="H013BD37AC7764B8B92A2DD70F89BC0E4"><enum>(i)</enum><text>the specified losses (as defined in section 4982(e)(5)(B)(ii)) attributable to the portion of the taxable year after October 31, over</text> </clause>
<clause id="H1F652CD12D5C42BDA09C5723C53F2832"><enum>(ii)</enum><text>the specified gains (as defined in section 4982(e)(5)(B)(i)) attributable to such portion of the taxable year.</text> </clause></subparagraph>
<subparagraph id="H9C3ED6D9FDD9479CB11E8B41A360A464"><enum>(F)</enum><header>Post-December ordinary loss</header><text>For purposes of this paragraph, the term <term>post-December ordinary loss</term> means the excess (if any) of—</text>
<clause id="HC5A2FA452C604E6BB8D8AA154DB64410"><enum>(i)</enum><text>the ordinary losses not described in subparagraph (E)(i) and attributable to the portion of the taxable year after December 31, over</text> </clause>
<clause id="HA7C97BD648BB4C6DA76BCE875E22C2A3"><enum>(ii)</enum><text>the ordinary income not described in subparagraph (E)(ii) and attributable to such portion of the taxable year.</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H1E1C10BB6B53408CAF6F1395BF4B034F"><enum>(2)</enum><text>Subparagraph (G) of section 852(b)(8), as so redesignated, is amended by striking <quote>, (D)(i)(I), and (D)(ii)(I)</quote> and inserting <quote>and (E)</quote>.</text> </paragraph>
<paragraph id="HE19A6626B9B24A8A8BD00454C0CE9644"><enum>(3)</enum><text>The first sentence of paragraph (2) of section 852(c), as amended by subsection (a), is amended—</text>
<subparagraph id="H701FD554DBD54E5CA37B5061BB7A5B2B"><enum>(A)</enum><text>by striking <quote>, and without regard to</quote> and inserting <quote>, without regard to</quote>, and</text> </subparagraph>
<subparagraph id="H6F28106923564FC7BAC06F36C7FA342E"><enum>(B)</enum><text>by inserting <quote>, and with such other adjustments as the Secretary may prescribe</quote> before the period at the end.</text> </subparagraph></paragraph></subsection>
<subsection id="HFECA888C4C934F66952A3FF87E4E9943"><enum>(d)</enum><header>Amendments relating to section <enum-in-header>402</enum-in-header></header>
<paragraph id="H1C0605AC8EF641B6A753C3AA1CA2D78D"><enum>(1)</enum><text display-inline="yes-display-inline">Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/4982">section 4982(e)(6)</external-xref> is amended by inserting before the period at the end the following: <quote>or which determines income by reference to the value of an item on the last day of the taxable year</quote>.</text> </paragraph>
<paragraph id="HAA059E7385E5455CBC273C3DC8D75749"><enum>(2)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/4982">section 4982(e)(7)</external-xref> is amended by striking <quote>such company</quote> and all that follows through <quote>any net ordinary loss</quote> and inserting <quote>such company may elect to determine its ordinary income and net ordinary loss (as defined in paragraph (2)(C)(ii)) for the calendar year without regard to any portion of any net ordinary loss</quote>.</text> </paragraph></subsection>
<subsection id="H8F60A1DB68F14E419C18C307D2D412DD"><enum>(e)</enum><header>Clerical amendment relating to section <enum-in-header>201</enum-in-header></header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/851">section 851(d)(2)</external-xref> is amended by inserting <quote>of this paragraph</quote> after <quote>subparagraph (B)(i)</quote>.</text> </subsection>
<subsection id="H4894C755FC144CC087E80C9C7DC9ABCA"><enum>(f)</enum><header>Effective date</header>
<paragraph id="H376FBE7167764F6BB64FBEBF8CE36569"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Except as provided in paragraph (2), the amendments made by this section shall take effect as if included in the provision of the Regulated Investment Company Modernization Act of 2010 to which they relate.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4002B21507974DECAAF489DDAAA30352"><enum>(2)</enum><header>Savings provision</header><text display-inline="yes-display-inline">In the case of an election by a regulated investment company under <external-xref legal-doc="usc" parsable-cite="usc/26/852">section 852(b)(8)</external-xref> of the Internal Revenue Code of 1986 with respect to any taxable year beginning before the date of the enactment of this Act, such company may treat the amendments made by paragraphs (1) and (2) of subsection (c) as not applying with respect to any such election.</text> </paragraph></subsection></section>
<section id="H5A7BA139704B4EF986DD0F2DB94693D4"><enum>206.</enum><header>Amendments relating to Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010</header>
<subsection id="HAD010BEBE25F4690BFEB41E896C007D6"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>103</enum-in-header></header><text display-inline="yes-display-inline">Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/32">section 32(b)(3)(B)</external-xref> is amended by striking <quote>in 2010</quote> and inserting <quote>after 2009</quote>.</text> </subsection>
<subsection id="H192CF32604D746FC881DDC85CDDB56D2"><enum>(b)</enum><header>Clerical amendments relating to section <enum-in-header>302</enum-in-header></header>
<paragraph id="H8D43782BDC7742BCA62D4CD684390F65"><enum>(1)</enum><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/2801">section 2801(a)</external-xref> is amended by striking <quote>(or, if greater, the highest rate of tax specified in the table applicable under section 2502(a) as in effect on the date)</quote>.</text> </paragraph>
<paragraph id="H99794329E0F1410BA5E3C8AA6B445740"><enum>(2)</enum><text>Subsection (f) of section 302 of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 is amended by striking <quote>subsection</quote> and inserting <quote>section</quote>.</text> </paragraph></subsection>
<subsection commented="no" id="HAB171AB57F9B42059A14AC344C4A2067"><enum>(c)</enum><header>Amendments relating to section <enum-in-header>753</enum-in-header></header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/1397B">section 1397B(b)(1)</external-xref> is amended by striking <quote>and</quote> at the end of clause (ii), by striking the period at the end of clause (iii) and inserting <quote>, and</quote>, and by adding at the end the following new clause:</text>
<quoted-block display-inline="no-display-inline" id="HC793E5C815BF41F9854DAC5B00947FAD" style="OLC">
<clause commented="no" id="HF0711B2361584CB5BBA90AE8FAFF62DA"><enum>(iv)</enum><text display-inline="yes-display-inline">the day after the date set forth in section 1391(d)(1)(A)(i) were substituted for <quote>January 1, 2010</quote> each place it appears.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="HAE8B14153A8748B0A4AA65DC3C01013A"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the Tax Relief, Unemployment Insurance Reauthorization, and Job Creation Act of 2010 to which they relate.</text> </subsection></section>
<section commented="no" display-inline="no-display-inline" id="HF04393BAC91449809A26E80E8A0DBE22" section-type="subsequent-section"><enum>207.</enum><header>Amendments relating to Creating Small Business Jobs Act of 2010</header>
<subsection id="H539CE0288981474EB03FD27E127CD66D"><enum>(a)</enum><header>Amendments relating to section <enum-in-header>2102</enum-in-header></header>
<paragraph id="H20EDB3F5AE4745769160B5BF3135C9A9"><enum>(1)</enum><text>Subsection (h) of section 2102 of the Creating Small Business Jobs Act of 2010 is amended by inserting <quote>, and payee statements required to be furnished,</quote> after <quote>information returns required to be filed</quote>.</text> </paragraph>
<paragraph id="H55525A925F004BAFAD46BB3F05EF6F4E"><enum>(2)</enum><text>Paragraphs (1) and (2) of subsection (b), and subsection (c)(1)(C), of section 6722 are each amended by striking <quote>the required filing date</quote> and inserting <quote>the date prescribed for furnishing such statement</quote>.</text> </paragraph>
<paragraph id="HAC8B94F3F4ED48BF8EE1F2CB1596B6AB"><enum>(3)</enum><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/6722">section 6722(c)(2)</external-xref> is amended by striking <quote>filed</quote> and inserting <quote>furnished</quote>.</text> </paragraph></subsection>
<subsection commented="no" id="H9D11428D07BC4015A764C59DF583C717"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provision of the Creating Small Business Jobs Act of 2010 to which they relate.</text> </subsection></section>
<section id="H74889FDCE851497488743AA5D50B70B5"><enum>208.</enum><header>Clerical amendment relating to Hiring Incentives to Restore Employment Act</header>
<subsection id="H85E2B6FE0EEC448B93FFB90A1723C366"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>512</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (1) of section 512(a) of the Hiring Incentives to Restore Employment Act is amended by striking <quote>after paragraph (6)</quote> and inserting <quote>after paragraph (5)</quote>.</text> </subsection>
<subsection id="H39F74B8E5C954E15A3CD253C2057BF99"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall take effect as if included in the provision of the Hiring Incentives to Restore Employment Act to which it relates.</text> </subsection></section>
<section id="H466C7A9603644DF3B0B265533DB8878F"><enum>209.</enum><header>Amendments relating to American Recovery and Reinvestment Tax Act of 2009</header>
<subsection id="H11BEED4C1A1941B99BFEA4EF03A5B6A5"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>1003</enum-in-header></header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/24">section 24(d)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H524DD53720F747CDA209511160235302" style="OLC">
<paragraph id="H8A85E8EA54F04F858897C07D0BDC3230"><enum>(4)</enum><header>Special rule for certain years</header><text display-inline="yes-display-inline">In the case of any taxable year beginning after 2008 and before 2018, paragraph (1)(B)(i) shall be applied by substituting <quote>$3,000</quote> for <quote>$10,000</quote>.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="H8AA90E5F35D84568AB499A9535B273FF"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>1004</enum-in-header></header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/25A">section 25A(i)</external-xref> is amended by striking <quote>Subsection (f)(1)(A) shall be applied</quote> and inserting <quote>For purposes of determining the Hope Scholarship Credit, subsection (f)(1)(A) shall be applied</quote>.</text> </subsection>
<subsection id="HF62D92B836AD448FB2A34CAEF6DC2CEB"><enum>(c)</enum><header>Amendments relating to section <enum-in-header>1008</enum-in-header></header>
<paragraph id="HEAA6AC14914F43FA86B83348D5DE278C"><enum>(1)</enum><text>Paragraph (6) of <external-xref legal-doc="usc" parsable-cite="usc/26/164">section 164(b)</external-xref> is amended by striking subparagraph (E) and by redesignating subparagraphs (F) and (G) as subparagraphs (E) and (F), respectively.</text> </paragraph>
<paragraph id="H5A94BB7D91C840049DD523C46CEF5F07"><enum>(2)</enum><text>Subparagraphs (E) and (F) of section 164(b)(6), as so redesignated, are each amended by striking <quote>This paragraph</quote> and inserting <quote>Subsection (a)(6)</quote>.</text> </paragraph></subsection>
<subsection id="HA4AB9FE51F4A4AFD880DFA6EA4BD711E"><enum>(d)</enum><header>Amendment relating to section <enum-in-header>1104</enum-in-header></header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/48">section 48(d)(3)</external-xref> is amended by inserting <quote>or alternative minimum taxable income</quote> after <quote>includible in the gross income</quote>.</text> </subsection>
<subsection display-inline="no-display-inline" id="H17BA802E32EB405A97444C80FCE1745D"><enum>(e)</enum><header>Amendments relating to section <enum-in-header>1141</enum-in-header></header>
<paragraph id="H58727781AC374D28B4C07FF0A2BEC363"><enum>(1)</enum><text>Subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/30D">section 30D</external-xref> is amended—</text>
<subparagraph id="HDB7C9CE5F1A64B118ACB5CF272316D06"><enum>(A)</enum><text display-inline="yes-display-inline">by inserting <quote>(determined without regard to subsection (c))</quote> before the period at the end of paragraph (1), and</text> </subparagraph>
<subparagraph id="H1E9CE285E84C4AC98BE43DCD8F11B007"><enum>(B)</enum><text display-inline="yes-display-inline">by inserting <quote>(determined without regard to subsection (c))</quote> before the period at the end of paragraph (2).</text> </subparagraph></paragraph>
<paragraph id="H4FBDBE3B55E040808F8EC59AF8615A23"><enum>(2)</enum><text display-inline="yes-display-inline">Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/30D">section 30D(f)</external-xref> is amended by adding at the end the following: <quote>For purposes of subsection (c), property to which this paragraph applies shall be treated as of a character subject to an allowance for depreciation.</quote>.</text> </paragraph></subsection>
<subsection id="H155E3240C1894CF89649004FEC30C1D1"><enum>(f)</enum><header>Amendments relating to section <enum-in-header>1142</enum-in-header></header>
<paragraph commented="no" display-inline="no-display-inline" id="HF990F3AFFE754660883F0305ED834468"><enum>(1)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/38">section 38</external-xref> is amended by striking <quote>plus</quote> at the end of paragraph (35), by redesignating paragraph (36) as paragraph (37), and by inserting after paragraph (35) the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HF1A51C64EF2445D190E53721A0DDEE26" style="OLC">
<paragraph commented="no" id="HCE1C853DB7684C039B9EB8D1CF6FE7D4"><enum>(36)</enum><text display-inline="yes-display-inline">the portion of the qualified plug-in electric vehicle credit to which section 30(c)(1) applies, plus</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H95F46AA5D507405C897DE0606D24475C"><enum>(2)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HAB1C216A72CE4E4B8C3E0345107283FA"><enum>(A)</enum><text>Subsection (e) of <external-xref legal-doc="usc" parsable-cite="usc/26/30">section 30</external-xref> is amended—</text>
<clause id="H0953ECABE3B44FAB8D87CFA368C32594" indent="up1"><enum>(i)</enum><text>by inserting <quote>(determined without regard to subsection (c))</quote> before the period at the end of paragraph (1), and</text> </clause>
<clause id="H024D7D4D7FE54303ACD56C1999573480" indent="up1"><enum>(ii)</enum><text>by inserting <quote>(determined without regard to subsection (c))</quote> before the period at the end of paragraph (2).</text> </clause></subparagraph>
<subparagraph id="H5BDC48F93E34476F99FAC14C39BB1DAA" indent="up1"><enum>(B)</enum><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/30">section 30(e)</external-xref> is amended by adding at the end the following: <quote>For purposes of subsection (c), property to which this paragraph applies shall be treated as of a character subject to an allowance for depreciation.</quote>.</text> </subparagraph></paragraph></subsection>
<subsection id="HCB6261A37FCE43F18EB53CFCA2699A21"><enum>(g)</enum><header>Amendment relating to section <enum-in-header>1302</enum-in-header></header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/48C">section 48C(b)</external-xref> is amended by inserting <quote>as the qualified investment</quote> after <quote>The amount which is treated</quote>.</text> </subsection>
<subsection commented="no" display-inline="no-display-inline" id="H0FBB71381F03407C9D0F035F06C7C4B4"><enum>(h)</enum><header>Amendments related to section <enum-in-header>1541</enum-in-header></header>
<paragraph commented="no" id="H246B3D43696B4FB4AB4EB7326C2B18B8"><enum>(1)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/853A">section 853A(a)</external-xref> is amended by inserting <quote>(determined after the application of this section)</quote> before the comma at the end.</text> </paragraph>
<paragraph commented="no" id="HCFCC73DB6B2640F89F31C273D5597B65"><enum>(2)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/853A">section 853A</external-xref> is amended—</text>
<subparagraph id="H27DC1A570F9F4104B8B5422A1E96F8B5"><enum>(A)</enum><text>by striking <quote>with respect to credits</quote> and inserting <quote>with respect to some or all of the credits</quote>, and</text> </subparagraph>
<subparagraph id="H83AEA969F483443EAB7279F1998A16DE"><enum>(B)</enum><text>by inserting <quote>(determined without regard to this section and sections 54(c), 54A(c)(1), 54AA(c)(1), and 1397E(c))</quote> after <quote>credits allowable</quote>.</text> </subparagraph></paragraph>
<paragraph commented="no" id="H708B21AB13FF48B986D712E0C97B9D37"><enum>(3)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/853A">section 853A</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H5C29AFB62C7A47B1867AE3D948A7A301" style="OLC">
<subsection commented="no" id="H2EFDBFFA997A471398C6F62A766F4B61"><enum>(b)</enum><header>Effect of election</header><text display-inline="yes-display-inline">If the election provided in subsection (a) is in effect with respect to any credits for any taxable year—</text>
<paragraph commented="no" id="H69B7E00C16AE4FC6857CDAAA9433FD68"><enum>(1)</enum><text>the regulated investment company—</text>
<subparagraph commented="no" id="H984C38E55B7D49FA941274CDF34C918E"><enum>(A)</enum><text>shall not be allowed such credits,</text> </subparagraph>
<subparagraph commented="no" id="H69C1ADF538D34563AA52CFD64108904C"><enum>(B)</enum><text>shall include in gross income (as interest) for such taxable year the amount which would have been so included with respect to such credits had the application of this section not been elected,</text> </subparagraph>
<subparagraph id="H9B1653AF10A74E45ADAF1302F7566E74"><enum>(C)</enum><text>shall include in earnings and profits the amount so included in gross income, and</text> </subparagraph>
<subparagraph commented="no" id="H036611E88BE3473991768B164831F65F"><enum>(D)</enum><text display-inline="yes-display-inline">shall be treated as making one or more distributions of money with respect to its stock equal to the amount of such credits on the date or dates (on or after the applicable date for any such credit) during such taxable year (or following the close of the taxable year pursuant to section 855) selected by the company, and</text> </subparagraph></paragraph>
<paragraph commented="no" id="H6552481B9597478BAD7AD33F874C0CF8"><enum>(2)</enum><text>each shareholder of such investment company shall—</text>
<subparagraph commented="no" id="H442ADD534A174B99813DDF9D7E051822"><enum>(A)</enum><text>be treated as receiving such shareholder’s proportionate share of any distribution of money which is treated as made by such investment company under paragraph (1)(D), and</text> </subparagraph>
<subparagraph commented="no" id="H4DF8F4403CF6499D98EFA4CFA8638DD5"><enum>(B)</enum><text>be allowed credits against the tax imposed by this chapter equal to the amount of such distribution, subject to the provisions of this title applicable to the credit involved.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph commented="no" id="H5AB987F5EB044724A88FB532E5580C05"><enum>(4)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/853A">section 853A</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H5198BF365F3941378F38B9B15BBE0EFA" style="OLC">
<subsection commented="no" id="HDFC12A7D46AB49B1BCA27C291CB6DFED"><enum>(c)</enum><header>Notice to shareholders</header><text display-inline="yes-display-inline">The amount treated as a distribution of money received by a shareholder under subsection (b)(2)(A) (and as credits allowed to such shareholder under subsection (b)(2)(B)) shall not exceed the amount so reported by the regulated investment company in a written statement furnished to such shareholder.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph commented="no" id="HA5BC4D008E1C4BF6B329E90315C18606"><enum>(5)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/853A">section 853A(e)(1)(A)</external-xref> is amended by inserting <quote>other than a qualified bond described in section 54AA(g)</quote> after <quote>as defined in section 54AA(d))</quote>.</text> </paragraph></subsection>
<subsection id="H0C7386DA628144799B8948FDD26B54B1"><enum>(i)</enum><header>Amendments relating to section <enum-in-header>2202</enum-in-header></header>
<paragraph id="HE44D35BB170140B286F860013810DA20"><enum>(1)</enum><text>Subparagraph (A) of section 2202(b)(1) of division B of the American Recovery and Reinvestment Act of 2009 is amended by inserting <quote>political subdivision of a State,</quote> after <quote>any State,</quote>.</text> </paragraph>
<paragraph id="H98D218261856424D84F3C996E973C55A"><enum>(2)</enum><text display-inline="yes-display-inline">Section 2202 of division B of the American Recovery and Reinvestment Act of 2009 is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HC2BC72015C6C49B08EDB25CDE730915D" style="OLC">
<subsection id="H29316C1DC6B04DFE8F24317715E7E905"><enum>(e)</enum><header>Treatment of Possessions</header>
<paragraph id="HB7C266FCD4E94908BE343C1B12868EDB"><enum>(1)</enum><header>Payments to mirror code possessions</header><text display-inline="yes-display-inline">The Secretary of the Treasury shall pay to each possession of the United States with a mirror code tax system amounts equal to the loss to that possession by reason of credits allowed under subsection (a) with respect to taxable years beginning in 2009. Such amounts shall be determined by the Secretary of the Treasury based on information provided by the government of the respective possession.</text> </paragraph>
<paragraph id="H7A2568FC96BA4F8594821FC09C3C621E"><enum>(2)</enum><header>Coordination with credit allowed against united states income taxes</header><text>No credit shall be allowed against United States income taxes for any taxable year under this section to any person to whom a credit is allowed against taxes imposed by the possession by reason of the credit allowed under subsection (a) for such taxable year.</text> </paragraph>
<paragraph id="HB9B12F03774B4140B5F1E2C07E0D75B1"><enum>(3)</enum><header>Definitions and special rules</header>
<subparagraph commented="no" id="H8CF15DF59D7346D7857711E091A9B9C0"><enum>(A)</enum><header>Possession of the united states</header><text>For purposes of this subsection, the term <term>possession of the United States</term> includes the Commonwealth of the Northern Mariana Islands.</text> </subparagraph>
<subparagraph id="HD9521D7D9997415AAF34247E47ADD425"><enum>(B)</enum><header>Mirror code tax system</header><text>For purposes of this subsection, the term <term>mirror code tax system</term> means, with respect to any possession of the United States, the income tax system of such possession if the income tax liability of the residents of such possession under such system is determined by reference to the income tax laws of the United States as if such possession were the United States.</text> </subparagraph>
<subparagraph id="H14E98ECEAEE34CE79DE2148EA1D9944B"><enum>(C)</enum><header>Treatment of payments</header><text>For purposes of <external-xref legal-doc="usc" parsable-cite="usc/31/1324">section 1324(b)(2)</external-xref> of title 31, United States Code, the payments under this subsection shall be treated in the same manner as a refund due from the credit allowed under <external-xref legal-doc="usc" parsable-cite="usc/26/36A">section 36A</external-xref> of the Internal Revenue Code of 1986 (as added by this Act).</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection>
<subsection id="HBDBF0937537B43C180C739D0ABBCC315"><enum>(j)</enum><header>Clerical amendments</header>
<paragraph id="H1BF3C2C52BCB45CB9D946FACD7B79E6F"><enum>(1)</enum><header>Amendment relating to section <enum-in-header>1131</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/45Q">section 45Q(d)</external-xref> is amended by striking <quote>Administrator of the Environmental Protection Agency</quote> and all that follows through <quote>shall establish</quote> and inserting <quote>Administrator of the Environmental Protection Agency, the Secretary of Energy, and the Secretary of the Interior, shall establish</quote>.</text> </paragraph>
<paragraph commented="no" id="HFDB897E094F9488C844EF5A19B8D52FF"><enum>(2)</enum><header>Amendment relating to section <enum-in-header>1141</enum-in-header></header><text>Paragraph (37) of <external-xref legal-doc="usc" parsable-cite="usc/26/1016">section 1016(a)</external-xref> is amended by striking <quote>section 30D(e)(4)</quote> and inserting <quote>section 30D(f)(1)</quote>.</text> </paragraph>
<paragraph id="H9BABACFD50A14764AFEC967FE4056A68"><enum>(3)</enum><header>Amendment relating to section <enum-in-header>3001</enum-in-header></header><text display-inline="yes-display-inline">Subparagraph (A) of section 3001(a)(14) of the American Recovery and Reinvestment Act of 2009 is amended by striking <quote>is amended by redesignating paragraph (9) as paragraph (10)</quote> and inserting <quote>, as amended by this Act, is amended by redesignating paragraphs (9) and (10) as paragraphs (10) and (11), respectively,</quote>.</text> </paragraph></subsection>
<subsection id="H96063E27120C4ED19ED2F1EF416F847D"><enum>(k)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the American Recovery and Reinvestment Tax Act of 2009 to which they relate.</text> </subsection></section>
<section id="HCC496DCA34EC4C4B86E7FB3430EB7576"><enum>210.</enum><header>Amendments relating to Energy Improvement and Extension Act of 2008</header>
<subsection id="H5E4D9000920642FBA3B620C07220C5BF"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>108</enum-in-header></header><text>Subparagraph (E) of <external-xref legal-doc="usc" parsable-cite="usc/26/45K">section 45K(g)(2)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H22D4A41766C140CE9FA64A422A1B6B1B" style="OLC">
<subparagraph id="HCE17C89A39FC4FBA81A331A5A7ACE434"><enum>(E)</enum><header>Coordination with section <enum-in-header>45</enum-in-header></header><text display-inline="yes-display-inline">No credit shall be allowed with respect to any coke or coke gas which is produced using steel industry fuel (as defined in section 45(c)(7)) as feedstock if a credit is allowed to any taxpayer under section 45 with respect to the production of such steel industry fuel.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="HFAFA6ED16BBE43FB8559135885E43FD5"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>113</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (1) of section 113(b) of the Energy Improvement and Extension Act of 2008 is amended by adding at the end the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="HBC71FF4D8A23448F8C2BF9CF4902F274" style="OLC">
<subparagraph id="H4FD2B6BF45F64CAAA074DF0DE0D198CB"><enum>(F)</enum><header>Trust Fund</header><text display-inline="yes-display-inline">The term <term>Trust Fund</term> means the Black Lung Disability Trust Fund established under <external-xref legal-doc="usc" parsable-cite="usc/26/9501">section 9501</external-xref> of the Internal Revenue Code of 1986.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection commented="no" id="H4A5082E50EE14C79A7283586C978D95F"><enum>(c)</enum><header>Amendments relating to section <enum-in-header>306</enum-in-header></header>
<paragraph commented="no" display-inline="no-display-inline" id="HDA735430C2CC4E569F245DF8B20BEC10"><enum>(1)</enum><text display-inline="yes-display-inline">Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(i)(18)(A)</external-xref> is amended by striking <quote>10 years</quote> and inserting <quote>16 years</quote>.</text> </paragraph>
<paragraph id="HEECFFA1B02CA410A8F7C5F268D05FBC8"><enum>(2)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(i)(19)(A)</external-xref> is amended by striking <quote>10 years</quote> and inserting <quote>16 years</quote>.</text> </paragraph></subsection>
<subsection id="HE905AD936A5448FE953F419284A9A230"><enum>(d)</enum><header>Amendment relating to section <enum-in-header>308</enum-in-header></header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(m)(2)(B)</external-xref> is amended by striking <quote>section 168(k)</quote> and inserting <quote>subsection (k) (determined without regard to paragraph (4) thereof)</quote>.</text> </subsection>
<subsection commented="no" id="H2C8889DBE4E74352A31AB960176DCA13"><enum>(e)</enum><header>Amendment relating to section <enum-in-header>402</enum-in-header></header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/907">section 907(f)(4)</external-xref> is amended by striking <quote>this subsection shall be applied</quote> and all that follows through the period at the end and inserting the following: <quote>this subsection, as in effect on the day before the date of the enactment of the Energy Improvement and Extension Act of 2008, shall apply to unused oil and gas extraction taxes carried from such unused credit year to a taxable year beginning after December 31, 2008.</quote>.</text> </subsection>
<subsection id="H43B5C0507DD3461C92DFA446868439C8"><enum>(f)</enum><header>Amendments relating to section <enum-in-header>403</enum-in-header></header>
<paragraph id="H43DC98D01D3B400E844C07EFAD0DAF6B"><enum>(1)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/1012">section 1012</external-xref> is amended—</text>
<subparagraph id="H75F4E619394943D4BBA5FFD47425D7D7"><enum>(A)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">funds</header-in-text></quote> in the heading for paragraph (2) and inserting <quote><header-in-text level="paragraph" style="OLC">regulated investment companies</header-in-text></quote>,</text> </subparagraph>
<subparagraph id="H9D0F94731EE840FFB57FD27B5C93AEC6"><enum>(B)</enum><text>by striking <quote><header-in-text level="subparagraph" style="OLC">fund</header-in-text></quote> in the heading for paragraph (2)(B), and</text> </subparagraph>
<subparagraph id="H734E785814734930985CDDA7918EE189"><enum>(C)</enum><text>by striking <quote>fund</quote> each place it appears in paragraph (2) and inserting <quote>regulated investment company</quote>.</text> </subparagraph></paragraph>
<paragraph id="HB3362C97982746F2A0303682D67698C2"><enum>(2)</enum><text display-inline="yes-display-inline">Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/1012">section 1012(d)</external-xref> is amended—</text>
<subparagraph id="H5BF77D81EC3C4A85A2F969D5D7B80033"><enum>(A)</enum><text>by striking <quote>December 31, 2010</quote> and inserting <quote>December 31, 2011</quote>, and</text> </subparagraph>
<subparagraph id="H3CD779F66ED646B2AF1AF0F57371C3BA"><enum>(B)</enum><text>by striking <quote>an open-end fund</quote> and inserting <quote>a regulated investment company</quote>.</text> </subparagraph></paragraph>
<paragraph id="H13B4BE6CFDBC49E49A55887C1766A8E1"><enum>(3)</enum><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/1012">section 1012(d)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H01B87C0E8EC2411A90DDC973DEABF120" style="OLC">
<paragraph id="H8C04A2068EA8445FB9E787F8E5A79EE6"><enum>(3)</enum><header>Separate accounts; election for treatment as single account</header>
<subparagraph id="HA26376B6DD724900A97D08575F46B46F"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">Rules similar to the rules of subsection (c)(2) shall apply for purposes of this subsection.</text> </subparagraph>
<subparagraph id="HA412AF4CC49544BC845E277BC785C49C"><enum>(B)</enum><header>Average basis method</header><text>Notwithstanding paragraph (1), in the case of an election under rules similar to the rules of subsection (c)(2)(B) with respect to stock held in connection with a dividend reinvestment plan, the average basis method is permissible with respect to all such stock without regard to the date of the acquisition of such stock.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph commented="no" id="H2941483FA1E64E3880F0086ECC91AFA2"><enum>(4)</enum><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/6045">section 6045</external-xref> is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H1478AB3BCDCD45D8BA3B5129DAFD0A2D" style="OLC">
<paragraph commented="no" id="H93B69BCF1FF949F1BB2289CD78AB24B6"><enum>(6)</enum><header>Special rule for certain stock held in connection with dividend reinvestment plan</header><text display-inline="yes-display-inline">For purposes of this subsection, stock acquired before January 1, 2012, in connection with a dividend reinvestment plan shall be treated as stock described in clause (ii) of paragraph (3)(C) (unless the broker with respect to such stock elects not to have this paragraph apply with respect to such stock).</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection>
<subsection id="H5D0F77CB550944BCACAA47CB59772C44"><enum>(g)</enum><header>Clerical amendments</header>
<paragraph id="HC1E88656775947C2BB2654D73144C05E"><enum>(1)</enum><header>Amendment relating to section <enum-in-header>108</enum-in-header></header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/45">section 45(b)</external-xref> is amended by striking <quote>$3 amount</quote> and inserting <quote>$2 amount</quote>.</text> </paragraph>
<paragraph id="H5F4B56CDB7D24E1E88C96AA11CF30D3E"><enum>(2)</enum><header>Amendment relating to section <enum-in-header>306</enum-in-header></header>
<subparagraph id="HBBBCEAE6BEAB44FBA7CB180F20B3A8CD"><enum>(A)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(b)</external-xref> is amended by striking <quote>(2)(C)</quote> and inserting <quote>(2)(D)</quote>.</text> </subparagraph>
<subparagraph commented="no" id="H6AD3655DDF2D4B2CA30514A6C7C16D89"><enum>(B)</enum><text>The last sentence of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(4)(C)(i)</external-xref> is amended by striking <quote>(b)(2)(C)</quote> and inserting <quote>(b)(2)(D)</quote>.</text> </subparagraph></paragraph></subsection>
<subsection id="HD53987F78DDB44ACB53831FDE6FC9482"><enum>(h)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the Energy Improvement and Extension Act of 2008 to which they relate.</text> </subsection></section>
<section id="H214506DEF5EC403BAD77594D571ECE61"><enum>211.</enum><header>Amendments relating to Tax Extenders and Alternative Minimum Tax Relief Act of 2008</header>
<subsection id="H45EE62B901DE420CA1DB3DB28603C323"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>208</enum-in-header></header><text display-inline="yes-display-inline">Subsection (b) of section 208 of the Tax Extenders and Alternative Minimum Tax Relief Act of 2008 is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H4EFBC2542EFC419799D07C9D4AAA1859" style="OLC">
<subsection id="HA15C3C82C5AA4C3F89EA6AD3F4DC56C4"><enum>(b)</enum><header>Effective date</header>
<paragraph id="H3C00287ED2714623BD92CBB1F6EA0D5F"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">The amendment made by subsection (a) shall take effect on January 1, 2008. Notwithstanding the preceding sentence, such amendment shall not apply with respect to the withholding requirement under <external-xref legal-doc="usc" parsable-cite="usc/26/1445">section 1445</external-xref> of the Internal Revenue Code of 1986 for any payment made before October 4, 2008.</text> </paragraph>
<paragraph id="H09210D2C4FF8465EBEF5A16918CEC3F5"><enum>(2)</enum><header>Amounts withheld on or before date of enactment</header><text>In the case of a regulated investment company—</text>
<subparagraph id="HAE77AA3919CF4B0790CD9999BD4D900F"><enum>(A)</enum><text>which makes a distribution after December 31, 2007, and before October 4, 2008, and</text> </subparagraph>
<subparagraph id="H6DEC2DAFEC0D405E8CD9759A89C30A98"><enum>(B)</enum><text>which would (but for the second sentence of paragraph (1)) have been required to withhold with respect to such distribution under section 1445 of such Code,</text></subparagraph><continuation-text continuation-text-level="paragraph">such investment company shall not be liable to any person to whom such distribution was made for any amount so withheld and paid over to the Secretary of the Treasury.</continuation-text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="HF03AB1C1EDF7465FA278023E90D1328E"><enum>(b)</enum><header>Amendments relating to section <enum-in-header>305</enum-in-header></header><text>Paragraphs (7)(B) and (8)(D) of section 168(e) are each amended by inserting <quote>which is not qualified leasehold improvement property</quote> after <quote>Property described in this paragraph</quote>.</text> </subsection>
<subsection id="H5A1666BAB59C4EA194183AC52DFBA7B1"><enum>(c)</enum><header>Clerical amendments</header>
<paragraph id="HAFFCCD63C08D4A788F684FB16E269507"><enum>(1)</enum><header>Amendments relating to section <enum-in-header>706</enum-in-header></header>
<subparagraph display-inline="no-display-inline" id="HE25B35BC2F5542C9954895F9558B3CC8"><enum>(A)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/1033">section 1033(h)</external-xref> is amended by inserting <quote>is</quote> before <quote>compulsorily</quote>.</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H856338200AC447E2BCEA6AFE0F3D5BCB"><enum>(B)</enum><text>Subclause (II) of <external-xref legal-doc="usc" parsable-cite="usc/26/172">section 172(b)(1)(F)(ii)</external-xref> is amended by striking <quote>subsection (h)(3)(C)(i)</quote> and inserting <quote>section 165(h)(3)(C)(i)</quote>.</text> </subparagraph>
<subparagraph id="H6DE5DD722312484993DFB3CFF97AC714"><enum>(C)</enum><text>The heading for paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/165">section 165(h)</external-xref> is amended by striking <quote><header-in-text level="paragraph" style="OLC">$100</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="OLC">Dollar</header-in-text></quote>.</text> </subparagraph></paragraph>
<paragraph id="H04E6F2CC72844FB9A69AC555C9A803A0"><enum>(2)</enum><header>Amendment relating to section <enum-in-header>709</enum-in-header></header><text>Subsection (k) of <external-xref legal-doc="usc" parsable-cite="usc/26/143">section 143</external-xref> is amended by redesignating the second paragraph (12) (relating to special rules for residences destroyed in Federally declared disasters) as paragraph (13).</text> </paragraph>
<paragraph id="HBFBFE604DD1145239B8C8BF7B36AFF4C"><enum>(3)</enum><header>Amendment relating to section <enum-in-header>712</enum-in-header></header><text display-inline="yes-display-inline">Section 712 of the Tax Extenders and Alternative Minimum Tax Relief Act of 2008 is amended by striking <quote>section 702(c)(1)(A)</quote> and inserting <quote>section 702(b)(1)(A)</quote>.</text> </paragraph></subsection>
<subsection id="HC793A97EC7BC4B578599CACDA2F21FCB"><enum>(d)</enum><header>Effective date</header><text>The amendments made by this section shall take effect as if included in the provisions of the Tax Extenders and Alternative Minimum Tax Relief Act of 2008 to which they relate.</text> </subsection></section>
<section id="HE6020F192E1E44BAABEA1F314C12B09B"><enum>212.</enum><header>Clerical amendments relating to Housing Assistance Tax Act of 2008</header>
<subsection id="HE586836C08D24FB8B6C976CE6D33CCD6"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>3002</enum-in-header></header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/42">section 42(b)</external-xref> is amended by striking <quote>For purposes of this section, the term</quote> and inserting the following:</text>
<quoted-block display-inline="yes-display-inline" id="HCDAF8208E85647A3A68A9829A63AA855" style="OLC"><text>For purposes of this section—</text>
<subparagraph id="H04965F6A1D4E4A7B85373B473444A451"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">The term</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="HE497D846D6B8470C8B1829931082A5E0"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>3081</enum-in-header></header><text>Clause (iv) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(4)(E)</external-xref> is amended by striking <quote>adjusted minimum tax</quote> and inserting <quote>adjusted net minimum tax</quote>.</text> </subsection>
<subsection id="HFB96424233A541CCBD95913675CD65E7"><enum>(c)</enum><header>Amendment relating to section <enum-in-header>3092</enum-in-header></header><text display-inline="yes-display-inline">Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/121">section 121</external-xref> is amended by redesignating the second paragraph (4) (relating to exclusion of gain allocated to nonqualified use) as paragraph (5).</text> </subsection>
<subsection commented="no" id="H39255860EB154AA98923D0DAA7A7CEED"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the Housing Assistance Tax Act of 2008 to which they relate.</text> </subsection></section>
<section id="HAA7CA7933B994D869248800637C4F386"><enum>213.</enum><header>Amendments and provision relating to Heroes Earnings Assistance and Relief Tax Act of 2008</header>
<subsection id="HDC0BC817ECE545979B613A7CCEDCB662"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>106</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (2) of section 106(c) of the Heroes Earnings Assistance and Relief Tax Act of 2008 is amended by striking <quote>substituting for</quote> and inserting <quote>substituting <quote>June 17, 2008</quote> for</quote>.</text> </subsection>
<subsection id="HBD784F276F73466890039C0DFD32AAD7"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>114</enum-in-header></header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/125">section 125(h)</external-xref> is amended by inserting <quote>(and shall not fail to be treated as an accident or health plan)</quote> before <quote>merely</quote>.</text> </subsection>
<subsection id="HFBFF13D0934948B58B40E5144080CF65"><enum>(c)</enum><header>Clerical amendments</header>
<paragraph id="HCB9E6C4D2C684674B5669A1339CEA146"><enum>(1)</enum><header>Amendment relating to section <enum-in-header>110</enum-in-header></header><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/121">section 121(d)(12)</external-xref> is amended by inserting <quote>of paragraph (9)</quote> after <quote>and (D)</quote>.</text> </paragraph>
<paragraph id="H88EC3122217D4C36BC262DEF091EE910"><enum>(2)</enum><header>Amendment relating to section <enum-in-header>301</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/877">section 877(e)</external-xref> is amended by striking <quote>subparagraph (A) or (B) of</quote>.</text> </paragraph></subsection>
<subsection id="HE7221D2318474ABA8C428C2792FA3DE0"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the Heroes Earnings Assistance and Relief Tax Act of 2008 to which they relate.</text> </subsection></section>
<section id="H375D92C96FBA42AC9B6EF49C4024A9BC"><enum>214.</enum><header>Amendments relating to Economic Stimulus Act of 2008</header>
<subsection id="HFDB551ADBE4B4CFC81E4AE32F8CF7CCC"><enum>(a)</enum><header>Amendments relating to section <enum-in-header>101</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/6213">section 6213(g)</external-xref> is amended—</text>
<paragraph id="H419D3C13896A42158031838751F99A63"><enum>(1)</enum><text>by striking <quote>32, or 6428</quote> in subparagraph (L) and inserting <quote>or 32</quote>, and</text> </paragraph>
<paragraph id="HB05F5ACF61CB4F0A9062B796A5390772"><enum>(2)</enum><text>by striking <quote>and</quote> at the end of subparagraph (O), by striking the period at the end of subparagraph (P) and inserting <quote>, and</quote>, and by inserting after subparagraph (P) the following new subparagraph:</text>
<quoted-block display-inline="no-display-inline" id="HEEB8922BB1C54D76892879EC7EBA6CD2" style="OLC">
<subparagraph id="HFB897CC7BE294CD5AD72DE855C8F4C9D"><enum>(Q)</enum><text display-inline="yes-display-inline">an omission of a correct valid identification number required under section 6428(h) (relating to 2008 recovery rebates for individuals) to be included on a return.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph></subsection>
<subsection id="H7E5288C0AC2F481B803FEF923EF74E11"><enum>(b)</enum><header>Clerical amendment relating to section <enum-in-header>103</enum-in-header></header><text display-inline="yes-display-inline">Subclause (IV) of <external-xref legal-doc="usc" parsable-cite="usc/26/168">section 168(k)(2)(B)(i)</external-xref> is amended by striking <quote>clauses also apply</quote> and inserting <quote>clause also applies</quote>.</text> </subsection>
<subsection id="H391571BABBFB458EBA19E2149988725C"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall take effect as if included in the provisions of the Economic Stimulus Act of 2008 to which they relate.</text> </subsection></section>
<section id="H8BED2B38A28947F3803F350788EC61D1"><enum>215.</enum><header>Amendments relating to Tax Technical Corrections Act of 2007</header>
<subsection id="HA3EB1BE57B244FB19D73C8F8D7DDAEC0"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>4(c)</enum-in-header></header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/911">section 911(f)</external-xref> is amended by adding at the end the following flush sentence:</text>
<quoted-block display-inline="no-display-inline" id="H608E49B472024DAA9E38DD92B29F7831" style="OLC">
<quoted-block-continuation-text quoted-block-continuation-text-level="paragraph">For purposes of this paragraph, the amount excluded under subsection (a) shall be reduced by the aggregate amount of any deductions or exclusions disallowed under subsection (d)(6) with respect to such excluded amount.</quoted-block-continuation-text><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="H64F4F53BD51C4ED6A052611E80ADA54B"><enum>(b)</enum><header>Clerical amendment relating to section <enum-in-header>11(g)</enum-in-header></header><text display-inline="yes-display-inline">Clause (iv) of <external-xref legal-doc="usc" parsable-cite="usc/26/56">section 56(g)(4)(C)</external-xref> is amended by striking <quote>a cooperative described in section 927(a)(4)</quote> and inserting <quote>an organization to which part I of subchapter T (relating to tax treatment of cooperatives) applies which is engaged in the marketing of agricultural or horticultural products</quote>.</text> </subsection>
<subsection id="H2A3312C9827347579A7818C80E5D02A5"><enum>(c)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provisions of the Tax Technical Corrections Act of 2007 to which they relate.</text> </subsection></section>
<section commented="no" id="H8888DED9BA82475EA375676627D03AC1"><enum>216.</enum><header>Amendment relating to Tax Relief and Health Care Act of 2006</header>
<subsection commented="no" id="H5CB1E9C3D619406E938B65E971DA84B8"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>105</enum-in-header></header><text display-inline="yes-display-inline">Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/45A">section 45A(b)(1)</external-xref> is amended by adding at the end the following: <quote>If any portion of wages are taken into account under subsection (e)(1)(A) of section 51, the preceding sentence shall be applied by substituting <quote>2-year period</quote> for <quote>1-year period</quote>.</quote>.</text> </subsection>
<subsection commented="no" id="H2E1BBA5A1A15411DAD643628D6A3493F"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall take effect as if included in the provision of the Tax Relief and Health Care Act of 2006 to which it relates.</text> </subsection></section>
<section id="H482778FBE8A94DD9B8E01B70B0F0575C"><enum>217.</enum><header>Amendment relating to Safe, Accountable, Flexible, Efficient Transportation Equity Act of 2005: A Legacy for Users</header>
<subsection id="HC8A9283ECFF14C53BCEE3CA6A9E93488"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>11161</enum-in-header></header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/9503">section 9503(b)</external-xref> is amended by inserting before the period at the end the following: <quote>and taxes received under section 4081 shall be determined without regard to tax receipts attributable to the rate specified in section 4081(a)(2)(C)</quote>.</text> </subsection>
<subsection id="HCD948E5B726046E0BE4D2774C0EC8061"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by this section shall take effect as if included in the provision of the Safe, Accountable, Flexible, Efficient Transportation Equity Act of 2005: A Legacy for Users to which it relates.</text> </subsection></section>
<section display-inline="no-display-inline" id="H3167626BF0604606B9624FF315CAA91D"><enum>218.</enum><header>Amendments relating to Energy Tax Incentives Act of 2005</header>
<subsection id="HFCA857C91C0945A982D1CD03DC2EAA64"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>1341</enum-in-header></header><text display-inline="yes-display-inline">Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/30B">section 30B(h)(5)</external-xref> is amended by inserting <quote>(determined without regard to subsection (g))</quote> before the period at the end.</text> </subsection>
<subsection id="HADB8115072DC42DEB6DEA48904FFF052"><enum>(b)</enum><header>Amendment relating to section <enum-in-header>1342</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/30C">section 30C(e)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H92C95CF5BE2D4EAD9DF913C2532A9D1A" style="OLC">
<paragraph id="H52468B970BE74907A30C57BB1D8D31BA"><enum>(1)</enum><header>Reduction in basis</header><text display-inline="yes-display-inline">For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed (determined without regard to subsection (d)).</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection id="H1A40EB0A70874E7B96FE631D5C729790"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall take effect as if included in the provision of the Energy Tax Incentives Act of 2005 to which it relates.</text> </subsection></section>
<section commented="no" id="H328D48E72C4A43178FEA6E13B99DD7BE"><enum>219.</enum><header>Amendments relating to American Jobs Creation Act of 2004</header>
<subsection commented="no" id="H25D56A3B44B7496AAC88BBAE5004D3A9"><enum>(a)</enum><header>Amendment relating to section <enum-in-header>101</enum-in-header></header><text>Subsection (d) of section 101 of the American Jobs Creation Act of 2004 is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HC930A1E61E9C4A1AB7066FC29A29FE17" style="OLC">
<paragraph commented="no" id="H2735E2A7117E443EA40FB2E506703B9D"><enum>(3)</enum><header>Coordination with section <enum-in-header>199</enum-in-header></header><text display-inline="yes-display-inline">This subsection shall be applied without regard to any deduction allowable under section 199.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subsection>
<subsection commented="no" id="HFA22990C50A248DC91CDA51FD9D9B4D2"><enum>(b)</enum><header>Amendments relating to section <enum-in-header>102</enum-in-header></header><text display-inline="yes-display-inline">Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/199">section 199(b)</external-xref> is amended—</text>
<paragraph commented="no" id="H851E6295707246C682FA94602249FA2C"><enum>(1)</enum><text>by inserting <quote>of a short taxable year or</quote> after <quote>in cases</quote>, and</text> </paragraph>
<paragraph commented="no" id="H477372B424BE4FC2AFB274C2E4E8E643"><enum>(2)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">and dispositions</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="OLC">, dispositions, and short taxable years</header-in-text></quote>.</text> </paragraph></subsection>
<subsection id="H374AB7CEA32B4B3099710C720506E2A2"><enum>(c)</enum><header>Clerical amendment relating to section <enum-in-header>413</enum-in-header></header><text>Paragraph (7) of <external-xref legal-doc="usc" parsable-cite="usc/26/904">section 904(h)</external-xref> is amended by striking <quote>as ordinary income under section 1246 or</quote>.</text> </subsection>
<subsection commented="no" id="HAF1288E8AA9B42EC9BDD907206153B69"><enum>(d)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall take effect as if included in the provision of the American Jobs Creation Act of 2004 to which they relate.</text> </subsection></section>
<section id="H1B5967FF9C7840A0A8B772EFA80D6BE7"><enum>220.</enum><header>Other clerical corrections</header>
<subsection id="H7E7CCDF715C6468E993FE2FA76C69046"><enum>(a)</enum><text>Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/26/30B">section 30B(h)</external-xref> is amended by striking <quote>vehicle)., except that</quote> and inserting <quote>vehicle), except that</quote>.</text> </subsection>
<subsection id="H60BB9959660F4529A93A32F247B4B6EE"><enum>(b)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/38">section 38(c)(2)</external-xref> is amended by striking <quote>credit credit</quote> and inserting <quote>credit</quote>.</text> </subsection>
<subsection id="HDA7BDD537778416AB3A1D79468695D58"><enum>(c)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/46">Section 46</external-xref> is amended by adding a comma at the end of paragraph (4).</text> </subsection>
<subsection id="HAE50D62F851049F0A86C21296E7E3FF2"><enum>(d)</enum><text>Subparagraph (E) of <external-xref legal-doc="usc" parsable-cite="usc/26/50">section 50(a)(2)</external-xref> is amended by inserting <quote>, 48A(b)(3), 48B(b)(3), 48C(b)(2), or 48D(b)(4)</quote> after <quote>in section 48(b)</quote>.</text> </subsection>
<subsection id="HC5FB299361164D7F8222F07985B69976"><enum>(e)</enum><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/54A">section 54A(d)(2)(A)</external-xref> is amended by striking <quote>100 percent or more</quote> and inserting <quote>100 percent</quote>.</text> </subsection>
<subsection commented="no" id="H6C14FB7DE7B041C18DF3DE38EB1C0B27"><enum>(f)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/125">section 125(b)</external-xref> is amended by striking <quote>statutory nontaxable benefits</quote> each place it appears and inserting <quote>qualified benefits</quote>.</text> </subsection>
<subsection id="H7C3E719646E34856B3A05B2A24497080"><enum>(g)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/125">section 125(h)</external-xref> is amended by striking <quote>means, any</quote> and inserting <quote>means any</quote>.</text> </subsection>
<subsection id="H3F1D500BA88942458679AA008E4CBD1B"><enum>(h)</enum><text>Subparagraph (F) of <external-xref legal-doc="usc" parsable-cite="usc/26/163">section 163(h)(4)</external-xref> is amended by striking <quote>Veterans Administration or the Rural Housing Administration</quote> and inserting <quote>Department of Veterans Affairs or the Rural Housing Service</quote>.</text> </subsection>
<subsection id="H34BC6945BDE14DFA8201106C4E1E03A5"><enum>(i)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/249">section 249</external-xref> is amended by striking <quote>1563(a)(1)</quote> and inserting <quote>1563(a)(1))</quote>.</text> </subsection>
<subsection id="HE6B81A2CC8BA47909B95D0C5DBE9A609"><enum>(j)</enum><text>Paragraphs (8) and (10) of section 280F(d) are each amended by striking <quote>subsection (a)(2)</quote> and inserting <quote>subsection (a)(1)</quote>.</text> </subsection>
<subsection id="H95BBEE96AFC644DF9C75D317F3E8963A"><enum>(k)</enum><text>Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/402A">section 402A(c)(4)(E)</external-xref> is amended by striking <quote>403(b)(7)(A)(i)</quote> and inserting <quote>403(b)(7)(A)(ii)</quote>.</text> </subsection>
<subsection id="HD241799B868B494FAE28C4B39D57FB91"><enum>(l)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/527">Section 527</external-xref> is amended—</text>
<paragraph id="H2E827F29565947AD997580F0C826B744"><enum>(1)</enum><text>by striking <quote>(<external-xref legal-doc="usc" parsable-cite="usc/2/432">2 U.S.C. 432(e)</external-xref>)</quote> in subsection (h)(2)(A)(i) and inserting <quote>(<external-xref legal-doc="usc" parsable-cite="usc/52/30102">52 U.S.C. 30102(e)</external-xref>)</quote>, and</text> </paragraph>
<paragraph id="H71A482BE3FF74CB29A90EF2863134DAC"><enum>(2)</enum><text>by striking <quote>(<external-xref legal-doc="usc" parsable-cite="usc/2/431">2 U.S.C. 431 et seq.</external-xref>)</quote> in subsections (i)(6) and (j)(5)(A) and inserting <quote>(<external-xref legal-doc="usc" parsable-cite="usc/52/30101">52 U.S.C. 30101 et seq.</external-xref>)</quote>.</text> </paragraph></subsection>
<subsection id="H9650908723E54764AD350C8009A9ADBE"><enum>(m)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/858">section 858</external-xref> is amended by striking <quote>857(b)(8)</quote> and inserting <quote>857(b)(9)</quote>.</text> </subsection>
<subsection id="H95666DDCD2EE4462930444FB57BCAB82"><enum>(n)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/1012">section 1012(c)(2)</external-xref> is amended by striking <quote>section 1012</quote> and inserting <quote>this section</quote>.</text> </subsection>
<subsection id="H1CFEFF6F8C7948A6807F7993BFC84234"><enum>(o)</enum><text>The heading for <external-xref legal-doc="usc" parsable-cite="usc/26/1394">section 1394(f)</external-xref> is amended by striking <quote><header-in-text level="subsection" style="OLC">designated under section <enum-in-header>1391(g)</enum-in-header></header-in-text></quote>.</text> </subsection>
<subsection id="H254714E66CE84CAEA8669443B84EF324"><enum>(p)</enum><text>Paragraphs (1) and (2)(A) of section 1394(f) are each amended by striking <quote>a new empowerment zone facility bond</quote> and inserting <quote>an empowerment zone facility bond</quote>.</text> </subsection>
<subsection id="HC8CF6CCCE9C2427084EDEEE8568B866B"><enum>(q)</enum><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/1400N">section 1400N(c)(3)(A)</external-xref> is amended by striking <quote>section 42(d)(5)(C)(iii)</quote> and inserting <quote>section 42(d)(5)(B)(iii)</quote>.</text> </subsection>
<subsection id="H05ECA4B1502846A9B5CF0A37CCC77CFA"><enum>(r)</enum><text>Subsections (e)(3)(B) and (f)(7)(B) of section 4943 are each amended by striking <quote>January 1, 1970</quote> and inserting <quote>January 1, 1971</quote>.</text> </subsection>
<subsection id="H87CC0983C7924F5DA515C1E49DFE87ED"><enum>(s)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/4982">section 4982(f)</external-xref> is amended by adding a comma at the end.</text> </subsection>
<subsection id="HB270CFB923DA48D68081A81E712F5DA4"><enum>(t)</enum><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/6011">section 6011(e)</external-xref> is amended by striking <quote>shall require than</quote> and inserting <quote>shall require that</quote>.</text> </subsection>
<subsection id="H39F105C43F364B49B460C52188FBB727"><enum>(u)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/6072">section 6072</external-xref> is amended by striking <quote>6011(e)(2)</quote> and inserting <quote>6011(c)(2)</quote>.</text> </subsection>
<subsection id="H8118AA18A522483BA4492C963697075B"><enum>(v)</enum><text>Subsection (d) of <external-xref legal-doc="usc" parsable-cite="usc/26/6104">section 6104</external-xref> is amended by redesignating the second paragraph (6) (relating to disclosure of reports by the Internal Revenue Service) and third paragraph (6) (relating to application to nonexempt charitable trusts and nonexempt private foundations) as paragraphs (7) and (8), respectively.</text> </subsection>
<subsection id="H5677CC817DA44331ADF12887E476EA60"><enum>(w)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/6662A">section 6662A</external-xref> is amended by striking <quote>section 6664(d)(2)(A)</quote> and inserting <quote>section 6664(d)(3)(A)</quote>.</text> </subsection>
<subsection id="HC344290B9F024A4E8E323C12C24E3925"><enum>(x)</enum><text>Subparagraph (FF) of <external-xref legal-doc="usc" parsable-cite="usc/26/6724">section 6724(d)(2)</external-xref> is amended by striking <quote>section 6050W(c)</quote> and inserting <quote>section 6050W(f)</quote>.</text> </subsection>
<subsection id="H40A20986772A4C5A8BE92C2F4342B96D"><enum>(y)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/7122">Section 7122</external-xref> is amended by redesignating the second subsection (f) (relating to frivolous submissions, etc.) as subsection (g).</text> </subsection>
<subsection id="H6EA9D8BB7EBB48978E215D7C169AA9E7"><enum>(z)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/9035">section 9035</external-xref> is amended by striking <quote>section 320(b)(1)(A)</quote> and inserting <quote>section 315(b)(1)(A)</quote>.</text> </subsection>
<subsection commented="no" id="HA916803DC16B4F3C85B46B1BE5F58225"><enum>(aa)</enum><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/9802">Section 9802</external-xref> is amended by redesignating the second subsection (f) (relating to genetic information of a fetus or embryo) as subsection (g).</text> </subsection>
<subsection id="HD3FA6C0A8F6E4B468CE76050FF612243"><enum>(bb)</enum><text>Paragraph (3) of section 13(e) of the Worker, Homeownership, and Business Assistance Act of 2009 is amended by striking <quote>subsection (d)</quote> and inserting <quote>subsection (c)</quote>.</text> </subsection></section>
<section id="H71D7F9EA5D93441DBEC9DB4B580A0CFF" section-type="subsequent-section"><enum>221.</enum><header>Deadwood provisions</header>
<subsection id="HD1197C97CCFE420DAACE7386BC917E17"><enum>(a)</enum><header>In general</header>
<paragraph id="H31F34680A6ED4E4C92E5C58521DBADFD"><enum>(1)</enum><header>Adjustments in tax tables so that inflation will not result in tax increases</header><text>Paragraph (7) of <external-xref legal-doc="usc" parsable-cite="usc/26/1">section 1(f)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H0C9811B955DD49A58A90CB6BD6B689A9" style="OLC">
<paragraph id="H29623A62D5684AEA9BC30AFBD12D4ACA"><enum>(7)</enum><header>Special rule for certain brackets</header><text>In prescribing tables under paragraph (1) which apply to taxable years beginning in a calendar year after 1994, the cost-of-living adjustment used in making adjustments to the dollar amounts at which the 36 percent rate bracket begins or at which the 39.6 percent rate bracket begins shall be determined under paragraph (3) by substituting <quote>1993</quote> for <quote>1992</quote>.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H561493208A4B4544BEF4FC054638F6D1"><enum>(2)</enum><header>Certain plug-in electric vehicles</header>
<subparagraph id="H5D8C73DC97774A4BB2AD9CA66E634BFC"><enum>(A)</enum><text>Subpart B of part IV of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking section 30 (and by striking the item relating to such section in the table of sections for such subpart).</text> </subparagraph>
<subparagraph id="H0E2173A352214E2B9C7332C120807523"><enum>(B)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/38">section 38</external-xref>, as amended by section 209(f)(1) of this Act, is amended by inserting <quote>plus</quote> at the end of paragraph (35), by striking paragraph (36), and by redesignating paragraph (37) as paragraph (36).</text> </subparagraph>
<subparagraph id="H6F4E93D802844B78B82A5CF8BCA7A986"><enum>(C)</enum><text>Subclause (VI) of <external-xref legal-doc="usc" parsable-cite="usc/26/48C">section 48C(c)(1)(A)(i)</external-xref> is amended by striking <quote>, qualified plug-in electric vehicles (as defined by section 30(d)),</quote>.</text> </subparagraph>
<subparagraph id="H0E1DFAA5EECF4E16BA81727743D65592"><enum>(D)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1016">Section 1016(a)</external-xref> is amended by striking paragraph (25).</text> </subparagraph>
<subparagraph id="HD53B30DB97124CE0A3795E59A9908480"><enum>(E)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6501">Section 6501(m)</external-xref> is amended by striking <quote>section 30(e)(6),</quote>.</text> </subparagraph></paragraph>
<paragraph id="H15945411B0CA4DDCAB0D096A2D388C35"><enum>(3)</enum><header>Earned income credit</header>
<subparagraph id="HA09CF22E68FB4F13A5E79A5EA7FE9F4F"><enum>(A)</enum><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/32">section 32(b)</external-xref> is amended—</text>
<clause id="H572B59BAB4BA42C0AE708C4D273124AB"><enum>(i)</enum><text>by striking subparagraphs (B) and (C), and</text> </clause>
<clause id="H065808AB71BA4BAC93B8A48215A8D9AB"><enum>(ii)</enum><text>by striking <quote>(A) <header-in-text level="subsection" style="OLC">In general</header-in-text>.—In the case of taxable years beginning after 1995:</quote> in subparagraph (A) and moving the table 2 ems to the left.</text> </clause></subparagraph>
<subparagraph id="H4ADFF5778BC34980A0B35388706291AF"><enum>(B)</enum><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/32">section 32(b)(2)</external-xref> is amended by striking <quote>increased by</quote> and all that follows and inserting <quote>increased by $3,000.</quote>.</text> </subparagraph></paragraph>
<paragraph id="H5B91AC0E8E7E4D858CDFB9FA3CEFCAE8"><enum>(4)</enum><header>First-time homebuyer credit</header><text>Section 6213(g)(2), as amended by section 214(a)(2) of this Act, is amended by striking subparagraph (P).</text> </paragraph>
<paragraph id="HF409921A72F341D0A06ABCF631B8B1B6"><enum>(5)</enum><header>Making work pay credit</header>
<subparagraph id="HF93CE75664B24FAEACA446F8E9AB79C6"><enum>(A)</enum><text>Subpart C of part IV of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking section 36A (and by striking the item relating to such section in the table of sections for such subpart).</text> </subparagraph>
<subparagraph id="HA36912A3677041DDB3E14D2D507C93D4"><enum>(B)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/6211">section 6211(b)(4)</external-xref> is amended by striking <quote>, 36A</quote>.</text> </subparagraph>
<subparagraph id="H49FC401EAE3E493D8ECDEAF350A41F40"><enum>(C)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6213">Section 6213(g)(2)</external-xref> is amended by striking subparagraph (N).</text> </subparagraph></paragraph>
<paragraph id="H36EA1F812B5740D19E680C7D85EE6308"><enum>(6)</enum><header>General business credits</header><text>Subsection (d) of <external-xref legal-doc="usc" parsable-cite="usc/26/38">section 38</external-xref> is amended by striking paragraph (3).</text> </paragraph>
<paragraph id="HDF901C428A3F4834978D6CCB3EDD0EC9"><enum>(7)</enum><header>Low-income housing credit</header><text>Subclause (I) of <external-xref legal-doc="usc" parsable-cite="usc/26/42">section 42(h)(3)(C)(ii)</external-xref> is amended by striking <quote>($1.50 for 2001)</quote>.</text> </paragraph>
<paragraph id="HC7FC40187F314F5D99608DAB6F1755D8"><enum>(8)</enum><header>Minimum tax credit</header>
<subparagraph id="HD91453027D69448B990CE3B25ABC97CC"><enum>(A)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H3ED6DE4092F34566B1DC4DBF4A6017AB"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/53">Section 53</external-xref> is amended by striking subsections (e) and (f).</text> </clause>
<clause id="H53738E54A64D4FD0AFFFD2EC580CCF90" indent="up1"><enum>(ii)</enum><text>The amendment made by clause (i) striking subsection (f) of <external-xref legal-doc="usc" parsable-cite="usc/26/53">section 53</external-xref> of the Internal Revenue Code of 1986 shall not be construed to allow any tax abated by reason of section 53(f)(1) of such Code (as in effect before such amendment) to be included in the amount determined under section 53(b)(1) of such Code.</text> </clause></subparagraph>
<subparagraph id="H73570B802E614840880F626E81854C7F"><enum>(B)</enum><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/6211">section 6211(b)(4)</external-xref> is amended by striking <quote>, 53(e)</quote>.</text> </subparagraph></paragraph>
<paragraph id="H0FFBB28C07CF48BF9862709D636F3572"><enum>(9)</enum><header>Adjustments based on adjusted current earnings</header><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/56">section 56(g)(4)(F)</external-xref> is amended by striking <quote>In the case of any taxable year beginning after December 31, 1992, clause</quote> and inserting <quote>Clause</quote>.</text> </paragraph>
<paragraph id="H35FEFAC633334941B66CA4085BA05BA1"><enum>(10)</enum><header>Items of tax preference; depletion</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/57">section 57(a)</external-xref> is amended by striking <quote>Effective with respect to taxable years beginning after December 31, 1992, this</quote> and inserting <quote>This</quote>.</text> </paragraph>
<paragraph id="H1D6780CD8DC4417B858DEA5EC3368E5C"><enum>(11)</enum><header>Intangible drilling costs</header>
<subparagraph id="HB37DC74D52DF4E4D85E6E314740AABCE"><enum>(A)</enum><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/57">section 57(a)(2)(E)</external-xref> is amended by striking <quote>In the case of any taxable year beginning after December 31, 1992, this</quote> and inserting <quote>This</quote>.</text> </subparagraph>
<subparagraph id="H972BBFB3B0614875B0EAB3CB3117D2B9"><enum>(B)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/57">section 57(a)(2)(E)</external-xref> is amended by striking <quote>(30 percent in case of taxable years beginning in 1993)</quote>.</text> </subparagraph></paragraph>
<paragraph id="H9BF226C44B6A4442A8CF870EF8F196C1"><enum>(12)</enum><header>Environmental tax</header>
<subparagraph id="H043538DC447C4922A4F5C963727F469F"><enum>(A)</enum><text>Subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking part VII (and by striking the item relating to such part in the table of parts for such subchapter).</text> </subparagraph>
<subparagraph id="HFF1C590B5F3344B6BDBC1BC83E8F1F96"><enum>(B)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/26">section 26(b)</external-xref> is amended by striking subparagraph (B).</text> </subparagraph>
<subparagraph id="H56A632BFA03644E8AB6EBBCDEFF43CF5"><enum>(C)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/30A">Section 30A(c)</external-xref> is amended by striking paragraph (1) and by redesignating paragraphs (2), (3), and (4) as paragraphs (1), (2), and (3), respectively.</text> </subparagraph>
<subparagraph id="HD03A99D833064225992309AC0EBFAD01"><enum>(D)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/164">section 164</external-xref> is amended by striking paragraph (5).</text> </subparagraph>
<subparagraph id="H290DB1B4A19844D8AC39BCA6396376D4"><enum>(E)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/275">Section 275(a)</external-xref> is amended by striking the last sentence.</text> </subparagraph>
<subparagraph id="HD18729A53C804210A63E0014BD8A1125"><enum>(F)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/882">Section 882(a)(1)</external-xref> is amended by striking <quote>, 59A</quote>.</text> </subparagraph>
<subparagraph id="H7C667A7651474E6B9D2482D3AA474383"><enum>(G)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/936">Section 936(a)(3)</external-xref> is amended by striking subparagraph (A) and by redesignating subparagraphs (B), (C), and (D) as subparagraphs (A), (B), and (C), respectively.</text> </subparagraph>
<subparagraph id="H910A5785760544808BB2415F6DAF4341"><enum>(H)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1561">Section 1561(a)</external-xref> is amended—</text>
<clause id="H8F1EF95476914109858AF9BE69AC31B9"><enum>(i)</enum><text>by inserting <quote>and</quote> at the end of paragraph (2), by striking <quote>, and</quote> at the end of paragraph (3) and inserting a period, and by striking paragraph (4), and</text> </clause>
<clause id="H9D5B2892944D4E4E94F3F7D511A68CF4"><enum>(ii)</enum><text>by striking <quote>, the amount specified in paragraph (3), and the amount specified in paragraph (4)</quote> and inserting <quote>and the amount specified in paragraph (3)</quote>.</text> </clause></subparagraph>
<subparagraph id="H119DD91F466340F6B4115E8A75478D02"><enum>(I)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4611">Section 4611(e)</external-xref> is amended—</text>
<clause id="HF855541D1C414DCA898E724C2FA9F010"><enum>(i)</enum><text>by striking <quote>section 59A, this section,</quote> in paragraph (2)(B) and inserting <quote>this section</quote>, and</text> </clause>
<clause id="H8E11992201144D84A2C107DEA7B98679"><enum>(ii)</enum><text>in paragraph (3)(A)—</text>
<subclause id="H9C5E4E2C95F54465B5D5DF993CC24251"><enum>(I)</enum><text>by striking <quote>section 59A, </quote>, and</text> </subclause>
<subclause id="HEE2A05410C714CAE826B2DBFCBDF94F2"><enum>(II)</enum><text>by striking the comma after <quote>rate)</quote>.</text> </subclause></clause></subparagraph>
<subparagraph id="HCB720F53AF6D47749742635CC05A0BD4"><enum>(J)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6425">Section 6425(c)(1)(A)</external-xref> is amended by inserting <quote>plus</quote> at end of clause (i), by striking <quote>plus</quote> and inserting <quote>over</quote> at the end of clause (ii), and by striking clause (iii).</text> </subparagraph>
<subparagraph id="HB9D9428FC1EC4AA48F6C71D51D7784E5"><enum>(K)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6655">Section 6655</external-xref> is amended—</text>
<clause id="HFAF3FD0E9F724932BEEC150B89F9F402"><enum>(i)</enum><text>in subsections (e)(2)(A)(i) and (e)(2)(B)(i), by striking <quote>taxable income, alternative minimum taxable income, and modified alternative minimum taxable income</quote> and inserting <quote>taxable income and alternative minimum taxable income</quote>,</text> </clause>
<clause id="HD4A9D30D47894C3E87E635156D1D9D1A"><enum>(ii)</enum><text>in subsection (e)(2)(B), by striking clause (iii), and</text> </clause>
<clause id="H2E3183A85FD44E21BC1AABD9F977AA15"><enum>(iii)</enum><text>in subsection (g)(1)(A), by inserting <quote>plus</quote> at the end of clause (ii), by striking clause (iii), and by redesignating clause (iv) as clause (iii).</text> </clause></subparagraph>
<subparagraph id="H3545467F86D34A1BBF19AE1F2428AB59"><enum>(L)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/9507">Section 9507(b)(1)</external-xref> is amended by striking <quote>59A,</quote>.</text> </subparagraph></paragraph>
<paragraph id="H77A9CF7D85914C44AA9124B4C421E925"><enum>(13)</enum><header>Standard deduction</header>
<subparagraph id="HDDE5C33DEDAF4D6C9BBF66E7A490FC03"><enum>(A)</enum><text>So much of paragraph (1) of section 63(c) as follows <quote>the sum of—</quote> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HB0C6DD03BB144A2E9FD7585D1A27807C" style="OLC">
<subparagraph id="H5CAFE341C21F4C7890ABB4B8B58BA5D9"><enum>(A)</enum><text>the basic standard deduction, and</text> </subparagraph>
<subparagraph id="H69048A99ED094CCD9B5AFCFE4ADB0995"><enum>(B)</enum><text>the additional standard deduction.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H62AD251D492A432096CDF7349FD35E36"><enum>(B)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/63">section 63</external-xref> is amended by striking paragraphs (7), (8), and (9).</text> </subparagraph></paragraph>
<paragraph id="HCBAD94F7BE614BE4A1743ACA0B5BE310"><enum>(14)</enum><header>Annuities; certain proceeds of endowment and life insurance contracts</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/72">Section 72</external-xref> is amended—</text>
<subparagraph id="HD1694E88445247C88ABA2ECC41A8F2F6"><enum>(A)</enum><text>in subsection (c)(4), by striking <quote>; except that if such date was before January 1, 1954, then the annuity starting date is January 1, 1954</quote>, and</text> </subparagraph>
<subparagraph id="H7DEFA0C100144BEBB3CC1156B47D552D"><enum>(B)</enum><text>in subsection (g)(3), by striking <quote>January 1, 1954, or</quote> and <quote>, whichever is later</quote>.</text> </subparagraph></paragraph>
<paragraph id="H8BD5F0B2D0714D638D1C7611637F2A8E"><enum>(15)</enum><header>Unemployment compensation</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/85">Section 85</external-xref> is amended by striking subsection (c).</text> </paragraph>
<paragraph id="HCBFA0348EE20466189C2B4259062DB81"><enum>(16)</enum><header>Accident and health plans</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/105">Section 105(f)</external-xref> is amended by striking <quote>or (d)</quote>.</text> </paragraph>
<paragraph id="HD421B3BD55914BACB7C673C502E8AE06"><enum>(17)</enum><header>Flexible spending arrangements</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/106">Section 106(c)(1)</external-xref> is amended by striking <quote>Effective on and after January 1, 1997, gross</quote> and inserting <quote>Gross</quote>.</text> </paragraph>
<paragraph id="H31548C5D95B84F7A83FF46B13A4E948C"><enum>(18)</enum><header>Certain combat zone compensation of members of the armed forces</header><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/112">section 112</external-xref> is amended—</text>
<subparagraph id="H0A6E578AE98E4B988AA3171FA85EC33F"><enum>(A)</enum><text>by striking <quote>(after June 24, 1950)</quote> in paragraph (2), and</text> </subparagraph>
<subparagraph id="H3AE197C9F5B14A2297AACE3B9D53A11D"><enum>(B)</enum><text>by striking <quote>such zone;</quote> and all that follows in paragraph (3) and inserting <quote>such zone.</quote>.</text> </subparagraph></paragraph>
<paragraph id="HD9709570E1AB4EC988F2BC3F31F96B74"><enum>(19)</enum><header>Legal service plans</header>
<subparagraph id="HC408C9E378774ABC93D33FB9B61C4A6D"><enum>(A)</enum><text>Part III of subchapter B of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking section 120 (and by striking the item relating to such section in the table of sections for such subpart).</text> </subparagraph>
<subparagraph id="HC94FE6C697F845E19D2AFBA38BEDD28A"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HAB5B21AF63354F32925F4DBE1156CDE2"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/414">Section 414(n)(3)(C)</external-xref> is amended by striking <quote>120,</quote>.</text> </clause>
<clause id="HBC2D0027A7B1485A8E7E48A2F82AF7C0" indent="up1"><enum>(ii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/414">Section 414(t)(2)</external-xref> is amended by striking <quote>120,</quote>.</text> </clause>
<clause id="H889A8EC9373A43EFACF46BCC70E93427" indent="up1"><enum>(iii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/501">Section 501(c)</external-xref> is amended by striking paragraph (20).</text> </clause>
<clause id="H5500FE6B5B2F4BD1A4060657E3E85FDC" indent="up1"><enum>(iv)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3121">Section 3121(a)</external-xref> is amended by striking paragraph (17).</text> </clause>
<clause id="H4B96074257D04D27AAA7C18DCAF653E4" indent="up1"><enum>(v)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3231">Section 3231(e)</external-xref> is amended by striking paragraph (7).</text> </clause>
<clause id="HAA7788D43E134B6593054B99A123EA21" indent="up1"><enum>(vi)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3306">Section 3306(b)</external-xref> is amended by striking paragraph (12).</text> </clause>
<clause id="HBD75E80A66374678B626FA8BCB4C7CB1" indent="up1"><enum>(vii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6039D">Section 6039D(d)(1)</external-xref> is amended by striking <quote>120,</quote>.</text> </clause>
<clause id="H74AAC20E0A3C41BE9F706CDDFABE37E7" indent="up1"><enum>(viii)</enum><text>Section 209(a)(14) of the Social Security Act is amended—</text>
<subclause id="H9C0A5EF49E7647D9995E31E86B5223B5"><enum>(I)</enum><text>by striking subparagraph (B), and</text> </subclause>
<subclause id="H7BD8CADFD15F4FA38E0367BC5B015889"><enum>(II)</enum><text>by striking <quote>(14)(A)</quote> and inserting <quote>(14)</quote>.</text> </subclause></clause></subparagraph></paragraph>
<paragraph id="H0B5EF28E19B04A819FF5B8D7FF37CFBA"><enum>(20)</enum><header>Principal residence</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/121">Section 121(b)(3)</external-xref> is amended—</text>
<subparagraph id="H91937804CEA547D1B06B1892759256EA"><enum>(A)</enum><text>by striking subparagraph (B), and</text> </subparagraph>
<subparagraph id="H729EF82F81874ADA8F5E821E753E3489"><enum>(B)</enum><text>in subparagraph (A), by striking <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—</quote> and moving the text 2 ems to the left.</text> </subparagraph></paragraph>
<paragraph id="HB64D146901BB4366AC5A12FC13BB9E5F"><enum>(21)</enum><header>Certain reduced uniformed services retirement pay</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/122">Section 122(b)(1)</external-xref> is amended by striking <quote>after December 31, 1965,</quote>.</text> </paragraph>
<paragraph id="H354084BE5FCF423AB75E68198C1A33B9"><enum>(22)</enum><header>Great plains conservation program</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/126">Section 126(a)</external-xref> is amended by striking paragraph (6) and by redesignating paragraphs (7), (8), (9), and (10) as paragraphs (6), (7), (8), and (9), respectively.</text> </paragraph>
<paragraph id="HDB5B09D5913F4E85A84AA0AFD8640112"><enum>(23)</enum><header>Treble damage payments under the antitrust law</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/162">Section 162(g)</external-xref> is amended by striking the last sentence.</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H4E156403A078497D82FB5AE96CD6F665"><enum>(24)</enum><header display-inline="yes-display-inline">State legislators’ travel expenses away from home</header><text display-inline="yes-display-inline">Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/162">section 162(h)</external-xref> is amended by striking <quote>For taxable years beginning after December 31, 1980, this</quote> and inserting <quote>This</quote>.</text> </paragraph>
<paragraph id="H24C731C7064C4FF0A758AB45DC615FC8"><enum>(25)</enum><header>Interest</header>
<subparagraph id="H26A7F68D49D94B8C8D0C8F36A787AC23"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/163">Section 163</external-xref> is amended—</text>
<clause id="H255210897FDD46A3AC4BF1689305FA3C"><enum>(i)</enum><text>by striking paragraph (6) of subsection (d), and</text> </clause>
<clause id="HD2D1DC19A1BC460FBCDA83E3D4FBBBEF"><enum>(ii)</enum><text>by striking paragraph (5) of subsection (h).</text> </clause></subparagraph>
<subparagraph id="HE6C28E0E2901494EA5183C3CC8BD6FC0"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/56">Section 56(b)(1)(C)</external-xref> is amended by striking clause (ii) and by redesignating clauses (iii), (iv), and (v) as clauses (ii), (iii), and (iv), respectively.</text> </subparagraph></paragraph>
<paragraph id="HBFC8F0A213A64D1CA2FC94122CACAB78"><enum>(26)</enum><header>Qualified motor vehicle taxes</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/164">Section 164</external-xref>, as amended by section 209(c) of this Act, is amended by striking subsections (a)(6) and (b)(6).</text> </paragraph>
<paragraph id="H59DD14648BB247B7B08C2C9EA8E9D0DB"><enum>(27)</enum><header>Disaster losses</header>
<subparagraph id="H24E3D38F5B944508B895CA1641B5436F"><enum>(A)</enum><text>Subsection (h) of <external-xref legal-doc="usc" parsable-cite="usc/26/165">section 165</external-xref> is amended by striking paragraph (3) and by redesignating paragraphs (4) and (5) as paragraphs (3) and (4), respectively.</text> </subparagraph>
<subparagraph id="H439D86821EA0456A9AE460C0D0F6339A"><enum>(B)</enum><text>Paragraph (3) of section 165(h), as so redesignated, is amended by striking <quote>paragraphs (2) and (3)</quote> and inserting <quote>paragraph (2)</quote>.</text> </subparagraph>
<subparagraph id="H8D9E0F7593E04F1EBFB65763209A4203"><enum>(C)</enum><text>Subsection (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/165">section 165</external-xref> is amended—</text>
<clause id="HE11A80FF2AB94E76A96A46728CDE5DC3"><enum>(i)</enum><text>in paragraph (1)—</text>
<subclause id="HE86AAD234BCE4B85AB3F6B5D552A1328"><enum>(I)</enum><text>by striking <quote>(as defined by clause (ii) of subsection (h)(3)(C))</quote>, and</text> </subclause>
<subclause id="HA7F8DF5873004BE6B3DDD5405E3C2427"><enum>(II)</enum><text>by striking <quote>(as defined by clause (i) of such subsection)</quote>,</text> </subclause></clause>
<clause id="H9C49078853884CE8A13E5CEBA07AF512"><enum>(ii)</enum><text>by striking <quote>(as defined by subsection (h)(3)(C)(i)</quote> in paragraph (4), and</text> </clause>
<clause id="H2D78040A6EFD4C388977AFA904EA33FA"><enum>(iii)</enum><text>by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HAF83981DE543432B801054C3F5054B70" style="OLC">
<paragraph id="H95883B4774AB4821AFEA2E2A6EE86AA9"><enum>(5)</enum><header>Federally declared disasters</header><text>For purposes of this subsection—</text>
<subparagraph id="HEF1A0D3F93B5486E91ABB025784A6216"><enum>(A)</enum><header>In general</header><text>The term <term>Federally declared disaster</term> means any disaster subsequently determined by the President of the United States to warrant assistance by the Federal Government under the Robert T. Stafford Disaster Relief and Emergency Assistance Act.</text> </subparagraph>
<subparagraph id="H7611E9A193324279AB7DE68B4433987E"><enum>(B)</enum><header>Disaster area</header><text>The term <term>disaster area</term> means the area so determined to warrant such assistance.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </clause></subparagraph>
<subparagraph id="H6FFB8B24A11D4957B479410B7FDB6276"><enum>(D)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1033">Section 1033(h)(3)</external-xref> is amended by striking <quote>section 165(h)(3)(C)</quote> and inserting <quote>section 165(i)(5)</quote>.</text> </subparagraph></paragraph>
<paragraph id="H28E0E6C9B68B414EB47129066754C9A0"><enum>(28)</enum><header>Charitable, etc., contributions and gifts</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/170">Section 170</external-xref> is amended—</text>
<subparagraph id="HABBB600F317540BCB495F128084E732B"><enum>(A)</enum><text>by striking paragraph (3) of subsection (b),</text> </subparagraph>
<subparagraph id="H5C774330FF764AEAAF806852812B7E7D"><enum>(B)</enum><text>by striking paragraph (6) of subsection (e), and</text> </subparagraph>
<subparagraph id="H9D82A8160D754312AE8FA77E0C539A79"><enum>(C)</enum><text>by striking subsection (k).</text> </subparagraph></paragraph>
<paragraph id="H665A03148DB146F5873A0135DBEFEF32"><enum>(29)</enum><header>Amortizable bond premium</header>
<subparagraph id="HC39AB709BD2C4FD2831189794FF330B8"><enum>(A)</enum><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/171">section 171(b)(1)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H74193CAD2CC1425EA5985DCE401E45C2" style="OLC">
<subparagraph id="H70C75E73ED5A43BEB6197DC9763519F1"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HBD72411ACB7A4E51B1A61311CAE635FB"><enum>(i)</enum><text>with reference to the amount payable on maturity (or if it results in a smaller amortizable bond premium attributable to the period before the call date, with reference to the amount payable on the earlier call date), in the case of a bond described in subsection (a)(1), and</text> </clause>
<clause id="H33967553010E4FF6928FFF4D754C5873" indent="up1"><enum>(ii)</enum><text>with reference to the amount payable on maturity or on an earlier call date, in the case of a bond described in subsection (a)(2).</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="HF4AC4F7430B34C938251BDCF7526EE75"><enum>(B)</enum><text>Paragraphs (2) and (3)(B) of section 171(b) are each amended by striking <quote>paragraph (1)(B)(ii)</quote> and inserting <quote>paragraph (1)(B)(i)</quote>.</text> </subparagraph></paragraph>
<paragraph id="HF19342656F3447B6811A88F6393153C0"><enum>(30)</enum><header>Net operating loss carrybacks, carryovers, and carryforwards</header>
<subparagraph id="H796A3563BB5D4E46B47E5B8BA41A3037"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/172">Section 172</external-xref>, as amended by section 211(c)(1)(B) of this Act, is amended—</text>
<clause id="HA3238BA9EDE2446EA3F10D90845A3DA6"><enum>(i)</enum><text>by striking subparagraphs (D), (H), (I), and (J) of subsection (b)(1) and by redesignating subparagraphs (E), (F), and (G) as subparagraphs (D), (E), and (F), respectively, and</text> </clause>
<clause id="H350817E34B8E406281911EE801379481"><enum>(ii)</enum><text>by striking subsections (g) and (j) and by redesignating subsections (h), (i), and (k) as subsections (g), (h), and (i), respectively.</text> </clause></subparagraph>
<subparagraph id="H57A7E03F80E846F0BDD4DBF2C62A3B74"><enum>(B)</enum><text>Each of the following provisions of section 172 (as amended by section 211(c)(1)(B) of this Act and as redesignated by subparagraph (A)) are amended as follows:</text>
<clause commented="no" display-inline="no-display-inline" id="H37B338100CE94CB48F0B3C13E9C588CC"><enum>(i)</enum><text display-inline="yes-display-inline">By striking <quote>ending after August 2, 1989</quote> in subsection (b)(1)(D)(i)(II).</text> </clause>
<clause commented="no" display-inline="no-display-inline" id="H9D636F83978849268295D39F316EDCCF"><enum>(ii)</enum><text display-inline="yes-display-inline">By striking <quote>subsection (h)</quote> in subsection (b)(1)(D)(ii) and inserting <quote>subsection (g)</quote>.</text> </clause>
<clause id="H170474235A7E4D7B91CA6791BF8AB6FF"><enum>(iii)</enum><text>By striking <quote>section 165(h)(3)(C)(i)</quote> in subsection (b)(1)(E)(ii)(II) and inserting <quote>section 165(i)(5)</quote>.</text> </clause>
<clause commented="no" display-inline="no-display-inline" id="H2360856531DE45C7A664B433867F980B"><enum>(iv)</enum><text>By striking <quote>subsection (i)</quote> and all that follows in the last sentence of subsection (b)(1)(E)(ii) and inserting <quote>subsection (h)).</quote>.</text> </clause>
<clause commented="no" display-inline="no-display-inline" id="HC3FBB2B2237D4E238C9B96009DCF6BBC"><enum>(v)</enum><text>By striking <quote>subsection (i)</quote> in subsection (b)(1)(F) and inserting <quote>subsection (h)</quote>.</text> </clause>
<clause id="HA04D67DF75864147B9DF880461FEF116"><enum>(vi)</enum><text>By striking subparagraph (F) of paragraph (2) of subsection (g).</text> </clause>
<clause id="H454F6D81D0E647048569D0523CFA6820"><enum>(vii)</enum><text>By striking <quote>subsection (b)(1)(E)</quote> each place it appears in subsection (g)(4) and inserting <quote>subsection (b)(1)(D)</quote>.</text> </clause>
<clause id="HE4FD2FC49B4246AB9093B01D5E4781CE"><enum>(viii)</enum><text>By striking the last sentence of subsection (h)(1).</text> </clause>
<clause commented="no" display-inline="no-display-inline" id="H630974F2DAC942389B0B9E815EDC9F2A"><enum>(ix)</enum><text>By striking <quote>subsection (b)(1)(G)</quote> each place it appears in subsection (h)(3) and inserting <quote>subsection (b)(1)(F)</quote>.</text> </clause></subparagraph>
<subparagraph id="H19811BD16A354AF4BBBFF4B9509D23F0"><enum>(C)</enum><text>Subsection (d) of <external-xref legal-doc="usc" parsable-cite="usc/26/56">section 56</external-xref> is amended by striking paragraph (3).</text> </subparagraph>
<subparagraph id="H0F7B8C67408C43588E4741E50CCB8C18"><enum>(D)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/382">section 382(l)</external-xref> is amended by striking subparagraph (F) and by redesignating subparagraphs (G) and (H) as subparagraphs (F) and (G), respectively.</text> </subparagraph></paragraph>
<paragraph id="H61F5002B134749189AF72DECDC61FFE4"><enum>(31)</enum><header>Research and experimental expenditures</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/174">section 174(a)(2)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H5B72059F7CBC4C1B842C07CD75194E25" style="OLC">
<subparagraph id="H2182A6FE410D4315B53A3FF18C8CA747"><enum>(A)</enum><header>Without consent</header><text>A taxpayer may, without the consent of the Secretary, adopt the method provided in this subsection for his first taxable year for which expenditures described in paragraph (1) are paid or incurred.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H02A360EF453642CC855D2106AB7E3B77"><enum>(32)</enum><header>Amortization of certain research and experimental expenditures</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/174">section 174(b)</external-xref> is amended by striking <quote>beginning after December 31, 1953</quote>.</text> </paragraph>
<paragraph id="H2462CB78BEC544DFB53B5F483EB8C113"><enum>(33)</enum><header>Soil and water conservation expenditures</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/175">section 175(d)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H8BDF58BFBEB64A1FB6B02894F340BECF" style="OLC">
<paragraph id="H198510A0F06949DE8D8DFDB9979A88C8"><enum>(1)</enum><header>Without consent</header><text>A taxpayer may, without the consent of the Secretary, adopt the method provided in this section for the taxpayer’s first taxable year for which expenditures described in subsection (a) are paid or incurred.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H05AEE05587EC40F0ABE7B9586404AC0F"><enum>(34)</enum><header>Clean-fuel vehicles</header>
<subparagraph id="H53CA924874EC46F4A89AE88294BD1A30"><enum>(A)</enum><text>Part VI of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking section 179A (and by striking the item relating to such section in the table of sections for such part).</text> </subparagraph>
<subparagraph id="HC03CF50421B147799D81D3DA15BAFDDC"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/30C">Section 30C(e)</external-xref> is amended by adding at the end the following:</text>
<quoted-block display-inline="no-display-inline" id="H6EEFD73BF9EB49F6BA22F00ACF64E85C" style="OLC">
<paragraph id="HBA987A483BBF406CB553C10FA01D6A2A"><enum>(7)</enum><header>Reference</header><text>For purposes of this section, any reference to section 179A shall be treated as a reference to such section as in effect immediately before its repeal.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H91B88B3DC647448F99942847E3415184"><enum>(C)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/62">Section 62(a)</external-xref> is amended by striking paragraph (14).</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H00DCDD0A107A442DB6DC26AE637E5AF4"><enum>(D)</enum><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/263">Section 263(a)(1)</external-xref> is amended by striking subparagraph (H).</text> </subparagraph>
<subparagraph id="HC81CAD5C5C8845A1932206DD1711A348"><enum>(E)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/280F">Section 280F(a)(1)</external-xref> is amended by striking subparagraph (C).</text> </subparagraph>
<subparagraph id="HE2AE376F00F34793BC53CD0CE2B90B65"><enum>(F)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/312">Section 312(k)(3)</external-xref> is amended by striking <quote>179A,</quote> each place it appears.</text> </subparagraph>
<subparagraph id="HEDACCB01250B49D3B4E265C6E260FF9D"><enum>(G)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1016">Section 1016(a)</external-xref> is amended by striking paragraph (24).</text> </subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H8ED181D92D254CF4B248FA036943E8B7"><enum>(H)</enum><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/1245">Section 1245(a)</external-xref> is amended by striking <quote>179A,</quote> each place it appears in paragraphs (2)(C) and (3)(C).</text> </subparagraph></paragraph>
<paragraph id="H16B4284C9CC741B2AF9EB71D9D0537FF"><enum>(35)</enum><header>Qualified disaster expenses</header><text>Part VI of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking section 198A (and by striking the item relating to such section in the table of sections for such part).</text> </paragraph>
<paragraph id="HECF1F71702B04522B19A55090115B440"><enum>(36)</enum><header>Activities not engaged in for profit</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/183">Section 183(e)(1)</external-xref> is amended by striking the last sentence.</text> </paragraph>
<paragraph id="H93E2F22DDAFE4740A88706739D8A0A81"><enum>(37)</enum><header>Domestic production activities</header>
<subparagraph id="H07FE69275E4C46A4BAE5FD9E8D116C6C"><enum>(A)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/199">section 199</external-xref> is amended—</text>
<clause id="H7C17D85D6E224C118B174525FA04A4CA"><enum>(i)</enum><text>by striking paragraph (2),</text> </clause>
<clause id="H533F957F35D74FE29166CDF486BA7574"><enum>(ii)</enum><text>by redesignating subparagraphs (A) and (B) of paragraph (1) as paragraphs (1) and (2), respectively, and by moving paragraphs (1) and (2) (as so redesignated) 2 ems to the left, and</text> </clause>
<clause id="HADB5383DE6514375AA6F8C50D8FCACAE"><enum>(iii)</enum><text>by striking <quote><header-in-text level="subsection" style="OLC">Allowance of deduction.</header-in-text>—</quote> and all that follows through <quote>There shall be allowed</quote> and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H92B7EF572BF749878B7836ACA0E73D90" style="OLC">
<subsection id="HE1249509E7384B3D8A3CD8C6973751CB"><enum>(a)</enum><header>Allowance of deduction</header><text display-inline="yes-display-inline">There shall be allowed</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </clause></subparagraph>
<subparagraph id="HD0D04B6D135F4C0F8FE4B0C5D52DFB34"><enum>(B)</enum><text>Paragraphs (2) and (6)(B) of section 199(d) are each amended by striking <quote>(a)(1)(B)</quote> and inserting <quote>(a)(2)</quote>.</text> </subparagraph></paragraph>
<paragraph id="H9C5F1678211D43F89D8225A8D86E4304"><enum>(38)</enum><header>Retirement savings</header>
<subparagraph id="H5D8A5928D4B144189901C8F2F0335330"><enum>(A)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/219">section 219(b)(5)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H0C4DC975562342DDA6BD37122CACD8BB" style="OLC">
<subparagraph id="HDFF9833F33A24977AC60E038439273AE"><enum>(A)</enum><header>In general</header><text>The deductible amount is $5,000.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H138E57C2BE73403098FA17E4E4E774B7"><enum>(B)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/219">section 219(b)(5)(B)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H3F227855C13C43F2BAA4D51478AFD843" style="OLC">
<clause id="H3B2E7066D25847DEAA48D1ADCF836C0C"><enum>(ii)</enum><header>Applicable amount</header><text>For purposes of clause (i), the applicable amount is $1,000.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H3CFF3F4812904CF0B8D93C0DBF3ED8C6"><enum>(C)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/219">section 219(b)</external-xref> is amended by striking subparagraph (C) and by redesignating subparagraph (D) as subparagraph (C).</text> </subparagraph>
<subparagraph id="H3F1AD5D875C8454AB5B110E5E2D9D19C"><enum>(D)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/219">section 219(g)(2)(A)</external-xref> is amended by striking <quote>for a taxable year beginning after December 31, 2006</quote>.</text> </subparagraph>
<subparagraph id="H2755CF3FF7184F859A278FC3CA3D0C29"><enum>(E)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/219">Section 219(g)(3)(B)</external-xref> is amended by striking clauses (i) and (ii) and inserting the following:</text>
<quoted-block display-inline="no-display-inline" id="H6415C9493B474F099928D80525BB868B" style="OLC">
<clause id="H267EAB68470D44988EF40EC57B734334"><enum>(i)</enum><text>In the case of a taxpayer filing a joint return, $80,000.</text> </clause>
<clause id="H37F868160DDB4634BA07E7B9C62A7244"><enum>(ii)</enum><text>In the case of any other taxpayer (other than a married individual filing a separate return), $50,000.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H6AA43A5C10C340D787D1AFC1D33AC9FF"><enum>(F)</enum><text>Paragraph (8) of <external-xref legal-doc="usc" parsable-cite="usc/26/219">section 219(g)</external-xref> is amended by striking <quote>the dollar amount in the last row of the table contained in paragraph (3)(B)(i), the dollar amount in the last row of the table contained in paragraph (3)(B)(ii), and the dollar amount contained in paragraph (7)(A),</quote> and inserting <quote>each of the dollar amounts in paragraphs (3)(B)(i), (3)(B)(ii), and (7)(A)</quote>.</text> </subparagraph></paragraph>
<paragraph id="HDB6A7145F3F64F57828CB8AFD4FAEDF6"><enum>(39)</enum><header>Reports regarding qualified voluntary retirement contributions</header>
<subparagraph id="H4921D185D4314A3DA02E3ED108C37409"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/219">Section 219</external-xref> is amended by striking paragraph (4) of subsection (f) and subsection (h).</text> </subparagraph>
<subparagraph id="HDBA37BFE5E61408E844C1C39F159DD0D"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6652">Section 6652</external-xref> is amended by striking subsection (g).</text> </subparagraph></paragraph>
<paragraph id="H985A1C4237264746B31C4A022EDC46A9"><enum>(40)</enum><header>Interest on education loans</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/221">section 221(b)</external-xref> is amended by striking <quote>shall not exceed</quote> and all that follows and inserting <quote>shall not exceed $2,500.</quote>.</text> </paragraph>
<paragraph id="HA90C5735FF7A45A4820FF6EB24ACA816"><enum>(41)</enum><header>Dividends received on certain preferred stock; and dividends paid on certain preferred stock of public utilities</header>
<subparagraph id="H814F84F2C5124D509B39157ED62B8068"><enum>(A)</enum><text>Sections 244 and 247 are hereby repealed, and the table of sections for part VIII of subchapter B of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking the items relating to sections 244 and 247.</text> </subparagraph>
<subparagraph id="H73D85D79C7BD486E80CAF247CC1F7FD0"><enum>(B)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/172">section 172(d)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H0F05001CCDD94327AA8AE27338439B72" style="OLC">
<paragraph id="H5D7ECA9AF08E48D795280FAAA0A9ECD9"><enum>(5)</enum><header>Computation of deduction for dividends received</header><text>The deductions allowed by section 243 (relating to dividends received by corporations) and 245 (relating to dividends received from certain foreign corporations) shall be computed without regard to section 246(b) (relating to limitation on aggregate amount of deductions).</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H160060255AAF442BACB2FB9B1FCB82B0"><enum>(C)</enum><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/243">section 243(c)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H98A714F1C2714975A02B0EE75126DBBB" style="OLC">
<paragraph id="HADC5FCF63BB047438FE969447530A895"><enum>(1)</enum><header>In general</header><text>In the case of any dividend received from a 20-percent owned corporation, subsection (a)(1) shall be applied by substituting <quote>80 percent</quote> for <quote>70 percent</quote>.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H96DF1B5F51424004B479778B2FB55A08"><enum>(D)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/243">Section 243(d)</external-xref> is amended by striking paragraph (4).</text> </subparagraph>
<subparagraph id="HD9D0ACECB0064721BF29065EB1850B3F"><enum>(E)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/246">Section 246</external-xref> is amended—</text>
<clause id="HF88A3F46111C448DB82BAE12A3F3F752"><enum>(i)</enum><text>by striking <quote>, 244,</quote> in subsection (a)(1),</text> </clause>
<clause id="HCF3B698F6BE54769B7F3C5015BC8349D"><enum>(ii)</enum><text>in subsection (b)(1)—</text>
<subclause id="H47EDF2B2B1984B9EA07D8FBE10038A5D"><enum>(I)</enum><text>by striking <quote>sections 243(a)(1), 244(a),</quote> and inserting <quote>section 243(a)(1)</quote>,</text> </subclause>
<subclause id="HA6CDC45EEFEC4407A1624686B2E49358"><enum>(II)</enum><text>by striking <quote>244(a),</quote> the second place it appears, and</text> </subclause>
<subclause id="HF28A9C8E6DD44997A6EBE310DDFBC6D2"><enum>(III)</enum><text>by striking <quote>subsection (a) or (b) of section 245, and 247,</quote> and inserting <quote>and subsection (a) or (b) of section 245,</quote>, and</text> </subclause></clause>
<clause id="HD6FA7DB4AB764C5B9B4162854A52DE76"><enum>(iii)</enum><text>by striking <quote>, 244,</quote> in subsection (c)(1).</text> </clause></subparagraph>
<subparagraph id="H2A1437B6030641CBB4AC587D15350C56"><enum>(F)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/246A">Section 246A</external-xref> is amended by striking <quote>, 244,</quote> both places it appears in subsections (a) and (e).</text> </subparagraph>
<subparagraph id="HF3E8493EBC5C45F9B55D71CAD25D7A6B"><enum>(G)</enum><text>Sections 263(g)(2)(B)(iii), 277(a), 301(e)(2), 469(e)(4), 512(a)(3)(A), subparagraphs (A), (C), and (D) of section 805(a)(4), 805(b)(5), 812(e)(2)(A), 815(c)(2)(A)(iii), 832(b)(5), 833(b)(3)(E), and 1059(b)(2)(B) are each amended by striking <quote>, 244,</quote> each place it appears.</text> </subparagraph>
<subparagraph id="H5B129AA5D25F48609346DCF8961988BB"><enum>(H)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1244">Section 1244(c)(2)(C)</external-xref> is amended by striking <quote>244,</quote>.</text> </subparagraph>
<subparagraph id="H2BD3A67AED884642877C96054AC38459"><enum>(I)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/805">Section 805(a)(4)(B)</external-xref> is amended by striking <quote>, 244(a),</quote> each place it appears.</text> </subparagraph>
<subparagraph id="HE8FF4C44695C4A6C97FCF47AF5DE9E04"><enum>(J)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/810">Section 810(c)(2)(B)</external-xref> is amended by striking <quote>244 (relating to dividends on certain preferred stock of public utilities),</quote>.</text> </subparagraph>
<subparagraph id="HFC1BC00108364BA79BA6C1823A7449F8"><enum>(K)</enum><text>The amendments made by this paragraph shall not apply to preferred stock issued before October 1, 1942 (determined in the same manner as under <external-xref legal-doc="usc" parsable-cite="usc/26/247">section 247</external-xref> of the Internal Revenue Code of 1986 as in effect before its repeal by such amendments).</text> </subparagraph></paragraph>
<paragraph id="HF8086A2C13AC4D6AB0B0BFC7FEB77BB0"><enum>(42)</enum><header>Organization expenses</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/248">Section 248(c)</external-xref> is amended by striking <quote>beginning after December 31, 1953,</quote> and by striking the last sentence.</text> </paragraph>
<paragraph id="H387ECA4F4706444F91D7779F7CF63D15"><enum>(43)</enum><header>Bond repurchase premium</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/249">Section 249(b)(1)</external-xref> is amended by striking <quote>, in the case of bonds or other evidences of indebtedness issued after February 28, 1913,</quote>.</text> </paragraph>
<paragraph id="H2166CC1D55294A5CAF84FEC98CB58F82"><enum>(44)</enum><header>Amount of gain where loss previously disallowed</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/267">Section 267(d)</external-xref> is amended by striking <quote>(or by reason of section 24(b) of the Internal Revenue Code of 1939)</quote> in paragraph (1), by striking <quote>after December 31, 1953,</quote> in paragraph (2), by striking the second sentence, and by striking <quote>or by reason of section 118 of the Internal Revenue Code of 1939</quote> in the last sentence.</text> </paragraph>
<paragraph id="HE4F2967CA6A949C29668BEA965F2FDFF"><enum>(45)</enum><header>Acquisitions made to evade or avoid income tax</header><text>Paragraphs (1) and (2) of section 269(a) are each amended by striking <quote>or acquired on or after October 8, 1940,</quote>.</text> </paragraph>
<paragraph id="H13C896F74B654FCBBAA172E908E841B5"><enum>(46)</enum><header>Meals and entertainment</header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/274">section 274(n)</external-xref> is amended—</text>
<subparagraph id="HE7F9C56647D14C5D8469558208F834EC"><enum>(A)</enum><text>by striking <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—</quote>,</text> </subparagraph>
<subparagraph id="H64C5FA2564DC4291AEEF463FA66DC1AE"><enum>(B)</enum><text>by striking <quote>substituting <quote>the applicable percentage</quote> for</quote> and inserting <quote>substituting <quote>80 percent</quote> for</quote>, and</text> </subparagraph>
<subparagraph id="HB41A3CEC3AD54A57B8FAF586B13C1BBE"><enum>(C)</enum><text>by striking subparagraph (B).</text> </subparagraph></paragraph>
<paragraph id="H2A2701F801F04B9992EE7208DA69C7BF"><enum>(47)</enum><header>Interest on indebtedness incurred by corporations to acquire stock or assets of another corporation</header>
<subparagraph id="H586A796CBC194CAAAB8F9466EEA0F429"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/279">Section 279</external-xref> is amended—</text>
<clause id="H7F28CAB80420462E8774C98A46FBE760"><enum>(i)</enum><text>by striking <quote>after December 31, 1967,</quote> in subsection (a)(2),</text> </clause>
<clause id="HDE32A6D1108A46C7A85AAF72072A010D"><enum>(ii)</enum><text>by striking <quote>after October 9, 1969,</quote> in subsection (b),</text> </clause>
<clause id="H9F9D76B446A94B14B80B53AC87FB98D9"><enum>(iii)</enum><text>by striking <quote>after October 9, 1969, and</quote> in subsection (d)(5), and</text> </clause>
<clause id="HBB11632F932E432B939FA8BEC66FD6EF"><enum>(iv)</enum><text>by striking subsection (i) and redesignating subsection (j) as subsection (i).</text> </clause></subparagraph>
<subparagraph id="HAAB4B4403B004BE8A7195A663FBE12B3"><enum>(B)</enum><text>The amendments made by this paragraph shall not—</text>
<clause id="H94041E5E07B14AA695CFADBCE61F71D1"><enum>(i)</enum><text>apply to obligations issued on or before October 9, 1969 (determined in the same manner as under <external-xref legal-doc="usc" parsable-cite="usc/26/279">section 279</external-xref> of the Internal Revenue Code of 1986 as in effect before such amendments), and</text> </clause>
<clause id="H37563AD74D1B440ABD0D328A175A23B0"><enum>(ii)</enum><text>be construed to require interest on obligations issued on or before December 31, 1967, to be taken into account under section 279(a)(2) of such Code (as in effect after such amendments).</text> </clause></subparagraph></paragraph>
<paragraph id="H9F890A6A550C4122885185E658588873"><enum>(48)</enum><header>Bank holding companies</header>
<subparagraph id="HC5F5506F80E44252B170DFECB2B759E2"><enum>(A)</enum><text>Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/304">section 304(b)(3)(D)</external-xref> is repealed.</text> </subparagraph>
<subparagraph id="H8CB016245D1B403E9A4A902DBC5D2979"><enum>(B)</enum><text>The heading of subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/304">section 304(b)(3)</external-xref> is amended by striking <quote><header-in-text level="subparagraph" style="OLC">and special rule</header-in-text></quote>.</text> </subparagraph></paragraph>
<paragraph id="H52C4CF1B160B43B98CBDF9ADAD07A413"><enum>(49)</enum><header>Effect on earnings and profits</header><text>Subsection (d) of <external-xref legal-doc="usc" parsable-cite="usc/26/312">section 312</external-xref> is amended by striking paragraph (2) and redesignating paragraph (3) as paragraph (2).</text> </paragraph>
<paragraph id="H1CCEB9DB87944AFC8D903B9D56082787"><enum>(50)</enum><header>Disqualified stock</header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/355">section 355(d)</external-xref> is amended by striking <quote>after October 9, 1990, and</quote> each place it appears.</text> </paragraph>
<paragraph id="H4192B59BDA004DB793CD96A5D8B7A406"><enum>(51)</enum><header>Basis to corporations</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/362">Section 362</external-xref> is amended by striking <quote>on or after June 22, 1954</quote> in subsection (a) and by striking <quote>, on or after June 22, 1954,</quote> each place it appears in subsection (c).</text> </paragraph>
<paragraph id="HC1EE04E7346A4E268F2C3AF89575D43D"><enum>(52)</enum><header>Temporary waiver of minimum required distribution</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/401">Section 401(a)(9)</external-xref> is amended by striking subparagraph (H).</text> </paragraph>
<paragraph id="H269001AFD23840828B14C8AA9AFF5B82"><enum>(53)</enum><header>Individual retirement accounts</header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/408">section 408(p)(2)(E)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H7AA589BB9E384AF2AE3FC0884B2161ED" style="OLC">
<clause id="HA6B275D0101A475990E2DD6E5CE17B6F"><enum>(i)</enum><header>In general</header><text>For purposes of subparagraph (A)(ii), the applicable amount is $10,000.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H714C8E497A4447F7A8EF18D59E29D843"><enum>(54)</enum><header>Tax credit employee stock ownership plans</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/409">Section 409</external-xref> is amended by striking subsection (q).</text> </paragraph>
<paragraph id="HC66808161C7D41BBA1AA0453C08547EB"><enum>(55)</enum><header>Catch-up contributions</header><text>Clauses (i) and (ii) of section 414(v)(2)(B) are amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H1465671FCEA24616853F28AE0C378713" style="OLC">
<clause id="H0B7377F388FF41BF856D36154B51DB31"><enum>(i)</enum><text display-inline="yes-display-inline">In the case of an applicable employer plan other than a plan described in section 401(k)(11) or 408(p), the applicable dollar amount is $5,000.</text> </clause>
<clause id="HF25D89D0B8AA4DD7B7D8B14D136D8DBA"><enum>(ii)</enum><text>In the case of an applicable employer plan described in section 401(k)(11) or 408(p), the applicable dollar amount is $2,500.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H15C51B216FF84933AF46AFB86D50198C"><enum>(56)</enum><header>Employee stock purchase plans</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/423">Section 423(a)</external-xref> is amended by striking <quote>after December 31, 1963,</quote>.</text> </paragraph>
<paragraph id="H9162518EF4784F9BB960B15BFE98DEFB"><enum>(57)</enum><header>Pension related transition rules</header>
<subparagraph id="H42605D096D774193A75BA299241AAF53"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/402">Section 402(g)(1)(B)</external-xref> is amended by striking <quote>shall be</quote> and all that follows and inserting <quote>is $15,000.</quote>.</text> </subparagraph>
<subparagraph id="HF8D1CA796324476EA231DDFACE77BF6C"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HAB771576D5E343FDBE006B5ECEA80103"><enum>(i)</enum><text>Subparagraph (D) of <external-xref legal-doc="usc" parsable-cite="usc/26/417">section 417(e)(3)</external-xref> is amended—</text>
<subclause id="H21AA3E716AB54F5D9C97F33B8BB11629" indent="up1"><enum>(I)</enum><text>by striking clauses (ii) and (iii),</text> </subclause>
<subclause id="H3959645A70594FF98C0888ECA553CC86" indent="up1"><enum>(II)</enum><text>by striking <quote>if—</quote> and all that follows through <quote>section 430(h)(2)(D)</quote> and inserting <quote>if section 430(h)(2)(D)</quote>, and</text> </subclause>
<subclause id="H92A76E4AEDA04C039827B1211795C370" indent="up1"><enum>(III)</enum><text>by striking <quote>described in such section,</quote> and inserting <quote>described in such section.</quote>.</text> </subclause></clause>
<clause id="H32013CE03E6C438497ED4340481999FD" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">Clause (iii) of section 205(g)(3)(B) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1055">29 U.S.C. 1055(g)(3)(B)</external-xref>) is amended—</text>
<subclause id="H18E22D65560C4F519110B7BADA98DC49"><enum>(I)</enum><text>by striking subclauses (II) and (III),</text> </subclause>
<subclause id="H93E1D7C3FD34499CB2AA5D4F2551F407"><enum>(II)</enum><text>by striking <quote>if—</quote> and all that follows through <quote>section 303(h)(2)(D)</quote> and inserting <quote>if section 303(h)(2)(D)</quote>, and</text> </subclause>
<subclause id="H19E8703BB6ED4725A7B767DC811275D5"><enum>(III)</enum><text>by striking <quote>described in such section,</quote> and inserting <quote>described in such section.</quote>.</text> </subclause></clause></subparagraph>
<subparagraph id="HE6429C84D2BF4D879F092181C4C75961"><enum>(C)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H493520BAE297421FA2327A8CBB2122DE"><enum>(i)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/430">section 430(c)</external-xref> is amended by striking subparagraph (B) and by striking <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—</quote>.</text> </clause>
<clause id="H8316DA01C0094684B87E94814B61C5CE" indent="up1"><enum>(ii)</enum><text>Paragraph (5) of section 303(c) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1083">29 U.S.C. 1083(c)</external-xref>) is amended by striking subparagraph (B) and by striking <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—</quote>.</text> </clause></subparagraph>
<subparagraph id="H2551B7D0FE5D46BFBC9F99A3365F0DB7"><enum>(D)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HCBC21798D96941EE9392E78E47D7674D"><enum>(i)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/430">section 430(h)</external-xref> is amended by striking subparagraph (G).</text> </clause>
<clause id="HCC07CCF5627642469BCD59D67BD3FDE4" indent="up1"><enum>(ii)</enum><text>Paragraph (2) of section 303(h) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1083">29 U.S.C. 1083(h)</external-xref>) is amended by striking subparagraph (G).</text> </clause></subparagraph>
<subparagraph id="H05D7281BC1B9425DA93D64E03754C3DD"><enum>(E)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H8BEE62B2495F468CA0BDC4EB3EDE95F4"><enum>(i)</enum><text>Paragraph (3) of section 436(j), as added by section 113(a)(1)(B) of the Pension Protection Act of 2006, is amended by striking subparagraphs (B) and (C) and by striking <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—</quote>.</text> </clause>
<clause id="HA79F3D9C184A496F84AA83B98B4F2581" indent="up1"><enum>(ii)</enum><text>Subparagraph (C) of section 206(g)(9) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1056">29 U.S.C. 1056(g)(9)</external-xref>) is amended by striking clauses (ii) and (iii) and by striking <quote>(i) <header-in-text level="clause" style="OLC">In general</header-in-text>.—</quote>.</text> </clause></subparagraph>
<subparagraph id="H5B162E2230C64BE3A93ECE2523FEC7B9"><enum>(F)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H9AE8F0888494458E87841B2229DD0ACE"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/436">Section 436(j)</external-xref> is amended by striking the paragraph (3) added by section 203(a)(2) of the Preservation of Access to Care for Medicare Beneficiaries and Pension Relief Act of 2010.</text> </clause>
<clause id="H15FEB92566BA4D7398EE68ECEB911523" indent="up1"><enum>(ii)</enum><text display-inline="yes-display-inline">Section 206(g)(9) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1056">29 U.S.C. 1056(g)(9)</external-xref>) is amended by striking subparagraph (D).</text> </clause></subparagraph>
<subparagraph id="HFAC0AACAC3CF4681B77659F5C9C700C6"><enum>(G)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HDBD5C3EA18B8456C925B6C24155A459F"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/436">Section 436</external-xref> is amended by striking subsection (m).</text> </clause>
<clause id="H4B734BD4EF12491C94C3EEF5F90FCDCE" indent="up1"><enum>(ii)</enum><text>Section 206(g) of the Employee Retirement Income Security Act of 1974 (<external-xref legal-doc="usc" parsable-cite="usc/29/1056">29 U.S.C. 1056(g)</external-xref>) is amended by striking paragraph (11).</text> </clause></subparagraph>
<subparagraph id="HEA6CEB2C34C5489E816B4EB1F8CE1EF4"><enum>(H)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/457">Section 457(e)(15)(A)</external-xref> is amended by striking <quote>shall be</quote> and all that follows and inserting <quote>is $15,000.</quote>.</text> </subparagraph></paragraph>
<paragraph id="H54704EF6DC1740D0A3E89DE07F3D6819"><enum>(58)</enum><header>Limitation on deductions for certain farming</header>
<subparagraph id="H8C627EAE5D7C41E7874C91713B9941C3"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/464">Section 464</external-xref> is amended by striking <quote>any farming syndicate (as defined in subsection (c))</quote> both places it appears in subsections (a) and (b) and inserting <quote>any taxpayer to whom subsection (d) applies</quote>.</text> </subparagraph>
<subparagraph id="H59DA9E24BDC84215A7A17D74DBC6765D"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HCF001B675736475FACC8F90BF8A8219F"><enum>(i)</enum><text>Subsection (c) of section 464 is hereby moved to the end of section 461 and redesignated as subsection (j).</text> </clause>
<clause id="H95A1D6B4F34645F7B26BAE19EB58DA3A" indent="up1"><enum>(ii)</enum><text>Such subsection (j) is amended—</text>
<subclause id="HE1B59EBA25484AA0AC3A4CA4F70A76EF"><enum>(I)</enum><text>by striking <quote>For purposes of this section</quote> in paragraph (1) and inserting <quote>For purposes of subsection (i)(4)</quote>, and</text> </subclause>
<subclause id="H6C774BCF4670484D901673471CDBAB0F"><enum>(II)</enum><text>by adding at the end the following new paragraphs:</text>
<quoted-block display-inline="no-display-inline" id="H33743C6C7D73414487190603C90D7FC2" style="OLC">
<paragraph id="HDC84CF7DCE244C68BB2C64148E5636D0"><enum>(3)</enum><header>Farming</header><text>For purposes of this subsection, the term <term>farming</term> has the meaning given to such term by section 464(e).</text> </paragraph>
<paragraph id="H9F8DF6DCA9504D838C14FF5A6AD1A66E"><enum>(4)</enum><header>Limited entrepreneur</header><text>For purposes of this subsection, the term <term>limited entrepreneur</term> means a person who—</text>
<subparagraph id="H15C398ABD0FD404BB4E5CC55440AC06C"><enum>(A)</enum><text>has an interest in an enterprise other than as a limited partner, and</text> </subparagraph>
<subparagraph id="HF427C3C4B41E469B8D715DB5B56D59BE"><enum>(B)</enum><text>does not actively participate in the management of such enterprise.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subclause></clause>
<clause id="HE2C6D7A0122A42E8AC064D6765FF04A8"><enum>(iii)</enum><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/461">section 461(i)</external-xref> is amended by striking <quote>section 464(c)</quote> and inserting <quote>subsection (j)</quote>.</text> </clause></subparagraph>
<subparagraph id="HBB5B150977B44920952B32EAD691F9D5"><enum>(C)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/464">Section 464</external-xref> is amended—</text>
<clause id="H52D3FA8B6EB7428B8195A56B0188057E"><enum>(i)</enum><text>by striking subsections (e) and (g) and redesignating subsections (d) and (f) as subsections (c) and (d), respectively, and</text> </clause>
<clause id="H959323A20A23423D8DDB73B10F46F7FC"><enum>(ii)</enum><text>by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HB4D32B69F1DC481D88D17C6996466878" style="OLC">
<subsection id="H611A52856A624822AB14E62B1364490A"><enum>(e)</enum><header>Farming</header><text>For purposes of this section, the term <term>farming</term> means the cultivation of land or the raising or harvesting of any agricultural or horticultural commodity including the raising, shearing, feeding, caring for, training, and management of animals. For purposes of the preceding sentence, trees (other than trees bearing fruit or nuts) shall not be treated as an agricultural or horticultural commodity.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </clause></subparagraph>
<subparagraph id="H1316422A85994FDAA8A0D891B822B409"><enum>(D)</enum><text>Subsection (d) of section 464 of such Code (as redesignated by subparagraph (C)) is amended—</text>
<clause id="H74FA5C1B778D4A6E877C4E285FB84BCE"><enum>(i)</enum><text>by striking paragraph (1) and redesignating paragraphs (2), (3), and (4) as paragraphs (1), (2), and (3), respectively, and</text> </clause>
<clause id="H70CF6A373AE54A6B849B0490F58615FC"><enum>(ii)</enum><text>by striking <quote><header-in-text level="subsection" style="OLC">Subsections (a) and (b) to apply to</header-in-text></quote> in the heading.</text> </clause></subparagraph>
<subparagraph id="H252F814E0B0F49A59EBDD4B9B38F22BB"><enum>(E)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/58">section 58(a)(2)</external-xref> is amended by striking <quote>section 464(c)</quote> and inserting <quote>section 461(j)</quote>.</text> </subparagraph></paragraph>
<paragraph id="HD826C1D92217424FB9997B8265FE6A70"><enum>(59)</enum><header>Deductions limited to amount at risk</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/465">section 465(c)(3)</external-xref> is amended by striking <quote>In the case of taxable years beginning after December 31, 1978, this</quote> and inserting <quote>This</quote>.</text> </paragraph>
<paragraph id="HCCA997114394482D96E9780CF3DDF208"><enum>(60)</enum><header>Passive activity losses and credits limited</header>
<subparagraph id="HEA38FAD3552B4CD382FD84EB9574D86C"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/469">Section 469</external-xref> is amended by striking subsection (m).</text> </subparagraph>
<subparagraph id="H6F034C87CD5C4BFEAC3AF6BB72859ACC"><enum>(B)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/58">section 58</external-xref> is amended by adding <quote>and</quote> at the end of paragraph (1), by striking paragraph (2), and by redesignating paragraph (3) as paragraph (2).</text> </subparagraph></paragraph>
<paragraph id="H4825DD38100F49B4B47085728358F98C"><enum>(61)</enum><header>Adjustments required by changes in method of accounting</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/481">Section 481(b)(3)</external-xref> is amended by striking subparagraph (C).</text> </paragraph>
<paragraph id="H35E7B59D0B0645609925F69290B2906E"><enum>(62)</enum><header>Exemption from tax on corporations, certain trusts, etc</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/501">Section 501</external-xref> is amended by striking subsection (s).</text> </paragraph>
<paragraph id="H379F6560B3354C3CAFE76B5512066C4F"><enum>(63)</enum><header>Requirements for exemption</header>
<subparagraph id="HF986CD2F9BFF477EB7BFA9EFE2CCD7CD"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/503">Section 503(a)(1)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H75F4E05FA935432FBDBDB1E2EB603D03" style="OLC">
<paragraph id="H9D9D2A631C6441A39F3DE62EF5B5CAEC"><enum>(1)</enum><header>General rule</header><text>An organization described in paragraph (17) or (18) of section 501(c), or described in section 401(a) and referred to in section 4975(g) (2) or (3), shall not be exempt from taxation under section 501(a) if it has engaged in a prohibited transaction.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H05D41D6E0C7E40EB8D82C0A9D7C1CCC0"><enum>(B)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/503">section 503(a)</external-xref> is amended by striking <quote>described in section 501(c)(17) or (18) or paragraph (a)(1)(B)</quote> and inserting <quote>described in paragraph (1)</quote>.</text> </subparagraph>
<subparagraph id="H74D00A311E8E4ED8835E6F6598FE89F2"><enum>(C)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/503">section 503</external-xref> is amended by striking <quote>described in section 501(c)(17) or (18) or subsection (a)(1)(B)</quote> and inserting <quote>described in subsection (a)(1)</quote>.</text> </subparagraph></paragraph>
<paragraph id="H1BED51D512E941FAA1FA95407B5AACF1"><enum>(64)</enum><header>Accumulated taxable income</header><text>Paragraph (1) of section 535(b) and paragraph (1) of section 545(b) are each amended by striking <quote>section 531</quote> and all that follows and inserting <quote>section 531 or the personal holding company tax imposed by section 541.</quote>.</text> </paragraph>
<paragraph id="H1B5316D99855460385CE06C7DC4A15A4"><enum>(65)</enum><header>Definition of property</header><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/614">section 614</external-xref> is amended—</text>
<subparagraph id="HAFA84969232D4A14A0E91C0C152CBF6E"><enum>(A)</enum><text>by striking paragraphs (3)(C) and (5), and</text> </subparagraph>
<subparagraph id="HCBBD61869078464798452FC7BF54BAAF"><enum>(B)</enum><text>in paragraph (4), by striking <quote>whichever of the following years is later: The first taxable year beginning after December 31, 1963, or</quote> .</text> </subparagraph></paragraph>
<paragraph id="H5D93B702F1C54359AF011B50B6E8F9BD"><enum>(66)</enum><header>Amounts received by surviving annuitant under joint and survivor annuity contract</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/691">section 691(d)(1)</external-xref> is amended by striking <quote>after December 31, 1953, and</quote>.</text> </paragraph>
<paragraph id="H23A871EE3E144B419905123BB099C462"><enum>(67)</enum><header>Income taxes of members of armed forces on death</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/692">Section 692(a)(1)</external-xref> is amended by striking <quote>after June 24, 1950</quote>.</text> </paragraph>
<paragraph id="H64459196753D49DD8FA976B97B88B3AA"><enum>(68)</enum><header>Special rules for computing reserves</header><text>Paragraph (7) of <external-xref legal-doc="usc" parsable-cite="usc/26/807">section 807(e)</external-xref> is amended by striking subparagraph (B) and redesignating subparagraph (C) as subparagraph (B).</text> </paragraph>
<paragraph id="H41C0E292EFE54A4885C0954910E56C6E"><enum>(69)</enum><header>Insurance company taxable income</header>
<subparagraph id="HE3B9883BFAB94C9EBBA021B00FA8AEE2"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/832">Section 832(e)</external-xref> is amended by striking <quote>of taxable years beginning after December 31, 1966,</quote>.</text> </subparagraph>
<subparagraph id="HB2FA16B4383E4591989DE6FC6B0A0696"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/832">Section 832(e)(6)</external-xref> is amended by striking <quote>In the case of any taxable year beginning after December 31, 1970, the</quote> and inserting <quote>The</quote>.</text> </subparagraph></paragraph>
<paragraph id="H366359FC1E55470CA48DE591139F82F7"><enum>(70)</enum><header>Capitalization of certain policy acquisition expenses</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/848">Section 848</external-xref> is amended by striking subsection (j).</text> </paragraph>
<paragraph id="H68D527AE327848EB82ED7AE37E7B8EB8"><enum>(71)</enum><header>Tax on nonresident alien individuals</header><text>Subparagraph (B) of <external-xref legal-doc="usc" parsable-cite="usc/26/871">section 871(a)(1)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H8D9037FBA1874464BF0D697F7A9F3C8A" style="OLC">
<subparagraph id="H848067FECD444CF988217BCC37E26CC6"><enum>(B)</enum><text>gains described in subsection (b) or (c) of section 631,</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="H6528ED3CC8CC461C850DDB6F30DD053E"><enum>(72)</enum><header>Limitation on credit</header><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/904">section 904(d)</external-xref> is amended by striking subparagraph (J).</text> </paragraph>
<paragraph id="H7A1D905B926348CA9401A3B6FC4A5AF1"><enum>(73)</enum><header>Foreign earned income</header><text>Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/911">section 911(b)(2)(D)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H16E0C0C6F49343CDA4DE0C22D7A85765" style="OLC">
<clause id="HE2762116C7F6453BB39AE55595B5C3D5"><enum>(i)</enum><header>In general</header><text>The exclusion amount for any calendar year is $80,000.</text></clause><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="HEAB9D75C160448B28CA8CFC46A3829DE"><enum>(74)</enum><header>Basis of property acquired from decedent</header>
<subparagraph id="H21573293A17E4D0385044D16B79269BF"><enum>(A)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1014">Section 1014(a)(2)</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HF952B8632B47417F9820BAD3F966EA21" style="OLC">
<paragraph id="HBB75AD70E20B40E794AC8205B024C7F1"><enum>(2)</enum><text display-inline="yes-display-inline">in the case of an election under section 2032, its value at the applicable valuation date prescribed by such section,</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H26F4CF4BD55D4E19B83CFA84C0104F4B"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1014">Section 1014(b)</external-xref> is amended by striking paragraphs (7) and (8).</text> </subparagraph></paragraph>
<paragraph id="HD4F283DBCA4543AF918F2FC1FD134096"><enum>(75)</enum><header>Adjusted basis</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1016">Section 1016(a)</external-xref> is amended by striking paragraph (12).</text> </paragraph>
<paragraph id="H29CAEF7104ED415F90EF13BE79C39095"><enum>(76)</enum><header>Property on which lessee has made improvements</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1019">Section 1019</external-xref> is amended by striking the last sentence.</text> </paragraph>
<paragraph id="H6FE7AA88FA8046B199F732E5BB1A11D5"><enum>(77)</enum><header>Involuntary conversion</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1033">Section 1033</external-xref> is amended by striking subsection (j) and by redesignating subsections (k) and (l) as subsections (j) and (k), respectively.</text> </paragraph>
<paragraph id="H4F1D1942DB31446AB6EB68232102A121"><enum>(78)</enum><header>Property acquired during affiliation</header><text>Section 1051 is hereby repealed, and the table of sections for part IV of subchapter O of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking the item relating to section 1051.</text> </paragraph>
<paragraph id="HE24F1E897D764086947B8B80907D434C"><enum>(79)</enum><header>Capital gains and losses</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1222">Section 1222</external-xref> is amended by striking the last sentence.</text> </paragraph>
<paragraph id="HF2830B635DD8481CBDA4A3D3E10CCF45"><enum>(80)</enum><header>Holding period of property</header>
<subparagraph id="H399031BE2B50403C953E7F7F7668F29F"><enum>(A)</enum><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/1223">section 1223</external-xref> is amended by striking <quote>after March 1, 1954,</quote>.</text> </subparagraph>
<subparagraph id="HB926101C538C4E6AA1AC80FA714D2264"><enum>(B)</enum><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/1223">section 1223</external-xref> is amended by striking <quote><quote>(or under so much of section 1052(c) as refers to section 113(a)(23) of the Internal Revenue Code of 1939)</quote></quote>.</text> </subparagraph>
<subparagraph id="H280C994CA921457B80F42C217BF433A0"><enum>(C)</enum><text>Paragraphs (6) and (8) of section 1223 are repealed.</text> </subparagraph></paragraph>
<paragraph id="H00F72A40066A46F883F44197489A8E91"><enum>(81)</enum><header>Property used in the trade or business and involuntary conversions</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/1231">section 1231(c)(2)</external-xref> is amended by striking <quote>beginning after December 31, 1981</quote>.</text> </paragraph>
<paragraph id="HA823DB904D1E4D15B45D76939A894F4B"><enum>(82)</enum><header>Sale or exchange of patents</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1235">Section 1235</external-xref> is amended—</text>
<subparagraph id="H865A795D9D0746EE9B32BCB96EDF4D72"><enum>(A)</enum><text>by striking subsection (c) and by redesignating subsections (d) and (e) as subsections (c) and (d), respectively, and</text> </subparagraph>
<subparagraph id="H91A48265DB594B5B91D678BF0933730F"><enum>(B)</enum><text>by striking <quote>subsection (d)</quote> in subsection (b)(2)(B) and inserting <quote>subsection (c)</quote>.</text> </subparagraph></paragraph>
<paragraph id="HAD992B2231914A55A02894A270D34586"><enum>(83)</enum><header>Dealers in securities</header><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/1236">section 1236</external-xref> is amended by striking <quote>after November 19, 1951,</quote>.</text> </paragraph>
<paragraph id="HBBF5C130D9AA44DC8440F568EE033E6B"><enum>(84)</enum><header>Sale of patents</header><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/1249">section 1249</external-xref> is amended by striking <quote>after December 31, 1962,</quote>.</text> </paragraph>
<paragraph id="H664089CCCD364EAEBA5496EDD3915DE1"><enum>(85)</enum><header>Gain from disposition of farmland</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/1252">section 1252(a)</external-xref> is amended—</text>
<subparagraph id="H0ECA0F0AFB3D413780EB2C0BC1E6D875"><enum>(A)</enum><text>by striking <quote>after December 31, 1969</quote> the first place it appears, and</text> </subparagraph>
<subparagraph id="H407129A0147C4159A3EF2BCC6481D17C"><enum>(B)</enum><text>by striking <quote>after December 31, 1969,</quote> in subparagraph (A).</text> </subparagraph></paragraph>
<paragraph id="HCB8948B5133C495A9BE1087CBE866BA0"><enum>(86)</enum><header>Treatment of amounts received on retirement or sale or exchange of debt instruments</header><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/1271">section 1271</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H78DBEF30564E412EB2890B7A57646637" style="OLC">
<subsection id="HE06243EB59E441C08087B56674768E7F"><enum>(c)</enum><header>Special rule for certain obligations with respect to which original issue discount not currently includible</header>
<paragraph id="H51471411CF9F4A9BB93E4C1F8795A2DD"><enum>(1)</enum><header>In general</header><text>On the sale or exchange of debt instruments issued by a government or political subdivision thereof after December 31, 1954, and before July 2, 1982, or by a corporation after December 31, 1954, and on or before May 27, 1969, any gain realized which does not exceed—</text>
<subparagraph id="H62BC8E0340A14C978D301889C9C35A21"><enum>(A)</enum><text>an amount equal to the original issue discount, or</text> </subparagraph>
<subparagraph id="HFEDAE2624DAA46F69D3FD0FC211A4E65"><enum>(B)</enum><text>if at the time of original issue there was no intention to call the debt instrument before maturity, an amount which bears the same ratio to the original issue discount as the number of complete months that the debt instrument was held by the taxpayer bears to the number of complete months from the date of original issue to the date of maturity, shall be considered as ordinary income.</text> </subparagraph></paragraph>
<paragraph id="H0AD1954F22E34789961E521C80F001A3"><enum>(2)</enum><header>Subsection <enum-in-header>(a)(2)(A)</enum-in-header> not to apply</header><text>Subsection (a)(2)(A) shall not apply to any debt instrument referred to in paragraph (1) of this subsection.</text> </paragraph>
<paragraph id="H426F90E4DCC34FF4B9FAAFA78E63C474"><enum>(3)</enum><header>Cross reference</header><text>For current inclusion of original issue discount, see section 1272.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="HAF8D9222728E4ADDAEBB271B604807C7"><enum>(87)</enum><header>Amount and method of adjustment</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/1314">Section 1314</external-xref> is amended by striking subsection (d) and by redesignating subsection (e) as subsection (d).</text> </paragraph>
<paragraph id="H037750E0992B4A10BC378FDDC284A02D"><enum>(88)</enum><header>Election; revocation; termination</header><text>Clause (iii) of <external-xref legal-doc="usc" parsable-cite="usc/26/1362">section 1362(d)(3)(A)</external-xref> is amended by striking <quote>unless</quote> and all that follows and inserting <quote>unless the corporation was an S corporation for such taxable year.</quote>.</text> </paragraph>
<paragraph id="H45748699B7F5416992A0F9CECD0EB2BD"><enum>(89)</enum><header>Old-age, survivors, and disability insurance</header><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/1401">section 1401</external-xref> is amended by striking <quote>the following percent</quote> and all that follows and inserting <quote>12.4 percent of the amount of the self-employment income for such taxable year.</quote>.</text> </paragraph>
<paragraph id="H2330E71FC4304D0A8F8AC52D3FA17250"><enum>(90)</enum><header>Hospital insurance</header><text>Paragraph (1) of <external-xref legal-doc="usc" parsable-cite="usc/26/1401">section 1401(b)</external-xref> is amended by striking: <quote>the following percent</quote> and all that follows and inserting <quote>2.9 percent of the amount of the self-employment income for such taxable year.</quote>.</text> </paragraph>
<paragraph id="H7F5411DBD3DF46179F4A205FBC02F064"><enum>(91)</enum><header>Ministers, members of religious orders, and christian science practitioners</header><text>Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/1402">section 1402(e)</external-xref> is amended—</text>
<subparagraph id="HC9D9CCD3C45C4FAFB444C674DBAE0425"><enum>(A)</enum><text>by striking <quote>whichever of the following dates is later: (A)</quote>, and</text> </subparagraph>
<subparagraph id="HA1AB9E7D9FF74C608B4670059F5E49DC"><enum>(B)</enum><text>by striking <quote>;or (B)</quote>’ and all that follows and inserting a period.</text> </subparagraph></paragraph>
<paragraph id="H5600052F8E6D4E588E71756B81165483"><enum>(92)</enum><header>Withholding of tax on nonresident aliens</header><text>The first sentence of subsection (b) of section 1441 and the first sentence of paragraph (5) of section 1441(c) are each amended by striking <quote>gains subject to tax</quote> and all that follows through <quote>October 4, 1966</quote> and inserting <quote>and gains subject to tax under section 871(a)(1)(D)</quote>.</text> </paragraph>
<paragraph id="H44C17B221EBE4352AC341D7A9BB2DC61"><enum>(93)</enum><header>Affiliated group defined</header><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/1504">section 1504(a)(3)</external-xref> is amended by striking <quote>for a taxable year which includes any period after December 31, 1984</quote> in clause (i) and by striking <quote>in a taxable year beginning after December 31, 1984</quote> in clause (ii).</text> </paragraph>
<paragraph id="H75B330208E984A95AA120EDEB2D519C5"><enum>(94)</enum><header>Disallowance of the benefits of the graduated corporate rates and accumulated earnings credit</header>
<subparagraph id="H97DFC3C1FE4F4F97A659F12A81E7F9BD"><enum>(A)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/1551">section 1551</external-xref> is amended—</text>
<clause id="HB764685D505D44BBA88BE8448DE1FEC1"><enum>(i)</enum><text>by striking paragraph (1) and by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively, and</text> </clause>
<clause id="H6993BF7CF447468F829EDE8656598D40"><enum>(ii)</enum><text>by striking <quote>after June 12, 1963,</quote> each place it appears.</text> </clause></subparagraph>
<subparagraph id="HB3E731F8DF9F4052BF19B394F7EA289F"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/1551">Section 1551(b)</external-xref> is amended—</text>
<clause id="HB3AA3E810B9D4DA2AAF1807099EDF07C"><enum>(i)</enum><text>by striking <quote>or (2)</quote> in paragraph (1), and</text> </clause>
<clause id="HAB8B9EA742E349F0941BF8A792768001"><enum>(ii)</enum><text>by striking <quote>(a)(3)</quote> in paragraph (2) and inserting <quote>(a)(2)</quote>.</text> </clause></subparagraph></paragraph>
<paragraph id="HBDB041D8FD4F4B5497C8B1A0795E786A"><enum>(95)</enum><header>Credit for state death taxes</header>
<subparagraph id="H9D95E539E3344F85A89A0B3161275E70"><enum>(A)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H00A0BB03FFE24854919918C384D654FA"><enum>(i)</enum><text>Part II of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/11">chapter 11</external-xref> is amended by striking section 2011 (and by striking the item relating to such section in the table of sections for such subpart).</text> </clause>
<clause id="H22D65879197F4FFBB45DE4AB65837BCA" indent="up1"><enum>(ii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/2106">Section 2106(a)(4)</external-xref> is amended by striking <quote>section 2011(a)</quote> and inserting <quote>2058(a)</quote>.</text> </clause></subparagraph>
<subparagraph id="H4DFA473750434D6D8E65DB62DD08F711"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H2966ACD1A53A4FEE88C906A64892D3BB"><enum>(i)</enum><text>Subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/13">chapter 13</external-xref> is amended by striking section 2604 (and by striking the item relating to such section in the table of sections for such subpart).</text> </clause>
<clause id="H7813C2B22FF24F498006E82B83F420B9" indent="up1"><enum>(ii)</enum><text>Clause (ii) of <external-xref legal-doc="usc" parsable-cite="usc/26/164">section 164(b)(4)(A)</external-xref> is amended by inserting <quote>(as in effect before its repeal)</quote> after <quote>section 2604</quote>.</text> </clause>
<clause id="H2933386423A54164A6197F3E1CF73BBB" indent="up1"><enum>(iii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/2654">Section 2654(a)(1)</external-xref> is amended by striking <quote>(computed without regard to section 2604)</quote>.</text> </clause></subparagraph></paragraph>
<paragraph id="H388BFA16EF894635980C8A6A10F6CB8F"><enum>(96)</enum><header>Gross estate</header><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/2031">section 2031</external-xref> is amended by striking paragraph (3) and by amending paragraph (1)(B) to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H8FDFBAFF7C74438C80D654910AA14364" style="OLC">
<subparagraph id="H5EB58830AA5B41B8B161273761048D6C"><enum>(II)</enum><text>$500,000.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block> </paragraph>
<paragraph id="HF0D9B91A881C452182A863435AEED69B"><enum>(97)</enum>
<subparagraph commented="no" display-inline="yes-display-inline" id="HF12DADC005B249989CDEEA03A184784E"><enum>(A)</enum><text>Part IV of subchapter A of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/11">chapter 11</external-xref> is amended by striking section 2057 (and by striking the item relating to such section in the table of sections for such subpart).</text> </subparagraph>
<subparagraph id="H4F05D360B67F4DF49CA2722470AB75D0" indent="up1"><enum>(B)</enum><text>Paragraph (10) of <external-xref legal-doc="usc" parsable-cite="usc/26/2031">section 2031(c)</external-xref> is amended by inserting <quote>(as in effect before its repeal)</quote> immediately before the period at the end thereof.</text> </subparagraph></paragraph>
<paragraph id="HEE621E2F3D5049F99AC1706D1945AAFD"><enum>(98)</enum><header>Property within the United States</header><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/2104">section 2104</external-xref> is amended by striking <quote>With respect to estates of decedents dying after December 31, 1969, deposits</quote> and inserting <quote>Deposits</quote>.</text> </paragraph>
<paragraph id="H8D75234B392745CCA25BB6C16139F582"><enum>(99)</enum><header>FICA taxes</header>
<subparagraph id="H87F7209FACA64548A495EA4EC8479222"><enum>(A)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/3101">section 3101</external-xref> is amended by striking <quote>the following percentages</quote> and all that follows and inserting <quote>6.2 percent of the wages (as defined in section 3121(a)) received by the individual with respect to employment (as defined in section 3121(b))</quote>.</text> </subparagraph>
<subparagraph id="H43E09AB504B849F8A05F0618C5013CFB"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="HC3B43C0B2FDD4E09A1AE2F8D75ABF77F"><enum>(i)</enum><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/3111">section 3111</external-xref> is amended by striking <quote>the following percentages</quote> and all that follows and inserting <quote>6.2 percent of the wages (as defined in section 3121(a)) paid by the employer with respect to employment (as defined in section 3121(b)).</quote>.</text> </clause>
<clause id="HC0C33D210FD6442DBD75CC79BE51CB72" indent="up1"><enum>(ii)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/3111">section 3111</external-xref> is amended by striking <quote>the following percentages</quote> and all that follows and inserting <quote>1.45 percent of the wages (as defined in section 3121(a)) paid by the employer with respect to employment (as defined in section 3121(b)).</quote>.</text> </clause></subparagraph>
<subparagraph id="H8FCC4818514E4F36B22AD7B926E04F84"><enum>(C)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H145586179EF44B3A81DEC521664961EF"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3121">Section 3121(b)</external-xref> is amended by striking paragraph (17).</text> </clause>
<clause id="H674F5A6ABCD048C59011C9D1F35CF18B" indent="up1"><enum>(ii)</enum><text>Section 210(a) of the Social Security Act is amended by striking paragraph (17).</text> </clause></subparagraph></paragraph>
<paragraph id="H5BE14A5F50254E3BB6CE90B7B6967471"><enum>(100)</enum><header>Railroad retirement</header>
<subparagraph id="H6E7B2A5722AE4D3C9D803715DC6ECAC5"><enum>(A)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/3201">section 3201</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H6FD82ED5A18F4C66BDD48779498D428F" style="OLC">
<subsection id="HB12E063B79E349CDA4356103637CF46E"><enum>(b)</enum><header>Tier 2 tax</header><text>In addition to other taxes, there is hereby imposed on the income of each employee a tax equal to the percentage determined under section 3241 for any calendar year of the compensation received during such calendar year by such employee for services rendered by such employee.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="HA361D6C6D0ED4D9AACDBE83A61AFA722"><enum>(B)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/3211">section 3211</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="HFBBEE983CA094E5E8D737A830286214A" style="OLC">
<subsection id="HF0C16B4A1F004DDA8383EEA34B7844E5"><enum>(b)</enum><header>Tier 2 tax</header><text>In addition to other taxes, there is hereby imposed on the income of each employee representative a tax equal to the percentage determined under section 3241 for any calendar year of the compensation received during such calendar year by such employee representative for services rendered by such employee representative.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="HD58DA65B4C254E3A9EBD31B3817C5DAA"><enum>(C)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/3221">section 3221</external-xref> is amended to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H07B26D54DC714BC1BD0D9244A1924071" style="OLC">
<subsection id="HCE876A0E713B4FE6A38D2AFA1BA7B492"><enum>(b)</enum><header>Tier 2 tax</header><text>In addition to other taxes, there is hereby imposed on every employer an excise tax, with respect to having individuals in his employ, equal to the percentage determined under section 3241 for any calendar year of the compensation paid during such calendar year by such employer for services rendered to such employer.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block> </subparagraph>
<subparagraph id="H68573A26303D4906910BA5078742F843"><enum>(D)</enum><text>Subsection (b) of <external-xref legal-doc="usc" parsable-cite="usc/26/3231">section 3231</external-xref> is amended—</text>
<clause id="H7B70091A0ACD4BF68F8E8045382D21C9"><enum>(i)</enum><text>by striking <quote>compensation; except</quote> and all that follows in the first sentence and inserting <quote>compensation.</quote>, and</text> </clause>
<clause id="HBF809D6F4A4D4764A981945F147BFC5E"><enum>(ii)</enum><text>by striking the second sentence.</text> </clause></subparagraph></paragraph>
<paragraph id="H87585D3A5BF348DCADA86800C9335360"><enum>(101)</enum><header>Credits against Federal unemployment tax</header>
<subparagraph id="HBE14D90FF85C4FA3AFC96EE74E609B2C"><enum>(A)</enum><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/3302">section 3302(f)</external-xref> is amended—</text>
<clause id="H0573AB6E168948948CC4AC949EB2C2EA"><enum>(i)</enum><text>by striking <quote>subsection—</quote> and all that follows through <quote>(A) <header-in-text level="subparagraph" style="OLC">In general</header-in-text>.—The</quote> and inserting <quote>subsection, the</quote>,</text> </clause>
<clause id="H7157420268734120839BBED8B5F9C8BD"><enum>(ii)</enum><text>by striking subparagraph (B),</text> </clause>
<clause id="H1AD0A2B9AFCE4E8791AB84C66BE9F8AF"><enum>(iii)</enum><text>by redesignating clauses (i) and (ii) as subparagraphs (A) and (B), respectively, and</text> </clause>
<clause id="H14A80F68BC7748108B833DE7FFD9E15D"><enum>(iv)</enum><text>by moving the text of such subparagraphs (as so redesignated) 2 ems to the left.</text> </clause></subparagraph>
<subparagraph id="H0BFD0301118E4266BD4010619942EA7F"><enum>(B)</enum><text>Paragraph (5) of <external-xref legal-doc="usc" parsable-cite="usc/26/3302">section 3302(f)</external-xref> is amended by striking subparagraph (D) and by redesignating subparagraph (E) as subparagraph (D).</text> </subparagraph></paragraph>
<paragraph id="HB5B97101A52E467CA21770956199E753"><enum>(102)</enum><header>Domestic service employment taxes</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/3510">Section 3510(b)</external-xref> is amended by striking paragraph (4).</text> </paragraph>
<paragraph id="H32965AD93A8D45D4B144DF8D1C3AED98"><enum>(103)</enum><header>Luxury passenger automobiles</header>
<subparagraph id="HEBAE1ABE662943D4B22CC3CE3A0AE352"><enum>(A)</enum><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/31">Chapter 31</external-xref> is amended by striking subchapter A (and by striking the item relating to such subchapter in the table of subchapters for such chapter).</text> </subparagraph>
<subparagraph id="HB48F3594A7AC4D1E96C7A30DF1698212"><enum>(B)</enum>
<clause commented="no" display-inline="yes-display-inline" id="H459452DFF1E74F25AA931DC1E143C5AF"><enum>(i)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4221">Section 4221</external-xref> is amended—</text>
<subclause id="H4D00B07A0222477D9BA0440242082D1A" indent="up1"><enum>(I)</enum><text>in subsections (a) and (d)(1), by striking <quote>subchapter A or</quote> and inserting <quote>subchapter</quote>,</text> </subclause>
<subclause id="H370A5C819BD04BBCA8C061B9D1D16550" indent="up1"><enum>(II)</enum><text>in subsection (a), by striking <quote>In the case of taxes imposed by subchapter A of chapter 31, paragraphs (1), (3), (4), and (5) shall not apply.</quote>, and</text> </subclause>
<subclause id="H90394A0174C44C3CBD3C4FA143C9B793" indent="up1"><enum>(III)</enum><text>in subsection (c), by striking <quote>4001(c), 4001(d), or</quote>.</text> </subclause></clause>
<clause id="H043557A32EBC40DAB1D6F321E6D7F1E8" indent="up1"><enum>(ii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4222">Section 4222</external-xref> is amended by striking <quote>4001(c), 4001(d),</quote>.</text> </clause>
<clause id="HAD9B4E8470264011A1D0F29F2087FD9D" indent="up1"><enum>(iii)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4293">Section 4293</external-xref> is amended by striking <quote>subchapter A of chapter 31,</quote>.</text> </clause></subparagraph></paragraph>
<paragraph id="H7C5CAF7F9B7F412D871EA335B0B56CAD"><enum>(104)</enum><header>Transportation by air</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/4261">Section 4261(e)</external-xref> is amended—</text>
<subparagraph id="H209B4C47D5DD427E9301B4914FEB23A1"><enum>(A)</enum><text>in paragraph (1), by striking subparagraph (C), and</text> </subparagraph>
<subparagraph id="H0251F786B55E48C399C008F452E499A5"><enum>(B)</enum><text>by striking paragraph (5).</text> </subparagraph></paragraph>
<paragraph id="H36FB62BBAEF6423FADF7E47A0E5A00A4"><enum>(105)</enum><header>Taxes on failure to distribute income</header>
<subparagraph id="H74CE75AADB894D8F9F081045B926D40E"><enum>(A)</enum><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/4942">section 4942</external-xref> is amended by striking <quote>For all taxable years beginning on or after January 1, 1975, subject</quote> in paragraph (2)(A) and inserting <quote>Subject</quote>.</text> </subparagraph>
<subparagraph id="HEDA2402D98004348A0668A43658F253C"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4942">Section 4942(i)(2)</external-xref> is amended by striking <quote>beginning after December 31, 1969, and</quote>.</text> </subparagraph></paragraph>
<paragraph id="H897FC89912DF46D78C11E3C4A119282E"><enum>(106)</enum><header>Taxes on taxable expenditures</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/4945">Section 4945(f)</external-xref> is amended by striking <quote>(excluding therefrom any preceding taxable year which begins before January 1, 1970)</quote>.</text> </paragraph>
<paragraph id="HA5CB7CF38527441EB9C5217FC3DB6F23"><enum>(107)</enum><header>Definitions and special rules</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/4682">Section 4682(h)</external-xref> is amended—</text>
<subparagraph id="HADC90978C4AF410E85EEB226BCE4F51D"><enum>(A)</enum><text>by striking paragraph (1) and redesignating paragraphs (2), (3), and (4) as paragraphs (1), (2), and (3), respectively, and</text> </subparagraph>
<subparagraph id="H6341F4748894400FA80A58A39C5E19F2"><enum>(B)</enum><text>in paragraph (1) (as so redesignated)—</text>
<clause id="H5F3B9562CFE74685A75D3E0C4C2AED7B"><enum>(i)</enum><text>by striking the heading and inserting <quote><header-in-text level="paragraph" style="OLC">In general</header-in-text></quote>, and</text> </clause>
<clause id="H055779DC7A7C4EAB9D3B0306EDCDA425"><enum>(ii)</enum><text>by striking <quote>after 1991</quote> in subparagraph (C).</text> </clause></subparagraph></paragraph>
<paragraph id="H4651A1D0C8CF426FBC1229F6A34C939D"><enum>(108)</enum><header>Returns</header><text>Subsection (a) of <external-xref legal-doc="usc" parsable-cite="usc/26/6039D">section 6039D</external-xref> is amended by striking <quote>beginning after December 31, 1984,</quote>.</text> </paragraph>
<paragraph id="H12D19B6FBC7C48D0B0ADC00151054C2B"><enum>(109)</enum><header>Information returns</header><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/6060">section 6060</external-xref> is amended by striking <quote><quote>year</quote></quote> and all that follows and inserting <quote>year.</quote>.</text> </paragraph>
<paragraph id="HB686AEAA27134F40983B048764FDDE66"><enum>(110)</enum><header>Collection</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6302">Section 6302</external-xref> is amended—</text>
<subparagraph id="HC90B5F622954414E8931D1783662A65B"><enum>(A)</enum><text>in subsection (e)(2), by striking <quote>imposed by</quote> and all that follows through <quote>with respect to</quote> and inserting <quote>imposed by sections 4251, 4261, or 4271 with respect to</quote>,</text> </subparagraph>
<subparagraph id="HEC5A368F1D3A4A87A57078A851FF090F"><enum>(B)</enum><text>by striking the last sentence of subsection (f)(1), and</text> </subparagraph>
<subparagraph id="H2A77DCB0F12D433E9F4E22B75C91E19B"><enum>(C)</enum><text>in subsection (h)—</text>
<clause id="HE5013020169644B2B80AF176EBDD50B0"><enum>(i)</enum><text>by striking paragraph (2) and redesignating paragraphs (3) and (4) as paragraphs (2) and (3), respectively, and</text> </clause>
<clause id="HD26E2508B4654F79B0B0EC34C8E845BE"><enum>(ii)</enum><text>by amending paragraph (3) (as so redesignated) to read as follows:</text>
<quoted-block display-inline="no-display-inline" id="H7FCE4FA7C4DD4DDAAAE734CF0B4CF89E" style="OLC">
<paragraph id="HA91E0807D1AB4D08909F8499F92F8E4F"><enum>(3)</enum><header>Coordination with other electronic fund transfer requirements</header><text>Under regulations, any tax required to be paid by electronic fund transfer under section 5061(e) or 5703(b) shall be paid in such a manner as to ensure that the requirements of the second sentence of paragraph (1)(A) of this subsection are satisfied.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block> </clause></subparagraph></paragraph>
<paragraph id="H6635BAFCF34543B0B9A3562A29201924"><enum>(111)</enum><header>Abatements</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6404">Section 6404(f)</external-xref> is amended by striking paragraph (3).</text> </paragraph>
<paragraph id="H5C11BEA912DC4636B28AAAEEB458A00E"><enum>(112)</enum><header>2008 Recovery rebate for individuals</header>
<subparagraph id="H2633358F29984E1781CABBA8B6377DF6"><enum>(A)</enum><text>Subchapter B of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/65">chapter 65</external-xref> is amended by striking section 6428 (and by striking the item relating to such section in the table of sections for such subchapter).</text> </subparagraph>
<subparagraph id="H7E143A9FA1E346FD892B4F51B170F42D"><enum>(B)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/6211">section 6211(b)(4)</external-xref> is amended by striking <quote>6428,</quote>.</text> </subparagraph>
<subparagraph id="H6E7E6A64B6834284AE264F26766B009A"><enum>(C)</enum><text>Paragraph (2) of section 6213(g), as amended by section 214(a)(2) of this Act and paragraphs (4) and (5)(C) of this subsection, is amended by striking subparagraph (Q), by redesignating subparagraph (O) as subparagraph (N), by inserting <quote>and</quote> at the end of subparagraph (M), and by striking the comma at the end of subparagraph (N) (as so redesignated) and inserting a period.</text> </subparagraph>
<subparagraph id="HE4A0C59ACE654F93A2C183D280C42CB5"><enum>(D)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/31/1324">section 1324(b)</external-xref> of title 31, United States Code, is amended by striking <quote>6428, or 6431,</quote> and inserting <quote>or 6431</quote>.</text> </subparagraph></paragraph>
<paragraph id="H6F1110F1F9F946FA8DA1E023281750C3"><enum>(113)</enum><header>Advance payment of portion of increased child credit for 2003</header><text>Subchapter B of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/65">chapter 65</external-xref> is amended by striking section 6429 (and by striking the item relating to such section in the table of sections for such subchapter).</text> </paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="HE7F4966168F740C2B6669EAAB7B74AF3"><enum>(114)</enum><header display-inline="yes-display-inline">Failure by corporation to pay estimated income tax</header><text display-inline="yes-display-inline">Clause (i) of <external-xref legal-doc="usc" parsable-cite="usc/26/6655">section 6655(g)(4)(A)</external-xref> is amended by striking <quote>(or the corresponding provisions of prior law)</quote>.</text> </paragraph>
<paragraph id="H239285285E7F4DD2A8B5C6E0BD27E785"><enum>(115)</enum><header>Retirement</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/7447">Section 7447(i)(3)(B)(ii)</external-xref> is amended by striking <quote>at 4 percent per annum to December 31, 1947, and 3 percent per annum thereafter</quote>, and inserting <quote>at 3 percent per annum</quote>.</text> </paragraph>
<paragraph id="H914A6BCA50DC43B0B4F49AFDCEA8F58B"><enum>(116)</enum><header>Annuities to surviving spouses and dependent children of judges</header>
<subparagraph id="HA7EF2AF7739B42ABBC6994BD43AC0FEA"><enum>(A)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/7448">section 7448(a)</external-xref> is amended—</text>
<clause id="HB0AD196E6C054DDFAFD2CE2C942FB229"><enum>(i)</enum><text>by striking <quote>or under section 1106 of the Internal Revenue Code of 1939</quote>, and</text> </clause>
<clause id="H3DC2B36D66CD4FB188D066A62035F49F"><enum>(ii)</enum><text>by striking <quote>or pursuant to section 1106(d) of the Internal Revenue Code of 1939</quote>.</text> </clause></subparagraph>
<subparagraph id="H52896F1A63524AD99B41F091B94B75DC"><enum>(B)</enum><text>Subsection (g) of <external-xref legal-doc="usc" parsable-cite="usc/26/7448">section 7448</external-xref> is amended by striking <quote>or other than pursuant to section 1106 of the Internal Revenue Code of 1939</quote>.</text> </subparagraph>
<subparagraph id="HF2B6E5AAD5DB49B3BBA97255096B3995"><enum>(C)</enum><text>Subsections (g), (j)(1), and (j)(2) of section 7448 are each amended by striking <quote>at 4 percent per annum to December 31, 1947, and 3 percent per annum thereafter</quote> and inserting <quote>at 3 percent per annum</quote>.</text> </subparagraph></paragraph>
<paragraph id="H76A46EC5A617499280EC228241A35F8F"><enum>(117)</enum><header>Merchant marine capital construction funds</header><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/7518">section 7518(g)</external-xref> is amended by striking <quote>any nonqualified withdrawal</quote> and all that follows through <quote>‘shall be determined</quote> and inserting <quote>any nonqualified withdrawal shall be determined</quote>.</text> </paragraph>
<paragraph id="HD08FB1761852401E8FEA7E01962F134D"><enum>(118)</enum><header>Valuation tables</header>
<subparagraph id="H22D75183B365495A968F0B6B16426032"><enum>(A)</enum><text>Subsection (c) of <external-xref legal-doc="usc" parsable-cite="usc/26/7520">section 7520</external-xref> is amended by striking paragraph (2) and redesignating paragraph (3) as paragraph (2).</text> </subparagraph>
<subparagraph id="HA36F8A41B9A8492BA9D4CEFC02A51821"><enum>(B)</enum><text>Paragraph (2) of section 7520(c) (as redesignated by subparagraph (A)) is amended—</text>
<clause id="H2CE5ED65EB68479F8FCB826024176824"><enum>(i)</enum><text>by striking <quote>Not later than December 31, 1989, the</quote> and inserting <quote>The</quote>, and</text> </clause>
<clause id="H2A17AB42A3E3461DA54F2403547A9265"><enum>(ii)</enum><text>by striking <quote>thereafter</quote> in the last sentence thereof.</text> </clause></subparagraph></paragraph>
<paragraph id="H7FC0C64B8F7F4466BB5AF74073414622"><enum>(119)</enum><header>Definition of employee</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/7701">Section 7701(a)(20)</external-xref> is amended by striking <quote>chapter 21</quote> and all that follows and inserting <quote>chapter 21.</quote>.</text> </paragraph></subsection>
<subsection id="HC794BBD892B143EB925616A27EEA4CB5"><enum>(b)</enum><header>Effective date</header>
<paragraph id="H9ACFAF648085413183B28891804DEA55"><enum>(1)</enum><header>General rule</header><text>Except as otherwise provided in subsection (a) or paragraph (2) of this subsection, the amendments made by this section shall take effect on the date of enactment of this Act.</text> </paragraph>
<paragraph id="H373EBDD77F5F4616A17D31A39BCF480E"><enum>(2)</enum><header>Savings provision</header><text>If—</text>
<subparagraph id="H3BEC2ACF68464C41AD9A90CDD3E4D68D"><enum>(A)</enum><text>any provision amended or repealed by the amendments made by this section applied to—</text>
<clause id="H0B98A633F251428DA5CA173CD6A113E2"><enum>(i)</enum><text>any transaction occurring before the date of the enactment of this Act,</text> </clause>
<clause id="HE59D7827659A4B3DA944C391F2867448"><enum>(ii)</enum><text>any property acquired before such date of enactment, or</text> </clause>
<clause id="H32657790459045DE99BBB79FE989F993"><enum>(iii)</enum><text>any item of income, loss, deduction, or credit taken into account before such date of enactment, and</text> </clause></subparagraph>
<subparagraph commented="no" display-inline="no-display-inline" id="H602DB15DCDFE4695847DE58B5B15F218"><enum>(B)</enum><text>the treatment of such transaction, property, or item under such provision would (without regard to the amendments or repeals made by this section) affect the liability for tax for periods ending after date of enactment, nothing in the amendments or repeals made by this section shall be construed to affect the treatment of such transaction, property, or item for purposes of determining liability for tax for periods ending after such date of enactment.</text> </subparagraph></paragraph></subsection></section>
<enum>III</enum><header>Joint Committee on Taxation</header>
<section id="HA10AB1D604944D7F9A70B1BB3166B415"><enum>301.</enum><header>Increased refund and credit threshold for Joint Committee on Taxation review of C corporation return</header>
<subsection id="H80E6FACD6DF54F29BFCF1F9EBF660E0B"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsections (a) and (b) of section 6405 are each amended by inserting <quote>($5,000,000 in the case of a C corporation)</quote> after <quote>$2,000,000</quote>.</text> </subsection>
<subsection id="H0D9ADFDBF02B450CB518E17CF8CBBC5F"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall take effect on the date of the enactment of this Act, except that such amendment shall not apply with respect to any refund or credit with respect to a report that has been made before such date under <external-xref legal-doc="usc" parsable-cite="usc/26/6405">section 6405</external-xref> of the Internal Revenue Code of 1986.</text> </subsection></section>
<enum>IV</enum><header>Budgetary effects</header>
<section id="H8E9C964B8AA741FEA74E6A5801F31077"><enum>401.</enum><header>Budgetary effects</header>
<subsection commented="no" id="HFC030846A5464D9EB604449564FF6276"><enum>(a)</enum><header>Paygo scorecard</header><text>The budgetary effects of this Act shall not be entered on either PAYGO scorecard maintained pursuant to section 4(d) of the Statutory Pay-As-You-Go Act of 2010.</text> </subsection>
<subsection commented="no" id="H85D738F113594541BB56BC192C6A74ED"><enum>(b)</enum><header>Senate paygo scorecard</header><text>The budgetary effects of this Act shall not be entered on any PAYGO scorecard maintained for purposes of section 201 of S. Con. Res. 21 (110th Congress).</text> </subsection></section>
BAchieving a Better Life Experience Act of 2014
1.
(a)This division may be cited as the Stephen Beck, Jr., Achieving a Better Life Experience Act of 2014
or the Stephen Beck, Jr., ABLE Act of 2014
.
(b)Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986.
<enum>I</enum><header>Qualified Able Programs</header>
<section id="H89D951146AD348188CDBC12F9AD438AF"><enum>101.</enum><header>Purposes</header><text display-inline="no-display-inline">The purposes of this title are as follows:</text>
<paragraph commented="no" display-inline="no-display-inline" id="HE8532064DE01414FB67B112B4597468D"><enum>(1)</enum><text>To encourage and assist individuals and families in saving private funds for the purpose of supporting individuals with disabilities to maintain health, independence, and quality of life.</text></paragraph>
<paragraph commented="no" display-inline="no-display-inline" id="H7109F02792EE458C9242C2BC5F7D1032"><enum>(2)</enum><text>To provide secure funding for disability-related expenses on behalf of designated beneficiaries with disabilities that will supplement, but not supplant, benefits provided through private insurance, the Medicaid program under title XIX of the Social Security Act, the supplemental security income program under title XVI of such Act, the beneficiary’s employment, and other sources.</text></paragraph></section>
<section id="HE25366636F3E4B3482773549317F418F"><enum>102.</enum><header>Qualified ABLE programs</header>
<subsection id="H105896C8242A457D8623A4C833656E2F"><enum>(a)</enum><header>In general</header><text>Subchapter F of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by inserting after section 529 the following new section:</text>
<quoted-block style="OLC" id="H867ABBD9E0184577BCE3A1C9A62043AC" display-inline="no-display-inline">
<section id="HEE6EFB4483074DD6A5F76C1B49D45073"><enum>529A.</enum><header>Qualified ABLE programs</header>
<subsection id="H05BF42974B254AE19FA93E56555A3394"><enum>(a)</enum><header>General rule</header><text>A qualified ABLE program shall be exempt from taxation under this subtitle. Notwithstanding the preceding sentence, such program shall be subject to the taxes imposed by section 511 (relating to imposition of tax on unrelated business income of charitable organizations).</text></subsection>
<subsection id="H759515D42B654BA7A54243C830117F90"><enum>(b)</enum><header>Qualified ABLE program</header><text>For purposes of this section—</text>
<paragraph id="H5AFD5576D0124A388F237D66E3D32B4F" display-inline="no-display-inline"><enum>(1)</enum><header>In general</header><text>The term <term>qualified ABLE program</term> means a program established and maintained by a State, or agency or instrumentality thereof—</text>
<subparagraph id="H5E90DB87413C4727AD2EE126FDEBE3AE"><enum>(A)</enum><text>under which a person may make contributions for a taxable year, for the benefit of an individual who is an eligible individual for such taxable year, to an ABLE account which is established for the purpose of meeting the qualified disability expenses of the designated beneficiary of the account,</text></subparagraph>
<subparagraph id="HA3F5975EAC4D426F8E2CE5FA72EFA7CA" commented="no"><enum>(B)</enum><text display-inline="yes-display-inline">which limits a designated beneficiary to 1 ABLE account for purposes of this section,</text></subparagraph>
<subparagraph id="H7C667FA4606745968A69332DFB6D171C"><enum>(C)</enum><text>which allows for the establishment of an ABLE account only for a designated beneficiary who is a resident of such State or a resident of a contracting State, and</text></subparagraph>
<subparagraph id="H7615052AED8B4F0394DA4E9B29AD9464"><enum>(D)</enum><text display-inline="yes-display-inline">which meets the other requirements of this section.</text></subparagraph></paragraph>
<paragraph id="H653638768367425FB5D05E7B0D3A1DFC"><enum>(2)</enum><header>Cash contributions</header><text>A program shall not be treated as a qualified ABLE program unless it provides that no contribution will be accepted—</text>
<subparagraph id="H2635288210BD45AB85176C2A37EB5DDB" commented="no"><enum>(A)</enum><text>unless it is in cash, or</text></subparagraph>
<subparagraph id="HD67C8E775A5D4DE695CCAD8A553B3830" commented="no"><enum>(B)</enum><text>except in the case of contributions under subsection (c)(1)(C), if such contribution to an ABLE account would result in aggregate contributions from all contributors to the ABLE account for the taxable year exceeding the amount in effect under section 2503(b) for the calendar year in which the taxable year begins.</text></subparagraph><continuation-text continuation-text-level="paragraph">For purposes of this paragraph, rules similar to the rules of section 408(d)(4) (determined without regard to subparagraph (B) thereof) shall apply.</continuation-text></paragraph>
<paragraph id="HF2E8EBD7042E47E19C4A62ECB0E0E2D7"><enum>(3)</enum><header>Separate accounting</header><text>A program shall not be treated as a qualified ABLE program unless it provides separate accounting for each designated beneficiary.</text></paragraph>
<paragraph id="HA267244738404C22B0044E4CAEBCAB84"><enum>(4)</enum><header>Limited investment direction</header><text display-inline="yes-display-inline">A program shall not be treated as a qualified ABLE program unless it provides that any designated beneficiary under such program may, directly or indirectly, direct the investment of any contributions to the program (or any earnings thereon) no more than 2 times in any calendar year.</text></paragraph>
<paragraph id="HA31C8832C21343D093B938006FBDA13A"><enum>(5)</enum><header>No pledging of interest as security</header><text>A program shall not be treated as a qualified ABLE program if it allows any interest in the program or any portion thereof to be used as security for a loan.</text></paragraph>
<paragraph id="H9DA51A79BF754A91AA6702608CDB426A"><enum>(6)</enum><header>Prohibition on excess contributions</header><text display-inline="yes-display-inline">A program shall not be treated as a qualified ABLE program unless it provides adequate safeguards to prevent aggregate contributions on behalf of a designated beneficiary in excess of the limit established by the State under section 529(b)(6). For purposes of the preceding sentence, aggregate contributions include contributions under any prior qualified ABLE program of any State or agency or instrumentality thereof.</text></paragraph></subsection>
<subsection id="H9AF602D1417B42FA8EF1F2778086E2FE"><enum>(c)</enum><header>Tax treatment</header>
<paragraph id="HC518A2FCE7164F80A889375F95E716C2"><enum>(1)</enum><header>Distributions</header>
<subparagraph id="H633E717AE5404B7CA98457CEE4852128"><enum>(A)</enum><header>In general</header><text>Any distribution under a qualified ABLE program shall be includible in the gross income of the distributee in the manner as provided under section 72 to the extent not excluded from gross income under any other provision of this chapter.</text></subparagraph>
<subparagraph id="H772085F44D6E441592DDB613798E0699"><enum>(B)</enum><header>Distributions for qualified disability expenses</header><text>For purposes of this paragraph, if distributions from a qualified ABLE program—</text>
<clause id="HA1227326F6204DA99F4F70D0432451D8" commented="no"><enum>(i)</enum><text>do not exceed the qualified disability expenses of the designated beneficiary, no amount shall be includible in gross income, and</text></clause>
<clause id="HEA58422A5BA2422CB87EF5C5C0D15B85" commented="no"><enum>(ii)</enum><text>in any other case, the amount otherwise includible in gross income shall be reduced by an amount which bears the same ratio to such amount as such expenses bear to such distributions.</text></clause></subparagraph>
<subparagraph id="HC4015850F83642E1878E444FAA4F6E0F"><enum>(C)</enum><header>Change in designated beneficiaries or programs</header>
<clause id="HDFF00871B51C496A99B010CF16A5EC59" display-inline="no-display-inline"><enum>(i)</enum><header>Rollovers from ABLE accounts</header><text display-inline="yes-display-inline">Subparagraph (A) shall not apply to any amount paid or distributed from an ABLE account to the extent that the amount received is paid, not later than the 60th day after the date of such payment or distribution, into another ABLE account for the benefit of the same designated beneficiary or an eligible individual who is a family member of the designated beneficiary.</text></clause>
<clause id="H4647295AAEAF4F1B9E93D9163C2A5181"><enum>(ii)</enum><header>Change in designated beneficiaries</header><text>Any change in the designated beneficiary of an interest in a qualified ABLE program during a taxable year shall not be treated as a distribution for purposes of subparagraph (A) if the new beneficiary is an eligible individual for such taxable year and a member of the family of the former beneficiary.</text></clause>
<clause id="H1D78854C052546D294A8A0FBBAEA13A0"><enum>(iii)</enum><header>Limitation on certain rollovers</header><text>Clause (i) shall not apply to any transfer if such transfer occurs within 12 months from the date of a previous transfer to any qualified ABLE program for the benefit of the designated beneficiary.</text></clause></subparagraph>
<subparagraph id="H2BDD0961DC23473D8E7D4D31DB5F44B1"><enum>(D)</enum><header>Operating rules</header><text>For purposes of applying section 72—</text>
<clause id="H814AA0BAFB4545BEBF6C4C474A714B43"><enum>(i)</enum><text>except to the extent provided by the Secretary, all distributions during a taxable year shall be treated as one distribution, and</text></clause>
<clause id="HE5A038D4F95F403FB3A41319F85115D1"><enum>(ii)</enum><text>except to the extent provided by the Secretary, the value of the contract, income on the contract, and investment in the contract shall be computed as of the close of the calendar year in which the taxable year begins.</text></clause></subparagraph></paragraph>
<paragraph id="HD22B47CD5A3548878D596105D0A49D7C"><enum>(2)</enum><header>Gift tax rules</header><text>For purposes of chapters 12 and 13—</text>
<subparagraph id="H522F2492F088499BB100954AC3B96B83"><enum>(A)</enum><header>Contributions</header><text display-inline="yes-display-inline">Any contribution to a qualified ABLE program on behalf of any designated beneficiary—</text>
<clause id="HB5FF7928683946828914EDF71DA73632"><enum>(i)</enum><text>shall be treated as a completed gift to such designated beneficiary which is not a future interest in property, and</text></clause>
<clause id="H6DCBFB2F55494D15BB021D3890CB847D"><enum>(ii)</enum><text>shall not be treated as a qualified transfer under section 2503(e).</text></clause></subparagraph>
<subparagraph id="HF987567873634E1EA364804929834FD9"><enum>(B)</enum><header>Treatment of distributions</header><text display-inline="yes-display-inline">In no event shall a distribution from an ABLE account to such account’s designated beneficiary be treated as a taxable gift.</text></subparagraph>
<subparagraph id="H76B8B666D00747898B0A5B468C870268"><enum>(C)</enum><header>Treatment of transfer to new designated beneficiary</header><text>The taxes imposed by chapters 12 and 13 shall not apply to a transfer by reason of a change in the designated beneficiary under subsection (c)(1)(C).</text></subparagraph></paragraph>
<paragraph id="H6D0F013D0169499B8E104C4ED7414275"><enum>(3)</enum><header>Additional tax for distributions not used for disability expenses</header>
<subparagraph id="HA043991F4BB94F2785C14635EF52F326"><enum>(A)</enum><header>In general</header><text>The tax imposed by this chapter for any taxable year on any taxpayer who receives a distribution from a qualified ABLE program which is includible in gross income shall be increased by 10 percent of the amount which is so includible.</text></subparagraph>
<subparagraph id="H9AE45670E12745379EFF63FB3F6DB06D"><enum>(B)</enum><header>Exception</header><text>Subparagraph (A) shall not apply if the payment or distribution is made to a beneficiary (or to the estate of the designated beneficiary) on or after the death of the designated beneficiary.</text></subparagraph>
<subparagraph id="H19E6512EED9F43AB9AA895766658C871" commented="no"><enum>(C)</enum><header>Contributions returned before certain date</header><text>Subparagraph (A) shall not apply to the distribution of any contribution made during a taxable year on behalf of the designated beneficiary if—</text>
<clause id="H3643A755552649AEAE98B6212AFF5253"><enum>(i)</enum><text display-inline="yes-display-inline">such distribution is received on or before the day prescribed by law (including extensions of time) for filing such designated beneficiary’s return for such taxable year, and</text></clause>
<clause id="H05F3D107CE0D4FD0A81A6E4E08ECD4EB" commented="no"><enum>(ii)</enum><text>such distribution is accompanied by the amount of net income attributable to such excess contribution.</text></clause><continuation-text continuation-text-level="subparagraph">Any net income described in clause (ii) shall be included in gross income for the taxable year in which such excess contribution was made.</continuation-text></subparagraph></paragraph>
<paragraph id="H803AB10986E349EAA9085BD69B203EE0" commented="no"><enum>(4)</enum><header>Loss of ABLE account treatment</header><text display-inline="yes-display-inline">If an ABLE account is established for a designated beneficiary, no account subsequently established for such beneficiary shall be treated as an ABLE account. The preceding sentence shall not apply in the case of an account established for purposes of a rollover described in paragraph (1)(C)(i) of this section if the transferor account is closed as of the end of the 60th day referred to in paragraph (1)(C)(i).</text></paragraph></subsection>
<subsection id="H7A55157F3D634AF98078ADC7680ED167" commented="no"><enum>(d)</enum><header>Reports</header>
<paragraph id="HB402252607DE4740877A14E94788417F"><enum>(1)</enum><header>In general</header><text>Each officer or employee having control of the qualified ABLE program or their designee shall make such reports regarding such program to the Secretary and to designated beneficiaries with respect to contributions, distributions, the return of excess contributions, and such other matters as the Secretary may require.</text></paragraph>
<paragraph id="H46C519A2D3A346AF84F498277271D28F"><enum>(2)</enum><header>Certain aggregated information</header><text display-inline="yes-display-inline">For research purposes, the Secretary shall make available to the public reports containing aggregate information, by diagnosis and other relevant characteristics, on contributions and distributions from the qualified ABLE program. In carrying out the preceding sentence an item may not be made available to the public if such item can be associated with, or otherwise identify, directly or indirectly, a particular individual.</text></paragraph>
<paragraph id="H33B8B4283A704D139B374BF6BB07C19B"><enum>(3)</enum><header>Notice of establishment of ABLE account</header><text display-inline="yes-display-inline">A qualified ABLE program shall submit a notice to the Secretary upon the establishment of an ABLE account. Such notice shall contain the name and State of residence of the designated beneficiary and such other information as the Secretary may require.</text></paragraph>
<paragraph id="H02EF3B40F04F41B0BE016B631AA0CCD7"><enum>(4)</enum><header>Electronic distribution statements</header><text>For purposes of section 4 of the <short-title>Achieving a Better Life Experience Act of 2014</short-title>, States shall submit electronically on a monthly basis to the Commissioner of Social Security, in the manner specified by the Commissioner, statements on relevant distributions and account balances from all ABLE accounts.</text></paragraph>
<paragraph id="HCB2C24851730406DA268007091A455EF"><enum>(5)</enum><header>Requirements</header><text>The reports and notices required by paragraphs (1), (2), and (3) shall be filed at such time and in such manner and furnished to such individuals at such time and in such manner as may be required by the Secretary.</text></paragraph></subsection>
<subsection id="H4CBF993786DA4A9AA0AD2ECB6FD04D80"><enum>(e)</enum><header>Other definitions and special rules</header><text>For purposes of this section—</text>
<paragraph id="H57BE10A3D1D44FE1AC83742435C9D31F"><enum>(1)</enum><header>Eligible individual</header><text>An individual is an eligible individual for a taxable year if during such taxable year—</text>
<subparagraph id="H8F1A04D0C6494609881E332A9B4BF140"><enum>(A)</enum><text>the individual is entitled to benefits based on blindness or disability under title II or XVI of the Social Security Act, and such blindness or disability occurred before the date on which the individual attained age 26, or</text></subparagraph>
<subparagraph id="H833C0CC2D69E46969BEB5F18A56AEE25"><enum>(B)</enum><text>a disability certification with respect to such individual is filed with the Secretary for such taxable year.</text></subparagraph></paragraph>
<paragraph id="HD5EDD86C9D75409FA6481D4CDA349DCD"><enum>(2)</enum><header>Disability certification</header>
<subparagraph id="HC28E2870FECF49D9831B560876F1B1B0"><enum>(A)</enum><header>In general</header><text>The term <quote>disability certification</quote> means, with respect to an individual, a certification to the satisfaction of the Secretary by the individual or the parent or guardian of the individual that—</text>
<clause id="HE0BB634969124B2F91F838D43B05BA9D"><enum>(i)</enum><text>certifies that—</text>
<subclause id="H9BA2E4DC6B2D48C4A99073025B3A1DEE"><enum>(I)</enum><text>the individual has a medically determinable physical or mental impairment, which results in marked and severe functional limitations, and which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months, or is blind (within the meaning of section 1614(a)(2) of the Social Security Act), and</text></subclause>
<subclause id="HB30FB4FE930F48DD985BC1502DB79F1E"><enum>(II)</enum><text>such blindness or disability occurred before the date on which the individual attained age 26, and</text></subclause></clause>
<clause id="H5FFA3EF4D241439D9FBC9EA748420953"><enum>(ii)</enum><text>includes a copy of the individual’s diagnosis relating to the individual’s relevant impairment or impairments, signed by a physician meeting the criteria of section 1861(r)(1) of the Social Security Act.</text></clause></subparagraph>
<subparagraph id="HA3A5F8AF87B641E79D44B052A99D16DC"><enum>(B)</enum><header>Restriction on use of certification</header><text display-inline="yes-display-inline">No inference may be drawn from a disability certification for purposes of establishing eligibility for benefits under title II, XVI, or XIX of the Social Security Act.</text></subparagraph></paragraph>
<paragraph id="H00B96F4873F245A8AEE79739B0DC04F2"><enum>(3)</enum><header>Designated beneficiary</header><text>The term <quote>designated beneficiary</quote> in connection with an ABLE account established under a qualified ABLE program means the eligible individual who established an ABLE account and is the owner of such account.</text></paragraph>
<paragraph id="H98D56D30C761475AA6AB27F7AC5CFC7A"><enum>(4)</enum><header>Member of family</header><text>The term <quote>member of the family</quote> means, with respect to any designated beneficiary, an individual who bears a relationship to such beneficiary which is described in subparagraph section 152(d)(2)(B). For purposes of the preceding sentence, a rule similar to the rule of section 152(f)(1)(B) shall apply.</text></paragraph>
<paragraph id="H978F47ADFCF34BE285CE0350F5F89621" display-inline="no-display-inline"><enum>(5)</enum><header>Qualified disability expenses</header><text>The term <term>qualified disability expenses</term> means any expenses related to the eligible individual’s blindness or disability which are made for the benefit of an eligible individual who is the designated beneficiary, including the following expenses: education, housing, transportation, employment training and support, assistive technology and personal support services, health, prevention and wellness, financial management and administrative services, legal fees, expenses for oversight and monitoring, funeral and burial expenses, and other expenses, which are approved by the Secretary under regulations and consistent with the purposes of this section.</text></paragraph>
<paragraph id="HB139DC0C9CF24B69BC2CE22AEADCBB4A"><enum>(6)</enum><header>ABLE account</header><text>The term <quote>ABLE account</quote> means an account established by an eligible individual, owned by such eligible individual, and maintained under a qualified ABLE program.</text></paragraph>
<paragraph id="H61DF1E98723A4B76AAD99A8DCA4C8CCD"><enum>(7)</enum><header>Contracting State</header><text display-inline="yes-display-inline">The term <quote>contracting State</quote> means a State without a qualified ABLE program which has entered into a contract with a State with a qualified ABLE program to provide residents of the contracting State access to a qualified ABLE program.</text></paragraph></subsection>
<subsection id="H8F353E9A3F474989BEB1158FFEE1028C" display-inline="no-display-inline"><enum>(f)</enum><header>Transfer to State</header><text display-inline="yes-display-inline">Subject to any outstanding payments due for qualified disability expenses, upon the death of the designated beneficiary, all amounts remaining in the qualified ABLE account not in excess of the amount equal to the total medical assistance paid for the designated beneficiary after the establishment of the account, net of any premiums paid from the account or paid by or on behalf of the beneficiary to a Medicaid Buy-In program under any State Medicaid plan established under title XIX of the Social Security Act, shall be distributed to such State upon filing of a claim for payment by such State. For purposes of this paragraph, the State shall be a creditor of an ABLE account and not a beneficiary. Subsection (c)(3) shall not apply to a distribution under the preceding sentence.</text></subsection>
<subsection id="H4DCB1D831FBE4A6A933960031C22BE09"><enum>(g)</enum><header>Regulations</header><text>The Secretary shall prescribe such regulations or other guidance as the Secretary determines necessary or appropriate to carry out the purposes of this section, including regulations—</text>
<paragraph id="H510A5BC728BA4856B838664382D1009D"><enum>(1)</enum><text>to enforce the 1 ABLE account per eligible individual limit,</text></paragraph>
<paragraph id="H4962EA06C80142C09BA9F306AE66D0D7"><enum>(2)</enum><text>providing for the information required to be presented to open an ABLE account,</text></paragraph>
<paragraph id="HDE151E6B4A3C4D78B6BB46C06DE3344C"><enum>(3)</enum><text>to generally define qualified disability expenses,</text></paragraph>
<paragraph id="HD0701AFF1A724740A263E341E51FBFA0"><enum>(4)</enum><text>developed in consultation with the Commissioner of Social Security, relating to disability certifications and determinations of disability, including those conditions deemed to meet the requirements of subsection (e)(1)(B),</text></paragraph>
<paragraph id="H451FB44B5C1E471E80ADD2F3DCF5B8C8"><enum>(5)</enum><text>to prevent fraud and abuse with respect to amounts claimed as qualified disability expenses,</text></paragraph>
<paragraph id="H295B6321FB1748C39D5130C1EBA695D5"><enum>(6)</enum><text>under chapters 11, 12, and 13 of this title, and</text></paragraph>
<paragraph id="H84B3863EA8BF495CBA25B3C167E883D6"><enum>(7)</enum><text>to allow for transfers from one ABLE account to another ABLE account.</text></paragraph></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HFBFF02BC85F84FDE9156EEBB203C76C9"><enum>(b)</enum><header>Tax on excess contributions</header>
<paragraph id="HF270DD873B024EF5B3308EF3D9AA8D93"><enum>(1)</enum><header>In general</header><text>Subsection (a) of section 4973 (relating to tax on excess contributions to certain tax-favored accounts and annuities) is amended by striking <quote>or</quote> at the end of paragraph (4), by inserting <quote>or</quote> at the end of paragraph (5), and by inserting after paragraph (5) the following new paragraph:</text>
<quoted-block id="HC97F009C6B42472B818F476FC7A2B089">
<paragraph id="H8FC8E1DB44CD456791341C45061592AC"><enum>(6)</enum><text display-inline="yes-display-inline">an ABLE account (within the meaning of section 529A),</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H807EDED6E8784DA99D9BFEA48935031D"><enum>(2)</enum><header>Excess contribution</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/4973">Section 4973</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block id="HB633718361A943AF96821E46EF038CDA">
<subsection id="HED3DC661DD734FE3A5457F5D1E1758B6"><enum>(h)</enum><header>Excess contributions to ABLE account</header><text>For purposes of this section—</text>
<paragraph id="H1FA21DC41E45418D802326DED87591C4"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">In the case of an ABLE account (within the meaning of section 529A), the term <term>excess contributions</term> means the amount by which the amount contributed for the taxable year to such account (other than contributions under section 529A(c)(1)(C)) exceeds the contribution limit under section 529A(b)(2)(B).</text></paragraph>
<paragraph id="H2D0B43860F46425884C70412C9347DAE"><enum>(2)</enum><header>Special rule</header><text>For purposes of this subsection, any contribution which is distributed out of the ABLE account in a distribution to which the last sentence of section 529A(b)(2) applies shall be treated as an amount not contributed.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H9CBE9B1F6CB14A3499B3294451D0B787"><enum>(c)</enum><header>Penalty for failure to file reports</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6693">Section 6693(a)(2)</external-xref> is amended by striking <quote>and</quote> at the end of subparagraph (D), by redesignating subparagraph (E) as subparagraph (F), and by inserting after subparagraph (D) the following:</text>
<quoted-block style="OLC" id="HAFE5EDBF5C5C48299F8510A4E2E438D7" display-inline="no-display-inline">
<subparagraph id="H5BD2CDB0E2944702BF136EE7C6E4E6BF"><enum>(E)</enum><text display-inline="yes-display-inline">section 529A(d) (relating to qualified ABLE programs), and</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HAC882F3904B14B61B4FF9382F8807EF6"><enum>(d)</enum><header>Records</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/5/552a">Section 552a(a)(8)(B)</external-xref> of title 5, United States Code, is amended—</text>
<paragraph id="H8BC1248E52094E15B8A118CFD2B43290"><enum>(1)</enum><text>in clause (viii), by striking <quote>or</quote> at the end;</text></paragraph>
<paragraph id="H4755EEA2214A4790A8E76CC0E27037D6"><enum>(2)</enum><text>in clause (ix), by adding <quote>or</quote> at the end; and</text></paragraph>
<paragraph id="H8305986FD3CD486C9E8F0D467188465A"><enum>(3)</enum><text>by adding at the end the following new clause:</text>
<quoted-block style="OLC" id="HF13985F471D949538766D820E161A4F7" display-inline="no-display-inline">
<clause id="HC8790E4830904CEFB365B7908F89F059"><enum>(x)</enum><text display-inline="yes-display-inline">matches performed pursuant to section 3(d)(4) of the Achieving a Better Life Experience Act of 2014;</text></clause><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="HC89795EC038D4EF1B5C52E0BBD1AE2A9"><enum>(e)</enum><header>Other conforming amendments</header>
<paragraph id="HED33418E5D6A487884F98F09777AE884"><enum>(1)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/26">Section 26(b)(2)</external-xref> is amended by striking <quote>and</quote> at the end of subparagraph (W), by striking the period at the end of subparagraph (X) and inserting <quote>, and</quote>, and by inserting after subparagraph (X) the following:</text>
<quoted-block style="OLC" id="H527A4CBE266B4323A5AB0D397675A46B" display-inline="no-display-inline">
<subparagraph id="HAEF1FE2C444548568920510E41C2FFBE"><enum>(Y)</enum><text display-inline="yes-display-inline">section 529A(c)(3)(A) (relating to additional tax on ABLE account distributions not used for qualified disability expenses).</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H246DA8BDEA2042C4A37430B61F83BF1C"><enum>(2)</enum><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/877A">Section 877A</external-xref> is amended—</text>
<subparagraph id="HA4C3C0C1E545453C8E1768C9DE05DF6C"><enum>(A)</enum><text>in subsection (e)(2) by inserting <quote>a qualified ABLE program (as defined in section 529A),</quote> after <quote>529),</quote>, and</text></subparagraph>
<subparagraph id="H6EA9B9E3B38E4ACB8850F2ACDAF518A0"><enum>(B)</enum><text>in subsection (g)(6) by inserting <quote>529A(c)(3),</quote> after <quote>529(c)(6),</quote>.</text></subparagraph></paragraph>
<paragraph id="H5E07D9191DF047CABADBF7AF40B01BBC"><enum>(3)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/4965">Section 4965(c)</external-xref> is amended by striking <quote>or</quote> at the end of paragraph (6), by striking the period at the end of paragraph (7) and inserting <quote>, or</quote>, and by inserting after paragraph (7) the following new paragraph:</text>
<quoted-block style="OLC" id="HE5228B0204E24DAEB20B0AE326BB703A" display-inline="no-display-inline">
<paragraph id="H8C131E5587DF4775B94A8ADE2D660BE4"><enum>(8)</enum><text display-inline="yes-display-inline">a program described in section 529A.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H78C88A9F8EB74C8985E5FBAEFFE81D16"><enum>(4)</enum><text>The heading for part VIII of subchapter F of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by striking <quote><header-in-text level="part" style="OLC">Higher Education</header-in-text></quote> and inserting <quote><header-in-text level="part" style="OLC">Certain</header-in-text></quote>.</text></paragraph>
<paragraph id="HA65F471A3BEF468F9CE8E2338BEDBA43"><enum>(5)</enum><text>The item in the table of parts for subchapter F of chapter 1 relating to part VIII is amended to read as follows:</text>
<quoted-block style="OLC" id="HF86B82F14E83427DA52F46E43E9D8A8D" display-inline="no-display-inline">
<toc regeneration="no-regeneration">
<toc-entry level="part">Part VIII. Certain Savings Entities.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H4EC6120D234140EEAFA4CAA3F99112A1"><enum>(6)</enum><text>The table of sections for part VIII of subchapter F of <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/1">chapter 1</external-xref> is amended by inserting after the item relating to section 529 the following new item:</text>
<quoted-block style="OLC" id="H707994C349C84266B0D43C5248E086BC" display-inline="no-display-inline">
<toc container-level="quoted-block-container" quoted-block="no-quoted-block" lowest-level="section" idref="H867ABBD9E0184577BCE3A1C9A62043AC" regeneration="yes-regeneration" lowest-bolded-level="division-lowest-bolded">
<toc-entry idref="HEE6EFB4483074DD6A5F76C1B49D45073" level="section">Sec. 529A. Qualified ABLE programs.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H61943510E6AD41CEB9208B9F617DCA4C"><enum>(7)</enum><text display-inline="yes-display-inline">Paragraph (4) of section 1027(g) of the Consumer Financial Protection Act of 2010 (<external-xref legal-doc="usc" parsable-cite="usc/12/5517">12 U.S.C. 5517(g)(4)</external-xref>) is amended by inserting <quote>, 529A</quote> after <quote>529</quote>.</text></paragraph></subsection>
<subsection id="H56CF5D235C264353A70A9C4638567BB8"><enum>(f)</enum><header>Effective date</header>
<paragraph id="H50663E995F264FCC90516A3B55587A5C"><enum>(1)</enum><header>In general</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2014.</text></paragraph>
<paragraph id="HE3E507F89F18428AA404B7195321333D"><enum>(2)</enum><header>Regulations</header><text display-inline="yes-display-inline">The Secretary of the Treasury (or the Secretary’s designee) shall promulgate the regulations or other guidance required under <external-xref legal-doc="usc" parsable-cite="usc/26/529A">section 529A(g)</external-xref> of the Internal Revenue Code of 1986, as added by subsection (a), not later than 6 months after the date of the enactment of this Act.</text></paragraph></subsection></section>
<section commented="no" display-inline="no-display-inline" id="HC225BAA081CB4C82A5E4A4F4E1C93279"><enum>103.</enum><header>Treatment of ABLE accounts under certain Federal programs</header>
<subsection commented="no" display-inline="no-display-inline" id="HBDEF4CE8FF004CDAB935EB7710185A59"><enum>(a)</enum><header>Account funds disregarded for purposes of certain other means-Tested Federal programs</header><text display-inline="yes-display-inline">Notwithstanding any other provision of Federal law that requires consideration of 1 or more financial circumstances of an individual, for the purpose of determining eligibility to receive, or the amount of, any assistance or benefit authorized by such provision to be provided to or for the benefit of such individual, any amount (including earnings thereon) in the ABLE account (within the meaning of <external-xref legal-doc="usc" parsable-cite="usc/26/529A">section 529A</external-xref> of the Internal Revenue Code of 1986) of such individual, any contributions to the ABLE account of the individual, and any distribution for qualified disability expenses (as defined in subsection (e)(5) of such section) shall be disregarded for such purpose with respect to any period during which such individual maintains, makes contributions to, or receives distributions from such ABLE account, except that, in the case of the supplemental security income program under title XVI of the Social Security Act—</text>
<paragraph id="H713E268FC0A845AC8AA6D06113BAC019"><enum>(1)</enum><text>a distribution for housing expenses (within the meaning of such subsection) shall not be so disregarded, and</text></paragraph>
<paragraph id="H13E61676C3244B5F80326D4B16D948FE"><enum>(2)</enum><text>in the case of such program, any amount (including such earnings) in such ABLE account shall be considered a resource of the designated beneficiary to the extent that such amount exceeds $100,000.</text></paragraph></subsection>
<subsection id="HA13D940675F14C03BFA9D8BC17F2DC59"><enum>(b)</enum><header>Suspension of SSI benefits during periods of excessive account funds</header>
<paragraph id="HEC2B3C593C0A4A128F2CAF655284146D"><enum>(1)</enum><header>In general</header><text>The benefits of an individual under the supplemental security income program under title XVI of the Social Security Act shall not be terminated, but shall be suspended, by reason of excess resources of the individual attributable to an amount in the ABLE account (within the meaning of <external-xref legal-doc="usc" parsable-cite="usc/26/529A">section 529A</external-xref> of the Internal Revenue Code of 1986) of the individual not disregarded under subsection (a) of this section.</text></paragraph>
<paragraph id="H6634BF0C7E82491B87033F5BFCF78E52"><enum>(2)</enum><header>No impact on Medicaid eligibility</header><text>An individual who would be receiving payment of such supplemental security income benefits but for the application of paragraph (1) shall be treated for purposes of title XIX of the Social Security Act as if the individual continued to be receiving payment of such benefits.</text></paragraph></subsection>
<subsection id="HA3810EE201EC4FFD94ABB3DE3C3D2083"><enum>(c)</enum><header>Effective date</header><text>This section shall take effect on the date of the enactment of this Act.</text></subsection></section>
<section id="H7AAC6C990595434880DCE4E74BFAE0E1"><enum>104.</enum><header>Treatment of able accounts in bankruptcy</header>
<subsection id="H8EC0FC961ACC45319BFDA3C543E80FD5"><enum>(a)</enum><header>Exclusion from property of the estate</header><text>Section 541(b) of the title 11, United States Code, is amended—</text>
<paragraph id="H5E4D02395BBE47BB9DA8F098741B96FB"><enum>(1)</enum><text>in paragraph (8), by striking <quote>or</quote> at the end;</text></paragraph>
<paragraph id="HCFE9C200F27F4DF6AE6F5C9F98A1E2C0"><enum>(2)</enum><text>in paragraph (9), by striking the period at the end and inserting a semicolon and <quote>or</quote>; and</text></paragraph>
<paragraph id="HC71D46B4E7444AF7907BF3F2249A0F25"><enum>(3)</enum><text>by inserting after paragraph (9) the following:</text>
<quoted-block id="H27F0CF9AAD3947E0B93AD3EF098CACAB" style="OLC">
<paragraph id="H4F922A7B82D247149448CCEE3D917E02"><enum>(10)</enum><text>funds placed in an account of a qualified ABLE program (as defined in <external-xref legal-doc="usc" parsable-cite="usc/26/529A">section 529A(b)</external-xref> of the Internal Revenue Code of 1986) not later than 365 days before the date of the filing of the petition in a case under this title, but—</text>
<subparagraph id="H47574C978BAA40CDA4E29F2DE90B1BEB"><enum>(A)</enum><text>only if the designated beneficiary of such account was a child, stepchild, grandchild, or stepgrandchild of the debtor for the taxable year for which funds were placed in such account;</text></subparagraph>
<subparagraph id="H5C326AD6305945D88AEEC41494CDF8BC"><enum>(B)</enum><text>only to the extent that such funds—</text>
<clause id="H11BE5703FF134BD28B137BF6FF471D96"><enum>(i)</enum><text>are not pledged or promised to any entity in connection with any extension of credit; and</text></clause>
<clause id="H54BF9943BCF9477B8EB074FDCD7AFCD8"><enum>(ii)</enum><text>are not excess contributions (as described in <external-xref legal-doc="usc" parsable-cite="usc/26/4973">section 4973(h)</external-xref> of the Internal Revenue Code of 1986); and</text></clause></subparagraph>
<subparagraph id="H90B673467D6F4D3A8A6FC6EC3128B564"><enum>(C)</enum><text>in the case of funds placed in all such accounts having the same designated beneficiary not earlier than 720 days nor later than 365 days before such date, only so much of such funds as does not exceed $6,225.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H5125131E4A114D7792C2DD80435ED5DE"><enum>(b)</enum><header>Debtor’s monthly expenses</header><text><external-xref legal-doc="usc" parsable-cite="usc/11/707">Section 707(b)(2)(A)(ii)(II)</external-xref> of title 11, United States Code, is amended by adding at the end <quote>Such monthly expenses may include, if applicable, contributions to an account of a qualified ABLE program to the extent such contributions are not excess contributions (as described in <external-xref legal-doc="usc" parsable-cite="usc/26/4973">section 4973(h)</external-xref> of the Internal Revenue Code of 1986) and if the designated beneficiary of such account is a child, stepchild, grandchild, or stepgrandchild of the debtor.</quote>.</text></subsection>
<subsection id="HDDD59F6C475F4978A620F139BEF5B6C8"><enum>(c)</enum><header>Record of debtor’s interest</header><text><external-xref legal-doc="usc" parsable-cite="usc/11/521">Section 521(c)</external-xref> of title 11, United States Code, is amended by inserting <quote>, an interest in an account in a qualified ABLE program (as defined in section 529A(b) of such Code,</quote> after <quote>Internal Revenue Code of 1986)</quote>.</text></subsection>
<subsection id="H6B5561CAEB3A499F8F176EFEACAB6EF6"><enum>(d)</enum><header>Effective date</header><text>The amendments made by this section shall apply with respect to cases commenced under title 11, United States Code, on or after the date of the enactment of this Act.</text></subsection></section>
<section id="H1FD39ED5F00346FC8CF914FD7EED3DDC"><enum>105.</enum><header>Investment direction rule for 529 plans</header>
<subsection id="HFB8A87609B614EF98DCA6B07547BE18E"><enum>(a)</enum><header>Amendments relating to investment direction rule for 529 plans</header>
<paragraph id="H4A64AAD0892A4473BA278251AFA75796"><enum>(1)</enum><text>Paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/529">section 529(b)</external-xref> is amended by striking <quote>may not directly or indirectly</quote> and all that follows and inserting <quote>may, directly or indirectly, direct the investment of any contributions to the program (or any earnings thereon) no more than 2 times in any calendar year.</quote>.</text></paragraph>
<paragraph id="H71DECB11090F41F092B1BCA151044A17"><enum>(2)</enum><text>The heading of paragraph (4) of <external-xref legal-doc="usc" parsable-cite="usc/26/529">section 529(b)</external-xref> is amended by striking <quote><header-in-text level="paragraph" style="OLC">No</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="OLC">Limited</header-in-text></quote>.</text></paragraph></subsection>
<subsection id="H564234FA92EB4F57890B56DA5A732D0A"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2014.</text></subsection></section>
<enum>II</enum><header>Offsets</header>
<section id="H246C5CD2E8674C798CC6B90B401D7253" section-type="subsequent-section"><enum>201.</enum><header>Correction to workers compensation offset age</header>
<subsection id="HA843EC442A234564976AD6CFB2D33B6F"><enum>(a)</enum><header>Retirement age</header><text display-inline="yes-display-inline">Section 224(a) of the Social Security Act (<external-xref legal-doc="usc" parsable-cite="usc/42/424a">42 U.S.C. 424a(a)</external-xref>) is amended, in the matter preceding paragraph (1), by striking <quote>the age of 65</quote> and inserting <quote>retirement age (as defined in section 216(l)(1))</quote>. </text></subsection>
<subsection id="H7C64170662A64EFFB6A043CF9C2AE41B"><enum>(b)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendment made by subsection (a) shall apply with respect to any individual who attains 65 years of age on or after the date that is 12 months after the date of the enactment of this Act.</text></subsection></section>
<section id="H2C2FDD4426574805B8AAB63FD27CF724" section-type="subsequent-section"><enum>202.</enum><header>Accelerated application of relative value targets for misvalued services in the Medicare physician fee schedule</header><text display-inline="no-display-inline">Section 1848(c) of the Social Security Act (<external-xref legal-doc="usc" parsable-cite="usc/42/1395w-4">42 U.S.C. 1395w–4(c)</external-xref>) is amended—</text>
<paragraph id="H50E910C2E92B4016BA6AC7B72834A999"><enum>(1)</enum><text display-inline="yes-display-inline">in subclause (VIII) of paragraph (2)(B)(v), as added by section 220(d)(2) of the Protecting Access to Medicare Act of 2014 (<external-xref legal-doc="public-law" parsable-cite="pl/113/93">Public Law 113–93</external-xref>)—</text>
<subparagraph id="H3D95AC655250438882CFAAF712DC1CAA"><enum>(A)</enum><text>by striking <quote>2017</quote> and inserting <quote>2016</quote>; and</text></subparagraph>
<subparagraph id="H2BF7324812374DFFAA7CD0FEE81A650D"><enum>(B)</enum><text>by redesignating such subclause as subclause (IX);</text></subparagraph></paragraph>
<paragraph id="HFA221C12042E41DA9286BE80983FCC35"><enum>(2)</enum><text display-inline="yes-display-inline">in paragraph (2)(O)—</text>
<subparagraph id="H88FEE8E8BE9F4CC9AA94D310ED27754C"><enum>(A)</enum><text>in the matter preceding clause (i), by striking <quote>2017 through 2020</quote> and inserting <quote>2016 through 2018</quote>;</text></subparagraph>
<subparagraph id="H8E44CA1CDC4D431F9A15E6620FE625D5"><enum>(B)</enum><text>in clause (iii), by striking <quote>2017</quote> and inserting <quote>2016</quote>; and</text></subparagraph>
<subparagraph id="HE670664F31204AED9CE0013B7F556909"><enum>(C)</enum><text>in clause (v), by inserting <quote>(or, for 2016, 1.0 percent)</quote> after <quote>0.5 percent</quote>; and</text></subparagraph></paragraph>
<paragraph id="H2B14988EA37C4402A78497AD66AA0272"><enum>(3)</enum><text display-inline="yes-display-inline">in paragraph (7), by striking <quote>2017</quote> and inserting <quote>2016</quote>.</text></paragraph></section>
<section id="H11C023BED1964373A3BDAEE0F1072946"><enum>203.</enum><header>Consistent treatment of vacuum erection systems in Medicare Parts B and D</header><text display-inline="no-display-inline"> Section 1834(a)(1) of the Social Security Act (<external-xref legal-doc="usc" parsable-cite="usc/42/1395m">42 U.S.C. 1395m(a)(1)</external-xref>) is amended by adding at the end the following new subparagraph:</text>
<quoted-block id="H0C5B9D3E7F1845FBB1465B7653B31E20" style="OLC">
<subparagraph id="HF64B5B31DAE646E5B301B1694E1FFB99"><enum>(I)</enum><header>Treatment of vacuum erection systems</header><text>Effective for items and services furnished on and after July 1, 2015, vacuum erection systems described as prosthetic devices described in section 1861(s)(8) shall be treated in the same manner as erectile dysfunction drugs are treated for purposes of section 1860D-2(e)(2)(A).</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></section>
<section id="HADBB09A5958F473AAA2FD9A959E2F84A"><enum>204.</enum><header>One-year delay of implementation of oral-only policy under Medicare ESRD prospective payment system</header><text display-inline="no-display-inline">Section 632(b)(1) of the American Taxpayer Relief Act of 2012 (<external-xref legal-doc="usc" parsable-cite="usc/42/1395rr">42 U.S.C. 1395rr</external-xref> note), as amended by section 217(a)(1) of the Protecting Access to Medicare Act of 2014 (<external-xref legal-doc="public-law" parsable-cite="pl/113/93">Public Law 113–93</external-xref>), is amended by striking <quote>2024</quote> and inserting <quote>2025</quote>.</text></section>
<section id="H8F55E4D818A445278AACCEEC0598E0F0"><enum>205.</enum><header>Modification relating to Inland Waterways Trust Fund financing rate</header>
<subsection id="H60057B18E4654D6AB7BCBB283AB203F7"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline"><external-xref legal-doc="usc" parsable-cite="usc/26/4042">Section 4042(b)(2)(A)</external-xref> is amended to read as follows:</text>
<quoted-block style="OLC" display-inline="no-display-inline" id="HBC23999C6E9943D8945D0BE2EB8C154B">
<subparagraph id="H990D5AC5357B4932A2C59164B45C4805"><enum>(A)</enum><text display-inline="yes-display-inline">The Inland Waterways Trust Fund financing rate is 29 cents per gallon.</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H60B4A704305E4162BE0F01B2D10BF23F"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to fuel used after March 31, 2015.</text></subsection></section>
<section id="H9E80EBB88CAF490A9FD10F0173C64D7F"><enum>206.</enum><header>Certified professional employer organizations</header>
<subsection id="HFC4499151E81453BBA760CECDDDDAD06"><enum>(a)</enum><header>Employment taxes</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/25">Chapter 25</external-xref> is amended by adding at the end the following new section:</text>
<quoted-block display-inline="no-display-inline" id="H20D50AE3B98F4BF0BC4D3B782F4B815E" style="OLC">
<section id="HFA8F7D07EA05414FACED5CE1D1793665"><enum>3511.</enum><header>Certified professional employer organizations</header>
<subsection id="HE1146BA935F0483889C5953B57006128"><enum>(a)</enum><header>General rules</header><text>For purposes of the taxes, and other obligations, imposed by this subtitle—</text>
<paragraph id="HEE8F5A7710C34F92B034AB08A8DAAE42"><enum>(1)</enum><text>a certified professional employer organization shall be treated as the employer (and no other person shall be treated as the employer) of any work site employee performing services for any customer of such organization, but only with respect to remuneration remitted by such organization to such work site employee, and</text></paragraph>
<paragraph id="H438E3AEC44FD4DE38F2D1F4CBD9B3390"><enum>(2)</enum><text>the exemptions, exclusions, definitions, and other rules which are based on type of employer and which would (but for paragraph (1)) apply shall apply with respect to such taxes imposed on such remuneration.</text></paragraph></subsection>
<subsection id="H5D7D04E3BBAB48418C84AF361E6F59AF"><enum>(b)</enum><header>Successor employer status</header><text>For purposes of sections 3121(a)(1), 3231(e)(2)(C), and 3306(b)(1)—</text>
<paragraph id="H1B067B7B05B94820A7117E0078064A73"><enum>(1)</enum><text>a certified professional employer organization entering into a service contract with a customer with respect to a work site employee shall be treated as a successor employer and the customer shall be treated as a predecessor employer during the term of such service contract, and</text></paragraph>
<paragraph id="H66E5FDEF2C1547ADBD3BC30D252F4260"><enum>(2)</enum><text>a customer whose service contract with a certified professional employer organization is terminated with respect to a work site employee shall be treated as a successor employer and the certified professional employer organization shall be treated as a predecessor employer.</text></paragraph></subsection>
<subsection id="HD77FB46575A54F41AFFBCF0E4875BD66"><enum>(c)</enum><header>Liability of certified professional employer organization</header><text>Solely for purposes of its liability for the taxes and other obligations imposed by this subtitle—</text>
<paragraph id="H1344CC860DD0497AA068D1062F87E6B1"><enum>(1)</enum><text>a certified professional employer organization shall be treated as the employer of any individual (other than a work site employee or a person described in subsection (f)) who is performing services covered by a contract meeting the requirements of section 7705(e)(2), but only with respect to remuneration remitted by such organization to such individual, and</text></paragraph>
<paragraph id="H143E9AB467A34EFD847F05577A68B4E3"><enum>(2)</enum><text>the exemptions, exclusions, definitions, and other rules which are based on type of employer and which would (but for paragraph (1)) apply shall apply with respect to such taxes imposed on such remuneration.</text></paragraph></subsection>
<subsection id="HB54966A06BDE4DA0A22849E747760A0E"><enum>(d)</enum><header>Treatment of credits</header>
<paragraph id="HE3424606FA8F4323873D482C4D907F9F"><enum>(1)</enum><header>In general</header><text>For purposes of any credit specified in paragraph (2)—</text>
<subparagraph id="H7BAF36A94233413DBE25A065057583E4"><enum>(A)</enum><text>such credit with respect to a work site employee performing services for the customer applies to the customer, not the certified professional employer organization,</text></subparagraph>
<subparagraph id="H78601FF112C543698B26A1210F9B914D"><enum>(B)</enum><text>the customer, and not the certified professional employer organization, shall take into account wages and employment taxes—</text>
<clause id="H8CCA63266BA34D96A28C5743BA47D52B"><enum>(i)</enum><text>paid by the certified professional employer organization with respect to the work site employee, and</text></clause>
<clause id="H9395F60034E84A54B7888EA7F5D6FCCC"><enum>(ii)</enum><text>for which the certified professional employer organization receives payment from the customer, and</text></clause></subparagraph>
<subparagraph id="HC5AC235FE0B94EF5B467B20F42916E2C" commented="no"><enum>(C)</enum><text>the certified professional employer organization shall furnish the customer and the Secretary with any information necessary for the customer to claim such credit.</text></subparagraph></paragraph>
<paragraph id="H75C2E391B8C04A3B90B2CEE74F963969"><enum>(2)</enum><header>Credits specified</header><text>A credit is specified in this paragraph if such credit is allowed under—</text>
<subparagraph id="H618FEA8E66404A049F19E5B504678DF2"><enum>(A)</enum><text>section 41 (credit for increasing research activity),</text></subparagraph>
<subparagraph id="H750FA70C60444A28BDDB67BF1811FE80"><enum>(B)</enum><text>section 45A (Indian employment credit),</text></subparagraph>
<subparagraph id="H184BF7AFCBE240838140200E7CCAB993"><enum>(C)</enum><text>section 45B (credit for portion of employer social security taxes paid with respect to employee cash tips),</text></subparagraph>
<subparagraph id="H8A8F4A24D12848B7901C477B14BBABE1"><enum>(D)</enum><text>section 45C (clinical testing expenses for certain drugs for rare diseases or conditions),</text></subparagraph>
<subparagraph id="HA02134BA192047E9AE5F4AA410D53D65"><enum>(E)</enum><text>section 45R (employee health insurance expenses of small employers),</text></subparagraph>
<subparagraph id="H1ED9557045044E4084751E25FEF0383A"><enum>(F)</enum><text>section 51 (work opportunity credit),</text></subparagraph>
<subparagraph id="HB1F42D901F4141FC80C37E3AF8502F5E"><enum>(G)</enum><text>section 1396 (empowerment zone employment credit), and</text></subparagraph>
<subparagraph id="H2B9C5D8C61BD4F8DAFE4BBF3BE2E2296"><enum>(H)</enum><text>any other section as provided by the Secretary.</text></subparagraph></paragraph></subsection>
<subsection id="H0D49FF4D161C4E4F84278B328127DB30"><enum>(e)</enum><header>Special rule for related party</header><text>This section shall not apply in the case of a customer which bears a relationship to a certified professional employer organization described in section 267(b) or 707(b). For purposes of the preceding sentence, such sections shall be applied by substituting <quote>10 percent</quote> for <quote>50 percent</quote>.</text></subsection>
<subsection id="HF9FD05EC522A42CFB21B2077729028BA"><enum>(f)</enum><header>Special rule for certain individuals</header><text>For purposes of the taxes imposed under this subtitle, an individual with net earnings from self-employment derived from the customer’s trade or business (including a partner in a partnership that is a customer) is not a work site employee with respect to remuneration paid by a certified professional employer organization.</text></subsection>
<subsection id="H7E27765E23BC4A0FB6D0CFE4D3BF4474" display-inline="no-display-inline"><enum>(g)</enum><header>Reporting requirements and obligations</header><text>The Secretary shall develop such reporting and recordkeeping rules, regulations, and procedures as the Secretary determines necessary or appropriate to ensure compliance with this title by certified professional employer organizations or persons that have been so certified. Such rules shall include—</text>
<paragraph id="H42FC77DE74B7422BA06474A2035BF806"><enum>(1)</enum><text>notification of the Secretary in such manner as the Secretary shall prescribe in the case of the commencement or termination of a service contract described in section 7705(e)(2) between such a person and a customer, and the employer identification number of such customer,</text></paragraph>
<paragraph id="H3C6FC27F83C2459CB767CC3D2B5754FF"><enum>(2)</enum><text display-inline="yes-display-inline">such information as the Secretary determines necessary for the customer to claim the credits identified in subsection (d) and the manner in which such information is to be provided, as prescribed by the Secretary, and</text></paragraph>
<paragraph id="H3A3E94331D974A1588A8C89518EB091E"><enum>(3)</enum><text>such other information as the Secretary determines is essential to promote compliance with respect to the credits identified in subsection (d) and section 3302, and</text></paragraph><continuation-text continuation-text-level="subsection">shall be designed in a manner which streamlines, to the extent possible, the application of requirements of this section and section 7705, the exchange of information between a certified professional employer organization and its customers, and the reporting and recordkeeping obligations of the certified professional employer organization.</continuation-text></subsection>
<subsection id="HC49F40596EE042E5B07B4C4ABEBD6CF3"><enum>(h)</enum><header>Regulations</header><text>The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HC57F646AA97F477E92C9FE29871A1CBB"><enum>(b)</enum><header>Certified professional employer organization defined</header><text><external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/79">Chapter 79</external-xref> is amended by adding at the end the following new section:</text>
<quoted-block display-inline="no-display-inline" id="HB354DE5AE81A4DEFA63693B92ECB0F43" style="OLC">
<section id="H2439BFD5C48349C9972FF7AF470344FF"><enum>7705.</enum><header>Certified professional employer organizations</header>
<subsection id="H7E15560FF798486BA3E0834B9F4B668B"><enum>(a)</enum><header>In general</header><text>For purposes of this title, the term <term>certified professional employer organization</term> means a person who applies to be treated as a certified professional employer organization for purposes of section 3511 and has been certified by the Secretary as meeting the requirements of subsection (b).</text></subsection>
<subsection id="HB8C7D3B0582044DEBCDB5102F6D887FD"><enum>(b)</enum><header>Certification requirements</header><text>A person meets the requirements of this subsection if such person—</text>
<paragraph id="H8DE3F2E6E31C4BEF8EFDC49382AD1B6F"><enum>(1)</enum><text>demonstrates that such person (and any owner, officer, and other persons as may be specified in regulations) meets such requirements as the Secretary shall establish, including requirements with respect to tax status, background, experience, business location, and annual financial audits,</text></paragraph>
<paragraph id="HFE6817D121C44BD49DD6057ECF7510AB"><enum>(2)</enum><text>agrees that it will satisfy the bond and independent financial review requirements of subsection (c) on an ongoing basis,</text></paragraph>
<paragraph id="HA3FE65E8E38844FF8053F256AFBB9609"><enum>(3)</enum><text>agrees that it will satisfy such reporting obligations as may be imposed by the Secretary,</text></paragraph>
<paragraph id="H93C9F15D01A6497599B96D98163C0C50"><enum>(4)</enum><text display-inline="yes-display-inline">computes its taxable income using an accrual method of accounting unless the Secretary approves another method,</text></paragraph>
<paragraph id="H680D495580BB494C85330DCC4F946449"><enum>(5)</enum><text>agrees to verify on such periodic basis as the Secretary may prescribe that it continues to meet the requirements of this subsection, and</text></paragraph>
<paragraph id="H8F69ED6473834DCF9C7BB19D91064E50"><enum>(6)</enum><text>agrees to notify the Secretary in writing within such time as the Secretary may prescribe of any change that materially affects the continuing accuracy of any agreement or information that was previously made or provided under this subsection.</text></paragraph></subsection>
<subsection id="H47F8771393634CEA8A86D16AA1FBCDB8"><enum>(c)</enum><header>Bond and independent financial review</header>
<paragraph id="H30C8446F99CB48F7BB17A63E7E63321B"><enum>(1)</enum><header>In general</header><text>An organization meets the requirements of this paragraph if such organization—</text>
<subparagraph id="HD0AE4E9DE7E341ABAB475D462741B7C2"><enum>(A)</enum><text>meets the bond requirements of paragraph (2), and</text></subparagraph>
<subparagraph id="HB1DF6272E5D64160BF25636139889BFE"><enum>(B)</enum><text>meets the independent financial review requirements of paragraph (3).</text></subparagraph></paragraph>
<paragraph id="HD24D162BF8734419B7CDD84701B6FA27"><enum>(2)</enum><header>Bond</header>
<subparagraph id="H376BCE86BB614231B67A1D5CA4D1EBE2"><enum>(A)</enum><header>In general</header><text>A certified professional employer organization meets the requirements of this paragraph if the organization has posted a bond for the payment of taxes under subtitle C (in a form acceptable to the Secretary) that is in an amount at least equal to the amount specified in subparagraph (B).</text></subparagraph>
<subparagraph id="H50B835484DD1420489ED56647F79D8B0"><enum>(B)</enum><header>Amount of bond</header><text>For the period April 1 of any calendar year through March 31 of the following calendar year, the amount of the bond required is equal to the greater of—</text>
<clause id="HE0FEF7E4F61942F78761B9DBC53BD8A0"><enum>(i)</enum><text>5 percent of the organization's liability under section 3511 for taxes imposed by subtitle C during the preceding calendar year (but not to exceed $1,000,000), or</text></clause>
<clause id="H0E47051839F3480EB0BB4B54EE1A034F"><enum>(ii)</enum><text>$50,000.</text></clause></subparagraph></paragraph>
<paragraph id="H9793CD01DEE649D8B0C3E59C27BF2F6A"><enum>(3)</enum><header>Independent financial review requirements</header><text>A certified professional employer organization meets the requirements of this paragraph if such organization—</text>
<subparagraph id="HD31A9103A4674B3ABF7CAC1E1C44BFF3"><enum>(A)</enum><text>has, as of the most recent audit date, caused to be prepared and provided to the Secretary (in such manner as the Secretary may prescribe) an opinion of an independent certified public accountant as to whether the certified professional employer organization’s financial statements are presented fairly in accordance with generally accepted accounting principles, and</text></subparagraph>
<subparagraph id="HD543FF7C196149D9B92001D4EE182FE3"><enum>(B)</enum><text>provides to the Secretary an assertion regarding Federal employment tax payments and an examination level attestation on such assertion from an independent certified public accountant not later than the last day of the second month beginning after the end of each calendar quarter.</text></subparagraph><continuation-text continuation-text-level="paragraph">Such assertion shall state that the organization has withheld and made deposits of all taxes imposed by chapters 21, 22, and 24 in accordance with regulations imposed by the Secretary for such calendar quarter and such examination level attestation shall state that such assertion is fairly stated, in all material respects.</continuation-text></paragraph>
<paragraph id="HFE9718DB6523485FA24114D41422E02D"><enum>(4)</enum><header>Controlled group rules</header><text>For purposes of the requirements of paragraphs (2) and (3), all certified professional employer organizations that are members of a controlled group within the meaning of sections 414(b) and (c) shall be treated as a single organization.</text></paragraph>
<paragraph id="HD0E23881F3B4481E909A93A47DBD032B"><enum>(5)</enum><header>Failure to file assertion and attestation</header><text>If the certified professional employer organization fails to file the assertion and attestation required by paragraph (3) with respect to any calendar quarter, then the requirements of paragraph (3) with respect to such failure shall be treated as not satisfied for the period beginning on the due date for such attestation.</text></paragraph>
<paragraph id="HD202FD3CB8434CA08C540798FC1D462C"><enum>(6)</enum><header>Audit date</header><text>For purposes of paragraph (3)(A), the audit date shall be six months after the completion of the organization's fiscal year.</text></paragraph></subsection>
<subsection id="H4F115EE55CE94ADA9AD8F5A3606B1350"><enum>(d)</enum><header>Suspension and revocation authority</header><text>The Secretary may suspend or revoke a certification of any person under subsection (b) for purposes of section 3511 if the Secretary determines that such person is not satisfying the agreements or requirements of subsections (b) or (c), or fails to satisfy applicable accounting, reporting, payment, or deposit requirements.</text></subsection>
<subsection id="H48C0C55F83D94305B6CC703F2F805226"><enum>(e)</enum><header>Work site employee</header><text>For purposes of this title—</text>
<paragraph id="HA0B7A8F697424B8A9DB8CF8DB6EDECE7"><enum>(1)</enum><header>In general</header><text>The term <term>work site employee</term> means, with respect to a certified professional employer organization, an individual who—</text>
<subparagraph id="H2FB6CD8ED99B41CE9821D7A7B9B3399B"><enum>(A)</enum><text>performs services for a customer pursuant to a contract which is between such customer and the certified professional employer organization and which meets the requirements of paragraph (2), and</text></subparagraph>
<subparagraph id="HA1C12ECDF58145FC8874D8094A829658"><enum>(B)</enum><text>performs services at a work site meeting the requirements of paragraph (3).</text></subparagraph></paragraph>
<paragraph id="H34C2C15330F04175B8D1D81E82E6BE9E"><enum>(2)</enum><header>Service contract requirements</header><text>A contract meets the requirements of this paragraph with respect to an individual performing services for a customer if such contract is in writing and provides that the certified professional employer organization shall—</text>
<subparagraph id="H2E45B454FC9A417CAC31A2690CC5981A"><enum>(A)</enum><text>assume responsibility for payment of wages to such individual, without regard to the receipt or adequacy of payment from the customer for such services,</text></subparagraph>
<subparagraph id="HFE4008777A374D8682B613A1F8822021"><enum>(B)</enum><text>assume responsibility for reporting, withholding, and paying any applicable taxes under subtitle C, with respect to such individual's wages, without regard to the receipt or adequacy of payment from the customer for such services,</text></subparagraph>
<subparagraph id="H991A9D7873404970AB78F03EC985BE3D"><enum>(C)</enum><text>assume responsibility for any employee benefits which the service contract may require the certified professional employer organization to provide, without regard to the receipt or adequacy of payment from the customer for such benefits,</text></subparagraph>
<subparagraph id="HD8118B535956457FA8A440550D999936"><enum>(D)</enum><text>assume responsibility for recruiting, hiring, and firing workers in addition to the customer’s responsibility for recruiting, hiring, and firing workers,</text></subparagraph>
<subparagraph id="H41DECE0335DE4C34A37C6FA6F3417E64"><enum>(E)</enum><text>maintain employee records relating to such individual, and</text></subparagraph>
<subparagraph id="HADB2B6DD54874238BB7559707C8AA392"><enum>(F)</enum><text>agree to be treated as a certified professional employer organization for purposes of section 3511 with respect to such individual.</text></subparagraph></paragraph>
<paragraph id="HDA1E0073CE6B49AFBC06E6E3A56B4F13"><enum>(3)</enum><header>Work site coverage requirement</header><text>The requirements of this paragraph are met with respect to an individual if at least 85 percent of the individuals performing services for the customer at the work site where such individual performs services are subject to 1 or more contracts with the certified professional employer organization which meet the requirements of paragraph (2) (but not taking into account those individuals who are excluded employees within the meaning of section 414(q)(5)).</text></paragraph></subsection>
<subsection id="H2B913CC7F9284DCBA58C8731EBF7057D"><enum>(f)</enum><header>Public disclosure</header><text display-inline="yes-display-inline">The Secretary shall make available to the public the name and address of—</text>
<paragraph id="H06E6B349DAF5458A8C64B01449291D2B"><enum>(1)</enum><text display-inline="yes-display-inline">each person certified as a professional employer organization under subsection (a), and</text></paragraph>
<paragraph id="H12065B4375544C0B9D339D7DE002D0DB"><enum>(2)</enum><text display-inline="yes-display-inline">each person whose certification as a professional employer organization is suspended or revoked under subsection (d).</text></paragraph></subsection>
<subsection id="H3B4BA1AF136E44D6AA9D142CFABF9BFE"><enum>(g)</enum><header>Determination of employment status</header><text>Except to the extent necessary for purposes of section 3511, nothing in this section shall be construed to affect the determination of who is an employee or employer for purposes of this title.</text></subsection>
<subsection id="HFFB7093552AB47DAB52CC3432D39EAFF"><enum>(h)</enum><header>Regulations</header><text>The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section.</text></subsection></section><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HFF1379EF3D864910A8DF8844C6770393"><enum>(c)</enum><header>Conforming amendments</header>
<paragraph id="H07F402DE5CB54C93B79407194CE4E22A"><enum>(1)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3302">Section 3302</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="H615C4E9218704ECCB2ABAB2508A0432A" style="OLC">
<subsection id="HC5642AE2265D42C1987D7B4855CC5210"><enum>(h)</enum><header>Treatment of certified professional employer organizations</header><text>If a certified professional employer organization (as defined in section 7705), or a customer of such organization, makes a contribution to the State’s unemployment fund with respect to wages paid to a work site employee, such certified professional employer organization shall be eligible for the credits available under this section with respect to such contribution.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H56E32F07CAA64C31937DAF42FE8E5C07"><enum>(2)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/3303">Section 3303(a)</external-xref> is amended—</text>
<subparagraph id="H2C5BEAEE95474F5BB4DC8F51ABCBAA81"><enum>(A)</enum><text>by striking the period at the end of paragraph (3) and inserting <quote>; and</quote> and by inserting after paragraph (3) the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HCE7973C4FCF3421E8A5B6ED6A1CA87C4" style="OLC">
<paragraph id="H3732614512E9405E915D84F6C9F983F8"><enum>(4)</enum><text>if the taxpayer is a certified professional employer organization (as defined in section 7705) that is treated as the employer under section 3511, such certified professional employer organization is permitted to collect and remit, in accordance with paragraphs (1), (2), and (3), contributions during the taxable year to the State unemployment fund with respect to a work site employee.</text></paragraph><after-quoted-block>, and</after-quoted-block></quoted-block></subparagraph>
<subparagraph id="H83BF164FD7044B298E10379930E8CFBC"><enum>(B)</enum><text>in the last sentence—</text>
<clause id="HCF1DE569810F41FE93EFBE4983ABC136"><enum>(i)</enum><text>by striking <quote>paragraphs (1), (2), and (3)</quote> and inserting <quote>paragraphs (1), (2), (3), and (4)</quote>, and</text></clause>
<clause id="H80E78301666C44988F6B5198309E392B"><enum>(ii)</enum><text>by striking <quote>paragraph (1), (2), or (3)</quote> and inserting <quote>paragraph (1), (2), (3), or (4)</quote>.</text></clause></subparagraph></paragraph>
<paragraph id="H0B7D303EE8B24DCFB9A56EB8C84F4AEF"><enum>(3)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6053">Section 6053(c)</external-xref> is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="HC2A3143E8FCF461B8F4E46D41E81AE37" style="OLC">
<paragraph id="H87388082B903420A99A4F3174B670608"><enum>(8)</enum><header>Certified professional employer organizations</header><text display-inline="yes-display-inline">For purposes of any report required by this subsection, in the case of a certified professional employer organization that is treated under section 3511 as the employer of a work site employee, the customer with respect to whom a work site employee performs services shall be the employer for purposes of reporting under this section and the certified professional employer organization shall furnish to the customer and the Secretary any information the Secretary prescribes as necessary to complete such reporting no later than such time as the Secretary shall prescribe.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="H5C19E264BF1C4BA58FFE70997B8D61ED"><enum>(4)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6652">Section 6652</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block style="OLC" id="HF1C3374F9B7743588A1744B889FA1E4C" display-inline="no-display-inline">
<subsection id="HA3FCA495904C4686A895589C3314E03C"><enum>(n)</enum><header>Failure to make reports required under sections <enum-in-header>3511</enum-in-header>, <enum-in-header>6053(c)(8)</enum-in-header>, and <enum-in-header>7705</enum-in-header></header><text display-inline="yes-display-inline">In the case of a failure to make a report required under section 3511, 6053(c)(8), or 7705 which contains the information required by such section on the date prescribed therefor (determined with regard to any extension of time for filing), there shall be paid (on notice and demand by the Secretary and in the same manner as tax) by the person failing to make such report, an amount equal to $50 for each report with respect to which there was such a failure. In the case of any failure due to negligence or intentional disregard the preceding sentence shall be applied by substituting <quote>$100</quote> for <quote>$50</quote>.</text></subsection><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H89D2744A49F54964B5424020EB761E54"><enum>(d)</enum><header>Clerical amendments</header>
<paragraph id="H35969D1ABFAA4432A7973E12A49DC287"><enum>(1)</enum><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/25">chapter 25</external-xref> is amended by adding at the end the following new item:</text>
<quoted-block display-inline="no-display-inline" id="HD8A54219364C4987B8C14B07EFFB29BF" style="OLC">
<toc regeneration="no-regeneration">
<toc-entry level="section">Sec. 3511. Certified professional employer organizations.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="HD949EB0CB8F84923A4B50E3A216BFAD0"><enum>(2)</enum><text>The table of sections for <external-xref legal-doc="usc-chapter" parsable-cite="usc-chapter/26/79">chapter 79</external-xref> is amended by inserting after the item relating to section 7704 the following new item:</text>
<quoted-block style="OLC" id="H61C5EF0073B64F22A520E74F46581FD1" display-inline="no-display-inline">
<toc container-level="quoted-block-container" quoted-block="no-quoted-block" lowest-level="section" idref="HB354DE5AE81A4DEFA63693B92ECB0F43" regeneration="yes-regeneration" lowest-bolded-level="division-lowest-bolded">
<toc-entry idref="H2439BFD5C48349C9972FF7AF470344FF" level="section">Sec. 7705. Certified professional employer organizations.</toc-entry></toc><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="H987B32A27D964E46BC76841ACA77AB98"><enum>(f)</enum><header>User fees</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/7528">Section 7528(b)</external-xref> is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H6839E48FC3824190BF820616AC35B8EC" style="OLC">
<paragraph id="H076FB4B02A6D431F8C80F1F38A60E14F"><enum>(4)</enum><header>Certified professional employer organizations</header><text>The fee charged under the program in connection with the certification by the Secretary of a professional employer organization under section 7705 shall be an annual fee not to exceed $1,000 per year.</text></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HFF4D91D65A584287AF87117F62BB35FA"><enum>(g)</enum><header>Effective dates</header>
<paragraph id="H433123FB339C4E128F6592BE40F61904"><enum>(1)</enum><header>In general</header><text>The amendments made by this section shall apply with respect to wages for services performed on or after January 1 of the first calendar year beginning more than 12 months after the date of the enactment of this Act.</text></paragraph>
<paragraph id="H584B212FE3D64D9E984C65A5BF9562A9"><enum>(2)</enum><header>Certification program</header><text>The Secretary of the Treasury shall establish the certification program described in <external-xref legal-doc="usc" parsable-cite="usc/26/7705">section 7705(b)</external-xref> of the Internal Revenue Code of 1986, as added by subsection (b), not later than 6 months before the effective date determined under paragraph (1).</text></paragraph></subsection>
<subsection id="HCFBADE6E2A974D11960797D4178D0019"><enum>(h)</enum><header>No inference</header><text>Nothing contained in this section or the amendments made by this section shall be construed to create any inference with respect to the determination of who is an employee or employer—</text>
<paragraph id="H8D12CF4170594D4A9DE1357E59130BE8"><enum>(1)</enum><text>for Federal tax purposes (other than the purposes set forth in the amendments made by this section), or</text></paragraph>
<paragraph id="H0F475452B6354A108F068EE1E0DF0135"><enum>(2)</enum><text>for purposes of any other provision of law.</text></paragraph></subsection></section>
<section id="H7873DD55F492472EADED069217A39409"><enum>207.</enum><header>Exclusion of dividends from controlled foreign corporations from the definition of personal holding company income for purposes of the personal holding company rules</header>
<subsection id="HADB8A79D0E4A48E6B85EECAC555E5ABF"><enum>(a)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/543">Section 543(a)(1)</external-xref> is amended—</text>
<paragraph id="H219683B5F70B4E77BCC85AA1B9D9D029"><enum>(1)</enum><text>by redesignating subparagraphs (C) and (D) as subparagraphs (D) and (E), respectively, and</text></paragraph>
<paragraph id="H8A1E8D0A6EAB4297B0AFB48E9D927635"><enum>(2)</enum><text>by inserting after subparagraph (B) the following:</text>
<quoted-block display-inline="no-display-inline" id="H771E62C2EFA944829200B62F73891149" style="OLC">
<subparagraph id="H87CE438F57264701BAA5265A68203A23"><enum>(C)</enum><text display-inline="yes-display-inline">dividends received by a United States shareholder (as defined in section 951(b)) from a controlled foreign corporation (as defined in section 957(a)),</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph></subsection>
<subsection id="HE0BB433F5ECA4E188B4EF4C683172B8C"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this Act shall apply to taxable years ending on or after the date of the enactment of this Act.</text></subsection></section>
<section id="H5B32596592E84195A3050CFE39A2F47C"><enum>208.</enum><header>Inflation adjustment for certain civil penalties under the Internal Revenue Code of 1986</header>
<subsection id="H939470DD9BEE4EC18B5496E66289D146"><enum>(a)</enum><header>Failure To file tax return or pay tax</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6651">Section 6651</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="H6001CB4660344B5597AC07D464FC2BAA" style="OLC">
<subsection id="H16D0590FB34C4A0E9CA205B9A0EBB9E8"><enum>(i)</enum><header>Adjustment for inflation</header>
<paragraph id="H215E7F7B795C4ABF8EAF857E995952CE"><enum>(1)</enum><header>In general</header><text>In the case of any return required to be filed in a calendar year beginning after 2014, the $135 dollar amount under subsection (a) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph id="H71B249F27DA646D8BB67A51C55F3348C"><enum>(2)</enum><header>Rounding</header><text>If any amount adjusted under paragraph (1) is not a multiple of $5, such amount shall be rounded to the next lowest multiple of $5.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H4645080305E7437C83F3BA58EAFCBD86"><enum>(b)</enum><header>Failure To file certain information returns, registration statements, ETC</header>
<paragraph id="HFFC29B7FF19D435FA679EA99CB41EF21"><enum>(1)</enum><header>In general</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6652">Section 6652(c)</external-xref> is amended by adding at the end the following new paragraph:</text>
<quoted-block display-inline="no-display-inline" id="H8F2DF2EEF6C64F858F18274C5D94E284" style="OLC">
<paragraph id="HD885CA984D3A4E929FCEC6FE753B5733"><enum>(6)</enum><header>Adjustment for inflation</header>
<subparagraph id="H01B2954E4E7A42648DE7917C996AA333"><enum>(A)</enum><header>In general</header><text>In the case of any failure relating to a return required to be filed in a calendar year beginning after 2014, each of the dollar amounts under paragraphs (1), (2), and (3) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></subparagraph>
<subparagraph id="HFFFA7977D6D94F8B9DE09FF3A4C245F9"><enum>(B)</enum><header>Rounding</header><text>If any amount adjusted under subparagraph (A)—</text>
<clause id="H5FB3E561CDD94FE69CEAF7E8FE263FDA"><enum>(i)</enum><text>is not less than $5,000 and is not a multiple of $500, such amount shall be rounded to the next lowest multiple of $500, and</text></clause>
<clause id="H007768FE0D3D4230B04394D0554321E3"><enum>(ii)</enum><text>is not described in clause (i) and is not a multiple of $5, such amount shall be rounded to the next lowest multiple of $5.</text></clause></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></paragraph>
<paragraph id="HF92BB97604B445F7AE9564E40C7D5BB9"><enum>(2)</enum><header>Conforming amendments</header>
<subparagraph id="HAA94CE7BE32B4F0C9F50D7A5B87D2249"><enum>(A)</enum><text>The last sentence of <external-xref legal-doc="usc" parsable-cite="usc/26/6652">section 6652(c)(1)(A)</external-xref> is amended by striking <quote>the first sentence of this subparagraph shall be applied by substituting <quote>$100</quote> for <quote>$20</quote> and</quote> and inserting <quote>in applying the first sentence of this subparagraph, the amount of the penalty for each day during which a failure continues shall be $100 in lieu of the amount otherwise specified, and</quote>.</text></subparagraph>
<subparagraph id="H9ABF5E9E90994461B59EE7C1744F2386"><enum>(B)</enum><text><external-xref legal-doc="usc" parsable-cite="usc/26/6652">Section 6652(c)(2)(C)(ii)</external-xref> is amended by striking <quote>the first sentence of paragraph (1)(A)</quote> and all that follows and inserting <quote>in applying the first sentence of paragraph (1)(A), the amount of the penalty for each day during which a failure continues shall be $100 in lieu of the amount otherwise specified, and in lieu of applying the second sentence of paragraph (1)(A), the maximum penalty under paragraph (1)(A) shall not exceed $50,000, and</quote>.</text></subparagraph></paragraph></subsection>
<subsection id="H6F99AFA008704A2D8E482AFE6CE6CFA0"><enum>(c)</enum><header>Other assessable penalties with respect to the preparation of tax returns for other persons</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6695">Section 6695</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="H77D84985B4E0463DB3E6FDB6C59EA9E5" style="OLC">
<subsection id="H37CC37CDDC974184BC8DDEA4E22867E5"><enum>(h)</enum><header>Adjustment for inflation</header>
<paragraph id="HEAE41CCC391D4123A89E4CD1AB579E33"><enum>(1)</enum><header>In general</header><text>In the case of any failure relating to a return or claim for refund filed in a calendar year beginning after 2014, each of the dollar amounts under subsections (a), (b), (c), (d), (e), (f), and (g) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph id="H46D78616219041E6AC80F7DAAB55F3C8"><enum>(2)</enum><header>Rounding</header><text>If any amount adjusted under subparagraph (A)—</text>
<subparagraph id="H44EF351677124186BC2A08922EC77609"><enum>(A)</enum><text>is not less than $5,000 and is not a multiple of $500, such amount shall be rounded to the next lowest multiple of $500, and</text></subparagraph>
<subparagraph id="H67BBC90DB7344DD38777061A14C228E4"><enum>(B)</enum><text>is not described in clause (i) and is not a multiple of $5, such amount shall be rounded to the next lowest multiple of $5.</text></subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HB9AA0A8E0213476DA44115933AEBF07C"><enum>(d)</enum><header>Failure To file partnership return</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6698">Section 6698</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HAE74A62C804B47968FADD32411CF8895" style="OLC">
<subsection id="HDAA212BE526C4529963B64BA94551912"><enum>(e)</enum><header>Adjustment for inflation</header>
<paragraph id="H9E5BFE6D73FF4297AB2A886C0FBC8734"><enum>(1)</enum><header>In general</header><text>In the case of any return required to be filed in a calendar year beginning after 2014, the $195 dollar amount under subsection (b)(1) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph id="H5BCE1D9C3346489F8B2ECB0F0D88DB44"><enum>(2)</enum><header>Rounding</header><text>If any amount adjusted under paragraph (1) is not a multiple of $5, such amount shall be rounded to the next lowest multiple of $5.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H8B56810184104E6EBE24CBD2E2D3C2E8"><enum>(e)</enum><header>Failure To file S corporation return</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6699">Section 6699</external-xref> is amended by adding at the end the following new subsection:</text>
<quoted-block display-inline="no-display-inline" id="HB8B76EBC860247A4A772ECA100D21FB7" style="OLC">
<subsection id="H73F72088C85745DD85A08A5613B8F31C"><enum>(e)</enum><header>Adjustment for inflation</header>
<paragraph id="H9E13635FB3304290ABBA049D3E1A739E"><enum>(1)</enum><header>In general</header><text>In the case of any return required to be filed in a calendar year beginning after 2014, the $195 dollar amount under subsection (b)(1) shall be increased by such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) determined by substituting <quote>calendar year 2013</quote> for <quote>calendar year 1992</quote> in subparagraph (B) thereof.</text></paragraph>
<paragraph id="HA701DFA873FF43698812751CCD7420A4"><enum>(2)</enum><header>Rounding</header><text>If any amount adjusted under paragraph (1) is not a multiple of $5, such amount shall be rounded to the next lowest multiple of $5.</text></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="H115D6E614C6745358B88F0F110C5BB74"><enum>(f)</enum><header>Failure To file correct information returns</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6721">Section 6721(f)(1)</external-xref> is amended by striking <quote>For each fifth calendar year beginning after 2012</quote> and inserting <quote>In the case of any failure relating to a return required to be filed in a calendar year beginning after 2014</quote>.</text></subsection>
<subsection id="H4A565A651634419FA76B2BD0B1DC003F"><enum>(g)</enum><header>Failure To furnish correct payee statements</header><text><external-xref legal-doc="usc" parsable-cite="usc/26/6722">Section 6722(f)(1)</external-xref> is amended by striking <quote>For each fifth calendar year beginning after 2012</quote> and inserting <quote>In the case of any failure relating to a statement required to be furnished in a calendar year beginning after 2014</quote>.</text></subsection>
<subsection id="HDE0E3C540C5C41D19972089ACE64AF94"><enum>(h)</enum><header>Effective date</header><text>The amendments made by this section shall apply to returns required to be filed after December 31, 2014.</text></subsection></section>
<section id="H53E8C75950F94A819BBB14A7461105F6" section-type="subsequent-section"><enum>209.</enum><header>Increase in continuous levy</header>
<subsection id="HA679632FBE58408094F514E6C8301291"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (3) of <external-xref legal-doc="usc" parsable-cite="usc/26/6331">section 6331(h)</external-xref> is amended by striking the period at the end and inserting <quote>and by substituting <quote>30 percent</quote> for <quote>15 percent</quote> in the case of any specified payment due to a Medicare provider or supplier under title XVIII of the Social Security Act.</quote>.</text></subsection>
<subsection id="H31805CBB2A294A8E85D9D9D68917E37F"><enum>(b)</enum><header>Effective date</header><text>The amendment made by this section shall apply to payments made after 180 days after the date of the enactment of this Act.</text></subsection></section>
Speaker of the House of Representatives.Vice President of the United States and President of the Senate.