109 HR 4297 IH: To provide for reconciliation pursuant to section 201(b) of the concurrent resolution on the budget for fiscal year 2006.
U.S. House of Representatives
2005-11-10
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.
1.Amendment of 1986 Code, etc
(a)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.
(b)The table of contents for this Act is as follows:
Sec. 1. Amendment of 1986 Code, etc
Title I—Extensions of certain provisions through 2006
Sec. 101. Allowance of nonrefundable personal credits against regular and minimum tax liability
Sec. 102. State and local general sales taxes
Sec. 103. Research credit
Sec. 104. Qualified tuition and related expenses
Sec. 105. Certain expenses of elementary and secondary school teachers
Sec. 106. Qualified Zone Academy Bonds
Sec. 107. Tax incentives for business activities on Indian reservations
Sec. 108. Deduction for corporate donations of computer technology and equipment
Sec. 109. Availability of medical savings accounts
Sec. 110. 15-year cost recovery for leasehold improvements
Sec. 111. 15-year cost recovery for restaurant improvements
Sec. 112. Taxable income limit on percentage depletion for oil and natural gas produced from marginal properties
Sec. 113. District of Columbia Enterprise Zone
Sec. 114. Possession tax credit with respect to American Samoa
Sec. 115. Parity in the application of certain limits to mental health benefits
Sec. 116. Authority for undercover operations
Title II—Other extensions and modifications
Sec. 201. Work opportunity credit and welfare-to-work credit
Sec. 202. Expensing of environmental remediation costs
Sec. 203. Controlled foreign corporations
Title III—Extensions of certain provisions through 2010
Sec. 301. Saver’s credit
Sec. 302. Increased expensing for small business
Sec. 303. Capital gains and dividends rates
<enum>I</enum><header>Extensions of certain provisions through 2006</header>
<section id="HF254CEFF28E34FC8A8D55B2BDB567A7" display-inline="no-display-inline" section-type="subsequent-section"><enum>101.</enum><header>Allowance of nonrefundable personal credits against regular and minimum tax liability</header>
<subsection id="H14BDD7FCB7D84064984D09C67BF5F890"><enum>(a)</enum><header>In general</header><text>Paragraph (2) of section 26(a) (relating to special rule for taxable years 2000 through 2005) is amended—</text>
<paragraph id="H571E3AF11B4649BA945522191FFD8020"><enum>(1)</enum><text>in the text by striking <quote>or 2005</quote> and inserting <quote>2005, or 2006</quote>, and</text></paragraph>
<paragraph id="H990931BE3A4140258E2D83DEA065005C"><enum>(2)</enum><text>in the heading by striking <quote><header-in-text level="paragraph" style="OLC">2005</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="OLC">2006</header-in-text></quote>. </text></paragraph></subsection>
<subsection id="H783D5568230F4017A8FE4B9F1B04AB05" display-inline="no-display-inline"><enum>(b)</enum><header>Conforming provisions</header>
<paragraph id="H04D6D3EE0BC5456EB7AA465DCD3784B"><enum>(1)</enum><text>Subsection (i) of section 904 (relating to coordination with nonrefundable personal credits) is amended by striking <quote>or 2005</quote> and inserting <quote>2005, or 2006</quote>.</text></paragraph>
<paragraph id="H2DA4420E7F6E4FD2AD033622B225AC77"><enum>(2)</enum><text>The amendments made by sections 201(b), 202(f), and 618(b) of the Economic Growth and Tax Relief Reconciliation Act of 2001 shall not apply to taxable years beginning during 2006.</text></paragraph></subsection>
<subsection id="H81CC8AE1022C449DBDED6C0744B5106"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H6042AF3414854482001B8B07BBF2963C" section-type="subsequent-section" display-inline="no-display-inline"><enum>102.</enum><header>State and local general sales taxes</header>
<subsection id="HBB4049D68E6242ECAD4651CB26B54C92"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (I) of section 164(b)(5) (relating to application of paragraph) is amended by striking <quote>January 1, 2006</quote> and inserting <quote>January 1, 2007</quote>.</text></subsection>
<subsection id="H6C8C8A2641B54F54B7B632F432002B92"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="HF2337C1D209A45F4A260D8C2C6AC25F4" section-type="subsequent-section" display-inline="no-display-inline"><enum>103.</enum><header>Research credit</header>
<subsection id="H64782B2BAC6742FB9C465144BC35F346"><enum>(a)</enum><header>Extension</header>
<paragraph id="H3397522B8C494317951FF82EC5747FE7"><enum>(1)</enum><header>In general</header><text>Subparagraph (B) of section 41(h)(1) (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></paragraph>
<paragraph id="H3D953E13C9E746A483961B05F233F232"><enum>(2)</enum><header>Conforming amendment</header><text>Subparagraph (D) of section 45C(b)(1) (relating to special rule) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></paragraph></subsection>
<subsection id="H573B6CEBB5604A22810929AD01BE5AF"><enum>(b)</enum><header>Effective date</header><text>The amendments made by this section shall apply to amounts paid or incurred after December 31, 2005.</text></subsection></section>
<section id="H3465C3AD25EA42F99D5C16A51B3B20EA" display-inline="no-display-inline" section-type="subsequent-section"><enum>104.</enum><header>Qualified tuition and related expenses</header>
<subsection id="H6D07ED83F6F740C5BC91C7F900D1A3ED"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (e) of section 222 (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></subsection>
<subsection id="H3C3F2B7A21B24A17957B07ACB3FCB879"><enum>(b)</enum><header>Limitations</header><text>Paragraph (2) of section 222(b) (relating to applicable dollar limit) is amended by striking subparagraphs (A) and (B), by redesignating subparagraph (C) as subparagraph (B), and by inserting before subparagraph (B) (as so redesignated) the following:</text>
<quoted-block style="OLC" id="H6422D43C21AD411B9FA8AAB43400F2D" display-inline="no-display-inline">
<subparagraph id="HE76D46408769454C84634D9BFB5EC6E0"><enum>(A)</enum><header><enum-in-header>2006</enum-in-header></header><text>In the case of a taxable year beginning in 2006, the applicable dollar amount shall be equal to—</text>
<clause id="H0EA6B6760A244DC39E39F3A0391C82C2"><enum>(i)</enum><text>in the case of a taxpayer whose adjusted gross income for the taxable year does not exceed $65,000 ($130,000 in the case of a joint return), $4,000, </text></clause>
<clause id="H90C2ACE1F671454D8204FF846F7DD0CB"><enum>(ii)</enum><text>in the case of a taxpayer not described in clause (i) whose adjusted gross income for the taxable year does not exceed $80,000 ($160,000 in the case of a joint return), $2,000, and </text></clause>
<clause id="H1008DED6E037428186C5C992B3D086AF"><enum>(iii)</enum><text>in the case of any other taxpayer, zero.</text></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HF3C8B0F15B264B479DBEA5C0029AFF3"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to payments made in taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H7E424B1E37EA4BE281FE44D76CB50656" display-inline="no-display-inline" section-type="subsequent-section"><enum>105.</enum><header>Certain expenses of elementary and secondary school teachers</header>
<subsection id="HD4867B0B1F7B49D8A791BC0094E82B07"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (D) of section 62(a)(2) (relating to certain expenses of elementary and secondary school teachers) is amended by striking <quote>or 2005</quote> and inserting <quote>2005, or 2006</quote>.</text></subsection>
<subsection id="H9880B307B4B44D7B81ACA213D0F240BD"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to expenses paid or incurred in taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H240B2123522944A1BFD877F761B8FC91" display-inline="no-display-inline" section-type="subsequent-section"><enum>106.</enum><header>Qualified Zone Academy Bonds</header>
<subsection id="HF2CD92752924431EB26BC76F45F09C18"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (1) of section 1397E(e) (relating to national limit) is amended by striking <quote>and 2005</quote> and inserting <quote>2005, and 2006</quote>.</text></subsection>
<subsection id="H0DCABF55FB14441B982C5742667CE0DC"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to obligations issued after December 31, 2005.</text></subsection></section>
<section id="H2611684285EE416EB02984D3479DF438"><enum>107.</enum><header>Tax incentives for business activities on Indian reservations</header>
<subsection id="H25E8BE5EE5754CA5A50003343E5CBC4F" display-inline="no-display-inline"><enum>(a)</enum><header>Indian employment tax credit</header>
<paragraph id="H05304FAF2D244731BBC8EA5E1F137079"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Subsection (f) of section 45A (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></paragraph>
<paragraph id="H7400DF408CB040E2B31EBBBDEB4F2282"><enum>(2)</enum><header>Effective date</header><text>The amendment made by paragraph (1) shall apply to taxable years beginning after December 31, 2005.</text></paragraph></subsection>
<subsection id="H01FBB18DB3BB401ABF1400D7C8746CA8" display-inline="no-display-inline"><enum>(b)</enum><header>Accelerated depreciation for business property on Indian reservations</header>
<paragraph id="H381BA781920B43AB8C3ED5DABD78C4F8"><enum>(1)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (8) of section 168(j) (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></paragraph>
<paragraph id="H69CFC7987B7841319970133B17FF2F7D"><enum>(2)</enum><header>Effective date</header><text>The amendment made by paragraph (1) shall apply with respect to property placed in service after December 31, 2005.</text></paragraph></subsection></section>
<section id="H0B151D5C21A44A7AB0D5A855A0B7E760" display-inline="no-display-inline" section-type="subsequent-section"><enum>108.</enum><header>Deduction for corporate donations of computer technology and equipment</header>
<subsection id="H7CF610BC06224DD6B1BC77FA704E8381"><enum>(a)</enum><header>In general</header><text>Subparagraph (G) of section 170(e)(6) (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></subsection>
<subsection id="H7EBF99A435B649DC93527F9CAE67ACD0"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to contributions made in taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H2A6BEE536B5348208EE3549665E3E88B" display-inline="no-display-inline" section-type="subsequent-section"><enum>109.</enum><header>Availability of medical savings accounts</header>
<subsection id="H3F39F4A4FB9A4A0FAF11A27C174DF7CF"><enum>(a)</enum><header>In general</header><text>Paragraphs (2) and (3)(B) of section 220(i) (defining cut-off year) are each amended by striking <quote>2005</quote> each place it appears in the text and headings and inserting <quote>2006</quote>.</text></subsection>
<subsection id="HBBF11A1E2FB0418FBF3500D5496547F2"><enum>(b)</enum><header>Conforming amendments</header>
<paragraph id="H133EFC6A2B624180A3AED069FC11A7A4"><enum>(1)</enum><text>Paragraph (2) of <external-xref legal-doc="usc" parsable-cite="usc/26/220">section 220(j)</external-xref> is amended—</text>
<subparagraph id="H616AA168D75742090009D73387FC869F"><enum>(A)</enum><text>in the text by striking <quote>or 2004</quote> each place it appears and inserting <quote>2004, or 2005</quote>, and</text></subparagraph>
<subparagraph id="H49F013BCDAB546AB94D4A30744D8C5DB"><enum>(B)</enum><text>in the heading by striking <quote><header-in-text level="paragraph" style="OLC">or 2004</header-in-text></quote> and inserting <quote><header-in-text level="paragraph" style="OLC">2004, or 2005</header-in-text></quote>.</text></subparagraph></paragraph>
<paragraph id="H4F46F466B3E94E43B634C6705C6E2979"><enum>(2)</enum><text>Subparagraph (A) of <external-xref legal-doc="usc" parsable-cite="usc/26/220">section 220(j)(4)</external-xref> is amended by striking <quote>and 2004</quote> and inserting <quote>2004, and 2005</quote>.</text></paragraph></subsection>
<subsection id="H0631496D444A4253BD4F390371D83B43"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall take effect on the date of the enactment of this Act.</text></subsection>
<subsection id="H79BCC2410A9A4AB18F6DAAE37981C921"><enum>(d)</enum><header>Time for filing reports, etc</header>
<paragraph id="HD769269DFABB4D42B142DC4F5500F6E3"><enum>(1)</enum><text>The report required by <external-xref legal-doc="usc" parsable-cite="usc/26/220">section 220(j)(4)</external-xref> of the Internal Revenue Code of 1986 to be made on August 1, 2005, shall be treated as timely if made before the close of the 90-day period beginning on the date of the enactment of this Act.</text></paragraph>
<paragraph id="H02F744078AF74725872F3BD9F9719730"><enum>(2)</enum><text>The determination and publication required by section 220(j)(5) of such Code with respect to calendar year 2005 shall be treated as timely if made before the close of the 120-day period beginning on the date of the enactment of this Act. If the determination under the preceding sentence is that 2005 is a cut-off year under section 220(i) of such Code, the cut-off date under such section 220(i) shall be the last day of such 120-day period.</text></paragraph></subsection></section>
<section id="H14CCE5946D694BE0842163205B1D937F" display-inline="no-display-inline" section-type="subsequent-section"><enum>110.</enum><header>15-year cost recovery for leasehold improvements</header>
<subsection id="HE1452BC87B974F5D8C00E4AD99D300C5"><enum>(a)</enum><header>In general</header><text>Clause (iv) of section 168(e)(3)(E) (relating to 15-year property) is amended by striking <quote>January 1, 2006</quote> and inserting <quote>January 1, 2007</quote>.</text></subsection>
<subsection id="HE503C93BDFF8491AAD27275422E5D4C1"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to property placed in service after December 31, 2005.</text></subsection></section>
<section id="H16F43D761A1A4044A8B064E52E61BD8D" display-inline="no-display-inline" section-type="subsequent-section"><enum>111.</enum><header>15-year cost recovery for restaurant improvements</header>
<subsection id="H950A9F52404344E3BE35510074D320B2"><enum>(a)</enum><header>In general</header><text>Clause (v) of section 168(e)(3)(E) (relating to 15-year property) is amended by striking <quote>January 1, 2006</quote> and inserting <quote>January 1, 2007</quote>.</text></subsection>
<subsection id="H113BDA142A1E470487A26123C25F0016"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to property placed in service after December 31, 2005.</text></subsection></section>
<section id="H5173529A5581473FA1B004A68373E5DA" display-inline="no-display-inline" section-type="subsequent-section" commented="no"><enum>112.</enum><header>Taxable income limit on percentage depletion for oil and natural gas produced from marginal properties</header>
<subsection id="HAF6969004F9841FBAAE6CEFBE96C11AB" commented="no"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (H) of section 613A(c)(6) (relating to oil and natural gas produced from marginal properties) is amended by striking <quote>January 1, 2006</quote> and inserting <quote>January 1, 2007</quote>.</text></subsection>
<subsection id="H10932AA7E1B54077AE39EA2FAA3411C7" commented="no"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H648BEA83E2FF4556B3B21DA333C6C589" display-inline="no-display-inline" section-type="subsequent-section"><enum>113.</enum><header>District of Columbia Enterprise Zone</header>
<subsection id="HCF549D6EA45F4605B11D76D731756CF2"><enum>(a)</enum><header>Period for which designation applicable</header><text display-inline="yes-display-inline">Subsection (f) of section 1400 (relating to time for which designation applicable) is amended by striking <quote>December 31, 2005</quote> both places it appears and inserting <quote>December 31, 2006</quote>.</text></subsection>
<subsection id="H6F6953EC2F9847729C87DD40946645DF"><enum>(b)</enum><header>Tax-exempt economic development bonds</header><text>Subsection (b) of section 1400A (relating to period of applicability) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></subsection>
<subsection id="H053F9FA924A14D4E824F267115ECA6BB"><enum>(c)</enum><header>Zero percent capital gains rate</header>
<paragraph id="HCE562D267D8F4E1CB995FED36104EB4"><enum>(1)</enum><header>In general</header><text>Subsection (b) of section 1400B (relating to DC Zone Asset) is amended by striking <quote>January 1, 2006</quote> each place it appears and inserting <quote>January 1, 2007</quote>.</text></paragraph>
<paragraph id="H9A420724F58345DC9125FAAEE5D86800"><enum>(2)</enum><header>Conforming amendments</header>
<subparagraph id="H0B3DF70585B64577BE34A74EEFE4973E"><enum>(A)</enum><text>Paragraph (2) of section 1400B(e) (relating to gain before 1998 and after 2010 not qualified) is amended—</text>
<clause id="H545167DA60AE4F739087AD86AD39D5E"><enum>(i)</enum><text>by striking <quote>December 31, 2010</quote> and inserting <quote>December 31, 2011</quote>, and</text></clause>
<clause id="HECD900DA863549C8BE80085C51991BC5"><enum>(ii)</enum><text>by striking <quote><header-in-text level="paragraph" style="OLC">2010</header-in-text></quote> in the heading and inserting <quote><header-in-text level="paragraph" style="OLC">2011</header-in-text></quote>.</text></clause></subparagraph>
<subparagraph id="H473A14D291E04D7A97A0C0080688ECF3"><enum>(B)</enum><text>Paragraph (2) of section 1400B(g) (relating to sales and exchanges of interests in partnerships and S corporations which are DC Zone businesses) is amended by striking <quote>December 31, 2010</quote> and inserting <quote>December 31, 2011</quote>.</text></subparagraph>
<subparagraph id="HABC89410DC10405B8800E2CE8CB67932"><enum>(C)</enum><text>Subsection (d) of section 1400F (relating to certain rules to apply) is amended by striking <quote>December 31, 2010</quote> and inserting <quote>December 31, 2011</quote>. </text></subparagraph></paragraph></subsection>
<subsection id="H127DAE79850045C0ACEE26DC963666F7"><enum>(d)</enum><header>First-time homebuyer credit for District of Columbia</header><text>Subsection (i) of section 1400C (relating to application of section) is amended by striking <quote>January 1, 2006</quote> and inserting <quote>January 1, 2007</quote>.</text></subsection>
<subsection id="H71CF359360B84864A95225AC553855B6"><enum>(e)</enum><header>Effective dates</header>
<paragraph id="H8FB4D59E948E4A07949C47C9479E5268"><enum>(1)</enum><header>In general</header><text>Except as provided in paragraph (2), the amendments made by this section shall take effect on January 1, 2006.</text></paragraph>
<paragraph id="HE1E4F13498BE4401AE25BC25AED8594"><enum>(2)</enum><header>Tax-exempt economic development bonds</header><text>The amendment made by subsection (b) shall apply to obligations issued after the date of the enactment of this Act.</text></paragraph></subsection></section>
<section id="H778C20E3B7D14DF18E8D17B3BB099277" display-inline="no-display-inline" section-type="subsequent-section"><enum>114.</enum><header>Possession tax credit with respect to American Samoa</header>
<subsection id="H5CAA92DEF0F04360A0EEFFEF0044C957"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Subparagraph (A) of section 936(j)(8) (relating to special rules for certain possessions) is amended by inserting before the period at the end the following: <quote>(before January 1, 2007, in the case of American Samoa)</quote>.</text></subsection>
<subsection id="H549FE03B9DC44C9198BBD96064C4A099"><enum>(b)</enum><header>Effective date</header><text>The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 2005.</text></subsection></section>
<section id="H583C958109644A97A1AAC2CF67DE309" display-inline="no-display-inline" section-type="subsequent-section"><enum>115.</enum><header>Parity in the application of certain limits to mental health benefits</header>
<subsection id="H2292F52C78B1472992C80480C6F4A386"><enum>(a)</enum><header>In general</header><text display-inline="yes-display-inline">Paragraph (3) of section 9812(f) (relating to application of section) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2006</quote>.</text></subsection>
<subsection id="HEA084C274F984520B3B9A39A5CFB187"><enum>(b)</enum><header>Effective dates</header><text>The amendment made by subsection (a) shall take effect on the date of the enactment of this Act.</text></subsection></section>
<section id="H0BA9F02CB2384A95901C3FC15000B82D" display-inline="no-display-inline" section-type="subsequent-section" commented="no"><enum>116.</enum><header>Authority for undercover operations</header><text display-inline="no-display-inline">Paragraph (6) of section 7608(c) (relating to application of section) is amended by striking <quote>January 1, 2006</quote> both places is appears and inserting <quote>January 1, 2007</quote>.</text></section>
<enum>II</enum><header>Other extensions and modifications</header>
<section id="HBB15A38D265F4F26AFF97DF0FE22216E"><enum>201.</enum><header>Work opportunity credit and welfare-to-work credit</header>
<subsection id="H8097FD5BAA8C4E76A0216303875CFBB3"><enum>(a)</enum><header>Extension of work opportunity credit</header><text>Paragraph (4) of section 51(c) (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2007</quote>.</text></subsection>
<subsection id="H883193FD31B64C889C78A5A121AC3D87" display-inline="no-display-inline"><enum>(b)</enum><header>Consolidation of work opportunity credit with welfare-to-Work credit</header>
<paragraph id="HF2F8C376673E4E1B975D90DA5B5C7285"><enum>(1)</enum><header>In general</header><text>Paragraph (1) of section 51(d) (relating to members of targeted groups) is amended by striking <quote>or</quote> at the end of subparagraph (G), by striking the period at the end of subparagraph (H) and inserting <quote>, or</quote>, and by adding at the end the following new subparagraph:</text>
<quoted-block id="H2F80E6002E86415C9E2D273FCC170018">
<subparagraph id="H92569A949DC5494685416CD5BDAF40DA"><enum>(I)</enum><text>a long-term family assistance recipient.</text></subparagraph><after-quoted-block></after-quoted-block></quoted-block></paragraph>
<paragraph id="HE00E00EBE6DE41888736CD959E362D64"><enum>(2)</enum><header>Long-term family assistance recipient</header><text>Subsection (d) of section 51 (relating to members of targeted groups) is amended by redesignating paragraphs (10) through (12) as paragraphs (11) through (13), respectively, and by inserting after paragraph (9) the following new paragraph:</text>
<quoted-block id="H6C8D900BAFBB47238CBCCF69811C65EC">
<paragraph id="H5E2DBC55A0284311915ECA46C8498C00"><enum>(10)</enum><header>Long-term family assistance recipient</header><text>The term <term>long-term family assistance recipient</term> means any individual who is certified by the designated local agency—</text>
<subparagraph id="HDD0AC53C60AB4D6CA5F2A4F61DF3F109"><enum>(A)</enum><text>as being a member of a family receiving assistance under a IV–A program (as defined in paragraph (2)(B)) for at least the 18-month period ending on the hiring date,</text></subparagraph>
<subparagraph id="H2E12D538FDAA42AF82F24374D06EF15F"><enum>(B)</enum>
<clause display-inline="yes-display-inline" id="HFB8EC803480E4747A003420231290018"><enum>(i)</enum><text>as being a member of a family receiving such assistance for 18 months beginning after August 5, 1997, and</text></clause>
<clause indent="subparagraph" id="H2242C7849ABB4075A9D52E048D32FD77"><enum>(ii)</enum><text>as having a hiring date which is not more than 2 years after the end of the earliest such 18-month period, or</text></clause></subparagraph>
<subparagraph id="H4514717C129347388329769C3010F206"><enum>(C)</enum>
<clause display-inline="yes-display-inline" id="HDDD346A0FDBA469CB358E1516BC2391"><enum>(i)</enum><text>as being a member of a family which ceased to be eligible for such assistance by reason of any limitation imposed by Federal or State law on the maximum period such assistance is payable to a family, and</text></clause>
<clause indent="subparagraph" id="H3AAACEE243FD4D69BC86CEDE71109C02"><enum>(ii)</enum><text>as having a hiring date which is not more than 2 years after the date of such cessation.</text></clause></subparagraph></paragraph><after-quoted-block></after-quoted-block></quoted-block></paragraph>
<paragraph id="HB1FEACC7BE5349158363A4FB800555C"><enum>(3)</enum><header>Repeal of separate welfare-to-work credit</header>
<subparagraph id="H1ABD1AF59747454B8DC044B59752B31F"><enum>(A)</enum><header>In general</header><text>Section 51A is hereby repealed.</text></subparagraph>
<subparagraph id="H46782BA6C42E4AF0ACE280DF56A83310"><enum>(B)</enum><header>Clerical amendment</header><text>The table of sections for subpart F 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 the item relating to section 51A.</text></subparagraph></paragraph></subsection>
<subsection id="H6F91A6FAB81647D48D589C89802259C4"><enum>(c)</enum><header>Repeal of income test for ex-felons</header><text>Paragraph (4) of section 51(d) (relating to qualified ex-felon) is amended—</text>
<paragraph id="H3F73EAE91EDB4017862D224FA98B187B"><enum>(1)</enum><text>by inserting <quote>and</quote> at the end of subparagraph (A), and</text></paragraph>
<paragraph id="H5B19BB7050F14925A01E56C619B70032"><enum>(2)</enum><text>by striking <quote>, and</quote> at the end of subparagraph (B) and all that follows through the end of the paragraph and inserting a period.</text></paragraph></subsection>
<subsection id="H031205A717EF41009BA307DA081B4976"><enum>(d)</enum><header>Increase in age limit for food stamp recipients</header><text>Clause (i) of section 51(d)(8)(A) (relating to qualified food stamp recipient) is amended by striking <quote>25</quote> and inserting <quote>35</quote>. </text></subsection>
<subsection id="H5B43B9097BCF47C8AB1889B055EFA614"><enum>(e)</enum><header>Effective date</header><text display-inline="yes-display-inline">The amendments made by this section shall apply to individuals who begin work for the employer after December 31, 2005.</text></subsection></section>
<section id="HBEA06861A5514E698C207BEF63008B85" display-inline="no-display-inline" section-type="subsequent-section"><enum>202.</enum><header>Expensing of environmental remediation costs</header>
<subsection id="H63D379AAAC2C49899FAA9D841EF8F91"><enum>(a)</enum><header>Extension of termination date</header><text>Subsection (h) of section 198 (relating to termination) is amended by striking <quote>December 31, 2005</quote> and inserting <quote>December 31, 2007</quote>.</text></subsection>
<subsection id="H4778FC15F96F405D812577A9C2064612"><enum>(b)</enum><header>Petroleum products treated as hazardous substance</header><text>Paragraph (1) of section 198(d) (relating to hazardous substance) is amended by striking <quote>and</quote> at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting <quote>, and</quote>, and by adding at the end the following new subparagraph:</text>
<quoted-block style="OLC" id="HBF1962EDE7BD41AEBB0701A4FFE594D8" display-inline="no-display-inline">
<subparagraph id="HCE80C638CB2748CCBB79EBF34DFA5DFB"><enum>(C)</enum><text>any petroleum product (as defined in section 4612(a)(3)).</text></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection>
<subsection id="HD7BD3F873374432C9992AB320016CEBE"><enum>(c)</enum><header>Effective date</header><text>The amendments made by this section shall apply to expenditures paid or incurred after December 31, 2005.</text></subsection></section>
<section id="H9D17D5C7F3344D20A943F4DF6E2162CC"><enum>203.</enum><header>Controlled foreign corporations</header>
<subsection id="H5A42FA0FB77D4D8D00E868A095339B06" display-inline="no-display-inline"><enum>(a)</enum><header>Subpart F exception for active financing</header>
<paragraph id="HBCA618CF632D4030938DB0570850EDA5"><enum>(1)</enum><header>Exempt insurance income</header><text display-inline="yes-display-inline">Paragraph (10) of section 953(e) (relating to application) is amended—</text>
<subparagraph id="H5401F85D0F964804ACA09C52CA6D004E"><enum>(A)</enum><text>by striking <quote>January 1, 2007</quote> and inserting <quote>January 1, 2009</quote>, and</text></subparagraph>
<subparagraph id="H656C763E9A184F34AB99E3BCF113F6D5"><enum>(B)</enum><text>by striking <quote>December 31, 2006</quote> and inserting <quote>December 31, 2008</quote>.</text></subparagraph></paragraph>
<paragraph id="H23011AFAF5FA448BA270982CBE5BEE76"><enum>(2)</enum><header>Exception to treatment as foreign personal holding company income</header><text>Paragraph (9) of section 954(h) (relating to application) is amended by striking <quote>January 1, 2007</quote> and inserting <quote>January 1, 2009</quote>.</text></paragraph></subsection>
<subsection id="H21F2956F13404F549909CD4762109B7C" commented="no" display-inline="no-display-inline"><enum>(b)</enum><header>Look-through treatment of payments between related controlled foreign corporations under the foreign personal holding company rules</header><text>Subsection (c) of section 954 (relating to foreign personal holding company income) is amended by adding at the end the following new paragraph:</text>
<quoted-block style="OLC" display-inline="no-display-inline" id="HAEEB0B06322A4ED800079196BA032E4E">
<paragraph id="HF18C3FD5B25B427BA210EA49D007162"><enum>(6)</enum><header>Look-thru rule for related controlled foreign corporations</header>
<subparagraph id="H934597F68BBC46BAAAC3A0D3BF840029"><enum>(A)</enum><header>In general</header><text display-inline="yes-display-inline">For purposes of this subsection, dividends, interest, rents, and royalties received or accrued from a controlled foreign corporation which is a related person shall not be treated as foreign personal holding company income to the extent attributable or properly allocable (determined under rules similar to the rules of subparagraphs (C) and (D) of section 904(d)(3)) to income of the related person which is not subpart F income. For purposes of this subparagraph, interest shall include factoring income which is treated as income equivalent to interest for purposes of paragraph (1)(E). The Secretary shall prescribe such regulations as may be appropriate to prevent the abuse of the purposes of this paragraph. </text></subparagraph>
<subparagraph id="HDE29860AF9A3464CA78890F84DBAF9AD"><enum>(B)</enum><header>Application</header><text display-inline="yes-display-inline">Subparagraph (A) shall apply to taxable years of foreign corporations beginning after December 31, 2005, and before January 1, 2009, and to taxable years of United States shareholders with or within which such taxable years of foreign corporations end.</text></subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block></subsection></section>
<enum>III</enum><header>Extensions of certain provisions through 2010</header>
<section id="HE2BC9F3196144AE8A961C1782973E4BB"><enum>301.</enum><header>Saver’s credit</header><text display-inline="no-display-inline">Subsection (h) of section 25B (relating to elective deferrals and IRA contributions by certain individuals) is amended by striking <quote>December 31, 2006</quote> and inserting <quote>December 31, 2010</quote>.</text></section>
<section id="H69E112C465B542C1A4A1C879FAE5C96F"><enum>302.</enum><header>Increased expensing for small business</header><text display-inline="no-display-inline">Subsections (b)(1), (b)(2), (b)(5), (c)(2), and (d)(1)(A)(ii) of section 179(b) (relating to election to expense certain depreciable business assets) are each amended by striking <quote>2008</quote> and inserting <quote>2011</quote>. </text></section>
<section id="H28CECD892DBB482B0072AFBE58D017E7" display-inline="no-display-inline" section-type="subsequent-section"><enum>303.</enum><header>Capital gains and dividends rates</header><text display-inline="no-display-inline">Section 303 of the Jobs and Growth Tax Relief Reconciliation Act of 2003 is amended by striking <quote>December 31, 2008</quote> and inserting <quote>December 31, 2010</quote>.</text></section>