[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4839 Enrolled Bill (ENR)]

        H.R.4839

                       One Hundred Tenth Congress

                                 of the

                        United States of America


                          AT THE FIRST SESSION

          Begun and held at the City of Washington on Thursday,
            the fourth day of January, two thousand and seven


                                 An Act


 
      To amend the Internal Revenue Code of 1986 to make technical 
                  corrections, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,
SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF CONTENTS.
    (a) Short Title.--This Act may be cited as the ``Tax Technical 
Corrections Act of 2007''.
    (b) Amendment of 1986 Code.--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) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; amendment of 1986 Code; table of contents.
Sec. 2. Amendment related to the Tax Relief and Health Care Act of 2006.
Sec. 3. Amendments related to title XII of the Pension Protection Act of 
          2006.
Sec. 4. Amendments related to the Tax Increase Prevention and 
          Reconciliation Act of 2005.
Sec. 5. Amendments related to the Safe, Accountable, Flexible, Efficient 
          Transportation Equity Act: A Legacy for Users.
Sec. 6. Amendments related to the Energy Policy Act of 2005.
Sec. 7. Amendments related to the American Jobs Creation Act of 2004.
Sec. 8. Amendments related to the Economic Growth and Tax Relief 
          Reconciliation Act of 2001.
Sec. 9. Amendments related to the Tax Relief Extension Act of 1999.
Sec. 10. Amendment related to the Internal Revenue Service Restructuring 
          and Reform Act of 1998.
Sec. 11. Clerical corrections.
SEC. 2. AMENDMENT RELATED TO THE TAX RELIEF AND HEALTH CARE ACT OF 
2006.
    (a) Amendment Related to Section 402 of Division A of the Act.--
Subparagraph (A) of section 53(e)(2) is amended to read as follows:
            ``(A) In general.--The term `AMT refundable credit amount' 
        means, with respect to any taxable year, the amount (not in 
        excess of the long-term unused minimum tax credit for such 
        taxable year) equal to the greater of--
                ``(i) $5,000,
                ``(ii) 20 percent of the long-term unused minimum tax 
            credit for such taxable year, or
                ``(iii) the amount (if any) of the AMT refundable 
            credit amount determined under this paragraph for the 
            taxpayer's preceding taxable year (as determined before any 
            reduction under subparagraph (B)).''.
    (b) Effective Date.--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.
SEC. 3. AMENDMENTS RELATED TO TITLE XII OF THE PENSION PROTECTION ACT 
OF 2006.
    (a) Amendment Related to Section 1201 of the Act.--Subparagraph (D) 
of section 408(d)(8) is amended by striking ``all amounts distributed 
from all individual retirement plans were treated as 1 contract under 
paragraph (2)(A) for purposes of determining the inclusion of such 
distribution under section 72'' and inserting ``all amounts in all 
individual retirement plans of the individual were distributed during 
such taxable year and all such plans were treated as 1 contract for 
purposes of determining under section 72 the aggregate amount which 
would have been so includible''.
    (b) Amendment Related to Section 1203 of the Act.--Subsection (d) 
of section 1366 is amended by adding at the end the following new 
paragraph:
        ``(4) Application of limitation on charitable contributions.--
    In the case of any charitable contribution of property to which the 
    second sentence of section 1367(a)(2) applies, paragraph (1) shall 
    not apply to the extent of the excess (if any) of--
            ``(A) the shareholder's pro rata share of such 
        contribution, over
            ``(B) the shareholder's pro rata share of the adjusted 
        basis of such property.''.
    (c) Amendment Related to Section 1215 of the Act.--Subclause (I) of 
section 170(e)(7)(D)(i) is amended by striking ``related'' and 
inserting ``substantial and related''.
    (d) Amendments Related to Section 1218 of the Act.--
        (1) Section 2055 is amended by striking subsection (g) and by 
    redesignating subsection (h) as subsection (g).
        (2) Subsection (e) of section 2522 is amended--
            (A) by striking paragraphs (2) and (4),
            (B) by redesignating paragraph (3) as paragraph (2), and
            (C) by adding at the end of paragraph (2), as so 
        redesignated, the following new subparagraph:
            ``(C) Initial fractional contribution.--For purposes of 
        this paragraph, the term `initial fractional contribution' 
        means, with respect to any donor, the first gift of an 
        undivided portion of the donor's entire interest in any 
        tangible personal property for which a deduction is allowed 
        under subsection (a) or (b).''.
    (e) Amendments Related to Section 1219 of the Act.--
        (1) Paragraph (2) of section 6695A(a) is amended by inserting 
    ``a substantial estate or gift tax valuation understatement (within 
    the meaning of section 6662(g)),'' before ``or a gross valuation 
    misstatement''.
        (2) Paragraph (1) of section 6696(d) is amended by striking 
    ``or under section 6695'' and inserting ``, section 6695, or 
    6695A''.
    (f) Amendment Related to Section 1221 of the Act.--Subparagraph (A) 
of section 4940(c)(4) is amended to read as follows:
            ``(A) There shall not be taken into account any gain or 
        loss from the sale or other disposition of property to the 
        extent that such gain or loss is taken into account for 
        purposes of computing the tax imposed by section 511.''.
    (g) Amendment Related to Section 1225 of the Act.--
        (1) Subsection (b) of section 6104 is amended--
            (A) by striking ``Information'' in the heading, and
            (B) by adding at the end the following: ``Any annual return 
        which is filed under section 6011 by an organization described 
        in section 501(c)(3) and which relates to any tax imposed by 
        section 511 (relating to imposition of tax on unrelated 
        business income of charitable, etc., organizations) shall be 
        treated for purposes of this subsection in the same manner as 
        if furnished under section 6033.''.
        (2) Clause (ii) of section 6104(d)(1)(A) is amended to read as 
    follows:
                ``(ii) any annual return which is filed under section 
            6011 by an organization described in section 501(c)(3) and 
            which relates to any tax imposed by section 511 (relating 
            to imposition of tax on unrelated business income of 
            charitable, etc., organizations),''.
        (3) Paragraph (2) of section 6104(d) is amended by striking 
    ``section 6033'' and inserting ``section 6011 or 6033''.
    (h) Amendment Related to Section 1231 of the Act.--Subsection (b) 
of section 4962 is amended by striking ``or D'' and inserting ``D, or 
G''.
    (i) Amendment Related to Section 1242 of the Act.--
        (1) Subclause (II) of section 4958(c)(3)(A)(i) is amended by 
    striking ``paragraph (1), (2), or (4) of section 509(a)'' and 
    inserting ``subparagraph (C)(ii)''.
        (2) Clause (ii) of section 4958(c)(3)(C) is amended to read as 
    follows:
                ``(ii) Exception.--Such term shall not include--

                    ``(I) any organization described in paragraph (1), 
                (2), or (4) of section 509(a), and
                    ``(II) any organization which is treated as 
                described in such paragraph (2) by reason of the last 
                sentence of section 509(a) and which is a supported 
                organization (as defined in section 509(f)(3)) of the 
                organization to which subparagraph (A) applies.''.

    (j) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Pension Protection Act 
of 2006 to which they relate.
SEC. 4. AMENDMENTS RELATED TO THE TAX INCREASE PREVENTION AND 
RECONCILIATION ACT OF 2005.
    (a) Amendments Related to Section 103 of the Act.--Paragraph (6) of 
section 954(c) is amended by redesignating subparagraph (B) as 
subparagraph (C) and inserting after subparagraph (A) the following new 
subparagraph:
            ``(B) Exception.--Subparagraph (A) shall not apply in the 
        case of any interest, rent, or royalty to the extent such 
        interest, rent, or royalty creates (or increases) a deficit 
        which under section 952(c) may reduce the subpart F income of 
        the payor or another controlled foreign corporation.''.
    (b) Amendments Related to Section 202 of the Act.--
        (1) Subparagraph (A) of section 355(b)(2) is amended to read as 
    follows:
            ``(A) it is engaged in the active conduct of a trade or 
        business,''.
        (2) Paragraph (3) of section 355(b) is amended to read as 
    follows:
        ``(3) Special rules for determining active conduct in the case 
    of affiliated groups.--
            ``(A) In general.--For purposes of determining whether a 
        corporation meets the requirements of paragraph (2)(A), all 
        members of such corporation's separate affiliated group shall 
        be treated as one corporation.
            ``(B) Separate affiliated group.--For purposes of this 
        paragraph, the term `separate affiliated group' means, with 
        respect to any corporation, the affiliated group which would be 
        determined under section 1504(a) if such corporation were the 
        common parent and section 1504(b) did not apply.
            ``(C) Treatment of trade or business conducted by acquired 
        member.--If a corporation became a member of a separate 
        affiliated group as a result of one or more transactions in 
        which gain or loss was recognized in whole or in part, any 
        trade or business conducted by such corporation (at the time 
        that such corporation became such a member) shall be treated 
        for purposes of paragraph (2) as acquired in a transaction in 
        which gain or loss was recognized in whole or in part.
            ``(D) Regulations.--The Secretary shall prescribe such 
        regulations as are necessary or appropriate to carry out the 
        purposes of this paragraph, including regulations which provide 
        for the proper application of subparagraphs (B), (C), and (D) 
        of paragraph (2), and modify the application of subsection 
        (a)(3)(B), in connection with the application of this 
        paragraph.''.
        (3) The Internal Revenue Code of 1986 shall be applied and 
    administered as if the amendments made by section 202 of the Tax 
    Increase Prevention and Reconciliation Act of 2005 and by section 
    410 of division A of the Tax Relief and Health Care Act of 2006 had 
    never been enacted.
    (c) Amendment Related to Section 515 of the Act.--Subsection (f) of 
section 911 is amended to read as follows:
    ``(f) Determination of Tax Liability.--
        ``(1) In general.--If, for any taxable year, any amount is 
    excluded from gross income of a taxpayer under subsection (a), 
    then, notwithstanding sections 1 and 55--
            ``(A) if such taxpayer has taxable income for such taxable 
        year, the tax imposed by section 1 for such taxable year shall 
        be equal to the excess (if any) of--
                ``(i) the tax which would be imposed by section 1 for 
            such taxable year if the taxpayer's taxable income were 
            increased by the amount excluded under subsection (a) for 
            such taxable year, over
                ``(ii) the tax which would be imposed by section 1 for 
            such taxable year if the taxpayer's taxable income were 
            equal to the amount excluded under subsection (a) for such 
            taxable year, and
            ``(B) if such taxpayer has a taxable excess (as defined in 
        section 55(b)(1)(A)(ii)) for such taxable year, the amount 
        determined under the first sentence of section 55(b)(1)(A)(i) 
        for such taxable year shall be equal to the excess (if any) 
        of--
                ``(i) the amount which would be determined under such 
            sentence for such taxable year (subject to the limitation 
            of section 55(b)(3)) if the taxpayer's taxable excess (as 
            so defined) were increased by the amount excluded under 
            subsection (a) for such taxable year, over
                ``(ii) the amount which would be determined under such 
            sentence for such taxable year if the taxpayer's taxable 
            excess (as so defined) were equal to the amount excluded 
            under subsection (a) for such taxable year.
        ``(2) Special rules.--
            ``(A) Regular tax.--In applying section 1(h) for purposes 
        of determining the tax under paragraph (1)(A)(i) for any 
        taxable year in which, without regard to this subsection, the 
        taxpayer's net capital gain exceeds taxable income (hereafter 
        in this subparagraph referred to as the capital gain excess)--
                ``(i) the taxpayer's net capital gain (determined 
            without regard to section 1(h)(11)) shall be reduced (but 
            not below zero) by such capital gain excess,
                ``(ii) the taxpayer's qualified dividend income shall 
            be reduced by so much of such capital gain excess as 
            exceeds the taxpayer's net capital gain (determined without 
            regard to section 1(h)(11) and the reduction under clause 
            (i)), and
                ``(iii) adjusted net capital gain, unrecaptured section 
            1250 gain, and 28-percent rate gain shall each be 
            determined after increasing the amount described in section 
            1(h)(4)(B) by such capital gain excess.
            ``(B) Alternative minimum tax.--In applying section 
        55(b)(3) for purposes of determining the tax under paragraph 
        (1)(B)(i) for any taxable year in which, without regard to this 
        subsection, the taxpayer's net capital gain exceeds the taxable 
        excess (as defined in section 55(b)(1)(A)(ii))--
                ``(i) the rules of subparagraph (A) shall apply, except 
            that such subparagraph shall be applied by substituting 
            `the taxable excess (as defined in section 
            55(b)(1)(A)(ii))' for `taxable income', and
                ``(ii) the reference in section 55(b)(3)(B) to the 
            excess described in section 1(h)(1)(B) shall be treated as 
            a reference to such excess as determined under the rules of 
            subparagraph (A) for purposes of determining the tax under 
            paragraph (1)(A)(i).
            ``(C) Definitions.--Terms used in this paragraph which are 
        also used in section 1(h) shall have the respective meanings 
        given such terms by section 1(h), except that in applying 
        subparagraph (B) the adjustments under part VI of subchapter A 
        shall be taken into account.''.
    (d) Effective Date.--
        (1) In general.--Except as otherwise provided in this 
    subsection, the amendments made by this section shall take effect 
    as if included in the provisions of the Tax Increase Prevention and 
    Reconciliation Act of 2005 to which they relate.
        (2) Modification of active business definition under section 
    355.--
            (A) In general.--Except as otherwise provided in this 
        paragraph, the amendments made by subsection (b) shall apply to 
        distributions made after May 17, 2006.
            (B) Transition rule.--The amendments made by subsection (b) 
        shall not apply to any distribution pursuant to a transaction 
        which is--
                (i) made pursuant to an agreement which was binding on 
            May 17, 2006, and at all times thereafter,
                (ii) described in a ruling request submitted to the 
            Internal Revenue Service on or before such date, or
                (iii) described on or before such date in a public 
            announcement or in a filing with the Securities and 
            Exchange Commission.
            (C) Election out of transition rule.--Subparagraph (B) 
        shall not apply if the distributing corporation elects not to 
        have such subparagraph apply to distributions of such 
        corporation. Any such election, once made, shall be 
        irrevocable.
            (D) Special rule for certain pre-enactment distributions.--
        For purposes of determining the continued qualification under 
        section 355(b)(2)(A) of the Internal Revenue Code of 1986 of 
        distributions made on or before May 17, 2006, as a result of an 
        acquisition, disposition, or other restructuring after such 
        date, such distribution shall be treated as made on the date of 
        such acquisition, disposition, or restructuring for purposes of 
        applying subparagraphs (A) through (C) of this paragraph. The 
        preceding sentence shall only apply with respect to the 
        corporation that undertakes such acquisition, disposition, or 
        other restructuring, and only if such application results in 
        continued qualification under section 355(b)(2)(A) of such 
        Code.
        (3) Amendment related to section 515 of the act.--The amendment 
    made by subsection (c) shall apply to taxable years beginning after 
    December 31, 2006.
SEC. 5. AMENDMENTS RELATED TO THE SAFE, ACCOUNTABLE, FLEXIBLE, 
EFFICIENT TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS.
    (a) Amendments Related to Section 11113 of the Act.--
        (1) Paragraph (3) of section 6427(i) is amended--
            (A) by inserting ``or under subsection (e)(2) by any person 
        with respect to an alternative fuel (as defined in section 
        6426(d)(2))'' after ``section 6426'' in subparagraph (A),
            (B) by inserting ``or (e)(2)'' after ``subsection (e)(1)'' 
        in subparagraphs (A)(i) and (B), and
            (C) by striking ``alcohol fuel and biodiesel mixture 
        credit'' and inserting ``mixture credits and the alternative 
        fuel credit'' in the heading thereof.
        (2) Subparagraph (F) of section 6426(d)(2) is amended by 
    striking ``hydrocarbons'' and inserting ``fuel''.
        (3) Section 6426 is amended by adding at the end the following 
    new subsection:
    ``(h) Denial of Double Benefit.--No credit shall be determined 
under subsection (d) or (e) with respect to any fuel with respect to 
which credit may be determined under subsection (b) or (c) or under 
section 40 or 40A.''.
    (b) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the SAFETEA-LU to which they 
relate.
SEC. 6. AMENDMENTS RELATED TO THE ENERGY POLICY ACT OF 2005.
    (a) Amendment Related to Section 1306 of the Act.--Paragraph (2) of 
section 45J(b) is amended to read as follows:
        ``(2) Amount of national limitation.--The aggregate amount of 
    national megawatt capacity limitation allocated by the Secretary 
    under paragraph (3) shall not exceed 6,000 megawatts.''.
    (b) Amendments Related to Section 1342 of the Act.--
        (1) So much of subsection (b) of section 30C as precedes 
    paragraph (1) thereof is amended to read as follows:
    ``(b) Limitation.--The credit allowed under subsection (a) with 
respect to all qualified alternative fuel vehicle refueling property 
placed in service by the taxpayer during the taxable year at a location 
shall not exceed--''.
        (2) Subsection (c) of section 30C is amended to read as 
    follows:
    ``(c) Qualified Alternative Fuel Vehicle Refueling Property.--For 
purposes of this section, the term `qualified alternative fuel vehicle 
refueling property' has the same meaning as the term `qualified clean-
fuel vehicle refueling property' would have under section 179A if--
        ``(1) paragraph (1) of section 179A(d) did not apply to 
    property installed on property which is used as the principal 
    residence (within the meaning of section 121) of the taxpayer, and
        ``(2) only the following were treated as clean-burning fuels 
    for purposes of section 179A(d):
            ``(A) Any fuel at least 85 percent of the volume of which 
        consists of one or more of the following: ethanol, natural gas, 
        compressed natural gas, liquified natural gas, liquefied 
        petroleum gas, or hydrogen.
            ``(B) Any mixture--
                ``(i) which consists of two or more of the following: 
            biodiesel (as defined in section 40A(d)(1)), diesel fuel 
            (as defined in section 4083(a)(3)), or kerosene, and
                ``(ii) at least 20 percent of the volume of which 
            consists of biodiesel (as so defined) determined without 
            regard to any kerosene in such mixture.''.
    (c) Amendments Related to Section 1351 of the Act.--
        (1) Paragraph (3) of section 41(a) is amended by inserting 
    ``for energy research'' before the period at the end.
        (2) Paragraph (6) of section 41(f) is amended by adding at the 
    end the following new subparagraph:
            ``(E) Energy research.--The term `energy research' does not 
        include any research which is not qualified research.''.
    (d) Amendments Related to Section 1362 of the Act.--
        (1)(A) Paragraph (1) of section 4041(d) is amended by adding at 
    the end the following new sentence: ``No tax shall be imposed under 
    the preceding sentence on the sale or use of any liquid if tax was 
    imposed with respect to such liquid under section 4081 at the 
    Leaking Underground Storage Tank Trust Fund financing rate.''.
        (B) Paragraph (3) of section 4042(b) is amended to read as 
    follows:
        ``(3) Exception for fuel on which leaking underground storage 
    tank trust fund financing rate separately imposed.--The Leaking 
    Underground Storage Tank Trust Fund financing rate under paragraph 
    (2)(B) shall not apply to the use of any fuel if tax was imposed 
    with respect to such fuel under section 4041(d) or 4081 at the 
    Leaking Underground Storage Tank Trust Fund financing rate.''.
        (C) Notwithstanding section 6430 of the Internal Revenue Code 
    of 1986, a refund, credit, or payment may be made under subchapter 
    B of chapter 65 of such Code for taxes imposed with respect to any 
    liquid after September 30, 2005, and before the date of the 
    enactment of this Act under section 4041(d)(1) or 4042 of such Code 
    at the Leaking Underground Storage Tank Trust Fund financing rate 
    to the extent that tax was imposed with respect to such liquid 
    under section 4081 at the Leaking Underground Storage Tank Trust 
    Fund financing rate.
        (2)(A) Paragraph (5) of section 4041(d) is amended--
            (i) by striking ``(other than with respect to any sale for 
        export under paragraph (3) thereof)'', and
            (ii) by adding at the end the following new sentence: ``The 
        preceding sentence shall not apply with respect to subsection 
        (g)(3) and so much of subsection (g)(1) as relates to vessels 
        (within the meaning of section 4221(d)(3)) employed in foreign 
        trade or trade between the United States and any of its 
        possessions.''.
        (B) Section 4082 is amended--
            (i) by striking ``(other than such tax at the Leaking 
        Underground Storage Tank Trust Fund financing rate imposed in 
        all cases other than for export)'' in subsection (a), and
            (ii) by redesignating subsections (f) and (g) as 
        subsections (g) and (h), respectively, and by inserting after 
        subsection (e) the following new subsection:
    ``(f) Exception for Leaking Underground Storage Tank Trust Fund 
Financing Rate.--
        ``(1) In general.--Subsection (a) shall not apply to the tax 
    imposed under section 4081 at the Leaking Underground Storage Tank 
    Trust Fund financing rate.
        ``(2) Exception for export, etc.--Paragraph (1) shall not apply 
    with respect to any fuel if the Secretary determines that such fuel 
    is destined for export or for use by the purchaser as supplies for 
    vessels (within the meaning of section 4221(d)(3)) employed in 
    foreign trade or trade between the United States and any of its 
    possessions.''.
        (C) Subsection (e) of section 4082 is amended--
            (i) by striking ``an aircraft, the rate of tax under 
        section 4081(a)(2)(A)(iii) shall be zero.'' and inserting ``an 
        aircraft--
        ``(1) the rate of tax under section 4081(a)(2)(A)(iii) shall be 
    zero, and
        ``(2) if such aircraft is employed in foreign trade or trade 
    between the United States and any of its possessions, the increase 
    in such rate under section 4081(a)(2)(B) shall be zero.''; and
            (ii) by moving the last sentence flush with the margin of 
        such subsection (following the paragraph (2) added by clause 
        (i)).
        (D) Section 6430 is amended to read as follows:
``SEC. 6430. TREATMENT OF TAX IMPOSED AT LEAKING UNDERGROUND STORAGE 
TANK TRUST FUND FINANCING RATE.
    ``No refunds, credits, or payments shall be made under this 
subchapter for any tax imposed at the Leaking Underground Storage Tank 
Trust Fund financing rate, except in the case of fuels--
        ``(1) which are exempt from tax under section 4081(a) by reason 
    of section 4082(f)(2),
        ``(2) which are exempt from tax under section 4041(d) by reason 
    of the last sentence of paragraph (5) thereof, or
        ``(3) with respect to which the rate increase under section 
    4081(a)(2)(B) is zero by reason of section 4082(e)(2).''.
        (3) Paragraph (5) of section 4041(d) is amended by inserting 
    ``(b)(1)(A),'' after ``subsections''.
    (e) Effective Date.--
        (1) In general.--Except as otherwise provided in this 
    subsection, the amendments made by this section shall take effect 
    as if included in the provisions of the Energy Policy Act of 2005 
    to which they relate.
        (2) Nonapplication of exemption for off-highway business use.--
    The amendment made by subsection (d)(3) shall apply to fuel sold 
    for use or used after the date of the enactment of this Act.
        (3) Amendment made by the safetea-lu.--The amendment made by 
    subsection (d)(2)(C)(ii) shall take effect as if included in 
    section 11161 of the SAFETEA-LU.
SEC. 7. AMENDMENTS RELATED TO THE AMERICAN JOBS CREATION ACT OF 2004.
    (a) Amendments Related to Section 339 of the Act.--
        (1)(A) Section 45H is amended by striking subsection (d) and by 
    redesignating subsections (e), (f), and (g) as subsections (d), 
    (e), and (f), respectively.
        (B) Subsection (d) of section 280C is amended to read as 
    follows:
    ``(d) Credit for Low Sulfur Diesel Fuel Production.--The deductions 
otherwise allowed under this chapter for the taxable year shall be 
reduced by the amount of the credit determined for the taxable year 
under section 45H(a).''.
        (C) Subsection (a) of section 1016 is amended by striking 
    paragraph (31) and by redesignating paragraphs (32) through (37) as 
    paragraphs (31) through (36), respectively.
        (2)(A) Section 45H, as amended by paragraph (1), is amended by 
    adding at the end the following new subsection:
    ``(g) Election to Not Take Credit.--No credit shall be determined 
under subsection (a) for the taxable year if the taxpayer elects not to 
have subsection (a) apply to such taxable year.''.
        (B) Subsection (m) of section 6501 is amended by inserting 
    ``45H(g),'' after ``45C(d)(4),''.
        (3)(A) Subsections (b)(1)(A), (c)(2), (e)(1), and (e)(2) of 
    section 45H (as amended by paragraph (1)) and section 179B(a) are 
    each amended by striking ``qualified capital costs'' and inserting 
    ``qualified costs''.
        (B) The heading of paragraph (2) of section 45H(c) is amended 
    by striking ``capital''.
        (C) Subsection (a) of section 179B is amended by inserting 
    ``and which are properly chargeable to capital account'' before the 
    period at the end.
    (b) Amendments Related to Section 710 of the Act.--
        (1) Clause (ii) of section 45(c)(3)(A) is amended by striking 
    ``which is segregated from other waste materials and''.
        (2) Subparagraph (B) of section 45(d)(2) is amended by 
    inserting ``and'' at the end of clause (i), by striking clause 
    (ii), and by redesignating clause (iii) as clause (ii).
    (c) Amendments Related to Section 848 of the Act.--
        (1) Paragraph (2) of section 470(c) is amended to read as 
    follows:
        ``(2) Tax-exempt use property.--
            ``(A) In general.--The term `tax-exempt use property' has 
        the meaning given to such term by section 168(h), except that 
        such section shall be applied--
                ``(i) without regard to paragraphs (1)(C) and (3) 
            thereof, and
                ``(ii) as if section 197 intangible property (as 
            defined in section 197), and property described in 
            paragraph (1)(B) or (2) of section 167(f), were tangible 
            property.
            ``(B) Exception for partnerships.--Such term shall not 
        include any property which would (but for this subparagraph) be 
        tax-exempt use property solely by reason of section 168(h)(6).
            ``(C) Cross reference.--For treatment of partnerships as 
        leases to which section 168(h) applies, see section 7701(e).''.
        (2) Subparagraph (A) of section 470(d)(1) is amended by 
    striking ``(at any time during the lease term)'' and inserting 
    ``(at all times during the lease term)''.
    (d) Amendments Related to Section 888 of the Act.--
        (1) Subparagraph (A) of section 1092(a)(2) is amended by 
    striking ``and'' at the end of clause (ii), by redesignating clause 
    (iii) as clause (iv), and by inserting after clause (ii) the 
    following new clause:
                ``(iii) if the application of clause (ii) does not 
            result in an increase in the basis of any offsetting 
            position in the identified straddle, the basis of each of 
            the offsetting positions in the identified straddle shall 
            be increased in a manner which--

                    ``(I) is reasonable, consistent with the purposes 
                of this paragraph, and consistently applied by the 
                taxpayer, and
                    ``(II) results in an aggregate increase in the 
                basis of such offsetting positions which is equal to 
                the loss described in clause (ii), and''.

        (2)(A) Subparagraph (B) of section 1092(a)(2) is amended by 
    adding at the end the following flush sentence:
        ``A straddle shall be treated as clearly identified for 
        purposes of clause (i) only if such identification includes an 
        identification of the positions in the straddle which are 
        offsetting with respect other positions in the straddle.''.
        (B) Subparagraph (A) of section 1092(a)(2) is amended--
            (i) by striking ``identified positions'' in clause (i) and 
        inserting ``positions'',
            (ii) by striking ``identified position'' in clause (ii) and 
        inserting ``position'', and
            (iii) by striking ``identified offsetting positions'' in 
        clause (ii) and inserting ``offsetting positions''.
        (C) Subparagraph (B) of section 1092(a)(3) is amended by 
    striking ``identified offsetting position'' and inserting 
    ``offsetting position''.
        (3) Paragraph (2) of section 1092(a) is amended by 
    redesignating subparagraph (C) as subparagraph (D) and inserting 
    after subparagraph (B) the following new subparagraph:
            ``(C) Application to liabilities and obligations.--Except 
        as otherwise provided by the Secretary, rules similar to the 
        rules of clauses (ii) and (iii) of subparagraph (A) shall apply 
        for purposes of this paragraph with respect to any position 
        which is, or has been, a liability or obligation.''.
        (4) Subparagraph (D) of section 1092(a)(2), as redesignated by 
    paragraph (3), is amended by inserting ``the rules for the 
    application of this section to a position which is or has been a 
    liability or obligation, methods of loss allocation which satisfy 
    the requirements of subparagraph (A)(iii),'' before ``and the 
    ordering rules''.
    (e) Effective Date.--
        (1) In general.--Except as otherwise provided in this 
    subsection, the amendments made by this section shall take effect 
    as if included in the provisions of the American Jobs Creation Act 
    of 2004 to which they relate.
        (2) Identification requirement of amendment related to section 
    888 of the american jobs creation act of 2004.--The amendment made 
    by subsection (d)(2)(A) shall apply to straddles acquired after the 
    date of the enactment of this Act.
SEC. 8. AMENDMENTS RELATED TO THE ECONOMIC GROWTH AND TAX RELIEF 
RECONCILIATION ACT OF 2001.
    (a) Amendments Related to Section 617 of the Act.--
        (1) Subclause (II) of section 402(g)(7)(A)(ii) is amended by 
    striking ``for prior taxable years'' and inserting ``permitted for 
    prior taxable years by reason of this paragraph''.
        (2) Subparagraph (A) of section 3121(v)(1) is amended by 
    inserting ``or consisting of designated Roth contributions (as 
    defined in section 402A(c))'' before the comma at the end.
    (b) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Economic Growth and Tax 
Relief Reconciliation Act of 2001 to which they relate.
SEC. 9. AMENDMENTS RELATED TO THE TAX RELIEF EXTENSION ACT OF 1999.
    (a) Amendment Related to Section 507 of the Act.--Clause (i) of 
section 45(e)(7)(A) is amended by striking ``placed in service by the 
taxpayer'' and inserting ``originally placed in service''.
    (b) Amendment Related to Section 542 of the Act.--Clause (ii) of 
section 856(d)(9)(D) is amended to read as follows:
                ``(ii) Lodging facility.--The term `lodging facility' 
            means a--

                    ``(I) hotel,
                    ``(II) motel, or
                    ``(III) other establishment more than one-half of 
                the dwelling units in which are used on a transient 
                basis.''.

    (c) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Tax Relief Extension Act 
of 1999 to which they relate.
  SEC. 10. AMENDMENT RELATED TO THE INTERNAL REVENUE SERVICE 
      RESTRUCTURING AND REFORM ACT OF 1998.
    (a) Amendment Related to Section 3509 of the Act.--Paragraph (3) of 
section 6110(i) is amended by inserting ``and related background file 
documents'' after ``Chief Counsel advice'' in the matter preceding 
subparagraph (A).
    (b) Effective Date.--The amendment made by this section shall take 
effect as if included in the provision of the Internal Revenue Service 
Restructuring and Reform Act of 1998 to which it relates.
  SEC. 11. CLERICAL CORRECTIONS.
    (a) In General.--
        (1) Paragraph (5) of section 21(e) is amended by striking 
    ``section 152(e)(3)(A)'' in the flush matter after subparagraph (B) 
    and inserting ``section 152(e)(4)(A)''.
        (2) Paragraph (3) of section 25C(c) is amended by striking 
    ``section 3280'' and inserting ``part 3280''.
        (3) Paragraph (2) of section 26(b) is amended by redesignating 
    subparagraphs (S) and (T) as subparagraphs (U) and (V), 
    respectively, and by inserting after subparagraph (R) the following 
    new subparagraphs:
            ``(S) sections 106(e)(3)(A)(ii), 223(b)(8)(B)(i)(II), and 
        408(d)(9)(D)(i)(II) (relating to certain failures to maintain 
        high deductible health plan coverage),
            ``(T) section 170(o)(3)(B) (relating to recapture of 
        certain deductions for fractional gifts),''.
        (4) Subsection (a) of section 34 is amended--
            (A) in paragraph (1), by striking ``with respect to 
        gasoline used during the taxable year on a farm for farming 
        purposes'',
            (B) in paragraph (2), by striking ``with respect to 
        gasoline used during the taxable year: (A) otherwise than as a 
        fuel in a highway vehicle; or (B) in vehicles while engaged in 
        furnishing certain public passenger land transportation 
        service'', and
            (C) in paragraph (3), by striking ``with respect to fuels 
        used for nontaxable purposes or resold during the taxable 
        year''.
        (5) Paragraph (2) of section 35(d) is amended--
            (A) by striking ``paragraph (2) or (4) of'', and
            (B) by striking ``(within the meaning of section 
        152(e)(1))'' and inserting ``(as defined in section 
        152(e)(4)(A))''.
        (6) Subsection (b) of section 38 is amended--
            (A) by striking ``and'' each place it appears at the end of 
        any paragraph,
            (B) by striking ``plus'' each place it appears at the end 
        of any paragraph, and
            (C) by inserting ``plus'' at the end of paragraph (30).
        (7) Paragraphs (2) and (3) of section 45L(c) are each amended 
    by striking ``section 3280'' and inserting ``part 3280''.
        (8) Subsection (c) of section 48 is amended by striking 
    ``subsection'' in the text preceding paragraph (1) and inserting 
    ``section''.
        (9) Paragraphs (1)(B) and (2)(B) of section 48(c) are each 
    amended by striking ``paragraph (1)'' and inserting ``subsection 
    (a)''.
        (10) Clause (ii) of section 48A(d)(4)(B) is amended by striking 
    ``subsection'' both places it appears.
        (11)(A) Paragraph (9) of section 121(d) is amended by adding at 
    the end the following new subparagraph:
            ``(E) Termination with respect to employees of intelligence 
        community.--Clause (iii) of subparagraph (A) shall not apply 
        with respect to any sale or exchange after December 31, 
        2010.''.
        (B) Subsection (e) of section 417 of division A of the Tax 
    Relief and Health Care Act of 2006 is amended by striking ``and 
    before January 1, 2011''.
        (12) The last sentence of section 125(b)(2) is amended by 
    striking ``last sentence'' and inserting ``second sentence''.
        (13) Subclause (II) of section 167(g)(8)(C)(ii) is amended by 
    striking ``section 263A(j)(2)'' and inserting ``section 
    263A(i)(2)''.
        (14)(A) Clause (vii) of section 170(b)(1)(A) is amended by 
    striking ``subparagraph (E)'' and inserting ``subparagraph (F)''.
        (B) Clause (ii) of section 170(e)(1)(B) is amended by striking 
    ``subsection (b)(1)(E)'' and inserting ``subsection (b)(1)(F)''.
        (C) Clause (i) of section 1400S(a)(2)(A) is amended by striking 
    ``subparagraph (F)'' and inserting ``subparagraph (G)''.
        (D) Subparagraph (A) of section 4942(i)(1) is amended by 
    striking ``section 170(b)(1)(E)(ii)'' and inserting ``section 
    170(b)(1)(F)(ii)''.
        (15) Subclause (II) of section 170(e)(1)(B)(i) is amended by 
    inserting ``, but without regard to clause (ii) thereof'' after 
    ``paragraph (7)(C)''.
        (16)(A) Subparagraph (A) of section 170(o)(1) and subparagraph 
    (A) of section 2522(e)(1) are each amended by striking ``all 
    interest in the property is'' and inserting ``all interests in the 
    property are''.
        (B) Section 170(o)(3)(A)(i), and section 2522(e)(2)(A)(i) (as 
    redesignated by section 3(d)(2)), are each amended--
            (i) by striking ``interest'' and inserting ``interests'', 
        and
            (ii) by striking ``before'' and inserting ``on or before''.
        (17)(A) Subparagraph (C) of section 852(b)(4) is amended to 
    read as follows:
            ``(C) Determination of holding periods.--For purposes of 
        this paragraph, in determining the period for which the 
        taxpayer has held any share of stock--
                ``(i) the rules of paragraphs (3) and (4) of section 
            246(c) shall apply, and
                ``(ii) there shall not be taken into account any day 
            which is more than 6 months after the date on which such 
            share becomes ex-dividend.''.
        (B) Subparagraph (B) of section 857(b)(8) is amended to read as 
    follows:
            ``(B) Determination of holding periods.--For purposes of 
        this paragraph, in determining the period for which the 
        taxpayer has held any share of stock or beneficial interest--
                ``(i) the rules of paragraphs (3) and (4) of section 
            246(c) shall apply, and
                ``(ii) there shall not be taken into account any day 
            which is more than 6 months after the date on which such 
            share or interest becomes ex-dividend.''.
        (18) Paragraph (2) of section 856(l) is amended by striking the 
    last sentence and inserting the following: ``For purposes of 
    subparagraph (B), securities described in subsection (m)(2)(A) 
    shall not be taken into account.''.
        (19) Subparagraph (F) of section 954(c)(1) is amended to read 
    as follows:
            ``(F) Income from notional principal contracts.--
                ``(i) In general.--Net income from notional principal 
            contracts.
                ``(ii) Coordination with other categories of foreign 
            personal holding company income.--Any item of income, gain, 
            deduction, or loss from a notional principal contract 
            entered into for purposes of hedging any item described in 
            any preceding subparagraph shall not be taken into account 
            for purposes of this subparagraph but shall be taken into 
            account under such other subparagraph.''.
        (20) Paragraph (1) of section 954(c) is amended by 
    redesignating subparagraph (I) as subparagraph (H).
        (21) Paragraph (33) of section 1016(a), as redesignated by 
    section 7(a)(1)(C), is amended by striking ``section 25C(e)'' and 
    inserting ``section 25C(f)''.
        (22) Paragraph (36) of section 1016(a), as redesignated by 
    section 7(a)(1)(C), is amended by striking ``section 30C(f)'' and 
    inserting ``section 30C(e)(1)''.
        (23) Subparagraph (G) of section 1260(c)(2) is amended by 
    adding ``and'' at the end.
        (24)(A) Section 1297 is amended by striking subsection (d) and 
    by redesignating subsections (e) and (f) as subsections (d) and 
    (e), respectively.
        (B) Subparagraph (G) of section 1260(c)(2) is amended by 
    striking ``subsection (e)'' and inserting ``subsection (d)''.
        (C) Subparagraph (B) of section 1298(a)(2) is amended by 
    striking ``Section 1297(e)'' and inserting ``Section 1297(d)''.
        (25) Paragraph (1) of section 1362(f) is amended--
            (A) by striking ``, section 1361(b)(3)(B)(ii), or section 
        1361(c)(1)(A)(ii)'' and inserting ``or section 
        1361(b)(3)(B)(ii)'', and
            (B) by striking ``, section 1361(b)(3)(C), or section 
        1361(c)(1)(D)(iii)'' in subparagraph (B) and inserting ``or 
        section 1361(b)(3)(C)''.
        (26) Paragraph (2) of section 1400O is amended by striking 
    ``under of'' and inserting ``under''.
        (27) The table of sections for part II of subchapter Y of 
    chapter 1 is amended by adding at the end the following new item:

``Sec. 1400T. Special rules for mortgage revenue bonds.''.

        (28) Subsection (b) of section 4082 is amended to read as 
    follows:
    ``(b) Nontaxable Use.--For purposes of this section, the term 
`nontaxable use' means--
        ``(1) any use which is exempt from the tax imposed by section 
    4041(a)(1) other than by reason of a prior imposition of tax,
        ``(2) any use in a train, and
        ``(3) any use described in section 4041(a)(1)(C)(iii)(II).
The term `nontaxable use' does not include the use of kerosene in an 
aircraft and such term shall not include any use described in section 
6421(e)(2)(C).''.
        (29) Paragraph (4) of section 4101(a) (relating to registration 
    in event of change of ownership) is redesignated as paragraph (5).
        (30) Paragraph (6) of section 4965(c) is amended by striking 
    ``section 4457(e)(1)(A)'' and inserting ``section 457(e)(1)(A)''.
        (31) Subpart C of part II of subchapter A of chapter 51 is 
    amended by redesignating section 5432 (relating to recordkeeping by 
    wholesale dealers) as section 5121.
        (32) Paragraph (2) of section 5732(c), as redesignated by 
    section 11125(b)(20)(A) of the SAFETEA-LU, is amended by striking 
    ``this subpart'' and inserting ``this subchapter''.
        (33) Subsection (b) of section 6046 is amended--
            (A) by striking ``subsection (a)(1)'' and inserting 
        ``subsection (a)(1)(A)'', and
            (B) by striking ``paragraph (2) or (3) of subsection (a)'' 
        and inserting ``subparagraph (B) or (C) of subsection (a)(1)''.
        (34)(A) Subparagraph (A) of section 6103(b)(5) is amended by 
    striking ``the Canal Zone,''.
        (B) Section 7651 is amended by striking paragraph (4) and by 
    redesignating paragraph (5) as paragraph (4).
        (35) Subparagraph (A) of section 6211(b)(4) is amended by 
    striking ``and 34'' and inserting ``34, and 35''.
        (36) Subparagraphs (A) and (B) of section 6230(a)(3) are each 
    amended by striking ``section 6013(e)'' and inserting ``section 
    6015''.
        (37) Paragraph (3) of section 6427(e) (relating to 
    termination), as added by section 11113 of the SAFETEA-LU, is 
    redesignated as paragraph (5) and moved after paragraph (4).
        (38) Clause (ii) of section 6427(l)(4)(A) is amended by 
    striking ``section 4081(a)(2)(iii)'' and inserting ``section 
    4081(a)(2)(A)(iii)''.
        (39)(A) Section 6427, as amended by section 1343(b)(1) of the 
    Energy Policy Act of 2005, is amended by striking subsection (p) 
    (relating to gasohol used in noncommercial aviation) and 
    redesignating subsection (q) as subsection (p).
        (B) The Internal Revenue Code of 1986 shall be applied and 
    administered as if the amendments made by paragraph (2) of section 
    11151(a) of the SAFETEA-LU had never been enacted.
        (40) Subsection (a) of section 6695A is amended by striking 
    ``then such person'' in paragraph (2) and inserting the following:
``then such person''.
        (41) Subparagraph (C) of section 6707A(e)(2) is amended by 
    striking ``section 6662A(e)(2)(C)'' and inserting ``section 
    6662A(e)(2)(B)''.
        (42)(A) Paragraph (3) of section 9002 is amended by striking 
    ``section 309(a)(1)'' and inserting ``section 306(a)(1)''.
        (B) Paragraph (1) of section 9004(a) is amended by striking 
    ``section 320(b)(1)(B)'' and inserting ``section 315(b)(1)(B)''.
        (C) Paragraph (3) of section 9032 is amended by striking 
    ``section 309(a)(1)'' and inserting ``section 306(a)(1)''.
        (D) Subsection (b) of section 9034 is amended by striking 
    ``section 320(b)(1)(A)'' and inserting ``section 315(b)(1)(A)''.
        (43) Section 9006 is amended by striking ``Comptroller 
    General'' each place it appears and inserting ``Commission''.
        (44) Subsection (c) of section 9503 is amended by redesignating 
    paragraph (7) (relating to transfers from the trust fund for 
    certain aviation fuels taxes) as paragraph (6).
        (45) Paragraph (1) of section 1301(g) of the Energy Policy Act 
    of 2005 is amended by striking ``shall take effect of the date of 
    the enactment'' and inserting ``shall take effect on the date of 
    the enactment''.
        (46) The Internal Revenue Code of 1986 shall be applied and 
    administered as if the amendments made by section 1(a) of Public 
    Law 109-433 had never been enacted.
    (b) Clerical Amendments Related to the Tax Relief and Health Care 
Act of 2006.--
        (1) Amendment related to section 209 of division a of the 
    act.--Paragraph (3) of section 168(l) is amended by striking 
    ``enzymatic''.
        (2) Amendments related to section 419 of division a of the 
    act.--
            (A) Clause (iv) of section 6724(d)(1)(B) is amended by 
        inserting ``or (h)(1)'' after ``section 6050H(a)''.
            (B) Subparagraph (K) of section 6724(d)(2) is amended by 
        inserting ``or (h)(2)'' after ``section 6050H(d)''.
        (3) Effective date.--The amendments made by this subsection 
    shall take effect as if included in the provision of the Tax Relief 
    and Health Care Act of 2006 to which they relate.
    (c) Clerical Amendments Related to the Gulf Opportunity Zone Act of 
2005.--
        (1) Amendments related to section 402 of the act.--Subparagraph 
    (B) of section 24(d)(1) is amended--
            (A) by striking ``the excess (if any) of'' in the matter 
        preceding clause (i) and inserting ``the greater of'', and
            (B) by striking ``section'' in clause (ii)(II) and 
        inserting ``section 32''.
        (2) Effective date.--The amendments made by this subsection 
    shall take effect as if included in the provisions of the Gulf 
    Opportunity Zone Act of 2005 to which they relate.
    (d) Clerical Amendments Related to the Safe, Accountable, Flexible, 
Efficient Transportation Equity Act: A Legacy for Users.--
        (1) Amendments related to section 11163 of the act.--
    Subparagraph (C) of section 6416(a)(4) is amended--
            (A) by striking ``ultimate vendor'' and all that follows 
        through ``has certified'' and inserting ``ultimate vendor or 
        credit card issuer has certified'', and
            (B) by striking ``all ultimate purchasers of the vendor'' 
        and all that follows through ``are certified'' and inserting 
        ``all ultimate purchasers of the vendor or credit card issuer 
        are certified''.
        (2) Effective date.--The amendments made by this subsection 
    shall take effect as if included in the provisions of the Safe, 
    Accountable, Flexible, Efficient Transportation Equity Act: A 
    Legacy for Users to which they relate.
    (e) Clerical Amendments Related to the Energy Policy Act of 2005.--
        (1) Amendment related to section 1344 of the act.--Subparagraph 
    (B) of section 6427(e)(5), as redesignated by subsection (a)(37), 
    is amended by striking ``2006'' and inserting ``2008''.
        (2) Amendments related to section 1351 of the act.--
    Subparagraphs (A)(ii) and (B)(ii) of section 41(f)(1) are each 
    amended by striking ``qualified research expenses and basic 
    research payments'' and inserting ``qualified research expenses, 
    basic research payments, and amounts paid or incurred to energy 
    research consortiums,''.
        (3) Effective date.--The amendments made by this subsection 
    shall take effect as if included in the provisions of the Energy 
    Policy Act of 2005 to which they relate.
    (f) Clerical Amendments Related to the American Jobs Creation Act 
of 2004.--
        (1) Amendment related to section 301 of the act.--Section 9502 
    is amended by striking subsection (e) and redesignating subsection 
    (f) as subsection (e).
        (2) Amendment related to section 413 of the act.--Subsection 
    (b) of section 1298 is amended by striking paragraph (7) and by 
    redesignating paragraphs (8) and (9) as paragraphs (7) and (8), 
    respectively.
        (3) Amendment related to section 895 of the act.--Clause (iv) 
    of section 904(f)(3)(D) is amended by striking ``a controlled 
    group'' and inserting ``an affiliated group''.
        (4) Effective date.--The amendments made by this subsection 
    shall take effect as if included in the provisions of the American 
    Jobs Creation Act of 2004 to which they relate.
    (g) Clerical Amendments Related to the FSC Repeal and 
Extraterritorial Income Exclusion Act of 2000.--
        (1) Subclause (I) of section 56(g)(4)(C)(ii) is amended by 
    striking ``921'' and inserting ``921 (as in effect before its 
    repeal by the FSC Repeal and Extraterritorial Income Exclusion Act 
    of 2000)''.
        (2) Clause (iv) of section 54(g)(4)(C) is amended by striking 
    ``a cooperative described in section 927(a)(4)'' and inserting ``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''.
        (3) Paragraph (4) of section 245(c) is amended by adding at the 
    end the following new subparagraph:
            ``(C) FSC.--The term `FSC' has the meaning given such term 
        by section 922.''.
        (4) Subsection (c) of section 245 is amended by inserting at 
    the end the following new paragraph:
        ``(5) References to prior law.--Any reference in this 
    subsection to section 922, 923, or 927 shall be treated as a 
    reference to such section as in effect before its repeal by the FSC 
    Repeal and Extraterritorial Income Exclusion Act of 2000.''.
        (5) Paragraph (4) of section 275(a) is amended by striking 
    ``if'' and all that follows and inserting ``if the taxpayer chooses 
    to take to any extent the benefits of section 901.''.
        (6)(A) Subsection (a) of section 291 is amended by striking 
    paragraph (4) and by redesignating paragraph (5) as paragraph (4).
        (B) Paragraph (1) of section 291(c) is amended by striking 
    ``subsection (a)(5)'' and inserting ``subsection (a)(4)''.
        (7)(A) Paragraph (4) of section 441(b) is amended by striking 
    ``FSC or''.
        (B) Subsection (h) of section 441 is amended--
            (i) by striking ``FSC or'' each place it appears, and
            (ii) by striking ``FSC's and'' in the heading thereof.
        (8) Subparagraph (B) of section 884(d)(2) is amended by 
    inserting before the comma ``(as in effect before their repeal by 
    the FSC Repeal and Extraterritorial Income Exclusion Act of 
    2000)''.
        (9) Section 901 is amended by striking subsection (h).
        (10) Clause (v) of section 904(d)(2)(B) is amended--
            (A) by inserting ``and'' at the end of subclause (I), by 
        striking subclause (II), and by redesignating subclause (III) 
        as subclause (II),
            (B) by striking ``a FSC (or a former FSC)'' in subclause 
        (II) (as so redesignated) and inserting ``a former FSC (as 
        defined in section 922)'', and
            (C) by adding at the end the following:
            ``Any reference in subclause (II) to section 922, 923, or 
            927 shall be treated as a reference to such section as in 
            effect before its repeal by the FSC Repeal and 
            Extraterritorial Income Exclusion Act of 2000.''.
        (11) Subsection (b) of section 906 is amended by striking 
    paragraph (5) and redesignating paragraphs (6) and (7) as 
    paragraphs (5) and (6), respectively.
        (12) Subparagraph (B) of section 936(f)(2) is amended by 
    striking ``FSC or''.
        (13) Section 951 is amended by striking subsection (c) and by 
    redesignating subsection (d) as subsection (c).
        (14) Subsection (b) of section 952 is amended by striking the 
    second sentence.
        (15)(A) Paragraph (2) of section 956(c) is amended--
            (i) by striking subparagraph (I) and by redesignating 
        subparagraphs (J) through (M) as subparagraphs (I) through (L), 
        respectively, and
            (ii) by striking ``subparagraphs (J), (K), and (L)'' in the 
        flush sentence at the end and inserting ``subparagraphs (I), 
        (J), and (K)''.
        (B) Clause (ii) of section 954(c)(2)(C) is amended by striking 
    ``section 956(c)(2)(J)'' and inserting ``section 956(c)(2)(I)''.
        (16) Paragraph (1) of section 992(a) is amended by striking 
    subparagraph (E), by inserting ``and'' at the end of subparagraph 
    (C), and by striking ``, and'' at the end of subparagraph (D) and 
    inserting a period.
        (17) Paragraph (5) of section 1248(d) is amended--
            (A) by inserting ``(as defined in section 922)'' after ``a 
        FSC'', and
            (B) by adding at the end the following new sentence: ``Any 
        reference in this paragraph to section 922, 923, or 927 shall 
        be treated as a reference to such section as in effect before 
        its repeal by the FSC Repeal and Extraterritorial Income 
        Exclusion Act of 2000.''.
        (18) Subparagraph (D) of section 1297(b)(2) is amended by 
    striking ``foreign trade income of a FSC or''.
        (19)(A) Paragraph (1) of section 6011(c) is amended by striking 
    ``or former DISC or a FSC or former FSC'' and inserting ``, former 
    DISC, or former FSC (as defined in section 922 as in effect before 
    its repeal by the FSC Repeal and Extraterritorial Income Exclusion 
    Act of 2000)''.
        (B) Subsection (c) of section 6011 is amended by striking ``and 
    FSC's'' in the heading thereof.
        (20) Subsection (c) of section 6072 is amended by striking ``a 
    FSC or former FSC'' and inserting ``a former FSC (as defined in 
    section 922 as in effect before its repeal by the FSC Repeal and 
    Extraterritorial Income Exclusion Act of 2000)''.
        (21) Section 6686 is amended by inserting ``FORMER'' before 
    ``FSC'' in the heading thereof.

                               Speaker of the House of Representatives.

                            Vice President of the United States and    
                                               President of the Senate.