1.
(a)This Act may be cited
as the Small Business and
Infrastructure Jobs Tax Act of 2010
.
(b)Except as otherwise expressly provided, whenever in this Act
an amendment or repeal is expressed in terms of an amendment to, or repeal of,
a section or other provision, the reference shall be considered to be made to a
section or other provision of the Internal Revenue Code of 1986.
(c)The table of contents for this Act is as follows:
Sec. 1. Short title; etc.
Title I—Small business tax
incentives
Subtitle A—General provisions
Sec. 101. Temporary exclusion of 100 percent of
gain on certain small business stock.
Subtitle B—Limitations and reporting on certain
penalties
Sec. 111. Limitation on penalty for failure to
disclose certain information.
Sec. 112. Annual reports on penalties and
certain other enforcement actions.
Subtitle C—Other provisions
Sec. 121. Nonrecourse small business investment
company loans from the Small Business Administration treated as amounts at
risk.
Sec. 122. Increase in amount allowed as
deduction for start-up expenditures.
Title II—Infrastructure incentives
Sec. 201. Extension of Build America
Bonds.
Sec. 202. Exempt-facility bonds for sewage and
water supply facilities.
Sec. 203. Extension of exemption from
alternative minimum tax treatment for certain tax-exempt bonds.
Sec. 204. Elective payments in lieu of low
income housing credits.
Sec. 205. Extension and additional allocations
of recovery zone bond authority.
Sec. 206. Allowance of new markets tax credit
against alternative minimum tax.
Title III—Revenue provisions
Sec. 301. Limitation on treaty benefits for
certain deductible payments.
Sec. 302. Treatment of securities of a
controlled corporation exchanged for assets in certain
reorganizations.
Sec. 303. Repeal of special rules for interest
and dividends received from persons meeting the 80-percent foreign business
requirements.
Sec. 304. Information reporting for rental
property expense payments.
Sec. 305. Application of levy to payments to
Federal vendors relating to property.
Sec. 306. Application of continuous levy to
employment tax liability of certain Federal contractors.
Sec. 307. Required minimum 10-year term, etc.,
for grantor retained annuity trusts.
Sec. 308. Increase in information return
penalties.
<enum>I</enum><header>Small business tax
incentives</header>
<subtitle id="HEEAFD1484EF646E0857F31DF69C9147E"><enum>A</enum><header>General
provisions</header>
<section id="HE390105900C14727958AB0D3828DC818"><enum>101.</enum><header>Temporary exclusion of
100 percent of gain on certain small business stock</header>
<subsection id="H1669A3D0140944D194134C00E1E5F551"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (a) of
section 1202 is amended by adding at the end the following new
paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HCFAFF7ED053F4E15997F55F65248F478" reported-display-style="italic" style="OLC">
<paragraph id="HBC6BB4240A0E4C9AADB435AC7B3F3CE6"><enum>(4)</enum><header>Special 100 percent
exclusion</header><text display-inline="yes-display-inline">In the case of
qualified small business stock acquired after March 15, 2010, and before
January 1, 2012—</text>
<subparagraph id="H4171CFD91D1647108E94FF4BB2AC86D4"><enum>(A)</enum><text>paragraph (1) shall be
applied by substituting <quote>100 percent</quote> for <quote>50
percent</quote>,</text>
</subparagraph><subparagraph id="H1627C3C3FF04477E964989DF94A4768A"><enum>(B)</enum><text>paragraph (2) shall not
apply, and</text>
</subparagraph><subparagraph id="H0D02C692FC01483DA85C0C2CBC2D05BA"><enum>(C)</enum><text>paragraph (7) of section
57(a) shall not
apply.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="H605B9F080FD64CF693051CB827AF8DA8"><enum>(b)</enum><header>Conforming
amendments</header><text>Paragraph (3) of section 1202(a) is amended—</text>
<paragraph commented="no" id="H42FA717DF23C487FB3348164508BF948"><enum>(1)</enum><text>by striking <quote>after
the date of the enactment of this paragraph and before January 1, 2011</quote>
and inserting <quote>after February 17, 2009, and before March 16,
2010</quote>, and</text>
</paragraph><paragraph commented="no" id="HE9499966DF5C4C599113464D1E695731"><enum>(2)</enum><text>by striking
<quote><header-in-text level="paragraph" style="OLC">Special rules for 2009 and
2010</header-in-text></quote> in the heading and inserting
<quote><header-in-text level="paragraph" style="OLC">Special 75 percent
exclusion</header-in-text></quote>.</text>
</paragraph></subsection><subsection commented="no" id="H50F1E0AF42574C0A8E3A6347F7C76122"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to stock
acquired after March 15, 2010.</text>
</subsection></section></subtitle><subtitle id="HFE5D915626944D6CA3E0730B307AF4BA"><enum>B</enum><header>Limitations and reporting
on certain penalties</header>
<section display-inline="no-display-inline" id="H4AA65AE219414EC29A54C75C001708EB" section-type="subsequent-section"><enum>111.</enum><header>Limitation on
penalty for failure to disclose certain information</header>
<subsection id="H8C21A3B42B11479AA7397F6BE1D31724"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (b) of
section 6707A is amended to read as follows:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H1DF5F3151C6D40B89DDC0B8EED397347" reported-display-style="italic" style="OLC">
<subsection id="H993E9F06C1434F9F8E322A17E550DBB8"><enum>(b)</enum><header>Amount of
penalty</header>
<paragraph id="HE6AA387B79C7443E867E2D14F085372F"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">Except as otherwise
provided in this subsection, the amount of the penalty under subsection (a)
with respect to any reportable transaction shall be 75 percent of the decrease
in tax shown on the return as a result of such transaction (or which would have
resulted from such transaction if such transaction were respected for Federal
tax purposes).</text>
</paragraph><paragraph id="H0ED9C5865FE14DAAB8485F9723072438"><enum>(2)</enum><header>Maximum
penalty</header><text>The amount of the penalty under subsection (a) with
respect to any reportable transaction for any taxable year shall not
exceed—</text>
<subparagraph id="H51FF4124F03448929A2EF2E53B459130"><enum>(A)</enum><text>in the case of a listed
transaction, $200,000 ($100,000 in the case of a natural person), or</text>
</subparagraph><subparagraph id="HAC2B608F92C84CEA96FF60332E04595E"><enum>(B)</enum><text>in the case of any other
reportable transaction, $50,000 ($10,000 in the case of a natural
person).</text>
</subparagraph></paragraph><paragraph id="H5AC9E60719DA4C3EB85CCF337A6B597A"><enum>(3)</enum><header>Minimum
penalty</header><text>The amount of the penalty under subsection (a) with
respect to any transaction for any taxable year shall not be less than $10,000
($5,000 in the case of a natural
person).</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H3A2C28BBEFFF497386C72DC16FAE5C8F"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by this section shall apply to penalties
assessed after December 31, 2006.</text>
</subsection></section><section commented="no" id="H9945DE7892AA4F338C4126A8890A76CD"><enum>112.</enum><header>Annual reports on
penalties and certain other enforcement actions</header>
<subsection commented="no" id="H2D3BFD889A6D4C6799F8C0B6F33C3FCB"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">The Commissioner of
Internal Revenue, in consultation with the Secretary of the Treasury, shall
submit to the Committee on Ways and Means of the House of Representatives and
the Committee on Finance of the Senate an annual report on the penalties
assessed by the Internal Revenue Service during the preceding year under each
of the following provisions of the Internal Revenue Code of 1986:</text>
<paragraph commented="no" id="H10611FDFB37A4D85893DF966AB8ECEC5"><enum>(1)</enum><text>Section 6662A (relating
to accuracy-related penalty on understatements with respect to reportable
transactions).</text>
</paragraph><paragraph commented="no" id="H7D7AB85B764D43BF81F94F173F111869"><enum>(2)</enum><text>Section 6700(a) (relating
to promoting abusive tax shelters).</text>
</paragraph><paragraph commented="no" id="H8264FAB2AC084C1A91C9653E4987CE9D"><enum>(3)</enum><text>Section 6707 (relating to
failure to furnish information regarding reportable transactions).</text>
</paragraph><paragraph commented="no" id="H587B5464157347609A3F72D80D375F96"><enum>(4)</enum><text>Section 6707A (relating
to failure to include reportable transaction information with return).</text>
</paragraph><paragraph commented="no" id="HEE33F4AC172846F487BBD275AFBC1B1B"><enum>(5)</enum><text>Section 6708 (relating to
failure to maintain lists of advisees with respect to reportable
transactions).</text>
</paragraph></subsection><subsection commented="no" id="H9204E497F27C418C9FE7E2C277527777"><enum>(b)</enum><header>Additional
information</header><text>The report required under subsection (a) shall also
include information on the following with respect to each year:</text>
<paragraph commented="no" id="H90A3E82DF5C746C7AA57BA5F95FBFD01"><enum>(1)</enum><text>Any action taken under
section 330(b) of title 31, United States Code, with respect to any reportable
transaction (as defined in section 6707A(c) of the Internal Revenue Code of
1986).</text>
</paragraph><paragraph commented="no" id="H33B22A3C9F04476DAAEC19CDAB66B276"><enum>(2)</enum><text>Any extension of the time
for assessment of tax enforced, or assessment of any amount under such an
extension, under paragraph (10) of section 6501(c) of the Internal Revenue Code
of 1986.</text>
</paragraph></subsection><subsection commented="no" id="H5D60A6F8CB1A447C8D64F32FB0932209"><enum>(c)</enum><header>Date of
report</header><text>The first report required under subsection (a) shall be
submitted not later than December 31, 2010.</text>
</subsection></section></subtitle><subtitle id="H09B946C5DD764C84867C26F31C055E87"><enum>C</enum><header>Other provisions</header>
<section display-inline="no-display-inline" id="H8BDD2F2B768749EAA61CD3E72DE92CAC" section-type="subsequent-section"><enum>121.</enum><header>Nonrecourse small
business investment company loans from the Small Business Administration
treated as amounts at risk</header>
<subsection id="H478AB975631F4558B3470319538E0CDE"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subparagraph (B) of
section 465(b)(6) is amended to read as follows:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H52E29676803B40A9BC0DF21B1E797E72" reported-display-style="italic" style="OLC">
<subparagraph id="HCDD03C749CD6405F9654028EB449D7CC"><enum>(B)</enum><header>Qualified nonrecourse
financing</header><text display-inline="yes-display-inline">For purposes of
this paragraph—</text>
<clause id="H01EF6B9717DE4B7F8ACFF24D97B39170"><enum>(i)</enum><header>In
general</header><text>The term <quote>qualified nonrecourse financing</quote>
means any financing—</text>
<subclause id="HDC92FC32EE2044F580107713AC70EC37"><enum>(I)</enum><text>which is qualified real
property financing or qualified SBIC financing,</text>
</subclause><subclause id="H58319181D0AC45FF8C3EC1A667DAEADC"><enum>(II)</enum><text>except to the extent
provided in regulations, with respect to which no person is personally liable
for repayment, and</text>
</subclause><subclause id="HA8DAEC4149A1415C8436189985D7ADD3"><enum>(III)</enum><text>which is not
convertible debt.</text>
</subclause></clause><clause id="HD5817D9C47A94D4DB5D9D046DA0CE229"><enum>(ii)</enum><header>Qualified real
property financing</header><text>The term <quote>qualified real property
financing</quote> means any financing which—</text>
<subclause id="H388CC4EE81234A418A3FAD21B80103BF"><enum>(I)</enum><text display-inline="yes-display-inline">is borrowed by the taxpayer with respect to
the activity of holding real property,</text>
</subclause><subclause id="H8C6A8D9E22E147FAA635EC3D36DD677F"><enum>(II)</enum><text>is secured by real
property used in such activity, and</text>
</subclause><subclause id="H98EDCC26F4484217BBC4DC2CF03A1BE6"><enum>(III)</enum><text display-inline="yes-display-inline">is borrowed by the taxpayer from a
qualified person or represents a loan from any Federal, State, or local
government or instrumentality thereof, or is guaranteed by any Federal, State,
or local government.</text>
</subclause></clause><clause id="HF3784FBAFD3346D988BF6CC8CBA4E64B"><enum>(iii)</enum><header>Qualified SBIC
financing</header><text>The term <quote>qualified SBIC financing</quote> means
any financing which—</text>
<subclause id="H78065A6EEE40433B8F592C5FF3333102"><enum>(I)</enum><text>is borrowed by a small
business investment company (within the meaning of section 301 of the Small
Business Investment Act of 1958), and</text>
</subclause><subclause id="H8CB5940FD50A4DE1A9DC85F4B8B3CD08"><enum>(II)</enum><text>is borrowed from, or
guaranteed by, the Small Business Administration under the authority of section
303(b) of such
Act.</text>
</subclause></clause></subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H04DF56BCAE7648B59AC6C40B8B5387D0"><enum>(b)</enum><header>Conforming
amendments</header><text>Subparagraph (A) of section 465(b)(6) is
amended—</text>
<paragraph id="H4CD7E2652BAF4314B577DA9FA80F81BB"><enum>(1)</enum><text>by striking <quote>in the
case of an activity of holding real property,</quote>, and</text>
</paragraph><paragraph id="H517A53AE56BA49219FBE6821AF4FE201"><enum>(2)</enum><text>by striking <quote>which
is secured by real property used in such activity</quote>.</text>
</paragraph></subsection><subsection id="HD07F1FA423BC4D2190D8366DA315356C"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to loans and
guarantees made after the date of the enactment of this Act.</text>
</subsection></section><section display-inline="no-display-inline" id="HBAD6410CD31C430A8BDAA34EE7E5172E" section-type="subsequent-section"><enum>122.</enum><header>Increase in amount
allowed as deduction for start-up expenditures</header>
<subsection id="H8C6D99932F484AB891D945DC055F86C7"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (b) of
section 195 is amended by adding at the end the following new paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HC5DDC52F4BA0411FA21935F52137B968" reported-display-style="italic" style="OLC">
<paragraph id="H3701A70FFD8E48D1B6F949EE6FAC58B0"><enum>(3)</enum><header>Increased limitation
for taxable years beginning in 2010 or 2011</header><text display-inline="yes-display-inline">In the case of any taxable year beginning
in 2010 or 2011, paragraph (1)(A)(ii) shall be applied—</text>
<subparagraph id="H0119E23BCBE84E45A4FEA0520C7FFE17"><enum>(A)</enum><text>by substituting
<quote>$20,000</quote> for <quote>$5,000</quote>, and</text>
</subparagraph><subparagraph id="H259DE19279534CF1A2CA56E520BAD73A"><enum>(B)</enum><text>by substituting
<quote>$75,000</quote> for
<quote>$50,000</quote>.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H6F01573CF70F47518F30788107070C9C"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to taxable
years beginning after December 31, 2009.</text>
</subsection></section></subtitle><enum>II</enum><header>Infrastructure
incentives</header>
<section id="H4D8C75A834594ECEB408DBFCFEF38A03"><enum>201.</enum><header>Extension of Build
America Bonds</header>
<subsection id="H1F725F34E90D43009200348E40202127"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subparagraph (B) of
section 54AA(d)(1) is amended by striking <quote>January 1, 2011</quote> and
inserting <quote>April 1, 2013</quote>.</text>
</subsection><subsection id="H93D589E70B32444A9B33CFC079C9012C"><enum>(b)</enum><header>Extension of payments
to issuers</header>
<paragraph id="HC73E6D0FC3F14C08ABCAB2B70A6A09E4"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (a) of
section 6431 is amended by striking <quote>January 1, 2011</quote> and
inserting <quote>April 1, 2013</quote>.</text>
</paragraph><paragraph id="H7AD86818B9584E00AD1D4A4AD919EA97"><enum>(2)</enum><header>Conforming
amendments</header><text>Subsection (g) of section 54AA is amended—</text>
<subparagraph id="H08DF193833D6475EAD3655A7910B7DD0"><enum>(A)</enum><text>by striking
<quote>January 1, 2011</quote> and inserting <quote>April 1, 2013</quote>,
and</text>
</subparagraph><subparagraph id="H69CB312955EB4DBCB9D709113F3650BB"><enum>(B)</enum><text>by striking
<quote><header-in-text level="subsection" style="OLC">qualified bonds issued
before 2011</header-in-text></quote> in the heading and inserting
<quote><header-in-text level="subsection" style="OLC">certain qualified
bonds</header-in-text></quote>.</text>
</subparagraph></paragraph></subsection><subsection id="H7D3DAB6EDB0146B4BB0113D936DF16F3"><enum>(c)</enum><header>Reduction in percentage
of payments to issuers</header><text>Subsection (b) of section 6431 is
amended—</text>
<paragraph id="HE3C4CD6F41E34E5DB67C6815100056C9"><enum>(1)</enum><text>by striking <quote>The
Secretary</quote> and inserting the following:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HF5BD5ACC9D9746A29B162ECB84FD22BB" reported-display-style="italic" style="OLC">
<paragraph id="HA77335F504B14CCE9AAF446723551F29"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">The
Secretary</text>
</paragraph><after-quoted-block>,</after-quoted-block></quoted-block>
</paragraph><paragraph id="H5E07ADC8FE124DE8AA7A73C13EF8990F"><enum>(2)</enum><text>by striking <quote>35
percent</quote> and inserting <quote>the applicable percentage</quote>,
and</text>
</paragraph><paragraph id="H685498946F7542A48B5164821F5173FE"><enum>(3)</enum><text>by adding at the end the
following new paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HBABACB1901D74EFB9AAF783766570BF5" reported-display-style="italic" style="OLC">
<paragraph id="H6B3D7811E71F45A4A348C0999CB2C1F5"><enum>(2)</enum><header>Applicable
percentage</header><text display-inline="yes-display-inline">For purposes of
this subsection, the term <quote>applicable percentage</quote> means the
percentage determined in accordance with the following table:</text>
<table align-to-level="section" blank-lines-before="1" colsep="1" frame="topbot" line-rules="hor-ver" rowsep="0" rule-weights="4.4.4.0.0.0" table-template-name="Generic: 2 text, 1st longer" table-type="">
<tgroup cols="2" grid-typeface="1.1" no-carding="1" rowsep="0" thead-tbody-ldg-size="10.10.12"><colspec coldef="txt" colname="column1" colwidth="217pts" min-data-value="200" rowsep="0"></colspec><colspec coldef="txt-no-ldr" colname="column2" colsep="1" colwidth="108pts" min-data-value="100"></colspec>
<thead>
<row><entry align="center" colname="column1" morerows="0" namest="column1" rowsep="1">In the case of a qualified bond issued during
calendar year:</entry><entry align="center" colname="column2" morerows="0" namest="column2" rowsep="1">The applicable percentage is:</entry>
</row>
</thead>
<tbody>
<row><entry align="left" colname="column1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2009 or 2010</entry><entry align="left" colname="column2" leader-modify="clr-ldr" rowsep="0">35 percent</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2011</entry><entry align="left" colname="column2" leader-modify="clr-ldr" rowsep="0">33 percent</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2012</entry><entry align="left" colname="column2" leader-modify="clr-ldr" rowsep="0">31 percent</entry>
</row>
<row><entry align="left" colname="column1" leader-modify="force-ldr" rowsep="0" stub-definition="txt-ldr" stub-hierarchy="1">2013</entry><entry align="left" colname="column2" leader-modify="clr-ldr" rowsep="0">30 percent</entry>
</row>
</tbody>
</tgroup></table>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="HD2B258F6DE6948EEB8B08C367372786C"><enum>(d)</enum><header>Current refundings
permitted</header><text>Subsection (g) of section 54AA is amended by adding at
the end the following new paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H4BFEBBA2AD4641E9BC272B600E8654AB" reported-display-style="italic" style="OLC">
<paragraph id="HA06FA0D4804B4E33A24075175097F207"><enum>(3)</enum><header>Treatment of current
refunding bonds</header>
<subparagraph id="H6971973DD09748B2B699482A6BD04760"><enum>(A)</enum><header>In
general</header><text>For purposes of this subsection, the term
<quote>qualified build America bond</quote> includes any bond (or series of
bonds) issued to refund a qualified build America bond if—</text>
<clause id="HE5AF9EDF16B24A2D88EA1FA36FDD7DAD"><enum>(i)</enum><text display-inline="yes-display-inline">the average maturity date of the issue of
which the refunding bond is a part is not later than the average maturity date
of the bonds to be refunded by such issue,</text>
</clause><clause id="HF00CC5EE52AD45E2B9697D5D1248B164"><enum>(ii)</enum><text>the amount of the
refunding bond does not exceed the outstanding amount of the refunded bond,
and</text>
</clause><clause id="H711964988C754885B2F00D583350927A"><enum>(iii)</enum><text>the refunded bond is
redeemed not later than 90 days after the date of the issuance of the refunding
bond.</text>
</clause></subparagraph><subparagraph id="HEFA96EAC2554485D957387A5AAB40937"><enum>(B)</enum><header>Applicable
percentage</header><text>In the case of a refunding bond referred to in
subparagraph (A), the applicable percentage with respect to such bond under
section 6431(b) shall be the lowest percentage specified in paragraph (2) of
such section.</text>
</subparagraph><subparagraph id="HD558ECD8B2F449E1955C184277E2F231"><enum>(C)</enum><header>Determination of
average maturity</header><text>For purposes of subparagraph (A)(i), average
maturity shall be determined in accordance with section
147(b)(2)(A).</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HFF27C8D4F4BA463081D8A076924E82B6"><enum>(e)</enum><header>Clarification related
to levees and flood control projects</header><text display-inline="yes-display-inline">Subparagraph (A) of section 54AA(g)(2) is
amended by inserting <quote>(including capital expenditures for levees and
other flood control projects)</quote> after <quote>capital
expenditures</quote>.</text>
</subsection></section><section display-inline="no-display-inline" id="HC096A9F0324649C7930F9C5800A1EAEF" section-type="subsequent-section"><enum>202.</enum><header>Exempt-facility
bonds for sewage and water supply facilities</header>
<subsection id="H9A2B83347CA44E9889B8E78BB980D120"><enum>(a)</enum><header>Bonds for water and
sewage facilities exempt from volume cap on private activity bonds</header>
<paragraph id="HC47E7BF15EE24C67860266F4C296869D"><enum>(1)</enum><header>In
general</header><text>Paragraph (3) of section 146(g) is amended by inserting
<quote>(4), (5),</quote> after <quote>(2),</quote>.</text>
</paragraph><paragraph id="HD7F8584E9C294483A3324569BCD08E75"><enum>(2)</enum><header>Conforming
amendment</header><text>Paragraphs (2) and (3)(B) of section 146(k) are both
amended by striking <quote>(4), (5), (6),</quote> and inserting
<quote>(6)</quote>.</text>
</paragraph></subsection><subsection id="H7C2276CFB53249ADA104BC8B6FC7BD53"><enum>(b)</enum><header>Tax-exempt issuance by
Indian tribal governments</header>
<paragraph id="HD7CD28D32319428C81AF95B1E1EC0B26"><enum>(1)</enum><header>In
general</header><text>Subsection (c) of section 7871 is amended by adding at
the end the following new paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H095DD67852484AF39ADEEA9FAEA3CD76" reported-display-style="italic" style="OLC">
<paragraph id="HC72B539FE15B44CF9E4B561FC14FF68B"><enum>(4)</enum><header>Exception for bonds for
water and sewage facilities</header><text display-inline="yes-display-inline">Paragraph (2) shall not apply to an exempt
facility bond 95 percent or more of the net proceeds (as defined in section
150(a)(3)) of which are to be used to provide facilities described in paragraph
(4) or (5) of section
142(a).</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H3D39376A0D0B4E61A35453FBDB481298"><enum>(2)</enum><header>Conforming
amendment</header><text>Paragraph (2) of section 7871(c) is amended by striking
<quote>paragraph (3)</quote> and inserting <quote>paragraphs (3) and
(4)</quote>.</text>
</paragraph></subsection><subsection id="H51D23FC18946426A80A3A62C9DD5B837"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to
obligations issued after the date of the enactment of this Act.</text>
</subsection></section><section id="H9329F619334544419370289FE6FC3784"><enum>203.</enum><header>Extension of exemption
from alternative minimum tax treatment for certain tax-exempt bonds</header>
<subsection id="H7794C797F29C49859129792ADE9999BE"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Clause (vi) of
section 57(a)(5)(C) is amended—</text>
<paragraph id="HEB1A3CDDA619429EA752A0ED41682652"><enum>(1)</enum><text>by striking
<quote>January 1, 2011</quote> in subclause (I) and inserting <quote>January 1,
2012</quote>, and</text>
</paragraph><paragraph id="H96F72DC5D2D74FD588F92159309239FD"><enum>(2)</enum><text>by striking
<quote><header-in-text level="clause" style="OLC">and
2010</header-in-text></quote> in the heading and inserting
<quote><header-in-text level="clause" style="OLC">, 2010, and
2011</header-in-text></quote>.</text>
</paragraph></subsection><subsection id="H9F26A617366D4B9D92068386CC63874E"><enum>(b)</enum><header>Adjusted current
earnings</header><text>Clause (iv) of section 56(g)(4)(B) is amended—</text>
<paragraph id="H5959F4D5EEA74E79BC6AC0AAB98E403A"><enum>(1)</enum><text>by striking
<quote>January 1, 2011</quote> in subclause (I) and inserting <quote>January 1,
2012</quote>, and</text>
</paragraph><paragraph id="H1E51686DAFE5402393FEDBD1F8F0C719"><enum>(2)</enum><text>by striking
<quote><header-in-text level="clause" style="OLC">and
2010</header-in-text></quote> in the heading and inserting
<quote><header-in-text level="clause" style="OLC">, 2010, and
2011</header-in-text></quote>.</text>
</paragraph></subsection><subsection id="H3C34C98A3FDF417BA7C44A2F514E448B"><enum>(c)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to
obligations issued after December 31, 2010.</text>
</subsection></section><section display-inline="no-display-inline" id="H488489A1FFD8490BB9D2C3C819BF0561"><enum>204.</enum><header>Elective payments in
lieu of low income housing credits</header>
<subsection id="H3270E2DCF915480396C69E5BE29DEF4F"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Chapter 65 (relating
to abatements, credits, and refunds) is amended by adding at the end the
following new subchapter:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H6E3BCEF6E17C4F488CD745170154A769" reported-display-style="italic" style="OLC">
<subchapter id="H65995F52A64F4941865EABD6A6B996DC"><enum>C</enum><header>Direct payment
provisions</header>
<toc changed="added" committee-id="HWM00" container-level="subchapter-container" idref="H65995F52A64F4941865EABD6A6B996DC" lowest-bolded-level="division-lowest-bolded" lowest-level="section" quoted-block="no-quoted-block" regeneration="yes-regeneration" reported-display-style="italic">
<toc-entry idref="H434FA0F8CE814F0FBD6E8D69CCAE588F" level="section">Sec. 6451. Elective payments in lieu of low
income housing credit for bond-financed buildings.</toc-entry>
</toc>
<section changed="added" committee-id="HWM00" id="H434FA0F8CE814F0FBD6E8D69CCAE588F" reported-display-style="italic"><enum>6451.</enum><header>Elective payments in
lieu of low income housing credit for bond-financed buildings</header>
<subsection commented="no" id="HE2886E45311B4A9AB6F47005A8226A90"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Any person making an
election under this section with respect to any qualified bond-financed
low-income building originally placed in service by such person during the
taxable year shall be treated as making a payment, against the tax imposed by
subtitle A for the taxable year, equal to the direct payment amount with
respect to such building. Such payment shall be treated as made on the later of
the due date of the return of such tax or the date on which such return is
filed.</text>
</subsection><subsection id="HCA000BEFBB464FCB9000595BEF9E4EAB"><enum>(b)</enum><header>Qualified bond-financed
low-income building</header><text>For purposes of this section, the term
<quote>qualified bond-financed low-income building</quote> means any qualified
low-income building to which paragraph (1) of section 42(h) does not apply by
reason of paragraph (4)(B) of such section.</text>
</subsection><subsection id="HAE845C3D688C4F529D8C597A8D8BC15A"><enum>(c)</enum><header>Direct payment
amount</header><text>For purposes of this section, the term <quote>direct
payment amount</quote> means, with respect to any building, 25.5 percent of the
qualified basis of such building.</text>
</subsection><subsection id="H83118495C80C48DABDE7C443D0AEB808"><enum>(d)</enum><header>Special rules for
certain non-taxpayers</header>
<paragraph id="HC7BE095CD03E405A988E7F9E1DA106CB"><enum>(1)</enum><header>Denial of
payment</header><text>Subsection (a) shall not apply with respect to any
building placed in service by—</text>
<subparagraph display-inline="no-display-inline" id="HADFC721A1C724DDD92E9776EAD93CB5A"><enum>(A)</enum><text>any governmental entity,
or</text>
</subparagraph><subparagraph id="HDAB9C7E6EECA4EC19636BEAFA8B7BE79"><enum>(B)</enum><text>any organization
described in section 501(c) or 401(a) and exempt from tax under section
501(a).</text>
</subparagraph></paragraph><paragraph id="H7F8B78DA4EB14EE8A63EF8F2F21EAFCE"><enum>(2)</enum><header>Special rules for
partnerships and S corporations</header><text>In the case of property
originally placed in service by a partnership or an S corporation—</text>
<subparagraph id="H1D8FA02676D34C9288BE301A5BF6D838"><enum>(A)</enum><text>the election under
subsection (a) may be made only by such partnership or S corporation,</text>
</subparagraph><subparagraph id="H4B7623A7FA4E4E0E8B7D483870965D0D"><enum>(B)</enum><text>such partnership or S
corporation shall be treated as making the payment referred to in subsection
(a) only to the extent of the proportionate share of such partnership or S
corporation as is owned by persons who would be treated as making such payment
if the building were placed in service by such persons, and</text>
</subparagraph><subparagraph id="HA2410DF79CAE4B1385D40E4FA5324037"><enum>(C)</enum><text>the return required to be
made by such partnership or S corporation under section 6031 or 6037 (as the
case may be) shall be treated as a return of tax for purposes of subsection
(a).</text>
</subparagraph></paragraph></subsection><continuation-text continuation-text-level="section">For
purposes of subparagraph (B), rules similar to the rules of section 168(h)(6)
(other than subparagraph (F) thereof) shall apply.</continuation-text></section><appropriations-major id="LEXA-Repairid6E247C36D1864230A9A4816CE0E33B5F"><subsection changed="added" committee-id="HWM00" id="H6FEFEEC3DF4342678D429B4A34C048B3" reported-display-style="italic"><enum>(e)</enum><header>Coordination with low
income housing credit</header><text display-inline="yes-display-inline">In the
case of any property with respect to which an election is made under this
section, no credit shall be determined under section 42 with respect to such
building for any taxable year.</text>
</subsection><subsection changed="added" committee-id="HWM00" id="HDA07562588A343409BE383917284FA35" reported-display-style="italic"><enum>(f)</enum><header>Other definitions and
special rules</header><text>For purposes of this section—</text>
<paragraph id="HC533933BC9E44C19B7768EE46ABECB32"><enum>(1)</enum><header>Other
definitions</header><text>Terms used in this section which are also used in
section 42 shall have the same meaning for purposes of this section as when
used in such section.</text>
</paragraph><paragraph id="H27A136BB2C724BBDA57B8438E4350ED8"><enum>(2)</enum><header>Application of
recapture rules, etc</header><text>Except as otherwise provided by the
Secretary, rules similar to the rules of section 42 shall apply, including the
recapture rules of section 42(j).</text>
</paragraph><paragraph id="H62662EDC33664004B1E3FC066CE59034"><enum>(3)</enum><header>Provision of
information</header><text display-inline="yes-display-inline">A person shall
not be treated as having elected the application of this section unless the
taxpayer provides such information as the Secretary may require for purposes of
verifying the proper amount to be treated as a payment under subsection (a) and
evaluating the effectiveness of this section.</text>
</paragraph><paragraph id="HE282F94309E24489A7C2668630716CF4"><enum>(4)</enum><header>Exclusion from gross
income</header><text>Any credit or refund allowed or made by reason of this
section shall not be includible in gross income or alternative minimum taxable
income.</text>
</paragraph></subsection><subsection changed="added" committee-id="HWM00" id="HCB9F1164B8F04D469A1E52944F2B40C7" reported-display-style="italic"><enum>(g)</enum><header>Termination</header><text>Subsection
(a) shall not apply with respect to any building placed in service during a
taxable year beginning after December 31,
2010.</text>
</subsection></appropriations-major></subchapter><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H7122A43F05CE47AB9AACCEBE6544E691"><enum>(b)</enum><header>Conforming
amendments</header>
<paragraph id="H2752FC2F0CB147548FD38D51E1C96498"><enum>(1)</enum><text>Subparagraph (A) of
section 6211(b)(4) is amended by inserting <quote>and subchapter C of chapter
65 (including any payment treated as made under such subchapter)</quote> after
<quote>6431</quote>.</text>
</paragraph><paragraph id="HFE945F89B22749E2B863D84C3EF22625"><enum>(2)</enum><text>Subparagraph (B) of
section 6425(c)(1) is amended—</text>
<subparagraph id="H16BE80FA33254CDC99A9C73C53C6597B"><enum>(A)</enum><text>by striking <quote>the
credits</quote> and inserting</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="yes-display-inline" id="H02B8C1B0F96F48EE87655AE5EE6B5BE5" reported-display-style="italic" style="OLC">
<text>the sum
of—</text><clause id="H244AB64964974AD18CFACD4462DA2F1D"><enum>(i)</enum><text display-inline="yes-display-inline">the
credits</text>
</clause><after-quoted-block>,</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="HC938D10BBDDC44798BF3C083F1C20DDD"><enum>(B)</enum><text>by striking the period at
the end of clause (i) thereof (as amended by this paragraph) and inserting
<quote>, plus</quote>, and</text>
</subparagraph><subparagraph id="HF1204528EA994FAC805A1F89818C2A8E"><enum>(C)</enum><text>by adding at the end the
following new clause:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HB992EA8180484B0F9FED3AF3B7B3DAF1" reported-display-style="italic" style="OLC">
<clause id="H441ECDB95D3C4022BD7B3D352FACF9B3"><enum>(ii)</enum><text display-inline="yes-display-inline">the credits allowed (and payments treated
as made) under subchapter
C.</text>
</clause><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="H882B2C83E61D43D5A65CC62A5C1EB639"><enum>(3)</enum><text>Paragraph (3) of section
6654(f) is amended—</text>
<subparagraph id="H10FD34D98A9B4B25806B26F11D9EEA79"><enum>(A)</enum><text>by striking <quote>the
credits</quote> and inserting</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="yes-display-inline" id="H61FBB29C5E4B411A810F737E5D4E8AC2" reported-display-style="italic" style="OLC">
<text>the sum
of—</text><subparagraph id="HFE30C2547F694FD28E6EDB45B4B8BE13"><enum>(A)</enum><text display-inline="yes-display-inline">the
credits</text>
</subparagraph><after-quoted-block>,</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="H7D68161C0BD149F7B02F8DF655CBFF33"><enum>(B)</enum><text>by striking the period at
the end of subparagraph (A) thereof (as amended by this paragraph) and
inserting <quote>, and</quote>, and</text>
</subparagraph><subparagraph id="H7D28AA7FA13E4BDFA7C9C3D9FFB32935"><enum>(C)</enum><text>by adding at the end the
following new subparagraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HA335AC290A2649EEB0D52D728DE030F4" reported-display-style="italic" style="OLC">
<subparagraph id="HCAFD7F24C16243DEAEBC3438082FEF86"><enum>(B)</enum><text display-inline="yes-display-inline">the credits allowed (and payments treated
as made) under subchapter C of chapter
65.</text>
</subparagraph><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="HE432829D75A64E7C816B848BE6355D65"><enum>(4)</enum><text>Subparagraph (B) of
section 6655(g)(1) is amended—</text>
<subparagraph id="H8E35586F8B124576B73627AEAE9997D0"><enum>(A)</enum><text>by striking <quote>the
credits</quote> and inserting</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="yes-display-inline" id="HCAAFDDB0A2C741E8A8E0C983762B4DBE" reported-display-style="italic" style="OLC">
<text>the sum
of—</text><clause id="H2FAF3FDD224D49BCB65DCC65C1966A16"><enum>(i)</enum><text display-inline="yes-display-inline">the
credits</text>
</clause><after-quoted-block>,</after-quoted-block></quoted-block>
</subparagraph><subparagraph id="H3244B8F61162488CB23E87713B43B47E"><enum>(B)</enum><text>by striking the period at
the end of clause (i) thereof (as amended by this paragraph) and inserting
<quote>, plus</quote>, and</text>
</subparagraph><subparagraph id="HF1ABB4A39B0B4793804C6A6AE08F0179"><enum>(C)</enum><text>by adding at the end the
following new clause:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HB196252A565948708049D78F58A3C656" reported-display-style="italic" style="OLC">
<clause id="H559AACE7E8314E1FAED99787CFB19457"><enum>(ii)</enum><text display-inline="yes-display-inline">the credits allowed (and payments treated
as made) under subchapter C of chapter
65.</text>
</clause><after-quoted-block>.</after-quoted-block></quoted-block>
</subparagraph></paragraph><paragraph id="H2AACA53D1BD848DABB9D27DFBB9B5CBB"><enum>(5)</enum><text>Paragraph (2) of section
1324(b) of title 31, United States Code, is amended by inserting <quote>, or
from the provisions of subchapter C of chapter 65 of such Code</quote> before
the period at the end.</text>
</paragraph><paragraph id="HC72AD0CFE52E402A8EC1C380BF33C5BC"><enum>(6)</enum><text>The table of subchapters
for chapter 65 is amended by adding at the end the following new item:</text>
<toc changed="added" committee-id="HWM00" regeneration="no-regeneration" reported-display-style="italic">
<toc-entry level="subchapter">Subchapter C. Direct payment
provisions</toc-entry>
</toc>
</paragraph></subsection><subsection id="HC46F6C21634F4856A89F8D3E17A2D144"><enum>(c)</enum><header>Effective
date</header><text display-inline="yes-display-inline">The amendments made by
this section shall apply to buildings placed in service after the date of the
enactment of this Act.</text>
</subsection></section><section id="HFF86737E65AA4B1990BEC03A2086BEE4"><enum>205.</enum><header>Extension and
additional allocations of recovery zone bond authority</header>
<subsection id="HDCD2970A284D4A3E8D4761C80E7849A7"><enum>(a)</enum><header>Extension of recovery
zone bond authority</header><text display-inline="yes-display-inline">Section
1400U–2(b)(1) and section 1400U–3(b)(1)(B) are each amended by striking
<quote>January 1, 2011</quote> and inserting <quote>January 1,
2012</quote>.</text>
</subsection><subsection id="H532B8F9A2B11411B865812C65FA26DB7"><enum>(b)</enum><header>Additional allocations
of recovery zone bond authority based on unemployment</header><text>Section
1400U–1 is amended by adding at the end the following new subsection:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HC4F62F9F573B44EBB6C930FEA2406438" reported-display-style="italic" style="OLC">
<subsection id="HEF5FD8CD51184A5EA238D97B3BE2DC3D"><enum>(c)</enum><header>Allocation of 2010
recovery zone bond limitations based on unemployment</header>
<paragraph id="H48A3DC24C78A4D1B93FD6228512C8AAE"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">The Secretary shall
allocate the 2010 national recovery zone economic development bond limitation
and the 2010 national recovery zone facility bond limitation among the States
in the proportion that each such State’s 2009 unemployment number bears to the
aggregate of the 2009 unemployment numbers for all of the States.</text>
</paragraph><paragraph id="HFD749EC1741E4228B21BA7007350B283"><enum>(2)</enum><header>Minimum
allocation</header><text display-inline="yes-display-inline">The Secretary
shall adjust the allocations under paragraph (1) for each State to the extent
necessary to ensure that no State (prior to any reduction under paragraph (3))
receives less than 0.9 percent of the 2010 national recovery zone economic
development bond limitation and 0.9 percent of the 2010 national recovery zone
facility bond limitation.</text>
</paragraph><paragraph id="HEFFB2C26A911492399A9BED73A6F33B6"><enum>(3)</enum><header>Allocations by
States</header>
<subparagraph id="H4575A9825A62445D9BC2837A8B19F022"><enum>(A)</enum><header>In
general</header><text>Each State with respect to which an allocation is made
under paragraph (1) shall reallocate such allocation among the counties and
large municipalities (as defined in subsection (a)(3)(B)) in such State in the
proportion that each such county’s or municipality’s 2009 unemployment number
bears to the aggregate of the 2009 unemployment numbers for all the counties
and large municipalities (as so defined) in such State.</text>
</subparagraph><subparagraph id="HD05C16D4CF4F4888A4E6EC34C43F0D07"><enum>(B)</enum><header>2010 allocation reduced
by amount of previous allocation</header><text>Each State shall reduce (but not
below zero)—</text>
<clause id="H1A59356CACC44D049D99B5BCA4DCBBBD"><enum>(i)</enum><text display-inline="yes-display-inline">the amount of the 2010 national recovery
zone economic development bond limitation allocated to each county or large
municipality (as so defined) in such State by the amount of the national
recovery zone economic development bond limitation allocated to such county or
large municipality under subsection (a)(3)(A) (determined without regard to any
waiver thereof), and</text>
</clause><clause id="H51CABB508E7C4C1EA641937CB7FFE68F"><enum>(ii)</enum><text display-inline="yes-display-inline">the amount of the 2010 national recovery
zone facility bond limitation allocated to each county or large municipality
(as so defined) in such State by the amount of the national recovery zone
facility bond limitation allocated to such county or large municipality under
subsection (a)(3)(A) (determined without regard to any waiver thereof).</text>
</clause></subparagraph><subparagraph id="HB2217A65CCF9456A99E237887BCE1793"><enum>(C)</enum><header>Waiver of
suballocations</header><text>A county or municipality may waive any portion of
an allocation made under this paragraph. A State may by law treat a county or
municipality as waiving any portion of an allocation made under this paragraph
if there is a reasonable expectation that such allocation would not otherwise
be used.</text>
</subparagraph><subparagraph id="HB0776E474D9B4EA9879A0ABD65E2DBB3"><enum>(D)</enum><header>Special rule for a
municipality in a county</header><text>In the case of any large municipality
any portion of which is in a county, such portion shall be treated as part of
such municipality and not part of such county.</text>
</subparagraph></paragraph><paragraph id="H51A60EF5DC8B4BEB8BBC0DAE0F902A14"><enum>(4)</enum><header>2009 unemployment
number</header><text>For purposes of this subsection, the term <quote>2009
unemployment number</quote> means, with respect to any State, county or
municipality, the number of individuals in such State, county, or municipality
who were determined to be unemployed by the Bureau of Labor Statistics for
December 2009.</text>
</paragraph><paragraph id="HC787C871A55B40849A89BCABED43285F"><enum>(5)</enum><header>2010 national
limitations</header>
<subparagraph id="HFF3C308F777F4202A1765A7B8F2A20D4"><enum>(A)</enum><header>Recovery zone economic
development bonds</header><text display-inline="yes-display-inline">The 2010
national recovery zone economic development bond limitation is $10,000,000,000.
Any allocation of such limitation under this subsection shall be treated for
purposes of section 1400U–2 in the same manner as an allocation of national
recovery zone economic development bond limitation.</text>
</subparagraph><subparagraph id="HA186B4A0366C478997162214CEE2344F"><enum>(B)</enum><header>Recovery zone facility
bonds</header><text display-inline="yes-display-inline">The 2010 national
recovery zone facility bond limitation is $15,000,000,000. Any allocation of
such limitation under this subsection shall be treated for purposes of section
1400U–3 in the same manner as an allocation of national recovery zone facility
bond
limitation.</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H389ACB1812714333A75F954DAFDC60B2"><enum>(c)</enum><header>Authority of State to
waive certain 2009 allocations</header><text display-inline="yes-display-inline">Subparagraph (A) of section 1400U–1(a)(3)
is amended by adding at the end the following: <quote>A State may by law treat
a county or municipality as waiving any portion of an allocation made under
this subparagraph if there is a reasonable expectation that such allocation
would not otherwise be used.</quote>.</text>
</subsection></section><section id="H3AB229EDDA07453987CCB061A8D8D351"><enum>206.</enum><header>Allowance of new
markets tax credit against alternative minimum tax</header>
<subsection id="HB5B949B262284A29BA84272E6689EC04"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subparagraph (B) of
section 38(c)(4) is amended by redesignating clauses (v) through (viii) as
clauses (vi) through (ix), respectively, and by inserting after clause (iv) the
following new clause:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HDC5CF6CE3360430183D0C85D05DACC57" reported-display-style="italic" style="OLC">
<clause id="H61A3A23EF411452C890E5218FDD517FA"><enum>(v)</enum><text display-inline="yes-display-inline">the credit determined under section 45D,
but only with respect to credits determined with respect to qualified equity
investments (as defined in section 45D(b)) initially made before January 1,
2012,</text>
</clause><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H3CCC9539ABB1470CB80AAB64906B37FC"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to qualified
equity investments (as defined in section 45D(b) of the Internal Revenue Code
of 1986) initially made after March 15, 2010.</text>
</subsection></section><enum>III</enum><header>Revenue
provisions</header>
<section display-inline="no-display-inline" id="H173619D067BF47AA91DE6D7E9C454171" section-type="subsequent-section"><enum>301.</enum><header>Limitation on treaty
benefits for certain deductible payments</header>
<subsection id="HD204F589EA444D02B30684F10332C89F"><enum>(a)</enum><header>In
general</header><text>Section 894 (relating to income affected by treaty) is
amended by adding at the end the following new subsection:</text>
<quoted-block changed="added" committee-id="HWM00" id="H9D6B95AB58CD4EEF9500BED73757427B" reported-display-style="italic">
<subsection id="H4D8B1F4CDA744BB883E5A09CC95C9A7A"><enum>(d)</enum><header>Limitation on treaty
benefits for certain deductible payments</header>
<paragraph id="H6BA82BFCBE0E4F93B7003821BEB8224F"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">In the case of any
deductible related-party payment, any withholding tax imposed under chapter 3
(and any tax imposed under subpart A or B of this part) with respect to such
payment may not be reduced under any treaty of the United States unless any
such withholding tax would be reduced under a treaty of the United States if
such payment were made directly to the foreign parent corporation.</text>
</paragraph><paragraph id="HCC71EC99DBA84096AAED342348298566"><enum>(2)</enum><header>Deductible
related-party payment</header><text>For purposes of this subsection, the term
<term>deductible related-party payment</term> means any payment made, directly
or indirectly, by any person to any other person if the payment is allowable as
a deduction under this chapter and both persons are members of the same foreign
controlled group of entities.</text>
</paragraph><paragraph id="H5DD9D75C7D7C42EE8A39BF38646EE706"><enum>(3)</enum><header>Foreign controlled
group of entities</header><text display-inline="yes-display-inline">For
purposes of this subsection—</text>
<subparagraph id="H891ECE6C51604020B8DB44DFC277AAAD"><enum>(A)</enum><header>In
general</header><text display-inline="yes-display-inline">The term
<term>foreign controlled group of entities</term> means a controlled group of
entities the common parent of which is a foreign corporation.</text>
</subparagraph><subparagraph id="H0819AC69C63948A0AA3F68802B699BA9"><enum>(B)</enum><header>Controlled group of
entities</header><text display-inline="yes-display-inline">The term
<term>controlled group of entities</term> means a controlled group of
corporations as defined in section 1563(a)(1), except that—</text>
<clause id="H98510CAD65C64314B15C00C4D0586E37"><enum>(i)</enum><text><quote>more than 50
percent</quote> shall be substituted for <quote>at least 80 percent</quote>
each place it appears therein, and</text>
</clause><clause id="H696D816019564552A6995B0261AF765B"><enum>(ii)</enum><text>the determination shall
be made without regard to subsections (a)(4) and (b)(2) of section 1563.</text>
</clause><continuation-text continuation-text-level="subparagraph">A
partnership or any other entity (other than a corporation) shall be treated as
a member of a controlled group of entities if such entity is controlled (within
the meaning of section 954(d)(3)) by members of such group (including any
entity treated as a member of such group by reason of this sentence).</continuation-text></subparagraph></paragraph><paragraph id="HB45AF75850E54BE68666B4C915F006C1"><enum>(4)</enum><header>Foreign parent
corporation</header><text>For purposes of this subsection, the term
<term>foreign parent corporation</term> means, with respect to any deductible
related-party payment, the common parent of the foreign controlled group of
entities referred to in paragraph (3)(A).</text>
</paragraph><paragraph id="H1BEF6F05FE254E0BA104759FDA81AF9A"><enum>(5)</enum><header>Regulations</header><text>The
Secretary may prescribe such regulations or other guidance as are necessary or
appropriate to carry out the purposes of this subsection, including regulations
or other guidance which provide for—</text>
<subparagraph id="H4545E505049C40049BCEBF14879914A3"><enum>(A)</enum><text>the treatment of two or
more persons as members of a foreign controlled group of entities if such
persons would be the common parent of such group if treated as one corporation,
and</text>
</subparagraph><subparagraph id="H993EA3703BA548F69478201859327153"><enum>(B)</enum><text>the treatment of any
member of a foreign controlled group of entities as the common parent of such
group if such treatment is appropriate taking into account the economic
relationships among such
entities.</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="HE334BF4B89F945B29977A20B7AF91DEB"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by this section shall apply to payments
made after the date of the enactment of this Act.</text>
</subsection></section><section id="HE9B452E6AAD24C0693ADC380B3C9B118" section-type="subsequent-section"><enum>302.</enum><header>Treatment of
securities of a controlled corporation exchanged for assets in certain
reorganizations</header>
<subsection id="HF1ED10555F3D46A09FF10B7908831971"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Section 361 (relating
to nonrecognition of gain or loss to corporations; treatment of distributions)
is amended by adding at the end the following new subsection:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H6518BB0ABC99488DA5C4BF3C8FD42359" reported-display-style="italic" style="OLC">
<subsection id="HF90645EF326641C59626994A0E390832"><enum>(d)</enum><header>Special rules for
transactions involving section 355 distributions</header><text display-inline="yes-display-inline">In the case of a reorganization described
in section 368(a)(1)(D) with respect to which stock or securities of the
corporation to which the assets are transferred are distributed in a
transaction which qualifies under section 355—</text>
<paragraph id="H31F2C1457E0C4543BC446242B114DF0E"><enum>(1)</enum><text>this section shall be
applied by substituting <quote>stock other than nonqualified preferred stock
(as defined in section 351(g)(2))</quote> for <quote>stock or
securities</quote> in subsections (a) and (b)(1), and</text>
</paragraph><paragraph id="HD78BA786DC474ED6AF0702DA3F30D7EC"><enum>(2)</enum><text>the first sentence of
subsection (b)(3) shall apply only to the extent that the sum of the money and
the fair market value of the other property transferred to such creditors does
not exceed the adjusted bases of such assets transferred (reduced by the amount
of the liabilities assumed (within the meaning of section
357(c))).</text>
</paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H295F41D3C57444AFB6E666B27E38BB90"><enum>(b)</enum><header>Conforming
amendment</header><text>Paragraph (3) of section 361(b) is amended by striking
the last sentence.</text>
</subsection><subsection id="H926B2B6ABC0B4BB5A8D4E4DE34D38CB6"><enum>(c)</enum><header>Effective date</header>
<paragraph id="H1B220A6547F94CC1AF1C90A18CD44A09"><enum>(1)</enum><header>In
general</header><text>Except as provided in paragraph (2), the amendments made
by this section shall apply to exchanges after the date of the enactment of
this Act.</text>
</paragraph><paragraph id="H07A39ABD600545DB8A3C2111484F4FD1"><enum>(2)</enum><header>Transition
rule</header><text display-inline="yes-display-inline">The amendments made by
this section shall not apply to any exchange pursuant to a transaction which
is—</text>
<subparagraph id="HA433EC762BBD4C0F9F0273F2CCA02061"><enum>(A)</enum><text>made pursuant to an
agreement which was binding on March 15, 2010, and at all times
thereafter,</text>
</subparagraph><subparagraph id="H915462C94B744E47A6C4A3DE529AE3F7"><enum>(B)</enum><text>described in a ruling
request submitted to the Internal Revenue Service on or before such date,
or</text>
</subparagraph><subparagraph id="H42673822195C4C0EAD39B56EE42958C0"><enum>(C)</enum><text>described on or before
such date in a public announcement or in a filing with the Securities and
Exchange Commission.</text>
</subparagraph></paragraph></subsection></section><section id="HFDB31009FB004D9DB5FC996FAEDEE676" section-type="subsequent-section"><enum>303.</enum><header>Repeal of special
rules for interest and dividends received from persons meeting the 80-percent
foreign business requirements</header>
<subsection id="H403D111A6E564FEE93596AAB45EDF7DB"><enum>(a)</enum><header>Repeal of special rule
treating interest as United States source</header><text display-inline="yes-display-inline">Paragraph (1) of section 861(a) is amended
by striking subparagraph (A) and by redesignating subparagraphs (B) and (C) as
subparagraphs (A) and (B), respectively.</text>
</subsection><subsection id="H5B25FE84BD8D4110BB729220ED394A0C"><enum>(b)</enum><header>Repeal of exception to
tax on dividends received by nonresident aliens</header><text>Paragraph (2) of
section 871(i) is amended by striking subparagraph (B) and by redesignating
subparagraphs (C) and (D) as subparagraphs (B) and (C), respectively.</text>
</subsection><subsection id="H54E8B93C103C42FE8E98153B6117C804"><enum>(c)</enum><header>Conforming
amendments</header>
<paragraph id="H4F18204E380546C292B947937E21DE78"><enum>(1)</enum><text>Section 861 is amended by
striking subsection (c) and by redesignating subsections (d), (e), and (f) as
subsections (c), (d), and (e), respectively.</text>
</paragraph><paragraph id="H0B7DDFACC387490F92A7EE162811BA99"><enum>(2)</enum><text>Paragraph (9) of section
904(h) is amended to read as follows:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="HD0A4C2259E054D2194472D16B2797D43" reported-display-style="italic" style="OLC">
<paragraph id="HB7DD47EC7DCF4D47BEEA80A58518B199"><enum>(9)</enum><header>Treatment of certain
domestic corporations</header><text display-inline="yes-display-inline">In the
case of any dividend treated as not from sources with the United States under
section 861(a)(2)(A), the corporation paying such dividend shall be treated for
purposes of this subsection as a United States-owned foreign
corporation.</text>
</paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph><paragraph id="H08967683237F4327ABC60CF83EF8BEDC"><enum>(3)</enum><text>Subsection (c) of section
2104 is amended in the last sentence by striking <quote>or to a debt obligation
of a domestic corporation</quote> and all that follows and inserting a
period.</text>
</paragraph></subsection><subsection id="HF394A797A4F2477782F5D74DC2091732"><enum>(d)</enum><header>Effective date</header>
<paragraph id="H91E80DF67A1B4F1D84B115564C4D7A06"><enum>(1)</enum><header>In
general</header><text>Except as provided in paragraph (2), the amendments made
by this section shall apply to taxable years beginning after December 31,
2010.</text>
</paragraph><paragraph id="H71EA34C87B4941579617D67BBAB5344F"><enum>(2)</enum><header>Grandfather rule for
outstanding debt obligations</header>
<subparagraph id="H8CACEA95BEA94713A8885343E209B959"><enum>(A)</enum><header>In
general</header><text>The amendments made by this section shall not apply to
payments of interest on obligations issued before the date of the enactment of
this Act.</text>
</subparagraph><subparagraph id="HE1EA34929EDF4EE4924A4DDD8F99F7DE"><enum>(B)</enum><header>Exception for related
party debt</header><text display-inline="yes-display-inline">Subparagraph (A)
shall not apply to any interest which is payable to a related person
(determined under rules similar to the rules of section 954(d)(3)).</text>
</subparagraph><subparagraph id="HF288E4A35F1141418A4071A693186C90"><enum>(C)</enum><header>Significant
modifications treated as new issues</header><text>For purposes of subparagraph
(A), a significant modification of the terms of any obligation (including any
extension of the term of such obligation) shall be treated as a new
issue.</text>
</subparagraph></paragraph></subsection></section><section commented="no" id="H6F473A0AF5D54A11BA4E29F920B4E4AD"><enum>304.</enum><header>Information reporting
for rental property expense payments</header>
<subsection commented="no" id="HF12ABF6A76B344B79A7C1FF6D924EAA7"><enum>(a)</enum><header>In
general</header><text>Section 6041 is amended by adding at the end the
following new subsection:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H41D54A9A62DA47F3B9174DB10FD68241" reported-display-style="italic" style="OLC">
<subsection commented="no" id="H6A7F97ACFF904E66BB4ED59167C00BAD"><enum>(h)</enum><header>Treatment of rental
property expense payments</header>
<paragraph id="H856E29DB1BB1409F969D60AAF62E9DC1"><enum>(1)</enum><header>In
general</header><text>For purposes of subsection (a), a person receiving rental
income from real estate (other than a qualified residence) shall be considered
to be engaged in a trade or business of renting property.</text>
</paragraph><paragraph id="HCB5900B3BE0647D88DF1C9B9FBC1320D"><enum>(2)</enum><header>Qualified
residence</header><text>For purposes of paragraph (1), the term
<quote>qualified residence</quote> means——</text>
<subparagraph id="H5EFA9A573C5C451881F312FE2B9C7A74"><enum>(A)</enum><text display-inline="yes-display-inline">the principal residence (within the meaning
of section 121) of the taxpayer, and</text>
</subparagraph><subparagraph id="H7206C87716D54E1DAC475E44F91323A5"><enum>(B)</enum><text>1 other residence of the
taxpayer which is selected by the taxpayer for purposes of this subsection for
the taxable year and which is used by the taxpayer as a residence (within the
meaning of section
280A(d)(1)).</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection commented="no" id="H0D46606D297B4734AA91C4AED438D089"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by this section shall apply to payments
made after December 31, 2010.</text>
</subsection></section><section display-inline="no-display-inline" id="H3BFC40FD871A4BF48EFD6CE4E82DCE17" section-type="subsequent-section"><enum>305.</enum><header>Application of levy
to payments to Federal vendors relating to property</header>
<subsection id="H36DA5479FF754A0A870AEFB456C1454B"><enum>(a)</enum><header>In
general</header><text>Section 6331(h)(3) is amended by striking <quote>goods or
services</quote> and inserting <quote>property, goods, or
services</quote>.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="HA4ED4C7095674E34A46F22B030F4C81C"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by this section shall apply to levies
approved after the date of the enactment of this Act.</text>
</subsection></section><section display-inline="no-display-inline" id="H6B7C9DF96E524860967E9BC9FD6AD066" section-type="subsequent-section"><enum>306.</enum><header>Application of
continuous levy to employment tax liability of certain Federal
contractors</header>
<subsection id="H3F8EDD76C131442FA20E81EF6432BE1A"><enum>(a)</enum><header>In
general</header><text>Section 6330(h) is amended by inserting <quote>or if the
person subject to the levy (or any predecessor thereof) is a Federal contractor
that was identified as owing such employment taxes through the Federal Payment
Levy Program</quote> before the period at the end of the first sentence.</text>
</subsection><subsection id="H34DA9670C0294383823C8768182F138C"><enum>(b)</enum><header>Effective
date</header><text>The amendment made by this section shall apply to levies
issued after December 31, 2010.</text>
</subsection></section><section display-inline="no-display-inline" id="H3F84DC0303494740BF7B0CD8BBB59378" section-type="subsequent-section"><enum>307.</enum><header>Required minimum
10-year term, etc., for grantor retained annuity trusts</header>
<subsection id="HBBD829E0A8C54E359BADAC5DFF48E993"><enum>(a)</enum><header>In
general</header><text display-inline="yes-display-inline">Subsection (b) of
section 2702 is amended—</text>
<paragraph id="H240457E0E3D74B1D8AD13F3C07B66CE1"><enum>(1)</enum><text>by redesignating
paragraphs (1), (2) and (3) as subparagraphs (A), (B), and (C), respectively,
and by moving such subparagraphs (as so redesignated) 2 ems to the
right,</text>
</paragraph><paragraph id="H046BE3F0A41C45019D59DE0CAD80DBB8"><enum>(2)</enum><text>by striking <quote>For
purposes of</quote> and inserting the following:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H38CDA4FF54FA488B90826699B63E4D13" reported-display-style="italic" style="OLC">
<paragraph id="H8AC36BB7EDA94594AC9B5E596C6A376F"><enum>(1)</enum><header>In
general</header><text display-inline="yes-display-inline">For purposes
of</text>
</paragraph><after-quoted-block>, and</after-quoted-block></quoted-block>
</paragraph><paragraph id="H9186AD51CDD642919AE54120E0906786"><enum>(3)</enum><text>by striking
<quote>paragraph (1) or (2)</quote> in paragraph (1)(C) (as so redesignated)
and inserting <quote>subparagraph (A) or (B)</quote>, and</text>
</paragraph><paragraph id="H5B6F6B1952854719B86525F1723F3180"><enum>(4)</enum><text>by adding at the end the
following new paragraph:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H28DACD2EC25B41B5B81ABCE7C3353F59" reported-display-style="italic" style="OLC">
<paragraph id="HBA2D369E7C964EDE88E7F76B47345AC7"><enum>(2)</enum><header>Additional requirements
with respect to grantor retained annuities</header><text>For purposes of
subsection (a), in the case of an interest described in paragraph (1)(A)
(determined without regard to this paragraph) which is retained by the
transferor, such interest shall be treated as described in such paragraph only
if—</text>
<subparagraph id="HE878AA367E114B4082F0A65DFC01FAEA"><enum>(A)</enum><text>the right to receive the
fixed amounts referred to in such paragraph is for a term of not less than 10
years,</text>
</subparagraph><subparagraph id="H9A1A0A599585485587E6FCD0CE13D2CF"><enum>(B)</enum><text>such fixed amounts, when
determined on an annual basis, do not decrease relative to any prior year
during the first 10 years of the term referred to in subparagraph (A),
and</text>
</subparagraph><subparagraph id="HDA020A18651241DCB2B67040E844D4EF"><enum>(C)</enum><text>the remainder interest
has a value greater than zero determined as of the time of the
transfer.</text>
</subparagraph></paragraph><after-quoted-block>.</after-quoted-block></quoted-block>
</paragraph></subsection><subsection id="H81774673D5E047828BCB6F46AFCD68CB"><enum>(b)</enum><header>Effective
date</header><text>The amendments made by this section shall apply to transfers
made after the date of the enactment of this Act.</text>
</subsection></section><section display-inline="no-display-inline" id="H56BBC58687584996B54B04F2A92EA7B3" section-type="subsequent-section"><enum>308.</enum><header>Increase in
information return penalties</header>
<subsection id="HE8DB4B719C254F3DA917D3F52E4BB73D"><enum>(a)</enum><header>Failure to file correct
information returns</header>
<paragraph id="HF36DCD7302F64D0F9294CFD11F462926"><enum>(1)</enum><header>In
general</header><text>Subsections (a)(1), (b)(1)(A), and (b)(2)(A) of section
6721 are each amended by striking <quote>$50</quote> and inserting
<quote>$100</quote>.</text>
</paragraph><paragraph id="HC5C603CC5ACD4693BDBCBD80227D6778"><enum>(2)</enum><header>Aggregate annual
limitation</header><text display-inline="yes-display-inline">Subsections
(a)(1), (d)(1)(A), and (e)(3)(A) of section 6721 are each amended by striking
<quote>$250,000</quote> and inserting <quote>$1,500,000</quote>.</text>
</paragraph></subsection><subsection id="H9B7072DBA6FC466484AE50E933E8A863"><enum>(b)</enum><header>Reduction where
correction within 30 days</header>
<paragraph id="H99C30DB350884448BC1E98F7B4375BD1"><enum>(1)</enum><header>In
general</header><text>Subparagraph (A) of section 6721(b)(1) is amended by
striking <quote>$15</quote> and inserting <quote>$30</quote>.</text>
</paragraph><paragraph id="H33C6B796EDBC41638878855F5A9F7CFB"><enum>(2)</enum><header>Aggregate annual
limitation</header><text>Subsections (b)(1)(B) and (d)(1)(B) of section 6721
are each amended by striking <quote>$75,000</quote> and inserting
<quote>$250,000</quote>.</text>
</paragraph></subsection><subsection id="H1317E3A727794400ABD0F1DE6668FC73"><enum>(c)</enum><header>Reduction where
correction on or before August 1</header>
<paragraph id="H712A7E17C8634345A489CFD7BA75991B"><enum>(1)</enum><header>In
general</header><text>Subparagraph (A) of section 6721(b)(2) is amended by
striking <quote>$30</quote> and inserting <quote>$60</quote>.</text>
</paragraph><paragraph id="H2D432B878E2C4D8F9A23BC79AF517BF2"><enum>(2)</enum><header>Aggregate annual
limitation</header><text display-inline="yes-display-inline">Subsections
(b)(2)(B) and (d)(1)(C) of section 6721 are each amended by striking
<quote>$150,000</quote> and inserting <quote>$500,000</quote>.</text>
</paragraph></subsection><subsection id="H5DA4A888F01644A483A6134E244D5AC8"><enum>(d)</enum><header>Aggregate annual
limitations for persons with gross receipts of not more than
$5,000,000</header><text display-inline="yes-display-inline">Paragraph (1) of
section 6721(d) is amended—</text>
<paragraph id="H7FE8887BAD034C2196213486BA5803FA"><enum>(1)</enum><text>by striking
<quote>$100,000</quote> in subparagraph (A) and inserting
<quote>$500,000</quote>,</text>
</paragraph><paragraph id="H21721D1EDA2E443DAC0F1971AF8BBC1E"><enum>(2)</enum><text>by striking
<quote>$25,000</quote> in subparagraph (B) and inserting
<quote>$75,000</quote>, and</text>
</paragraph><paragraph id="H2D44CA52D4D942769C18B5A742842CFE"><enum>(3)</enum><text>by striking
<quote>$50,000</quote> in subparagraph (C) and inserting
<quote>$200,000</quote>.</text>
</paragraph></subsection><subsection id="HC85B33829EE5475B905D1AA84EF2ADD2"><enum>(e)</enum><header>Penalty in case of
intentional disregard</header><text display-inline="yes-display-inline">Paragraph (2) of section 6721(e) is amended
by striking <quote>$100</quote> and inserting <quote>$250</quote>.</text>
</subsection><subsection commented="no" display-inline="no-display-inline" id="HB458F770D9B24D69985FA6949B496A15"><enum>(f)</enum><header>Adjustment for
inflation</header><text>Section 6721 is amended by adding at the end the
following new subsection:</text>
<quoted-block changed="added" committee-id="HWM00" display-inline="no-display-inline" id="H7C32B06F6E37489AB7E677B4EEBF9703" reported-display-style="italic" style="OLC">
<subsection commented="no" display-inline="no-display-inline" id="H2952B986E6CD409D84B4E4CF4808F8D2"><enum>(f)</enum><header display-inline="yes-display-inline">Adjustment for inflation</header>
<paragraph commented="no" display-inline="no-display-inline" id="H1FAC173CAC674A21900203D46B55F8A8"><enum>(1)</enum><header display-inline="yes-display-inline">In general</header><text display-inline="yes-display-inline">For each fifth calendar year beginning
after 2012, each of the dollar amounts under subsections (a), (b), (d) (other
than paragraph (2)(A) thereof), and (e) shall be increased by such dollar
amount multiplied by the cost-of-living adjustment determined under section
1(f)(3) determined by substituting <quote>calendar year 2011</quote> for
<quote>calendar year 1992</quote> in subparagraph (B) thereof.</text>
</paragraph><paragraph commented="no" display-inline="no-display-inline" id="H59A725F23CD5413FBC4A4B567F7E62F3"><enum>(2)</enum><header display-inline="yes-display-inline">Rounding</header><text display-inline="yes-display-inline">If any amount adjusted under paragraph
(1)—</text>
<subparagraph commented="no" display-inline="no-display-inline" id="HC89329A203ED4980AE2D6928D643099E"><enum>(A)</enum><text display-inline="yes-display-inline">is not less than $75,000 and is not a
multiple of $500, such amount shall be rounded to the next lowest multiple of
$500, and</text>
</subparagraph><subparagraph commented="no" display-inline="no-display-inline" id="HEC95632CAFD4405181A96854CAAA21FA"><enum>(B)</enum><text display-inline="yes-display-inline">is not described in subparagraph (A) and is
not a multiple of $10, such amount shall be rounded to the next lowest multiple
of
$10.</text>
</subparagraph></paragraph></subsection><after-quoted-block>.</after-quoted-block></quoted-block>
</subsection><subsection id="H6F1BEA1B78C84F6C81DA71A1F476F3BD"><enum>(g)</enum><header>Effective
Date</header><text>The amendments made by this section shall apply with respect
to information returns required to be filed on or after January 1, 2011.</text>
</subsection></section>
March 19, 2010
Reported with an amendment, committed to the Committee of
the Whole House on the State of the Union, and ordered to be
printed