[United States Statutes at Large, Volume 121, 110th Congress, 1st Session]
[From the U.S. Government Publishing Office, www.gpo.gov]

121 STAT. 2473

Public Law 110-172
110th Congress

An Act


 
To amend the Internal Revenue Code of 1986 to make technical
corrections, and for other [NOTE: Dec. 29, 2007 -  [H.R.
4839] purposes.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress [NOTE: Tax Technical Corrections
Act of 2007. assembled,
SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF CONTENTS.

(a) Short [NOTE: 26 USC 1 note. Title.--This Act may be cited as
the ``Tax Technical Corrections Act of 2007''.

(b) Amendment [NOTE: 26 USC 1 et seq. 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) [NOTE: 26 USC 53. 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

[[Page 2474]]
121 STAT. 2474

the taxpayer's preceding taxable year (as
determined before any reduction under subparagraph
(B)).''.

(b) Effective [NOTE: 26 USC 53 note. 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) [NOTE: 26 USC 408. 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''.

[[Page 2475]]
121 STAT. 2475

(f) Amendment Related to Section 1221 of the Act.--Subparagraph (A)
of section 4940(c)(4) [NOTE: 26 USC 4940. 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 [NOTE: 26 USC 170 note. 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

[[Page 2476]]
121 STAT. 2476

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) [NOTE: 26 USC
355. 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) [NOTE: Applicability. 26 USC 355 note. 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

[[Page 2477]]
121 STAT. 2477

``(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 [NOTE: Applicability. 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

[[Page 2478]]
121 STAT. 2478

in applying subparagraph (B) the adjustments under part
VI of subchapter A shall be taken into account.''.

(d) Effective [NOTE: Applicability. 26 USC 355 note. 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 [NOTE: 26 USC 6427. 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

[[Page 2479]]
121 STAT. 2479

(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 [NOTE: 26 USC 6426. 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 [NOTE: 26 USC 6426 note. 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.

[[Page 2480]]
121 STAT. 2480

(2) Paragraph (6) of [NOTE: 26 USC 41. 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) [NOTE: 26 USC 6430 note. 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))

[[Page 2481]]
121 STAT. 2481

employed in foreign trade or trade between the United States and
any of its possessions.''.
(C) Subsection (e) of [NOTE: 26 USC 4082. 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 [NOTE: 26 USC 30c note. 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.

[[Page 2482]]
121 STAT. 2482

(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 [NOTE: 26 USC 6501. 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 [NOTE: Applicability. 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--

[[Page 2483]]
121 STAT. 2483

``(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) [NOTE: 26 USC 1092. 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 [NOTE: 26 USC 1092 note. 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 [NOTE: Applicability. 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.

[[Page 2484]]
121 STAT. 2484

(b) Effective [NOTE: 26 USC 402 note. 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 [NOTE: 26 USC 45. 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 [NOTE: 26 USC 45 note. 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 [NOTE: 26 USC 6110 note. 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

[[Page 2485]]
121 STAT. 2485

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 [NOTE: 26 USC 35. 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 [NOTE: 26 USC 121
note. 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''.

[[Page 2486]]
121 STAT. 2486

(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 [NOTE: 26 USC 852. 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) [NOTE: Applicability. 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 [NOTE: Applicability. 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)''.

[[Page 2487]]
121 STAT. 2487

(C) Subparagraph (B) of [NOTE: 26 USC 1298. 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).

[[Page 2488]]
121 STAT. 2488

(38) Clause (ii) of [NOTE: 26 USC 6427. 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) [NOTE: Applicability. 26 USC 6427 note. 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 [NOTE: 26 USC 45 note. striking
``shall take effect of the date of the enactment'' and inserting
``shall take effect on the date of the enactment''.
(46) The [NOTE: Applicability. 26 USC 9508 note. 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 [NOTE: 26 USC 168 note. 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

[[Page 2489]]
121 STAT. 2489

(B) by striking ``section'' in clause (ii)(II) and
inserting ``section 32''.
(2) Effective [NOTE: 26 USC 24 note. 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 [NOTE: 26 USC 6416. 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 [NOTE: 26 USC 6416 note. 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 [NOTE: 26 USC 41 note. 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 [NOTE: 26 USC 904 note. 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)''.

[[Page 2490]]
121 STAT. 2490

(2) Clause (iv) of [NOTE: 26 USC 56. 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--

[[Page 2491]]
121 STAT. 2491

(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 [NOTE: 26 USC 954. 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.

Approved December 29, 2007.

LEGISLATIVE HISTORY--H.R. 4839:
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CONGRESSIONAL RECORD, Vol. 153 (2007):
Dec. 19, considered and passed House and Senate.