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[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4839 Received in Senate (RDS)]

  1st Session
                                H. R. 4839

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                           December 19, 2007

                                Received

_______________________________________________________________________

                                 AN ACT

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

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``Tax Technical 
Corrections Act of 2007''.
    (b) Amendment of 1986 Code.--Except as otherwise expressly 
provided, whenever in this Act an amendment or repeal is expressed in 
terms of an amendment to, or repeal of, a section or other provision, 
the reference shall be considered to be made to a section or other 
provision of the Internal Revenue Code of 1986.
    (c) Table of Contents.--The table of contents of this Act is as 
follows:

Sec. 1. Short title; amendment of 1986 Code; table of contents.
Sec. 2. Amendment related to the Tax Relief and Health Care Act of 
                            2006.
Sec. 3. Amendments related to title XII of the Pension Protection Act 
                            of 2006.
Sec. 4. Amendments related to the Tax Increase Prevention and 
                            Reconciliation Act of 2005.
Sec. 5. Amendments related to the Safe, Accountable, Flexible, 
                            Efficient Transportation Equity Act: A 
                            Legacy for Users.
Sec. 6. Amendments related to the Energy Policy Act of 2005.
Sec. 7. Amendments related to the American Jobs Creation Act of 2004.
Sec. 8. Amendments related to the Economic Growth and Tax Relief 
                            Reconciliation Act of 2001.
Sec. 9. Amendments related to the Tax Relief Extension Act of 1999.
Sec. 10. Amendment related to the Internal Revenue Service 
                            Restructuring and Reform Act of 1998.
Sec. 11. Clerical corrections.

SEC. 2. AMENDMENT RELATED TO THE TAX RELIEF AND HEALTH CARE ACT OF 
              2006.

    (a) Amendment Related to Section 402 of Division A of the Act.--
Subparagraph (A) of section 53(e)(2) is amended to read as follows:
                    ``(A) In general.--The term `AMT refundable credit 
                amount' means, with respect to any taxable year, the 
                amount (not in excess of the long-term unused minimum 
                tax credit for such taxable year) equal to the greater 
                of--
                            ``(i) $5,000,
                            ``(ii) 20 percent of the long-term unused 
                        minimum tax credit for such taxable year, or
                            ``(iii) the amount (if any) of the AMT 
                        refundable credit amount determined under this 
                        paragraph for the taxpayer's preceding taxable 
                        year (as determined before any reduction under 
                        subparagraph (B)).''.
    (b) Effective Date.--The amendment made by this section shall take 
effect as if included in the provision of the Tax Relief and Health 
Care Act of 2006 to which it relates.

SEC. 3. AMENDMENTS RELATED TO TITLE XII OF THE PENSION PROTECTION ACT 
              OF 2006.

    (a) Amendment Related to Section 1201 of the Act.--Subparagraph (D) 
of section 408(d)(8) is amended by striking ``all amounts distributed 
from all individual retirement plans were treated as 1 contract under 
paragraph (2)(A) for purposes of determining the inclusion of such 
distribution under section 72'' and inserting ``all amounts in all 
individual retirement plans of the individual were distributed during 
such taxable year and all such plans were treated as 1 contract for 
purposes of determining under section 72 the aggregate amount which 
would have been so includible''.
    (b) Amendment Related to Section 1203 of the Act.--Subsection (d) 
of section 1366 is amended by adding at the end the following new 
paragraph:
            ``(4) Application of limitation on charitable 
        contributions.--In the case of any charitable contribution of 
        property to which the second sentence of section 1367(a)(2) 
        applies, paragraph (1) shall not apply to the extent of the 
        excess (if any) of--
                    ``(A) the shareholder's pro rata share of such 
                contribution, over
                    ``(B) the shareholder's pro rata share of the 
                adjusted basis of such property.''.
    (c) Amendment Related to Section 1215 of the Act.--Subclause (I) of 
section 170(e)(7)(D)(i) is amended by striking ``related'' and 
inserting ``substantial and related''.
    (d) Amendments Related to Section 1218 of the Act.--
            (1) Section 2055 is amended by striking subsection (g) and 
        by redesignating subsection (h) as subsection (g).
            (2) Subsection (e) of section 2522 is amended--
                    (A) by striking paragraphs (2) and (4),
                    (B) by redesignating paragraph (3) as paragraph 
                (2), and
                    (C) by adding at the end of paragraph (2), as so 
                redesignated, the following new subparagraph:
                    ``(C) Initial fractional contribution.--For 
                purposes of this paragraph, the term `initial 
                fractional contribution' means, with respect to any 
                donor, the first gift of an undivided portion of the 
                donor's entire interest in any tangible personal 
                property for which a deduction is allowed under 
                subsection (a) or (b).''.
    (e) Amendments Related to Section 1219 of the Act.--
            (1) Paragraph (2) of section 6695A(a) is amended by 
        inserting ``a substantial estate or gift tax valuation 
        understatement (within the meaning of section 6662(g)),'' 
        before ``or a gross valuation misstatement''.
            (2) Paragraph (1) of section 6696(d) is amended by striking 
        ``or under section 6695'' and inserting ``, section 6695, or 
        6695A''.
    (f) Amendment Related to Section 1221 of the Act.--Subparagraph (A) 
of section 4940(c)(4) is amended to read as follows:
                    ``(A) There shall not be taken into account any 
                gain or loss from the sale or other disposition of 
                property to the extent that such gain or loss is taken 
                into account for purposes of computing the tax imposed 
                by section 511.''.
    (g) Amendment Related to Section 1225 of the Act.--
            (1) Subsection (b) of section 6104 is amended--
                    (A) by striking ``Information'' in the heading, and
                    (B) by adding at the end the following: ``Any 
                annual return which is filed under section 6011 by an 
                organization described in section 501(c)(3) and which 
                relates to any tax imposed by section 511 (relating to 
                imposition of tax on unrelated business income of 
                charitable, etc., organizations) shall be treated for 
                purposes of this subsection in the same manner as if 
                furnished under section 6033.''.
            (2) Clause (ii) of section 6104(d)(1)(A) is amended to read 
        as follows:
                            ``(ii) any annual return which is filed 
                        under section 6011 by an organization described 
                        in section 501(c)(3) and which relates to any 
                        tax imposed by section 511 (relating to 
                        imposition of tax on unrelated business income 
                        of charitable, etc., organizations),''.
            (3) Paragraph (2) of section 6104(d) is amended by striking 
        ``section 6033'' and inserting ``section 6011 or 6033''.
    (h) Amendment Related to Section 1231 of the Act.--Subsection (b) 
of section 4962 is amended by striking ``or D'' and inserting ``D, or 
G''.
    (i) Amendment Related to Section 1242 of the Act.--
            (1) Subclause (II) of section 4958(c)(3)(A)(i) is amended 
        by striking ``paragraph (1), (2), or (4) of section 509(a)'' 
        and inserting ``subparagraph (C)(ii)''.
            (2) Clause (ii) of section 4958(c)(3)(C) is amended to read 
        as follows:
                            ``(ii) Exception.--Such term shall not 
                        include--
                                    ``(I) any organization described in 
                                paragraph (1), (2), or (4) of section 
                                509(a), and
                                    ``(II) any organization which is 
                                treated as described in such paragraph 
                                (2) by reason of the last sentence of 
                                section 509(a) and which is a supported 
                                organization (as defined in section 
                                509(f)(3)) of the organization to which 
                                subparagraph (A) applies.''.
    (j) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Pension Protection Act 
of 2006 to which they relate.

SEC. 4. AMENDMENTS RELATED TO THE TAX INCREASE PREVENTION AND 
              RECONCILIATION ACT OF 2005.

    (a) Amendments Related to Section 103 of the Act.--Paragraph (6) of 
section 954(c) is amended by redesignating subparagraph (B) as 
subparagraph (C) and inserting after subparagraph (A) the following new 
subparagraph:
                    ``(B) Exception.--Subparagraph (A) shall not apply 
                in the case of any interest, rent, or royalty to the 
                extent such interest, rent, or royalty creates (or 
                increases) a deficit which under section 952(c) may 
                reduce the subpart F income of the payor or another 
                controlled foreign corporation.''.
    (b) Amendments Related to Section 202 of the Act.--
            (1) Subparagraph (A) of section 355(b)(2) is amended to 
        read as follows:
                    ``(A) it is engaged in the active conduct of a 
                trade or business,''.
            (2) Paragraph (3) of section 355(b) is amended to read as 
        follows:
            ``(3) Special rules for determining active conduct in the 
        case of affiliated groups.--
                    ``(A) In general.--For purposes of determining 
                whether a corporation meets the requirements of 
                paragraph (2)(A), all members of such corporation's 
                separate affiliated group shall be treated as one 
                corporation.
                    ``(B) Separate affiliated group.--For purposes of 
                this paragraph, the term `separate affiliated group' 
                means, with respect to any corporation, the affiliated 
                group which would be determined under section 1504(a) 
                if such corporation were the common parent and section 
                1504(b) did not apply.
                    ``(C) Treatment of trade or business conducted by 
                acquired member.--If a corporation became a member of a 
                separate affiliated group as a result of one or more 
                transactions in which gain or loss was recognized in 
                whole or in part, any trade or business conducted by 
                such corporation (at the time that such corporation 
                became such a member) shall be treated for purposes of 
                paragraph (2) as acquired in a transaction in which 
                gain or loss was recognized in whole or in part.
                    ``(D) Regulations.--The Secretary shall prescribe 
                such regulations as are necessary or appropriate to 
                carry out the purposes of this paragraph, including 
                regulations which provide for the proper application of 
                subparagraphs (B), (C), and (D) of paragraph (2), and 
                modify the application of subsection (a)(3)(B), in 
                connection with the application of this paragraph.''.
            (3) The Internal Revenue Code of 1986 shall be applied and 
        administered as if the amendments made by section 202 of the 
        Tax Increase Prevention and Reconciliation Act of 2005 and by 
        section 410 of division A of the Tax Relief and Health Care Act 
        of 2006 had never been enacted.
    (c) Amendment Related to Section 515 of the Act.--Subsection (f) of 
section 911 is amended to read as follows:
    ``(f) Determination of Tax Liability.--
            ``(1) In general.--If, for any taxable year, any amount is 
        excluded from gross income of a taxpayer under subsection (a), 
        then, notwithstanding sections 1 and 55--
                    ``(A) if such taxpayer has taxable income for such 
                taxable year, the tax imposed by section 1 for such 
                taxable year shall be equal to the excess (if any) of--
                            ``(i) the tax which would be imposed by 
                        section 1 for such taxable year if the 
                        taxpayer's taxable income were increased by the 
                        amount excluded under subsection (a) for such 
                        taxable year, over
                            ``(ii) the tax which would be imposed by 
                        section 1 for such taxable year if the 
                        taxpayer's taxable income were equal to the 
                        amount excluded under subsection (a) for such 
                        taxable year, and
                    ``(B) if such taxpayer has a taxable excess (as 
                defined in section 55(b)(1)(A)(ii)) for such taxable 
                year, the amount determined under the first sentence of 
                section 55(b)(1)(A)(i) for such taxable year shall be 
                equal to the excess (if any) of--
                            ``(i) the amount which would be determined 
                        under such sentence for such taxable year 
                        (subject to the limitation of section 55(b)(3)) 
                        if the taxpayer's taxable excess (as so 
                        defined) were increased by the amount excluded 
                        under subsection (a) for such taxable year, 
                        over
                            ``(ii) the amount which would be determined 
                        under such sentence for such taxable year if 
                        the taxpayer's taxable excess (as so defined) 
                        were equal to the amount excluded under 
                        subsection (a) for such taxable year.
            ``(2) Special rules.--
                    ``(A) Regular tax.--In applying section 1(h) for 
                purposes of determining the tax under paragraph 
                (1)(A)(i) for any taxable year in which, without regard 
                to this subsection, the taxpayer's net capital gain 
                exceeds taxable income (hereafter in this subparagraph 
                referred to as the capital gain excess)--
                            ``(i) the taxpayer's net capital gain 
                        (determined without regard to section 1(h)(11)) 
                        shall be reduced (but not below zero) by such 
                        capital gain excess,
                            ``(ii) the taxpayer's qualified dividend 
                        income shall be reduced by so much of such 
                        capital gain excess as exceeds the taxpayer's 
                        net capital gain (determined without regard to 
                        section 1(h)(11) and the reduction under clause 
                        (i)), and
                            ``(iii) adjusted net capital gain, 
                        unrecaptured section 1250 gain, and 28-percent 
                        rate gain shall each be determined after 
                        increasing the amount described in section 
                        1(h)(4)(B) by such capital gain excess.
                    ``(B) Alternative minimum tax.--In applying section 
                55(b)(3) for purposes of determining the tax under 
                paragraph (1)(B)(i) for any taxable year in which, 
                without regard to this subsection, the taxpayer's net 
                capital gain exceeds the taxable excess (as defined in 
                section 55(b)(1)(A)(ii))--
                            ``(i) the rules of subparagraph (A) shall 
                        apply, except that such subparagraph shall be 
                        applied by substituting `the taxable excess (as 
                        defined in section 55(b)(1)(A)(ii))' for 
                        `taxable income', and
                            ``(ii) the reference in section 55(b)(3)(B) 
                        to the excess described in section 1(h)(1)(B) 
                        shall be treated as a reference to such excess 
                        as determined under the rules of subparagraph 
                        (A) for purposes of determining the tax under 
                        paragraph (1)(A)(i).
                    ``(C) Definitions.--Terms used in this paragraph 
                which are also used in section 1(h) shall have the 
                respective meanings given such terms by section 1(h), 
                except that in applying subparagraph (B) the 
                adjustments under part VI of subchapter A shall be 
                taken into account.''.
    (d) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall take 
        effect as if included in the provisions of the Tax Increase 
        Prevention and Reconciliation Act of 2005 to which they relate.
            (2) Modification of active business definition under 
        section 355.--
                    (A) In general.--Except as otherwise provided in 
                this paragraph, the amendments made by subsection (b) 
                shall apply to distributions made after May 17, 2006.
                    (B) Transition rule.--The amendments made by 
                subsection (b) shall not apply to any distribution 
                pursuant to a transaction which is--
                            (i) made pursuant to an agreement which was 
                        binding on May 17, 2006, and at all times 
                        thereafter,
                            (ii) described in a ruling request 
                        submitted to the Internal Revenue Service on or 
                        before such date, or
                            (iii) described on or before such date in a 
                        public announcement or in a filing with the 
                        Securities and Exchange Commission.
                    (C) Election out of transition rule.--Subparagraph 
                (B) shall not apply if the distributing corporation 
                elects not to have such subparagraph apply to 
                distributions of such corporation. Any such election, 
                once made, shall be irrevocable.
                    (D) Special rule for certain pre-enactment 
                distributions.--For purposes of determining the 
                continued qualification under section 355(b)(2)(A) of 
                the Internal Revenue Code of 1986 of distributions made 
                on or before May 17, 2006, as a result of an 
                acquisition, disposition, or other restructuring after 
                such date, such distribution shall be treated as made 
                on the date of such acquisition, disposition, or 
                restructuring for purposes of applying subparagraphs 
                (A) through (C) of this paragraph. The preceding 
                sentence shall only apply with respect to the 
                corporation that undertakes such acquisition, 
                disposition, or other restructuring, and only if such 
                application results in continued qualification under 
                section 355(b)(2)(A) of such Code.
            (3) Amendment related to section 515 of the act.--The 
        amendment made by subsection (c) shall apply to taxable years 
        beginning after December 31, 2006.

SEC. 5. AMENDMENTS RELATED TO THE SAFE, ACCOUNTABLE, FLEXIBLE, 
              EFFICIENT TRANSPORTATION EQUITY ACT: A LEGACY FOR USERS.

    (a) Amendments Related to Section 11113 of the Act.--
            (1) Paragraph (3) of section 6427(i) is amended--
                    (A) by inserting ``or under subsection (e)(2) by 
                any person with respect to an alternative fuel (as 
                defined in section 6426(d)(2))'' after ``section 6426'' 
                in subparagraph (A),
                    (B) by inserting ``or (e)(2)'' after ``subsection 
                (e)(1)'' in subparagraphs (A)(i) and (B), and
                    (C) by striking ``alcohol fuel and biodiesel 
                mixture credit'' and inserting ``mixture credits and 
                the alternative fuel credit'' in the heading thereof.
            (2) Subparagraph (F) of section 6426(d)(2) is amended by 
        striking ``hydrocarbons'' and inserting ``fuel''.
            (3) Section 6426 is amended by adding at the end the 
        following new subsection:
    ``(h) Denial of Double Benefit.--No credit shall be determined 
under subsection (d) or (e) with respect to any fuel with respect to 
which credit may be determined under subsection (b) or (c) or under 
section 40 or 40A.''.
    (b) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the SAFETEA-LU to which they 
relate.

SEC. 6. AMENDMENTS RELATED TO THE ENERGY POLICY ACT OF 2005.

    (a) Amendment Related to Section 1306 of the Act.--Paragraph (2) of 
section 45J(b) is amended to read as follows:
            ``(2) Amount of national limitation.--The aggregate amount 
        of national megawatt capacity limitation allocated by the 
        Secretary under paragraph (3) shall not exceed 6,000 
        megawatts.''.
    (b) Amendments Related to Section 1342 of the Act.--
            (1) So much of subsection (b) of section 30C as precedes 
        paragraph (1) thereof is amended to read as follows:
    ``(b) Limitation.--The credit allowed under subsection (a) with 
respect to all qualified alternative fuel vehicle refueling property 
placed in service by the taxpayer during the taxable year at a location 
shall not
exceed--''.
            (2) Subsection (c) of section 30C is amended to read as 
        follows:
    ``(c) Qualified Alternative Fuel Vehicle Refueling Property.--For 
purposes of this section, the term `qualified alternative fuel vehicle 
refueling property' has the same meaning as the term `qualified clean-
fuel vehicle refueling property' would have under section 179A if--
            ``(1) paragraph (1) of section 179A(d) did not apply to 
        property installed on property which is used as the principal 
        residence (within the meaning of section 121) of the taxpayer, 
        and
            ``(2) only the following were treated as clean-burning 
        fuels for purposes of section 179A(d):
                    ``(A) Any fuel at least 85 percent of the volume of 
                which consists of one or more of the following: 
                ethanol, natural gas, compressed natural gas, liquified 
                natural gas, liquefied petroleum gas, or hydrogen.
                    ``(B) Any mixture--
                            ``(i) which consists of two or more of the 
                        following: biodiesel (as defined in section 
                        40A(d)(1)), diesel fuel (as defined in section 
                        4083(a)(3)), or kerosene, and
                            ``(ii) at least 20 percent of the volume of 
                        which consists of biodiesel (as so defined) 
                        determined without regard to any kerosene in 
                        such mixture.''.
    (c) Amendments Related to Section 1351 of the Act.--
            (1) Paragraph (3) of section 41(a) is amended by inserting 
        ``for energy research'' before the period at the end.
            (2) Paragraph (6) of section 41(f) is amended by adding at 
        the end the following new subparagraph:
                    ``(E) Energy research.--The term `energy research' 
                does not include any research which is not qualified 
                research.''.
    (d) Amendments Related to Section 1362 of the Act.--
            (1)(A) Paragraph (1) of section 4041(d) is amended by 
        adding at the end the following new sentence: ``No tax shall be 
        imposed under the preceding sentence on the sale or use of any 
        liquid if tax was imposed with respect to such liquid under 
        section 4081 at the Leaking Underground Storage Tank Trust Fund 
        financing rate.''.
            (B) Paragraph (3) of section 4042(b) is amended to read as 
        follows:
            ``(3) Exception for fuel on which leaking underground 
        storage tank trust fund financing rate separately imposed.--The 
        Leaking Underground Storage Tank Trust Fund financing rate 
        under paragraph (2)(B) shall not apply to the use of any fuel 
        if tax was imposed with respect to such fuel under section 
        4041(d) or 4081 at the Leaking Underground Storage Tank Trust 
        Fund financing rate.''.
            (C) Notwithstanding section 6430 of the Internal Revenue 
        Code of 1986, a refund, credit, or payment may be made under 
        subchapter B of chapter 65 of such Code for taxes imposed with 
        respect to any liquid after September 30, 2005, and before the 
        date of the enactment of this Act under section 4041(d)(1) or 
        4042 of such Code at the Leaking Underground Storage Tank Trust 
        Fund financing rate to the extent that tax was imposed with 
        respect to such liquid under section 4081 at the Leaking 
        Underground Storage Tank Trust Fund financing rate.
            (2)(A) Paragraph (5) of section 4041(d) is amended--
                    (i) by striking ``(other than with respect to any 
                sale for export under paragraph (3) thereof)'', and
                    (ii) by adding at the end the following new 
                sentence: ``The preceding sentence shall not apply with 
                respect to subsection (g)(3) and so much of subsection 
                (g)(1) as relates to vessels (within the meaning of 
                section 4221(d)(3)) employed in foreign trade or trade 
                between the United States and any of its 
                possessions.''.
            (B) Section 4082 is amended--
                    (i) by striking ``(other than such tax at the 
                Leaking Underground Storage Tank Trust Fund financing 
                rate imposed in all cases other than for export)'' in 
                subsection (a), and
                    (ii) by redesignating subsections (f) and (g) as 
                subsections (g) and (h), respectively, and by inserting 
                after subsection (e) the following new subsection:
    ``(f) Exception for Leaking Underground Storage Tank Trust Fund 
Financing Rate.--
            ``(1) In general.--Subsection (a) shall not apply to the 
        tax imposed under section 4081 at the Leaking Underground 
        Storage Tank Trust Fund financing rate.
            ``(2) Exception for export, etc.--Paragraph (1) shall not 
        apply with respect to any fuel if the Secretary determines that 
        such fuel is destined for export or for use by the purchaser as 
        supplies for vessels (within the meaning of section 4221(d)(3)) 
        employed in foreign trade or trade between the United States 
        and any of its possessions.''.
            (C) Subsection (e) of section 4082 is amended--
                    (i) by striking ``an aircraft, the rate of tax 
                under section 4081(a)(2)(A)(iii) shall be zero.'' and 
                inserting ``an aircraft--
            ``(1) the rate of tax under section 4081(a)(2)(A)(iii) 
        shall be zero, and
            ``(2) if such aircraft is employed in foreign trade or 
        trade between the United States and any of its possessions, the 
        increase in such rate under section 4081(a)(2)(B) shall be 
        zero.''; and
                    (ii) by moving the last sentence flush with the 
                margin of such subsection (following the paragraph (2) 
                added by clause (i)).
            (D) Section 6430 is amended to read as follows:

``SEC. 6430. TREATMENT OF TAX IMPOSED AT LEAKING UNDERGROUND STORAGE 
              TANK TRUST FUND FINANCING RATE.

    ``No refunds, credits, or payments shall be made under this 
subchapter for any tax imposed at the Leaking Underground Storage Tank 
Trust Fund financing rate, except in the case of fuels--
            ``(1) which are exempt from tax under section 4081(a) by 
        reason of section 4082(f)(2),
            ``(2) which are exempt from tax under section 4041(d) by 
        reason of the last sentence of paragraph (5) thereof, or
            ``(3) with respect to which the rate increase under section 
        4081(a)(2)(B) is zero by reason of section 4082(e)(2).''.
            (3) Paragraph (5) of section 4041(d) is amended by 
        inserting ``(b)(1)(A),'' after ``subsections''.
    (e) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall take 
        effect as if included in the provisions of the Energy Policy 
        Act of 2005 to which they relate.
            (2) Nonapplication of exemption for off-highway business 
        use.--The amendment made by subsection (d)(3) shall apply to 
        fuel sold for use or used after the date of the enactment of 
        this Act.
            (3) Amendment made by the safetea-lu.--The amendment made 
        by subsection (d)(2)(C)(ii) shall take effect as if included in 
        section 11161 of the SAFETEA-LU.

SEC. 7. AMENDMENTS RELATED TO THE AMERICAN JOBS CREATION ACT OF 2004.

    (a) Amendments Related to Section 339 of the Act.--
            (1)(A) Section 45H is amended by striking subsection (d) 
        and by redesignating subsections (e), (f), and (g) as 
        subsections (d), (e), and (f), respectively.
            (B) Subsection (d) of section 280C is amended to read as 
        follows:
    ``(d) Credit for Low Sulfur Diesel Fuel Production.--The deductions 
otherwise allowed under this chapter for the taxable year shall be 
reduced by the amount of the credit determined for the taxable year 
under section 45H(a).''.
            (C) Subsection (a) of section 1016 is amended by striking 
        paragraph (31) and by redesignating paragraphs (32) through 
        (37) as paragraphs (31) through (36), respectively.
            (2)(A) Section 45H, as amended by paragraph (1), is amended 
        by adding at the end the following new subsection:
    ``(g) Election to Not Take Credit.--No credit shall be determined 
under subsection (a) for the taxable year if the taxpayer elects not to 
have subsection (a) apply to such taxable year.''.
            (B) Subsection (m) of section 6501 is amended by inserting 
        ``45H(g),'' after ``45C(d)(4),''.
            (3)(A) Subsections (b)(1)(A), (c)(2), (e)(1), and (e)(2) of 
        section 45H (as amended by paragraph (1)) and section 179B(a) 
        are each amended by striking ``qualified capital costs'' and 
        inserting ``qualified costs''.
            (B) The heading of paragraph (2) of section 45H(c) is 
        amended by striking ``capital''.
            (C) Subsection (a) of section 179B is amended by inserting 
        ``and which are properly chargeable to capital account'' before 
        the period at the end.
    (b) Amendments Related to Section 710 of the Act.--
            (1) Clause (ii) of section 45(c)(3)(A) is amended by 
        striking ``which is segregated from other waste materials 
        and''.
            (2) Subparagraph (B) of section 45(d)(2) is amended by 
        inserting ``and'' at the end of clause (i), by striking clause 
        (ii), and by redesignating clause (iii) as clause (ii).
    (c) Amendments Related to Section 848 of the Act.--
            (1) Paragraph (2) of section 470(c) is amended to read as 
        follows:
            ``(2) Tax-exempt use property.--
                    ``(A) In general.--The term `tax-exempt use 
                property' has the meaning given to such term by section 
                168(h), except that such section shall be applied--
                            ``(i) without regard to paragraphs (1)(C) 
                        and (3) thereof, and
                            ``(ii) as if section 197 intangible 
                        property (as defined in section 197), and 
                        property described in paragraph (1)(B) or (2) 
                        of section 167(f), were tangible property.
                    ``(B) Exception for partnerships.--Such term shall 
                not include any property which would (but for this 
                subparagraph) be tax-exempt use property solely by 
                reason of section 168(h)(6).
                    ``(C) Cross reference.--For treatment of 
                partnerships as leases to which section 168(h) applies, 
                see section 7701(e).''.
            (2) Subparagraph (A) of section 470(d)(1) is amended by 
        striking ``(at any time during the lease term)'' and inserting 
        ``(at all times during the lease term)''.
    (d) Amendments Related to Section 888 of the Act.--
            (1) Subparagraph (A) of section 1092(a)(2) is amended by 
        striking ``and'' at the end of clause (ii), by redesignating 
        clause (iii) as clause (iv), and by inserting after clause (ii) 
        the following new clause:
                            ``(iii) if the application of clause (ii) 
                        does not result in an increase in the basis of 
                        any offsetting position in the identified 
                        straddle, the basis of each of the offsetting 
                        positions in the identified straddle shall be 
                        increased in a manner which--
                                    ``(I) is reasonable, consistent 
                                with the purposes of this paragraph, 
                                and consistently applied by the 
                                taxpayer, and
                                    ``(II) results in an aggregate 
                                increase in the basis of such 
                                offsetting positions which is equal to 
                                the loss described in clause (ii), 
                                and''.
            (2)(A) Subparagraph (B) of section 1092(a)(2) is amended by 
        adding at the end the following flush sentence:
                ``A straddle shall be treated as clearly identified for 
                purposes of clause (i) only if such identification 
                includes an identification of the positions in the 
                straddle which are offsetting with respect other 
                positions in the straddle.''.
            (B) Subparagraph (A) of section 1092(a)(2) is amended--
                    (i) by striking ``identified positions'' in clause 
                (i) and inserting ``positions'',
                    (ii) by striking ``identified position'' in clause 
                (ii) and inserting ``position'', and
                    (iii) by striking ``identified offsetting 
                positions'' in clause (ii) and inserting ``offsetting 
                positions''.
            (C) Subparagraph (B) of section 1092(a)(3) is amended by 
        striking ``identified offsetting position'' and inserting 
        ``offsetting position''.
            (3) Paragraph (2) of section 1092(a) is amended by 
        redesignating subparagraph (C) as subparagraph (D) and 
        inserting after subparagraph (B) the following new 
        subparagraph:
                    ``(C) Application to liabilities and obligations.--
                Except as otherwise provided by the Secretary, rules 
                similar to the rules of clauses (ii) and (iii) of 
                subparagraph (A) shall apply for purposes of this 
                paragraph with respect to any position which is, or has 
                been, a liability or obligation.''.
            (4) Subparagraph (D) of section 1092(a)(2), as redesignated 
        by paragraph (3), is amended by inserting ``the rules for the 
        application of this section to a position which is or has been 
        a liability or obligation, methods of loss allocation which 
        satisfy the requirements of subparagraph (A)(iii),'' before 
        ``and the ordering rules''.
    (e) Effective Date.--
            (1) In general.--Except as otherwise provided in this 
        subsection, the amendments made by this section shall take 
        effect as if included in the provisions of the American Jobs 
        Creation Act of 2004 to which they relate.
            (2) Identification requirement of amendment related to 
        section 888 of the american jobs creation act of 2004.--The 
        amendment made by subsection (d)(2)(A) shall apply to straddles 
        acquired after the date of the enactment of this Act.

SEC. 8. AMENDMENTS RELATED TO THE ECONOMIC GROWTH AND TAX RELIEF 
              RECONCILIATION ACT OF 2001.

    (a) Amendments Related to Section 617 of the Act.--
            (1) Subclause (II) of section 402(g)(7)(A)(ii) is amended 
        by striking ``for prior taxable years'' and inserting 
        ``permitted for prior taxable years by reason of this 
        paragraph''.
            (2) Subparagraph (A) of section 3121(v)(1) is amended by 
        inserting ``or consisting of designated Roth contributions (as 
        defined in section 402A(c))'' before the comma at the end.
    (b) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Economic Growth and Tax 
Relief Reconciliation Act of 2001 to which they relate.

SEC. 9. AMENDMENTS RELATED TO THE TAX RELIEF EXTENSION ACT OF 1999.

    (a) Amendment Related to Section 507 of the Act.--Clause (i) of 
section 45(e)(7)(A) is amended by striking ``placed in service by the 
taxpayer'' and inserting ``originally placed in service''.
    (b) Amendment Related to Section 542 of the Act.--Clause (ii) of 
section 856(d)(9)(D) is amended to read as follows:
                            ``(ii) Lodging facility.--The term `lodging 
                        facility' means a--
                                    ``(I) hotel,
                                    ``(II) motel, or
                                    ``(III) other establishment more 
                                than one-half of the dwelling units in 
                                which are used on a transient basis.''.
    (c) Effective Date.--The amendments made by this section shall take 
effect as if included in the provisions of the Tax Relief Extension Act 
of 1999 to which they relate.

SEC. 10. AMENDMENT RELATED TO THE INTERNAL REVENUE SERVICE 
              RESTRUCTURING AND REFORM ACT OF 1998.

    (a) Amendment Related to Section 3509 of the Act.--Paragraph (3) of 
section 6110(i) is amended by inserting ``and related background file 
documents'' after ``Chief Counsel advice'' in the matter preceding 
subparagraph (A).
    (b) Effective Date.--The amendment made by this section shall take 
effect as if included in the provision of the Internal Revenue Service 
Restructuring and Reform Act of 1998 to which it relates.

SEC. 11. CLERICAL CORRECTIONS.

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

``Sec. 1400T. Special rules for mortgage revenue bonds.''.
            (28) Subsection (b) of section 4082 is amended to read as 
        follows:
    ``(b) Nontaxable Use.--For purposes of this section, the term 
`nontaxable use' means--
            ``(1) any use which is exempt from the tax imposed by 
        section 4041(a)(1) other than by reason of a prior imposition 
        of tax,
            ``(2) any use in a train, and
            ``(3) any use described in section 4041(a)(1)(C)(iii)(II).
The term `nontaxable use' does not include the use of kerosene in an 
aircraft and such term shall not include any use described in section 
6421(e)(2)(C).''.
            (29) Paragraph (4) of section 4101(a) (relating to 
        registration in event of change of ownership) is redesignated 
        as paragraph (5).
            (30) Paragraph (6) of section 4965(c) is amended by 
        striking ``section 4457(e)(1)(A)'' and inserting ``section 
        457(e)(1)(A)''.
            (31) Subpart C of part II of subchapter A of chapter 51 is 
        amended by redesignating section 5432 (relating to 
        recordkeeping by wholesale dealers) as section 5121.
            (32) Paragraph (2) of section 5732(c), as redesignated by 
        section 11125(b)(20)(A) of the SAFETEA-LU, is amended by 
        striking ``this subpart'' and inserting ``this subchapter''.
            (33) Subsection (b) of section 6046 is amended--
                    (A) by striking ``subsection (a)(1)'' and inserting 
                ``subsection (a)(1)(A)'', and
                    (B) by striking ``paragraph (2) or (3) of 
                subsection (a)'' and inserting ``subparagraph (B) or 
                (C) of subsection (a)(1)''.
            (34)(A) Subparagraph (A) of section 6103(b)(5) is amended 
        by striking ``the Canal Zone,''.
            (B) Section 7651 is amended by striking paragraph (4) and 
        by redesignating paragraph (5) as paragraph (4).
            (35) Subparagraph (A) of section 6211(b)(4) is amended by 
        striking ``and 34'' and inserting ``34, and 35''.
            (36) Subparagraphs (A) and (B) of section 6230(a)(3) are 
        each amended by striking ``section 6013(e)'' and inserting 
        ``section 6015''.
            (37) Paragraph (3) of section 6427(e) (relating to 
        termination), as added by section 11113 of the SAFETEA-LU, is 
        redesignated as paragraph (5) and moved after paragraph (4).
            (38) Clause (ii) of section 6427(l)(4)(A) is amended by 
        striking ``section 4081(a)(2)(iii)'' and inserting ``section 
        4081(a)(2)(A)(iii)''.
            (39)(A) Section 6427, as amended by section 1343(b)(1) of 
        the Energy Policy Act of 2005, is amended by striking 
        subsection (p) (relating to gasohol used in noncommercial 
        aviation) and redesignating subsection (q) as subsection (p).
            (B) The Internal Revenue Code of 1986 shall be applied and 
        administered as if the amendments made by paragraph (2) of 
        section 11151(a) of the SAFETEA-LU had never been enacted.
            (40) Subsection (a) of section 6695A is amended by striking 
        ``then such person'' in paragraph (2) and inserting the 
        following:
``then such person''.
            (41) Subparagraph (C) of section 6707A(e)(2) is amended by 
        striking ``section 6662A(e)(2)(C)'' and inserting ``section 
        6662A(e)(2)(B)''.
            (42)(A) Paragraph (3) of section 9002 is amended by 
        striking ``section 309(a)(1)'' and inserting ``section 
        306(a)(1)''.
            (B) Paragraph (1) of section 9004(a) is amended by striking 
        ``section 320(b)(1)(B)'' and inserting ``section 
        315(b)(1)(B)''.
            (C) Paragraph (3) of section 9032 is amended by striking 
        ``section 309(a)(1)'' and inserting ``section 306(a)(1)''.
            (D) Subsection (b) of section 9034 is amended by striking 
        ``section 320(b)(1)(A)'' and inserting ``section 
        315(b)(1)(A)''.
            (43) Section 9006 is amended by striking ``Comptroller 
        General'' each place it appears and inserting ``Commission''.
            (44) Subsection (c) of section 9503 is amended by 
        redesignating paragraph (7) (relating to transfers from the 
        trust fund for certain aviation fuels taxes) as paragraph (6).
            (45) Paragraph (1) of section 1301(g) of the Energy Policy 
        Act of 2005 is amended by striking ``shall take effect of the 
        date of the enactment'' and inserting ``shall take effect on 
        the date of the enactment''.
            (46) The Internal Revenue Code of 1986 shall be applied and 
        administered as if the amendments made by section 1(a) of 
        Public Law 109-433 had never been enacted.
    (b) Clerical Amendments Related to the Tax Relief and Health Care 
Act of 2006.--
            (1) Amendment related to section 209 of division a of the 
        act.--Paragraph (3) of section 168(l) is amended by striking 
        ``enzymatic''.
            (2) Amendments related to section 419 of division a of the 
        act.--
                    (A) Clause (iv) of section 6724(d)(1)(B) is amended 
                by inserting ``or (h)(1)'' after ``section 6050H(a)''.
                    (B) Subparagraph (K) of section 6724(d)(2) is 
                amended by inserting ``or (h)(2)'' after ``section 
                6050H(d)''.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the provision of the Tax 
        Relief and Health Care Act of 2006 to which they relate.
    (c) Clerical Amendments Related to the Gulf Opportunity Zone Act of 
2005.--
            (1) Amendments related to section 402 of the act.--
        Subparagraph (B) of section 24(d)(1) is amended--
                    (A) by striking ``the excess (if any) of'' in the 
                matter preceding clause (i) and inserting ``the greater 
                of'', and
                    (B) by striking ``section'' in clause (ii)(II) and 
                inserting ``section 32''.
            (2) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the provisions of the Gulf 
        Opportunity Zone Act of 2005 to which they relate.
    (d) Clerical Amendments Related to the Safe, Accountable, Flexible, 
Efficient Transportation Equity Act: A Legacy for Users.--
            (1) Amendments related to section 11163 of the act.--
        Subparagraph (C) of section 6416(a)(4) is amended--
                    (A) by striking ``ultimate vendor'' and all that 
                follows through ``has certified'' and inserting 
                ``ultimate vendor or credit card issuer has 
                certified'', and
                    (B) by striking ``all ultimate purchasers of the 
                vendor'' and all that follows through ``are certified'' 
                and inserting ``all ultimate purchasers of the vendor 
                or credit card issuer are certified''.
            (2) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the provisions of the Safe, 
        Accountable, Flexible, Efficient Transportation Equity Act: A 
        Legacy for Users to which they relate.
    (e) Clerical Amendments Related to the Energy Policy Act of 2005.--
            (1) Amendment related to section 1344 of the act.--
        Subparagraph (B) of section 6427(e)(5), as redesignated by 
        subsection (a)(37), is amended by striking ``2006'' and 
        inserting ``2008''.
            (2) Amendments related to section 1351 of the act.--
        Subparagraphs (A)(ii) and (B)(ii) of section 41(f)(1) are each 
        amended by striking ``qualified research expenses and basic 
        research payments'' and inserting ``qualified research 
        expenses, basic research payments, and amounts paid or incurred 
        to energy research consortiums,''.
            (3) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the provisions of the 
        Energy Policy Act of 2005 to which they relate.
    (f) Clerical Amendments Related to the American Jobs Creation Act 
of 2004.--
            (1) Amendment related to section 301 of the act.--Section 
        9502 is amended by striking subsection (e) and redesignating 
        subsection (f) as subsection (e).
            (2) Amendment related to section 413 of the act.--
        Subsection (b) of section 1298 is amended by striking paragraph 
        (7) and by redesignating paragraphs (8) and (9) as paragraphs 
        (7) and (8), respectively.
            (3) Amendment related to section 895 of the act.--Clause 
        (iv) of section 904(f)(3)(D) is amended by striking ``a 
        controlled group'' and inserting ``an affiliated group''.
            (4) Effective date.--The amendments made by this subsection 
        shall take effect as if included in the provisions of the 
        American Jobs Creation Act of 2004 to which they relate.
    (g) Clerical Amendments Related to the FSC Repeal and 
Extraterritorial Income Exclusion Act of 2000.--
            (1) Subclause (I) of section 56(g)(4)(C)(ii) is amended by 
        striking ``921'' and inserting ``921 (as in effect before its 
        repeal by the FSC Repeal and Extraterritorial Income Exclusion 
        Act of 2000)''.
            (2) Clause (iv) of section 54(g)(4)(C) is amended by 
        striking ``a cooperative described in section 927(a)(4)'' and 
        inserting ``an organization to which part I of subchapter T 
        (relating to tax treatment of cooperatives) applies which is 
        engaged in the marketing of agricultural or horticultural 
        products''.
            (3) Paragraph (4) of section 245(c) is amended by adding at 
        the end the following new subparagraph:
                    ``(C) FSC.--The term `FSC' has the meaning given 
                such term by section 922.''.
            (4) Subsection (c) of section 245 is amended by inserting 
        at the end the following new paragraph:
            ``(5) References to prior law.--Any reference in this 
        subsection to section 922, 923, or 927 shall be treated as a 
        reference to such section as in effect before its repeal by the 
        FSC Repeal and Extraterritorial Income Exclusion Act of 
        2000.''.
            (5) Paragraph (4) of section 275(a) is amended by striking 
        ``if'' and all that follows and inserting ``if the taxpayer 
        chooses to take to any extent the benefits of section 901.''.
            (6)(A) Subsection (a) of section 291 is amended by striking 
        paragraph (4) and by redesignating paragraph (5) as paragraph 
        (4).
            (B) Paragraph (1) of section 291(c) is amended by striking 
        ``subsection (a)(5)'' and inserting ``subsection (a)(4)''.
            (7)(A) Paragraph (4) of section 441(b) is amended by 
        striking ``FSC or''.
            (B) Subsection (h) of section 441 is amended--
                    (i) by striking ``FSC or'' each place it appears, 
                and
                    (ii) by striking ``FSC's and'' in the heading 
                thereof.
            (8) Subparagraph (B) of section 884(d)(2) is amended by 
        inserting before the comma ``(as in effect before their repeal 
        by the FSC Repeal and Extraterritorial Income Exclusion Act of 
        2000)''.
            (9) Section 901 is amended by striking subsection (h).
            (10) Clause (v) of section 904(d)(2)(B) is amended--
                    (A) by inserting ``and'' at the end of subclause 
                (I), by striking subclause (II), and by redesignating 
                subclause (III) as subclause (II),
                    (B) by striking ``a FSC (or a former FSC)'' in 
                subclause (II) (as so redesignated) and inserting ``a 
                former FSC (as defined in section 922)'', and
                    (C) by adding at the end the following:
                        ``Any reference in subclause (II) to section 
                        922, 923, or 927 shall be treated as a 
                        reference to such section as in effect before 
                        its repeal by the FSC Repeal and 
                        Extraterritorial Income Exclusion Act of 
                        2000.''.
            (11) Subsection (b) of section 906 is amended by striking 
        paragraph (5) and redesignating paragraphs (6) and (7) as 
        paragraphs (5) and (6), respectively.
            (12) Subparagraph (B) of section 936(f)(2) is amended by 
        striking ``FSC or''.
            (13) Section 951 is amended by striking subsection (c) and 
        by redesignating subsection (d) as subsection (c).
            (14) Subsection (b) of section 952 is amended by striking 
        the second sentence.
            (15)(A) Paragraph (2) of section 956(c) is amended--
                    (i) by striking subparagraph (I) and by 
                redesignating subparagraphs (J) through (M) as 
                subparagraphs (I) through (L), respectively, and
                    (ii) by striking ``subparagraphs (J), (K), and 
                (L)'' in the flush sentence at the end and inserting 
                ``subparagraphs (I), (J), and (K)''.
            (B) Clause (ii) of section 954(c)(2)(C) is amended by 
        striking ``section 956(c)(2)(J)'' and inserting ``section 
        956(c)(2)(I)''.
            (16) Paragraph (1) of section 992(a) is amended by striking 
        subparagraph (E), by inserting ``and'' at the end of 
        subparagraph (C), and by striking ``, and'' at the end of 
        subparagraph (D) and inserting a period.
            (17) Paragraph (5) of section 1248(d) is amended--
                    (A) by inserting ``(as defined in section 922)'' 
                after ``a FSC'', and
                    (B) by adding at the end the following new 
                sentence: ``Any reference in this paragraph to section 
                922, 923, or 927 shall be treated as a reference to 
                such section as in effect before its repeal by the FSC 
                Repeal and Extraterritorial Income Exclusion Act of 
                2000.''.
            (18) Subparagraph (D) of section 1297(b)(2) is amended by 
        striking ``foreign trade income of a FSC or''.
            (19)(A) Paragraph (1) of section 6011(c) is amended by 
        striking ``or former DISC or a FSC or former FSC'' and 
        inserting ``, former DISC, or former FSC (as defined in section 
        922 as in effect before its repeal by the FSC Repeal and 
        Extraterritorial Income Exclusion Act of 2000)''.
            (B) Subsection (c) of section 6011 is amended by striking 
        ``and FSC's'' in the heading thereof.
            (20) Subsection (c) of section 6072 is amended by striking 
        ``a FSC or former FSC'' and inserting ``a former FSC (as 
        defined in section 922 as in effect before its repeal by the 
        FSC Repeal and Extraterritorial Income Exclusion Act of 
        2000)''.
            (21) Section 6686 is amended by inserting ``FORMER'' before 
        ``FSC'' in the heading thereof.

            Passed the House of Representatives December 19, 2007.

            Attest:

                                            LORRAINE C. MILLER,

                                                                 Clerk.
```