110TH CONGRESS 

1ST SESSION H. R. 4839 

AN ACT 

To amend the Internal Revenue Code of 1986 to make 

technical corrections, and for other purposes. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 
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1 SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; 

2 TABLE OF CONTENTS. 

3 (a) SHORT TITLE.—This Act may be cited as the 

4 ‘‘Tax Technical Corrections Act of 2007’’. 

5 (b) AMENDMENT OF 1986 CODE.—Except as other6 wise expressly provided, whenever in this Act an amend7 ment or repeal is expressed in terms of an amendment 

8 to, or repeal of, a section or other provision, the reference 

9 shall be considered to be made to a section or other provi10 sion of the Internal Revenue Code of 1986. 

11 (c) TABLE OF CONTENTS.—The table of contents of 

12 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. 

13 SEC. 2. AMENDMENT RELATED TO THE TAX RELIEF AND 

14 HEALTH CARE ACT OF 2006. 

15 (a) AMENDMENT RELATED TO SECTION 402 OF DI16 VISION A OF THE ACT.—Subparagraph (A) of section 

17 53(e)(2) is amended to read as follows: 
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1 ‘‘(A) IN GENERAL.—The term ‘AMT re2 fundable credit amount’ means, with respect to 

3 any taxable year, the amount (not in excess of 

4 the long-term unused minimum tax credit for 

5 such taxable year) equal to the greater of— 

6 ‘‘(i) $5,000, 

7 ‘‘(ii) 20 percent of the long-term un8 used minimum tax credit for such taxable 

9 year, or 

10 ‘‘(iii) the amount (if any) of the AMT 

11 refundable credit amount determined 

12 under this paragraph for the taxpayer’s 

13 preceding taxable year (as determined be14 fore any reduction under subparagraph 

15 (B)).’’. 

16 (b) EFFECTIVE DATE.—The amendment made by 

17 this section shall take effect as if included in the provision 

18 of the Tax Relief and Health Care Act of 2006 to which 

19 it relates. 

20 SEC. 3. AMENDMENTS RELATED TO TITLE XII OF THE PEN21 SION PROTECTION ACT OF 2006. 

22 (a) AMENDMENT RELATED TO SECTION 1201 OF

23 THE ACT.—Subparagraph (D) of section 408(d)(8) is 

24 amended by striking ‘‘all amounts distributed from all in25 dividual retirement plans were treated as 1 contract under 
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1 paragraph (2)(A) for purposes of determining the inclu2 sion of such distribution under section 72’’ and inserting 

3 ‘‘all amounts in all individual retirement plans of the indi4 vidual were distributed during such taxable year and all 

5 such plans were treated as 1 contract for purposes of de6 termining under section 72 the aggregate amount which 

7 would have been so includible’’. 

8 (b) AMENDMENT RELATED TO SECTION 1203 OF

9 THE ACT.—Subsection (d) of section 1366 is amended by 

10 adding at the end the following new paragraph: 

11 ‘‘(4) APPLICATION OF LIMITATION ON CHARI12 TABLE CONTRIBUTIONS.—In the case of any chari13 table contribution of property to which the second 

14 sentence of section 1367(a)(2) applies, paragraph 

15 (1) shall not apply to the extent of the excess (if 

16 any) of— 

17 ‘‘(A) the shareholder’s pro rata share of 

18 such contribution, over 

19 ‘‘(B) the shareholder’s pro rata share of 

20 the adjusted basis of such property.’’. 

21 (c) AMENDMENT RELATED TO SECTION 1215 OF

22 THE ACT.—Subclause (I) of section 170(e)(7)(D)(i) is 

23 amended by striking ‘‘related’’ and inserting ‘‘substantial 

24 and related’’. 
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1 (d) AMENDMENTS RELATED TO SECTION 1218 OF

2 THE ACT.— 

3 (1) Section 2055 is amended by striking sub4 section (g) and by redesignating subsection (h) as 

5 subsection (g). 

6 (2) Subsection (e) of section 2522 is amend7 ed— 

8 (A) by striking paragraphs (2) and (4), 

9 (B) by redesignating paragraph (3) as 

10 paragraph (2), and 

11 (C) by adding at the end of paragraph (2), 

12 as so redesignated, the following new subpara13 graph: 

14 ‘‘(C) INITIAL FRACTIONAL CONTRIBU15 TION.—For purposes of this paragraph, the 

16 term ‘initial fractional contribution’ means, 

17 with respect to any donor, the first gift of an 

18 undivided portion of the donor’s entire interest 

19 in any tangible personal property for which a 

20 deduction is allowed under subsection (a) or 

21 (b).’’. 

22 (e) AMENDMENTS RELATED TO SECTION 1219 OF

23 THE ACT.— 

24 (1) Paragraph (2) of section 6695A(a) is 

25 amended by inserting ‘‘a substantial estate or gift 
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1 tax valuation understatement (within the meaning of 

2 section 6662(g)),’’ before ‘‘or a gross valuation 

3 misstatement’’. 

4 (2) Paragraph (1) of section 6696(d) is amend5 ed by striking ‘‘or under section 6695’’ and inserting 

6 ‘‘, section 6695, or 6695A’’. 

7 (f) AMENDMENT RELATED TO SECTION 1221 OF THE

8 ACT.—Subparagraph (A) of section 4940(c)(4) is amend9 ed to read as follows: 

10 ‘‘(A) There shall not be taken into account 

11 any gain or loss from the sale or other disposi12 tion of property to the extent that such gain or 

13 loss is taken into account for purposes of com14 puting the tax imposed by section 511.’’. 

15 (g) AMENDMENT RELATED TO SECTION 1225 OF

16 THE ACT.— 

17 (1) Subsection (b) of section 6104 is amend18 ed— 

19 (A) by striking ‘‘INFORMATION’’ in the 

20 heading, and 

21 (B) by adding at the end the following: 

22 ‘‘Any annual return which is filed under section 

23 6011 by an organization described in section 

24 501(c)(3) and which relates to any tax imposed 

25 by section 511 (relating to imposition of tax on 
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1 unrelated business income of charitable, etc., 

2 organizations) shall be treated for purposes of 

3 this subsection in the same manner as if fur4 nished under section 6033.’’. 

5 (2) Clause (ii) of section 6104(d)(1)(A) is 

6 amended to read as follows: 

7 ‘‘(ii) any annual return which is filed 

8 under section 6011 by an organization de9 scribed in section 501(c)(3) and which re10 lates to any tax imposed by section 511 

11 (relating to imposition of tax on unrelated 

12 business income of charitable, etc., organi13 zations),’’. 

14 (3) Paragraph (2) of section 6104(d) is amend15 ed by striking ‘‘section 6033’’ and inserting ‘‘section 

16 6011 or 6033’’. 

17 (h) AMENDMENT RELATED TO SECTION 1231 OF

18 THE ACT.—Subsection (b) of section 4962 is amended by 

19 striking ‘‘or D’’ and inserting ‘‘D, or G’’. 

20 (i) AMENDMENT RELATED TO SECTION 1242 OF THE

21 ACT.— 

22 (1) Subclause (II) of section 4958(c)(3)(A)(i) is 

23 amended by striking ‘‘paragraph (1), (2), or (4) of 

24 section 509(a)’’ and inserting ‘‘subparagraph 

25 (C)(ii)’’. 
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1 (2) Clause (ii) of section 4958(c)(3)(C) is 

2 amended to read as follows: 

3 ‘‘(ii) EXCEPTION.—Such term shall 

4 not include— 

5 ‘‘(I) any organization described 

6 in paragraph (1), (2), or (4) of section 

7 509(a), and 

8 ‘‘(II) any organization which is 

9 treated as described in such para10 graph (2) by reason of the last sen11 tence of section 509(a) and which is a 

12 supported organization (as defined in 

13 section 509(f)(3)) of the organization 

14 to which subparagraph (A) applies.’’. 

15 (j) EFFECTIVE DATE.—The amendments made by 

16 this section shall take effect as if included in the provisions 

17 of the Pension Protection Act of 2006 to which they re18 late. 

19 SEC. 4. AMENDMENTS RELATED TO THE TAX INCREASE 

20 PREVENTION AND RECONCILIATION ACT OF 

21 2005. 

22 (a) AMENDMENTS RELATED TO SECTION 103 OF

23 THE ACT.—Paragraph (6) of section 954(c) is amended 

24 by redesignating subparagraph (B) as subparagraph (C) 
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1 and inserting after subparagraph (A) the following new 

2 subparagraph: 

3 ‘‘(B) EXCEPTION.—Subparagraph (A) 

4 shall not apply in the case of any interest, rent, 

5 or royalty to the extent such interest, rent, or 

6 royalty creates (or increases) a deficit which 

7 under section 952(c) may reduce the subpart F 

8 income of the payor or another controlled for9 eign corporation.’’. 

10 (b) AMENDMENTS RELATED TO SECTION 202 OF

11 THE ACT.— 

12 (1) Subparagraph (A) of section 355(b)(2) is 

13 amended to read as follows: 

14 ‘‘(A) it is engaged in the active conduct of 

15 a trade or business,’’. 

16 (2) Paragraph (3) of section 355(b) is amended 

17 to read as follows: 

18 ‘‘(3) SPECIAL RULES FOR DETERMINING AC19 TIVE CONDUCT IN THE CASE OF AFFILIATED

20 GROUPS.— 

21 ‘‘(A) IN GENERAL.—For purposes of deter22 mining whether a corporation meets the re23 quirements of paragraph (2)(A), all members of 

24 such corporation’s separate affiliated group 

25 shall be treated as one corporation. 
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1 ‘‘(B) SEPARATE AFFILIATED GROUP.—For 

2 purposes of this paragraph, the term ‘separate 

3 affiliated group’ means, with respect to any cor4 poration, the affiliated group which would be 

5 determined under section 1504(a) if such cor6 poration were the common parent and section 

7 1504(b) did not apply. 

8 ‘‘(C) TREATMENT OF TRADE OR BUSINESS

9 CONDUCTED BY ACQUIRED MEMBER.—If a cor10 poration became a member of a separate affili11 ated group as a result of one or more trans12 actions in which gain or loss was recognized in 

13 whole or in part, any trade or business con14 ducted by such corporation (at the time that 

15 such corporation became such a member) shall 

16 be treated for purposes of paragraph (2) as ac17 quired in a transaction in which gain or loss 

18 was recognized in whole or in part. 

19 ‘‘(D) REGULATIONS.—The Secretary shall 

20 prescribe such regulations as are necessary or 

21 appropriate to carry out the purposes of this 

22 paragraph, including regulations which provide 

23 for the proper application of subparagraphs 

24 (B), (C), and (D) of paragraph (2), and modify 

25 the application of subsection (a)(3)(B), in con-
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1 nection with the application of this para2 graph.’’. 

3 (3) The Internal Revenue Code of 1986 shall be 

4 applied and administered as if the amendments 

5 made by section 202 of the Tax Increase Prevention 

6 and Reconciliation Act of 2005 and by section 410 

7 of division A of the Tax Relief and Health Care Act 

8 of 2006 had never been enacted. 

9 (c) AMENDMENT RELATED TO SECTION 515 OF THE

10 ACT.—Subsection (f) of section 911 is amended to read 

11 as follows: 

12 ‘‘(f) DETERMINATION OF TAX LIABILITY.— 

13 ‘‘(1) IN GENERAL.—If, for any taxable year, 

14 any amount is excluded from gross income of a tax15 payer under subsection (a), then, notwithstanding 

16 sections 1 and 55— 

17 ‘‘(A) if such taxpayer has taxable income 

18 for such taxable year, the tax imposed by sec19 tion 1 for such taxable year shall be equal to 

20 the excess (if any) of— 

21 ‘‘(i) the tax which would be imposed 

22 by section 1 for such taxable year if the 

23 taxpayer’s taxable income were increased 

24 by the amount excluded under subsection 

25 (a) for such taxable year, over 
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1 ‘‘(ii) the tax which would be imposed 

2 by section 1 for such taxable year if the 

3 taxpayer’s taxable income were equal to 

4 the amount excluded under subsection (a) 

5 for such taxable year, and 

6 ‘‘(B) if such taxpayer has a taxable excess 

7 (as defined in section 55(b)(1)(A)(ii)) for such 

8 taxable year, the amount determined under the 

9 first sentence of section 55(b)(1)(A)(i) for such 

10 taxable year shall be equal to the excess (if any) 

11 of— 

12 ‘‘(i) the amount which would be deter13 mined under such sentence for such tax14 able year (subject to the limitation of sec15 tion 55(b)(3)) if the taxpayer’s taxable ex16 cess (as so defined) were increased by the 

17 amount excluded under subsection (a) for 

18 such taxable year, over 

19 ‘‘(ii) the amount which would be de20 termined under such sentence for such tax21 able year if the taxpayer’s taxable excess 

22 (as so defined) were equal to the amount 

23 excluded under subsection (a) for such tax24 able year. 

25 ‘‘(2) SPECIAL RULES.— 
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1 ‘‘(A) REGULAR TAX.—In applying section 

2 1(h) for purposes of determining the tax under 

3 paragraph (1)(A)(i) for any taxable year in 

4 which, without regard to this subsection, the 

5 taxpayer’s net capital gain exceeds taxable in6 come (hereafter in this subparagraph referred 

7 to as the capital gain excess)— 

8 ‘‘(i) the taxpayer’s net capital gain 

9 (determined without regard to section 

10 1(h)(11)) shall be reduced (but not below 

11 zero) by such capital gain excess, 

12 ‘‘(ii) the taxpayer’s qualified dividend 

13 income shall be reduced by so much of 

14 such capital gain excess as exceeds the tax15 payer’s net capital gain (determined with16 out regard to section 1(h)(11) and the re17 duction under clause (i)), and 

18 ‘‘(iii) adjusted net capital gain, 

19 unrecaptured section 1250 gain, and 28- 

20 percent rate gain shall each be determined 

21 after increasing the amount described in 

22 section 1(h)(4)(B) by such capital gain ex23 cess. 

24 ‘‘(B) ALTERNATIVE MINIMUM TAX.—In 

25 applying section 55(b)(3) for purposes of deter-
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1 mining the tax under paragraph (1)(B)(i) for 

2 any taxable year in which, without regard to 

3 this subsection, the taxpayer’s net capital gain 

4 exceeds the taxable excess (as defined in section 

5 55(b)(1)(A)(ii))— 

6 ‘‘(i) the rules of subparagraph (A) 

7 shall apply, except that such subparagraph 

8 shall be applied by substituting ‘the tax9 able excess (as defined in section 

10 55(b)(1)(A)(ii))’ for ‘taxable income’, and 

11 ‘‘(ii) the reference in section 

12 55(b)(3)(B) to the excess described in sec13 tion 1(h)(1)(B) shall be treated as a ref14 erence to such excess as determined under 

15 the rules of subparagraph (A) for purposes 

16 of determining the tax under paragraph 

17 (1)(A)(i). 

18 ‘‘(C) DEFINITIONS.—Terms used in this 

19 paragraph which are also used in section 1(h) 

20 shall have the respective meanings given such 

21 terms by section 1(h), except that in applying 

22 subparagraph (B) the adjustments under part 

23 VI of subchapter A shall be taken into ac24 count.’’. 

25 (d) EFFECTIVE DATE.— 
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1 (1) IN GENERAL.—Except as otherwise pro2 vided in this subsection, the amendments made by 

3 this section shall take effect as if included in the 

4 provisions of the Tax Increase Prevention and Rec5 onciliation Act of 2005 to which they relate. 

6 (2) MODIFICATION OF ACTIVE BUSINESS DEFI7 NITION UNDER SECTION 355.— 

8 (A) IN GENERAL.—Except as otherwise 

9 provided in this paragraph, the amendments 

10 made by subsection (b) shall apply to distribu11 tions made after May 17, 2006. 

12 (B) TRANSITION RULE.—The amendments 

13 made by subsection (b) shall not apply to any 

14 distribution pursuant to a transaction which 

15 is— 

16 (i) made pursuant to an agreement 

17 which was binding on May 17, 2006, and 

18 at all times thereafter, 

19 (ii) described in a ruling request sub20 mitted to the Internal Revenue Service on 

21 or before such date, or 

22 (iii) described on or before such date 

23 in a public announcement or in a filing 

24 with the Securities and Exchange Commis25 sion. 
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1 (C) ELECTION OUT OF TRANSITION

2 RULE.—Subparagraph (B) shall not apply if 

3 the distributing corporation elects not to have 

4 such subparagraph apply to distributions of 

5 such corporation. Any such election, once made, 

6 shall be irrevocable. 

7 (D) SPECIAL RULE FOR CERTAIN PRE-EN8 ACTMENT DISTRIBUTIONS.—For purposes of 

9 determining the continued qualification under 

10 section 355(b)(2)(A) of the Internal Revenue 

11 Code of 1986 of distributions made on or before 

12 May 17, 2006, as a result of an acquisition, dis13 position, or other restructuring after such date, 

14 such distribution shall be treated as made on 

15 the date of such acquisition, disposition, or re16 structuring for purposes of applying subpara17 graphs (A) through (C) of this paragraph. The 

18 preceding sentence shall only apply with respect 

19 to the corporation that undertakes such acquisi20 tion, disposition, or other restructuring, and 

21 only if such application results in continued 

22 qualification under section 355(b)(2)(A) of such 

23 Code. 

24 (3) AMENDMENT RELATED TO SECTION 515 OF

25 THE ACT.—The amendment made by subsection (c) 
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1 shall apply to taxable years beginning after Decem2 ber 31, 2006. 

3 SEC. 5. AMENDMENTS RELATED TO THE SAFE, ACCOUNT4 ABLE, FLEXIBLE, EFFICIENT TRANSPOR5 TATION EQUITY ACT: A LEGACY FOR USERS. 

6 (a) AMENDMENTS RELATED TO SECTION 11113 OF

7 THE ACT.— 

8 (1) Paragraph (3) of section 6427(i) is amend9 ed— 

10 (A) by inserting ‘‘or under subsection 

11 (e)(2) by any person with respect to an alter12 native fuel (as defined in section 6426(d)(2))’’ 

13 after ‘‘section 6426’’ in subparagraph (A), 

14 (B) by inserting ‘‘or (e)(2)’’ after ‘‘sub15 section (e)(1)’’ in subparagraphs (A)(i) and 

16 (B), and 

17 (C) by striking ‘‘ALCOHOL FUEL AND BIO18 DIESEL MIXTURE CREDIT’’ and inserting ‘‘MIX19 TURE CREDITS AND THE ALTERNATIVE FUEL

20 CREDIT’’ in the heading thereof. 

21 (2) Subparagraph (F) of section 6426(d)(2) is 

22 amended by striking ‘‘hydrocarbons’’ and inserting 

23 ‘‘fuel’’. 

24 (3) Section 6426 is amended by adding at the 

25 end the following new subsection: 
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1 ‘‘(h) DENIAL OF DOUBLE BENEFIT.—No credit shall 

2 be determined under subsection (d) or (e) with respect to 

3 any fuel with respect to which credit may be determined 

4 under subsection (b) or (c) or under section 40 or 40A.’’. 

5 (b) EFFECTIVE DATE.—The amendments made by 

6 this section shall take effect as if included in the provisions 

7 of the SAFETEA–LU to which they relate. 

8 SEC. 6. AMENDMENTS RELATED TO THE ENERGY POLICY 

9 ACT OF 2005. 

10 (a) AMENDMENT RELATED TO SECTION 1306 OF

11 THE ACT.—Paragraph (2) of section 45J(b) is amended 

12 to read as follows: 

13 ‘‘(2) AMOUNT OF NATIONAL LIMITATION.—The 

14 aggregate amount of national megawatt capacity 

15 limitation allocated by the Secretary under para16 graph (3) shall not exceed 6,000 megawatts.’’. 

17 (b) AMENDMENTS RELATED TO SECTION 1342 OF

18 THE ACT.— 

19 (1) So much of subsection (b) of section 30C as 

20 precedes paragraph (1) thereof is amended to read 

21 as follows: 

22 ‘‘(b) LIMITATION.—The credit allowed under sub23 section (a) with respect to all qualified alternative fuel ve24 hicle refueling property placed in service by the taxpayer 
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1 during the taxable year at a location shall not 

2 exceed—’’. 

3 (2) Subsection (c) of section 30C is amended to 

4 read as follows: 

5 ‘‘(c) QUALIFIED ALTERNATIVE FUEL VEHICLE RE6 FUELING PROPERTY.—For purposes of this section, the 

7 term ‘qualified alternative fuel vehicle refueling property’ 

8 has the same meaning as the term ‘qualified clean-fuel ve9 hicle refueling property’ would have under section 179A 

10 if— 

11 ‘‘(1) paragraph (1) of section 179A(d) did not 

12 apply to property installed on property which is used 

13 as the principal residence (within the meaning of 

14 section 121) of the taxpayer, and 

15 ‘‘(2) only the following were treated as clean16 burning fuels for purposes of section 179A(d): 

17 ‘‘(A) Any fuel at least 85 percent of the 

18 volume of which consists of one or more of the 

19 following: ethanol, natural gas, compressed nat20 ural gas, liquified natural gas, liquefied petro21 leum gas, or hydrogen. 

22 ‘‘(B) Any mixture— 

23 ‘‘(i) which consists of two or more of 

24 the following: biodiesel (as defined in sec-
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1 tion 40A(d)(1)), diesel fuel (as defined in 

2 section 4083(a)(3)), or kerosene, and 

3 ‘‘(ii) at least 20 percent of the volume 

4 of which consists of biodiesel (as so de5 fined) determined without regard to any 

6 kerosene in such mixture.’’. 

7 (c) AMENDMENTS RELATED TO SECTION 1351 OF

8 THE ACT.— 

9 (1) Paragraph (3) of section 41(a) is amended 

10 by inserting ‘‘for energy research’’ before the period 

11 at the end. 

12 (2) Paragraph (6) of section 41(f) is amended 

13 by adding at the end the following new subpara14 graph: 

15 ‘‘(E) ENERGY RESEARCH.—The term ‘en16 ergy research’ does not include any research 

17 which is not qualified research.’’. 

18 (d) AMENDMENTS RELATED TO SECTION 1362 OF

19 THE ACT.— 

20 (1)(A) Paragraph (1) of section 4041(d) is 

21 amended by adding at the end the following new 

22 sentence: ‘‘No tax shall be imposed under the pre23 ceding sentence on the sale or use of any liquid if 

24 tax was imposed with respect to such liquid under 
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1 section 4081 at the Leaking Underground Storage 

2 Tank Trust Fund financing rate.’’. 

3 (B) Paragraph (3) of section 4042(b) is amend4 ed to read as follows: 

5 ‘‘(3) EXCEPTION FOR FUEL ON WHICH LEAK6 ING UNDERGROUND STORAGE TANK TRUST FUND FI7 NANCING RATE SEPARATELY IMPOSED.—The Leak8 ing Underground Storage Tank Trust Fund financ9 ing rate under paragraph (2)(B) shall not apply to 

10 the use of any fuel if tax was imposed with respect 

11 to such fuel under section 4041(d) or 4081 at the 

12 Leaking Underground Storage Tank Trust Fund fi13 nancing rate.’’. 

14 (C) Notwithstanding section 6430 of the Inter15 nal Revenue Code of 1986, a refund, credit, or pay16 ment may be made under subchapter B of chapter 

17 65 of such Code for taxes imposed with respect to 

18 any liquid after September 30, 2005, and before the 

19 date of the enactment of this Act under section 

20 4041(d)(1) or 4042 of such Code at the Leaking 

21 Underground Storage Tank Trust Fund financing 

22 rate to the extent that tax was imposed with respect 

23 to such liquid under section 4081 at the Leaking 

24 Underground Storage Tank Trust Fund financing 

25 rate. 
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1 (2)(A) Paragraph (5) of section 4041(d) is 

2 amended— 

3 (i) by striking ‘‘(other than with respect to 

4 any sale for export under paragraph (3) there5 of)’’, and 

6 (ii) by adding at the end the following new 

7 sentence: ‘‘The preceding sentence shall not 

8 apply with respect to subsection (g)(3) and so 

9 much of subsection (g)(1) as relates to vessels 

10 (within the meaning of section 4221(d)(3)) em11 ployed in foreign trade or trade between the 

12 United States and any of its possessions.’’. 

13 (B) Section 4082 is amended— 

14 (i) by striking ‘‘(other than such tax at the 

15 Leaking Underground Storage Tank Trust 

16 Fund financing rate imposed in all cases other 

17 than for export)’’ in subsection (a), and 

18 (ii) by redesignating subsections (f) and 

19 (g) as subsections (g) and (h), respectively, and 

20 by inserting after subsection (e) the following 

21 new subsection: 

22 ‘‘(f) EXCEPTION FOR LEAKING UNDERGROUND

23 STORAGE TANK TRUST FUND FINANCING RATE.— 

24 ‘‘(1) IN GENERAL.—Subsection (a) shall not 

25 apply to the tax imposed under section 4081 at the 
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1 Leaking Underground Storage Tank Trust Fund fi2 nancing rate. 

3 ‘‘(2) EXCEPTION FOR EXPORT, ETC.—Para4 graph (1) shall not apply with respect to any fuel if 

5 the Secretary determines that such fuel is destined 

6 for export or for use by the purchaser as supplies for 

7 vessels (within the meaning of section 4221(d)(3)) 

8 employed in foreign trade or trade between the 

9 United States and any of its possessions.’’. 

10 (C) Subsection (e) of section 4082 is amend11 ed— 

12 (i) by striking ‘‘an aircraft, the rate of tax 

13 under section 4081(a)(2)(A)(iii) shall be zero.’’ 

14 and inserting ‘‘an aircraft— 

15 ‘‘(1) the rate of tax under section 

16 4081(a)(2)(A)(iii) shall be zero, and 

17 ‘‘(2) if such aircraft is employed in foreign 

18 trade or trade between the United States and any of 

19 its possessions, the increase in such rate under sec20 tion 4081(a)(2)(B) shall be zero.’’; and 

21 (ii) by moving the last sentence flush with 

22 the margin of such subsection (following the 

23 paragraph (2) added by clause (i)). 

24 (D) Section 6430 is amended to read as follows: 
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1 ‘‘SEC. 6430. TREATMENT OF TAX IMPOSED AT LEAKING UN2 DERGROUND STORAGE TANK TRUST FUND 

3 FINANCING RATE. 

4 ‘‘No refunds, credits, or payments shall be made 

5 under this subchapter for any tax imposed at the Leaking 

6 Underground Storage Tank Trust Fund financing rate, 

7 except in the case of fuels— 

8 ‘‘(1) which are exempt from tax under section 

9 4081(a) by reason of section 4082(f)(2), 

10 ‘‘(2) which are exempt from tax under section 

11 4041(d) by reason of the last sentence of paragraph 

12 (5) thereof, or 

13 ‘‘(3) with respect to which the rate increase 

14 under section 4081(a)(2)(B) is zero by reason of 

15 section 4082(e)(2).’’. 

16 (3) Paragraph (5) of section 4041(d) is amend17 ed by inserting ‘‘(b)(1)(A),’’ after ‘‘subsections’’. 

18 (e) EFFECTIVE DATE.— 

19 (1) IN GENERAL.—Except as otherwise pro20 vided in this subsection, the amendments made by 

21 this section shall take effect as if included in the 

22 provisions of the Energy Policy Act of 2005 to which 

23 they relate. 

24 (2) NONAPPLICATION OF EXEMPTION FOR OFF25 HIGHWAY BUSINESS USE.—The amendment made by 
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1 subsection (d)(3) shall apply to fuel sold for use or 

2 used after the date of the enactment of this Act. 

3 (3) AMENDMENT MADE BY THE SAFETEA– 

4 LU.—The amendment made by subsection 

5 (d)(2)(C)(ii) shall take effect as if included in sec6 tion 11161 of the SAFETEA–LU. 

7 SEC. 7. AMENDMENTS RELATED TO THE AMERICAN JOBS 

8 CREATION ACT OF 2004. 

9 (a) AMENDMENTS RELATED TO SECTION 339 OF

10 THE ACT.— 

11 (1)(A) Section 45H is amended by striking sub12 section (d) and by redesignating subsections (e), (f), 

13 and (g) as subsections (d), (e), and (f), respectively. 

14 (B) Subsection (d) of section 280C is amended 

15 to read as follows: 

16 ‘‘(d) CREDIT FOR LOW SULFUR DIESEL FUEL PRO17 DUCTION.—The deductions otherwise allowed under this 

18 chapter for the taxable year shall be reduced by the 

19 amount of the credit determined for the taxable year 

20 under section 45H(a).’’. 

21 (C) Subsection (a) of section 1016 is amended 

22 by striking paragraph (31) and by redesignating 

23 paragraphs (32) through (37) as paragraphs (31) 

24 through (36), respectively. 
26 

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1 (2)(A) Section 45H, as amended by paragraph 

2 (1), is amended by adding at the end the following 

3 new subsection: 

4 ‘‘(g) ELECTION TO NOT TAKE CREDIT.—No credit 

5 shall be determined under subsection (a) for the taxable 

6 year if the taxpayer elects not to have subsection (a) apply 

7 to such taxable year.’’. 

8 (B) Subsection (m) of section 6501 is amended 

9 by inserting ‘‘45H(g),’’ after ‘‘45C(d)(4),’’. 

10 (3)(A) Subsections (b)(1)(A), (c)(2), (e)(1), and 

11 (e)(2) of section 45H (as amended by paragraph 

12 (1)) and section 179B(a) are each amended by strik13 ing ‘‘qualified capital costs’’ and inserting ‘‘qualified 

14 costs’’. 

15 (B) The heading of paragraph (2) of section 

16 45H(c) is amended by striking ‘‘CAPITAL’’. 

17 (C) Subsection (a) of section 179B is amended 

18 by inserting ‘‘and which are properly chargeable to 

19 capital account’’ before the period at the end. 

20 (b) AMENDMENTS RELATED TO SECTION 710 OF

21 THE ACT.— 

22 (1) Clause (ii) of section 45(c)(3)(A) is amend23 ed by striking ‘‘which is segregated from other waste 

24 materials and’’. 
27 

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1 (2) Subparagraph (B) of section 45(d)(2) is 

2 amended by inserting ‘‘and’’ at the end of clause (i), 

3 by striking clause (ii), and by redesignating clause 

4 (iii) as clause (ii). 

5 (c) AMENDMENTS RELATED TO SECTION 848 OF

6 THE ACT.— 

7 (1) Paragraph (2) of section 470(c) is amended 

8 to read as follows: 

9 ‘‘(2) TAX-EXEMPT USE PROPERTY.— 

10 ‘‘(A) IN GENERAL.—The term ‘tax-exempt 

11 use property’ has the meaning given to such 

12 term by section 168(h), except that such section 

13 shall be applied— 

14 ‘‘(i) without regard to paragraphs 

15 (1)(C) and (3) thereof, and 

16 ‘‘(ii) as if section 197 intangible prop17 erty (as defined in section 197), and prop18 erty described in paragraph (1)(B) or (2) 

19 of section 167(f), were tangible property. 

20 ‘‘(B) EXCEPTION FOR PARTNERSHIPS.— 

21 Such term shall not include any property which 

22 would (but for this subparagraph) be tax-ex23 empt use property solely by reason of section 

24 168(h)(6). 
28 

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1 ‘‘(C) CROSS REFERENCE.—For treatment 

2 of partnerships as leases to which section 

3 168(h) applies, see section 7701(e).’’. 

4 (2) Subparagraph (A) of section 470(d)(1) is 

5 amended by striking ‘‘(at any time during the lease 

6 term)’’ and inserting ‘‘(at all times during the lease 

7 term)’’. 

8 (d) AMENDMENTS RELATED TO SECTION 888 OF

9 THE ACT.— 

10 (1) Subparagraph (A) of section 1092(a)(2) is 

11 amended by striking ‘‘and’’ at the end of clause (ii), 

12 by redesignating clause (iii) as clause (iv), and by in13 serting after clause (ii) the following new clause: 

14 ‘‘(iii) if the application of clause (ii) 

15 does not result in an increase in the basis 

16 of any offsetting position in the identified 

17 straddle, the basis of each of the offsetting 

18 positions in the identified straddle shall be 

19 increased in a manner which— 

20 ‘‘(I) is reasonable, consistent 

21 with the purposes of this paragraph, 

22 and consistently applied by the tax23 payer, and 

24 ‘‘(II) results in an aggregate in25 crease in the basis of such offsetting 
29 

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1 positions which is equal to the loss de2 scribed in clause (ii), and’’. 

3 (2)(A) Subparagraph (B) of section 1092(a)(2) 

4 is amended by adding at the end the following flush 

5 sentence: 

6 ‘‘A straddle shall be treated as clearly identified 

7 for purposes of clause (i) only if such identifica8 tion includes an identification of the positions 

9 in the straddle which are offsetting with respect 

10 other positions in the straddle.’’. 

11 (B) Subparagraph (A) of section 1092(a)(2) is 

12 amended— 

13 (i) by striking ‘‘identified positions’’ in 

14 clause (i) and inserting ‘‘positions’’, 

15 (ii) by striking ‘‘identified position’’ in 

16 clause (ii) and inserting ‘‘position’’, and 

17 (iii) by striking ‘‘identified offsetting posi18 tions’’ in clause (ii) and inserting ‘‘offsetting 

19 positions’’. 

20 (C) Subparagraph (B) of section 1092(a)(3) is 

21 amended by striking ‘‘identified offsetting position’’ 

22 and inserting ‘‘offsetting position’’. 

23 (3) Paragraph (2) of section 1092(a) is amend24 ed by redesignating subparagraph (C) as subpara-
30 

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1 graph (D) and inserting after subparagraph (B) the 

2 following new subparagraph: 

3 ‘‘(C) APPLICATION TO LIABILITIES AND

4 OBLIGATIONS.—Except as otherwise provided 

5 by the Secretary, rules similar to the rules of 

6 clauses (ii) and (iii) of subparagraph (A) shall 

7 apply for purposes of this paragraph with re8 spect to any position which is, or has been, a 

9 liability or obligation.’’. 

10 (4) Subparagraph (D) of section 1092(a)(2), as 

11 redesignated by paragraph (3), is amended by in12 serting ‘‘the rules for the application of this section 

13 to a position which is or has been a liability or obli14 gation, methods of loss allocation which satisfy the 

15 requirements of subparagraph (A)(iii),’’ before ‘‘and 

16 the ordering rules’’. 

17 (e) EFFECTIVE DATE.— 

18 (1) IN GENERAL.—Except as otherwise pro19 vided in this subsection, the amendments made by 

20 this section shall take effect as if included in the 

21 provisions of the American Jobs Creation Act of 

22 2004 to which they relate. 

23 (2) IDENTIFICATION REQUIREMENT OF AMEND24 MENT RELATED TO SECTION 888 OF THE AMERICAN

25 JOBS CREATION ACT OF 2004.—The amendment 
31 

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1 made by subsection (d)(2)(A) shall apply to strad2 dles acquired after the date of the enactment of this 

3 Act. 

4 SEC. 8. AMENDMENTS RELATED TO THE ECONOMIC 

5 GROWTH AND TAX RELIEF RECONCILIATION 

6 ACT OF 2001. 

7 (a) AMENDMENTS RELATED TO SECTION 617 OF

8 THE ACT.— 

9 (1) Subclause (II) of section 402(g)(7)(A)(ii) is 

10 amended by striking ‘‘for prior taxable years’’ and 

11 inserting ‘‘permitted for prior taxable years by rea12 son of this paragraph’’. 

13 (2) Subparagraph (A) of section 3121(v)(1) is 

14 amended by inserting ‘‘or consisting of designated 

15 Roth contributions (as defined in section 402A(c))’’ 

16 before the comma at the end. 

17 (b) EFFECTIVE DATE.—The amendments made by 

18 this section shall take effect as if included in the provisions 

19 of the Economic Growth and Tax Relief Reconciliation Act 

20 of 2001 to which they relate. 

21 SEC. 9. AMENDMENTS RELATED TO THE TAX RELIEF EX22 TENSION ACT OF 1999. 

23 (a) AMENDMENT RELATED TO SECTION 507 OF THE

24 ACT.—Clause (i) of section 45(e)(7)(A) is amended by 
32 

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1 striking ‘‘placed in service by the taxpayer’’ and inserting 

2 ‘‘originally placed in service’’. 

3 (b) AMENDMENT RELATED TO SECTION 542 OF THE

4 ACT.—Clause (ii) of section 856(d)(9)(D) is amended to 

5 read as follows: 

6 ‘‘(ii) LODGING FACILITY.—The term 

7 ‘lodging facility’ means a— 

8 ‘‘(I) hotel, 

9 ‘‘(II) motel, or 

10 ‘‘(III) other establishment more 

11 than one-half of the dwelling units in 

12 which are used on a transient basis.’’. 

13 (c) EFFECTIVE DATE.—The amendments made by 

14 this section shall take effect as if included in the provisions 

15 of the Tax Relief Extension Act of 1999 to which they 

16 relate. 

17 SEC. 10. AMENDMENT RELATED TO THE INTERNAL REV18 ENUE SERVICE RESTRUCTURING AND RE19 FORM ACT OF 1998. 

20 (a) AMENDMENT RELATED TO SECTION 3509 OF

21 THE ACT.—Paragraph (3) of section 6110(i) is amended 

22 by inserting ‘‘and related background file documents’’ 

23 after ‘‘Chief Counsel advice’’ in the matter preceding sub24 paragraph (A). 
33 

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1 (b) EFFECTIVE DATE.—The amendment made by 

2 this section shall take effect as if included in the provision 

3 of the Internal Revenue Service Restructuring and Reform 

4 Act of 1998 to which it relates. 

5 SEC. 11. CLERICAL CORRECTIONS. 

6 (a) IN GENERAL.— 

7 (1) Paragraph (5) of section 21(e) is amended 

8 by striking ‘‘section 152(e)(3)(A)’’ in the flush mat9 ter after subparagraph (B) and inserting ‘‘section 

10 152(e)(4)(A)’’. 

11 (2) Paragraph (3) of section 25C(c) is amended 

12 by striking ‘‘section 3280’’ and inserting ‘‘part 

13 3280’’. 

14 (3) Paragraph (2) of section 26(b) is amended 

15 by redesignating subparagraphs (S) and (T) as sub16 paragraphs (U) and (V), respectively, and by insert17 ing after subparagraph (R) the following new sub18 paragraphs: 

19 ‘‘(S) sections 106(e)(3)(A)(ii), 

20 223(b)(8)(B)(i)(II), and 408(d)(9)(D)(i)(II) 

21 (relating to certain failures to maintain high de22 ductible health plan coverage), 

23 ‘‘(T) section 170(o)(3)(B) (relating to re24 capture of certain deductions for fractional 

25 gifts),’’. 
34 

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1 (4) Subsection (a) of section 34 is amended— 

2 (A) in paragraph (1), by striking ‘‘with re3 spect to gasoline used during the taxable year 

4 on a farm for farming purposes’’, 

5 (B) in paragraph (2), by striking ‘‘with re6 spect to gasoline used during the taxable year 

7 (A) otherwise than as a fuel in a highway vehi8 cle or (B) in vehicles while engaged in fur9 nishing certain public passenger land transpor10 tation service’’, and 

11 (C) in paragraph (3), by striking ‘‘with re12 spect to fuels used for nontaxable purposes or 

13 resold during the taxable year’’. 

14 (5) Paragraph (2) of section 35(d) is amend15 ed— 

16 (A) by striking ‘‘paragraph (2) or (4) of’’, 

17 and 

18 (B) by striking ‘‘(within the meaning of 

19 section 152(e)(1))’’ and inserting ‘‘(as defined 

20 in section 152(e)(4)(A))’’. 

21 (6) Subsection (b) of section 38 is amended— 

22 (A) by striking ‘‘and’’ each place it ap23 pears at the end of any paragraph, 

24 (B) by striking ‘‘plus’’ each place it ap25 pears at the end of any paragraph, and 
35 

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1 (C) by inserting ‘‘plus’’ at the end of para2 graph (30). 

3 (7) Paragraphs (2) and (3) of section 45L(c) 

4 are each amended by striking ‘‘section 3280’’ and 

5 inserting ‘‘part 3280’’. 

6 (8) Subsection (c) of section 48 is amended by 

7 striking ‘‘subsection’’ in the text preceding para8 graph (1) and inserting ‘‘section’’. 

9 (9) Paragraphs (1)(B) and (2)(B) of section 

10 48(c) are each amended by striking ‘‘paragraph (1)’’ 

11 and inserting ‘‘subsection (a)’’. 

12 (10) Clause (ii) of section 48A(d)(4)(B) is 

13 amended by striking ‘‘subsection’’ both places it ap14 pears. 

15 (11)(A) Paragraph (9) of section 121(d) is 

16 amended by adding at the end the following new 

17 subparagraph: 

18 ‘‘(E) TERMINATION WITH RESPECT TO EM19 PLOYEES OF INTELLIGENCE COMMUNITY.— 

20 Clause (iii) of subparagraph (A) shall not apply 

21 with respect to any sale or exchange after De22 cember 31, 2010.’’. 

23 (B) Subsection (e) of section 417 of division A 

24 of the Tax Relief and Health Care Act of 2006 is 

25 amended by striking ‘‘and before January 1, 2011’’. 
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1 (12) The last sentence of section 125(b)(2) is 

2 amended by striking ‘‘last sentence’’ and inserting 

3 ‘‘second sentence’’. 

4 (13) Subclause (II) of section 167(g)(8)(C)(ii) 

5 is amended by striking ‘‘section 263A(j)(2)’’ and in6 serting ‘‘section 263A(i)(2)’’. 

7 (14)(A) Clause (vii) of section 170(b)(1)(A) is 

8 amended by striking ‘‘subparagraph (E)’’ and insert9 ing ‘‘subparagraph (F)’’. 

10 (B) Clause (ii) of section 170(e)(1)(B) is 

11 amended by striking ‘‘subsection (b)(1)(E)’’ and in12 serting ‘‘subsection (b)(1)(F)’’. 

13 (C) Clause (i) of section 1400S(a)(2)(A) is 

14 amended by striking ‘‘subparagraph (F)’’ and insert15 ing ‘‘subparagraph (G)’’. 

16 (D) Subparagraph (A) of section 4942(i)(1) is 

17 amended by striking ‘‘section 170(b)(1)(E)(ii)’’ and 

18 inserting ‘‘section 170(b)(1)(F)(ii)’’. 

19 (15) Subclause (II) of section 170(e)(1)(B)(i) is 

20 amended by inserting ‘‘, but without regard to 

21 clause (ii) thereof’’ after ‘‘paragraph (7)(C)’’. 

22 (16)(A) Subparagraph (A) of section 170(o)(1) 

23 and subparagraph (A) of section 2522(e)(1) are 

24 each amended by striking ‘‘all interest in the prop-
37 

•HR 4839 EH

1 erty is’’ and inserting ‘‘all interests in the property 

2 are’’. 

3 (B) Section 170(o)(3)(A)(i), and section 

4 2522(e)(2)(A)(i) (as redesignated by section 

5 3(d)(2)), are each amended— 

6 (i) by striking ‘‘interest’’ and inserting ‘‘in7 terests’’, and 

8 (ii) by striking ‘‘before’’ and inserting ‘‘on 

9 or before’’. 

10 (17)(A) Subparagraph (C) of section 852(b)(4) 

11 is amended to read as follows: 

12 ‘‘(C) DETERMINATION OF HOLDING PERI13 ODS.—For purposes of this paragraph, in deter14 mining the period for which the taxpayer has 

15 held any share of stock— 

16 ‘‘(i) the rules of paragraphs (3) and 

17 (4) of section 246(c) shall apply, and 

18 ‘‘(ii) there shall not be taken into ac19 count any day which is more than 6 

20 months after the date on which such share 

21 becomes ex-dividend.’’. 

22 (B) Subparagraph (B) of section 857(b)(8) is 

23 amended to read as follows: 

24 ‘‘(B) DETERMINATION OF HOLDING PERI25 ODS.—For purposes of this paragraph, in deter-
38 

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1 mining the period for which the taxpayer has 

2 held any share of stock or beneficial interest— 

3 ‘‘(i) the rules of paragraphs (3) and 

4 (4) of section 246(c) shall apply, and 

5 ‘‘(ii) there shall not be taken into ac6 count any day which is more than 6 

7 months after the date on which such share 

8 or interest becomes ex-dividend.’’. 

9 (18) Paragraph (2) of section 856(l) is amend10 ed by striking the last sentence and inserting the fol11 lowing: ‘‘For purposes of subparagraph (B), securi12 ties described in subsection (m)(2)(A) shall not be 

13 taken into account.’’. 

14 (19) Subparagraph (F) of section 954(c)(1) is 

15 amended to read as follows: 

16 ‘‘(F) INCOME FROM NOTIONAL PRINCIPAL

17 CONTRACTS.— 

18 ‘‘(i) IN GENERAL.—Net income from 

19 notional principal contracts. 

20 ‘‘(ii) COORDINATION WITH OTHER

21 CATEGORIES OF FOREIGN PERSONAL

22 HOLDING COMPANY INCOME.—Any item of 

23 income, gain, deduction, or loss from a no24 tional principal contract entered into for 

25 purposes of hedging any item described in 
39 

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1 any preceding subparagraph shall not be 

2 taken into account for purposes of this 

3 subparagraph but shall be taken into ac4 count under such other subparagraph.’’. 

5 (20) Paragraph (1) of section 954(c) is amend6 ed by redesignating subparagraph (I) as subpara7 graph (H). 

8 (21) Paragraph (33) of section 1016(a), as re9 designated by section 7(a)(1)(C), is amended by 

10 striking ‘‘section 25C(e)’’ and inserting ‘‘section 

11 25C(f)’’. 

12 (22) Paragraph (36) of section 1016(a), as re13 designated by section 7(a)(1)(C), is amended by 

14 striking ‘‘section 30C(f)’’ and inserting ‘‘section 

15 30C(e)(1)’’. 

16 (23) Subparagraph (G) of section 1260(c)(2) is 

17 amended by adding ‘‘and’’ at the end. 

18 (24)(A) Section 1297 is amended by striking 

19 subsection (d) and by redesignating subsections (e) 

20 and (f) as subsections (d) and (e), respectively. 

21 (B) Subparagraph (G) of section 1260(c)(2) is 

22 amended by striking ‘‘subsection (e)’’ and inserting 

23 ‘‘subsection (d)’’. 
40 

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1 (C) Subparagraph (B) of section 1298(a)(2) is 

2 amended by striking ‘‘Section 1297(e)’’ and insert3 ing ‘‘Section 1297(d)’’. 

4 (25) Paragraph (1) of section 1362(f) is 

5 amended— 

6 (A) by striking ‘‘, section 

7 1361(b)(3)(B)(ii), or section 1361(c)(1)(A)(ii)’’ 

8 and inserting ‘‘or section 1361(b)(3)(B)(ii)’’, 

9 and 

10 (B) by striking ‘‘, section 1361(b)(3)(C), 

11 or section 1361(c)(1)(D)(iii)’’ in subparagraph 

12 (B) and inserting ‘‘or section 1361(b)(3)(C)’’. 

13 (26) Paragraph (2) of section 1400O is amend14 ed by striking ‘‘under of’’ and inserting ‘‘under’’. 

15 (27) The table of sections for part II of sub16 chapter Y of chapter 1 is amended by adding at the 

17 end the following new item: 

‘‘Sec. 1400T. Special rules for mortgage revenue bonds.’’. 

18 (28) Subsection (b) of section 4082 is amended 

19 to read as follows: 

20 ‘‘(b) NONTAXABLE USE.—For purposes of this sec21 tion, the term ‘nontaxable use’ means— 

22 ‘‘(1) any use which is exempt from the tax im23 posed by section 4041(a)(1) other than by reason of 

24 a prior imposition of tax, 

25 ‘‘(2) any use in a train, and 
41 

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1 ‘‘(3) any use described in section 

2 4041(a)(1)(C)(iii)(II). 

3 The term ‘nontaxable use’ does not include the use of ker4 osene in an aircraft and such term shall not include any 

5 use described in section 6421(e)(2)(C).’’. 

6 (29) Paragraph (4) of section 4101(a) (relating 

7 to registration in event of change of ownership) is 

8 redesignated as paragraph (5). 

9 (30) Paragraph (6) of section 4965(c) is 

10 amended by striking ‘‘section 4457(e)(1)(A)’’ and 

11 inserting ‘‘section 457(e)(1)(A)’’. 

12 (31) Subpart C of part II of subchapter A of 

13 chapter 51 is amended by redesignating section 

14 5432 (relating to recordkeeping by wholesale deal15 ers) as section 5121. 

16 (32) Paragraph (2) of section 5732(c), as re17 designated by section 11125(b)(20)(A) of the 

18 SAFETEA–LU, is amended by striking ‘‘this sub19 part’’ and inserting ‘‘this subchapter’’. 

20 (33) Subsection (b) of section 6046 is amend21 ed— 

22 (A) by striking ‘‘subsection (a)(1)’’ and in23 serting ‘‘subsection (a)(1)(A)’’, and 
42 

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1 (B) by striking ‘‘paragraph (2) or (3) of 

2 subsection (a)’’ and inserting ‘‘subparagraph 

3 (B) or (C) of subsection (a)(1)’’. 

4 (34)(A) Subparagraph (A) of section 

5 6103(b)(5) is amended by striking ‘‘the Canal 

6 Zone,’’. 

7 (B) Section 7651 is amended by striking para8 graph (4) and by redesignating paragraph (5) as 

9 paragraph (4). 

10 (35) Subparagraph (A) of section 6211(b)(4) is 

11 amended by striking ‘‘and 34’’ and inserting ‘‘34, 

12 and 35’’. 

13 (36) Subparagraphs (A) and (B) of section 

14 6230(a)(3) are each amended by striking ‘‘section 

15 6013(e)’’ and inserting ‘‘section 6015’’. 

16 (37) Paragraph (3) of section 6427(e) (relating 

17 to termination), as added by section 11113 of the 

18 SAFETEA–LU, is redesignated as paragraph (5) 

19 and moved after paragraph (4). 

20 (38) Clause (ii) of section 6427(l)(4)(A) is 

21 amended by striking ‘‘section 4081(a)(2)(iii)’’ and 

22 inserting ‘‘section 4081(a)(2)(A)(iii)’’. 

23 (39)(A) Section 6427, as amended by section 

24 1343(b)(1) of the Energy Policy Act of 2005, is 

25 amended by striking subsection (p) (relating to gas-
43 

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1 ohol used in noncommercial aviation) and redesig2 nating subsection (q) as subsection (p). 

3 (B) The Internal Revenue Code of 1986 shall 

4 be applied and administered as if the amendments 

5 made by paragraph (2) of section 11151(a) of the 

6 SAFETEA–LU had never been enacted. 

7 (40) Subsection (a) of section 6695A is amend8 ed by striking ‘‘then such person’’ in paragraph (2) 

9 and inserting the following: 

10 ‘‘then such person’’. 

11 (41) Subparagraph (C) of section 6707A(e)(2) 

12 is amended by striking ‘‘section 6662A(e)(2)(C)’’ 

13 and inserting ‘‘section 6662A(e)(2)(B)’’. 

14 (42)(A) Paragraph (3) of section 9002 is 

15 amended by striking ‘‘section 309(a)(1)’’ and insert16 ing ‘‘section 306(a)(1)’’. 

17 (B) Paragraph (1) of section 9004(a) is amend18 ed by striking ‘‘section 320(b)(1)(B)’’ and inserting 

19 ‘‘section 315(b)(1)(B)’’. 

20 (C) Paragraph (3) of section 9032 is amended 

21 by striking ‘‘section 309(a)(1)’’ and inserting ‘‘sec22 tion 306(a)(1)’’. 

23 (D) Subsection (b) of section 9034 is amended 

24 by striking ‘‘section 320(b)(1)(A)’’ and inserting 

25 ‘‘section 315(b)(1)(A)’’. 
44 

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1 (43) Section 9006 is amended by striking 

2 ‘‘Comptroller General’’ each place it appears and in3 serting ‘‘Commission’’. 

4 (44) Subsection (c) of section 9503 is amended 

5 by redesignating paragraph (7) (relating to transfers 

6 from the trust fund for certain aviation fuels taxes) 

7 as paragraph (6). 

8 (45) Paragraph (1) of section 1301(g) of the 

9 Energy Policy Act of 2005 is amended by striking 

10 ‘‘shall take effect of the date of the enactment’’ and 

11 inserting ‘‘shall take effect on the date of the enact12 ment’’. 

13 (46) The Internal Revenue Code of 1986 shall 

14 be applied and administered as if the amendments 

15 made by section 1(a) of Public Law 109–433 had 

16 never been enacted. 

17 (b) CLERICAL AMENDMENTS RELATED TO THE TAX

18 RELIEF AND HEALTH CARE ACT OF 2006.— 

19 (1) AMENDMENT RELATED TO SECTION 209 OF

20 DIVISION A OF THE ACT.—Paragraph (3) of section 

21 168(l) is amended by striking ‘‘enzymatic’’. 

22 (2) AMENDMENTS RELATED TO SECTION 419 OF

23 DIVISION A OF THE ACT.— 
45 

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1 (A) Clause (iv) of section 6724(d)(1)(B) is 

2 amended by inserting ‘‘or (h)(1)’’ after ‘‘section 

3 6050H(a)’’. 

4 (B) Subparagraph (K) of section 

5 6724(d)(2) is amended by inserting ‘‘or (h)(2)’’ 

6 after ‘‘section 6050H(d)’’. 

7 (3) EFFECTIVE DATE.—The amendments made 

8 by this subsection shall take effect as if included in 

9 the provision of the Tax Relief and Health Care Act 

10 of 2006 to which they relate. 

11 (c) CLERICAL AMENDMENTS RELATED TO THE GULF

12 OPPORTUNITY ZONE ACT OF 2005.— 

13 (1) AMENDMENTS RELATED TO SECTION 402 OF

14 THE ACT.—Subparagraph (B) of section 24(d)(1) is 

15 amended— 

16 (A) by striking ‘‘the excess (if any) of’’ in 

17 the matter preceding clause (i) and inserting 

18 ‘‘the greater of’’, and 

19 (B) by striking ‘‘section’’ in clause (ii)(II) 

20 and inserting ‘‘section 32’’. 

21 (2) EFFECTIVE DATE.—The amendments made 

22 by this subsection shall take effect as if included in 

23 the provisions of the Gulf Opportunity Zone Act of 

24 2005 to which they relate. 
46 

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1 (d) CLERICAL AMENDMENTS RELATED TO THE

2 SAFE, ACCOUNTABLE, FLEXIBLE, EFFICIENT TRANSPOR3 TATION EQUITY ACT: A LEGACY FOR USERS.— 

4 (1) AMENDMENTS RELATED TO SECTION 11163

5 OF THE ACT.—Subparagraph (C) of section 

6 6416(a)(4) is amended— 

7 (A) by striking ‘‘ultimate vendor’’ and all 

8 that follows through ‘‘has certified’’ and insert9 ing ‘‘ultimate vendor or credit card issuer has 

10 certified’’, and 

11 (B) by striking ‘‘all ultimate purchasers of 

12 the vendor’’ and all that follows through ‘‘are 

13 certified’’ and inserting ‘‘all ultimate purchasers 

14 of the vendor or credit card issuer are cer15 tified’’. 

16 (2) EFFECTIVE DATE.—The amendments made 

17 by this subsection shall take effect as if included in 

18 the provisions of the Safe, Accountable, Flexible, Ef19 ficient Transportation Equity Act: A Legacy for 

20 Users to which they relate. 

21 (e) CLERICAL AMENDMENTS RELATED TO THE EN22 ERGY POLICY ACT OF 2005.— 

23 (1) AMENDMENT RELATED TO SECTION 1344 OF

24 THE ACT.—Subparagraph (B) of section 6427(e)(5), 
47 

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1 as redesignated by subsection (a)(37), is amended by 

2 striking ‘‘2006’’ and inserting ‘‘2008’’. 

3 (2) AMENDMENTS RELATED TO SECTION 1351

4 OF THE ACT.—Subparagraphs (A)(ii) and (B)(ii) of 

5 section 41(f)(1) are each amended by striking 

6 ‘‘qualified research expenses and basic research pay7 ments’’ and inserting ‘‘qualified research expenses, 

8 basic research payments, and amounts paid or in9 curred to energy research consortiums,’’. 

10 (3) EFFECTIVE DATE.—The amendments made 

11 by this subsection shall take effect as if included in 

12 the provisions of the Energy Policy Act of 2005 to 

13 which they relate. 

14 (f) CLERICAL AMENDMENTS RELATED TO THE

15 AMERICAN JOBS CREATION ACT OF 2004.— 

16 (1) AMENDMENT RELATED TO SECTION 301 OF

17 THE ACT.—Section 9502 is amended by striking 

18 subsection (e) and redesignating subsection (f) as 

19 subsection (e). 

20 (2) AMENDMENT RELATED TO SECTION 413 OF

21 THE ACT.—Subsection (b) of section 1298 is amend22 ed by striking paragraph (7) and by redesignating 

23 paragraphs (8) and (9) as paragraphs (7) and (8), 

24 respectively. 
48 

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1 (3) AMENDMENT RELATED TO SECTION 895 OF

2 THE ACT.—Clause (iv) of section 904(f)(3)(D) is 

3 amended by striking ‘‘a controlled group’’ and in4 serting ‘‘an affiliated group’’. 

5 (4) EFFECTIVE DATE.—The amendments made 

6 by this subsection shall take effect as if included in 

7 the provisions of the American Jobs Creation Act of 

8 2004 to which they relate. 

9 (g) CLERICAL AMENDMENTS RELATED TO THE FSC 

10 REPEAL AND EXTRATERRITORIAL INCOME EXCLUSION

11 ACT OF 2000.— 

12 (1) Subclause (I) of section 56(g)(4)(C)(ii) is 

13 amended by striking ‘‘921’’ and inserting ‘‘921 (as 

14 in effect before its repeal by the FSC Repeal and 

15 Extraterritorial Income Exclusion Act of 2000)’’. 

16 (2) Clause (iv) of section 54(g)(4)(C) is amend17 ed by striking ‘‘a cooperative described in section 

18 927(a)(4)’’ and inserting ‘‘an organization to which 

19 part I of subchapter T (relating to tax treatment of 

20 cooperatives) applies which is engaged in the mar21 keting of agricultural or horticultural products’’. 

22 (3) Paragraph (4) of section 245(c) is amended 

23 by adding at the end the following new subpara24 graph: 
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1 ‘‘(C) FSC.—The term ‘FSC’ has the 

2 meaning given such term by section 922.’’. 

3 (4) Subsection (c) of section 245 is amended by 

4 inserting at the end the following new paragraph: 

5 ‘‘(5) REFERENCES TO PRIOR LAW.—Any ref6 erence in this subsection to section 922, 923, or 927 

7 shall be treated as a reference to such section as in 

8 effect before its repeal by the FSC Repeal and 

9 Extraterritorial Income Exclusion Act of 2000.’’. 

10 (5) Paragraph (4) of section 275(a) is amended 

11 by striking ‘‘if’’ and all that follows and inserting ‘‘if 

12 the taxpayer chooses to take to any extent the bene13 fits of section 901.’’. 

14 (6)(A) Subsection (a) of section 291 is amended 

15 by striking paragraph (4) and by redesignating 

16 paragraph (5) as paragraph (4). 

17 (B) Paragraph (1) of section 291(c) is amended 

18 by striking ‘‘subsection (a)(5)’’ and inserting ‘‘sub19 section (a)(4)’’. 

20 (7)(A) Paragraph (4) of section 441(b) is 

21 amended by striking ‘‘FSC or’’. 

22 (B) Subsection (h) of section 441 is amended— 

23 (i) by striking ‘‘FSC or’’ each place it ap24 pears, and 
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1 (ii) by striking ‘‘FSC’S AND’’ in the head2 ing thereof. 

3 (8) Subparagraph (B) of section 884(d)(2) is 

4 amended by inserting before the comma ‘‘(as in ef5 fect before their repeal by the FSC Repeal and 

6 Extraterritorial Income Exclusion Act of 2000)’’. 

7 (9) Section 901 is amended by striking sub8 section (h). 

9 (10) Clause (v) of section 904(d)(2)(B) is 

10 amended— 

11 (A) by inserting ‘‘and’’ at the end of sub12 clause (I), by striking subclause (II), and by re13 designating subclause (III) as subclause (II), 

14 (B) by striking ‘‘a FSC (or a former 

15 FSC)’’ in subclause (II) (as so redesignated) 

16 and inserting ‘‘a former FSC (as defined in sec17 tion 922)’’, and 

18 (C) by adding at the end the following: 

19 ‘‘Any reference in subclause (II) to section 

20 922, 923, or 927 shall be treated as a ref21 erence to such section as in effect before 

22 its repeal by the FSC Repeal and 

23 Extraterritorial Income Exclusion Act of 

24 2000.’’. 
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1 (11) Subsection (b) of section 906 is amended 

2 by striking paragraph (5) and redesignating para3 graphs (6) and (7) as paragraphs (5) and (6), re4 spectively. 

5 (12) Subparagraph (B) of section 936(f)(2) is 

6 amended by striking ‘‘FSC or’’. 

7 (13) Section 951 is amended by striking sub8 section (c) and by redesignating subsection (d) as 

9 subsection (c). 

10 (14) Subsection (b) of section 952 is amended 

11 by striking the second sentence. 

12 (15)(A) Paragraph (2) of section 956(c) is 

13 amended— 

14 (i) by striking subparagraph (I) and by re15 designating subparagraphs (J) through (M) as 

16 subparagraphs (I) through (L), respectively, 

17 and 

18 (ii) by striking ‘‘subparagraphs (J), (K), 

19 and (L)’’ in the flush sentence at the end and 

20 inserting ‘‘subparagraphs (I), (J), and (K)’’. 

21 (B) Clause (ii) of section 954(c)(2)(C) is 

22 amended by striking ‘‘section 956(c)(2)(J)’’ and in23 serting ‘‘section 956(c)(2)(I)’’. 

24 (16) Paragraph (1) of section 992(a) is amend25 ed by striking subparagraph (E), by inserting ‘‘and’’ 
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1 at the end of subparagraph (C), and by striking ‘‘, 

2 and’’ at the end of subparagraph (D) and inserting 

3 a period. 

4 (17) Paragraph (5) of section 1248(d) is 

5 amended— 

6 (A) by inserting ‘‘(as defined in section 

7 922)’’ after ‘‘a FSC’’, and 

8 (B) by adding at the end the following new 

9 sentence: ‘‘Any reference in this paragraph to 

10 section 922, 923, or 927 shall be treated as a 

11 reference to such section as in effect before its 

12 repeal by the FSC Repeal and Extraterritorial 

13 Income Exclusion Act of 2000.’’. 

14 (18) Subparagraph (D) of section 1297(b)(2) is 

15 amended by striking ‘‘foreign trade income of a FSC 

16 or’’. 

17 (19)(A) Paragraph (1) of section 6011(c) is 

18 amended by striking ‘‘or former DISC or a FSC or 

19 former FSC’’ and inserting ‘‘, former DISC, or 

20 former FSC (as defined in section 922 as in effect 

21 before its repeal by the FSC Repeal and 

22 Extraterritorial Income Exclusion Act of 2000)’’. 

23 (B) Subsection (c) of section 6011 is amended 

24 by striking ‘‘AND FSC’S’’ in the heading thereof. 
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1 (20) Subsection (c) of section 6072 is amended 

2 by striking ‘‘a FSC or former FSC’’ and inserting 

3 ‘‘a former FSC (as defined in section 922 as in ef4 fect before its repeal by the FSC Repeal and 

5 Extraterritorial Income Exclusion Act of 2000)’’. 

6 (21) Section 6686 is amended by inserting 

7 ‘‘FORMER’’ before ‘‘FSC’’ in the heading thereof. 

Passed the House of Representatives December 19, 

2007. 

Attest: 

Clerk. 
110TH CONGRESS 

1ST SESSION H. R. 4839 

AN ACT 

To amend the Internal Revenue Code of 1986 to 

make technical corrections, and for other purposes.