I

103D CONGRESS

1ST SESSION H. R. 17

To make technical corrections relating to the Revenue Reconciliation Act

of 1990, and for other purposes.

IN THE HOUSE OF REPRESENTATIVES

JANUARY 5, 1993

Mr. ROSTENKOWSKI introduced the following bill; which was referred to the

Committee on Ways and Means

A BILL

To make technical corrections relating to the Revenue

Reconciliation Act of 1990, 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,

3 SECTION 1. SHORT TITLE. ETC.

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

5 ‘‘Technical Corrections Act of 1993’’.

6 (b) AMENDMENT OF 1986 CODE.—Except as other7 wise expressly provided, whenever in this Act an amend8 ment or repeal is expressed in terms of an amendment

9 to, or repeal of, a section or other provision, the reference
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1 shall be considered to be made to a section or other provi2 sion of the Internal Revenue Code of 1986.

3 TITLE I—REVENUE PROVISIONS

4 SEC. 101. AMENDMENTS RELATED TO REVENUE REC5 ONCILIATION ACT OF 1990.

6 (a) AMENDMENTS RELATED TO SUBTITLE A.—

7 (1) Subparagraph (B) of section 59(j)(3) is

8 amended by striking ‘‘section 1(i)(3)(B)’’ and insert9 ing ‘‘section 1(g)(3)(B)’’.

10 (2) Paragraph (2) of section 897(a) is amended

11 by striking ‘‘21’’ in the heading of such paragraph

12 and in subparagraph (A) and inserting ‘‘24’’.

13 (3) Clause (ii) of section 32(b)(1)(B) is amend14 ed by inserting a comma after ‘‘greater’’.

15 (4) Section 541 is amended by striking ‘‘28

16 percent’’ and inserting ‘‘31 percent’’.

17 (5) Subsection (c) of section 32 is amended by

18 adding at the end thereof the following new para19 graph:

20 ‘‘(4) TREATMENT OF DEDUCTION FOR MEDICAL

21 INSURANCE OF SELF-EMPLOYED.—In determining

22 the amount of adjusted gross income for purposes of

23 this section, the amount of the deduction under sec24 tion 162(l) shall be determined without regard to

25 section 162(l)(3)(B).’’
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1 (6) Clause (i) of section 151(d)(3)(C) is amend2 ed by striking ‘‘joint of a return’’ and inserting

3 ‘‘joint return’’.

4 (7) Subsection (b) of section 1 is amended by

5 striking ‘‘$26,500’’ in the table contained therein

6 and inserting ‘‘$26,050’’.

7 (b) AMENDMENTS RELATED TO SUBTITLE B.—

8 (1) Paragraph (1) of section 11212(e) of the

9 Revenue Reconciliation Act of 1990 is amended by

10 striking ‘‘Paragraph (1) of section 6724(d)’’ and in11 serting ‘‘Subparagraph (B) of section 6724(d)(1)’’.

12 (2) Subsection (b) of section 4082 is amended

13 to read as follows:

14 ‘‘(b) TAX ON CERTAIN USES.—If any person uses

15 gasoline (other than in the production of gasoline or spe16 cial fuels referred to in section 4041), such use shall for

17 purposes of this chapter be considered a removal.’’

18 (3)(A) Subparagraph (B) of section 4093(c)(2)

19 is amended by inserting before the period ‘‘unless

20 such fuel is sold for exclusive use by a State or any

21 political subdivision thereof’’.

22 (B) Paragraph (4) of section 6427(l) is amend23 ed by inserting before the period ‘‘unless such fuel

24 was used by a State or any political subdivision

25 thereof’’.
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1 (4) Paragraph (1) of section 6416(b) is amend2 ed by striking ‘‘chapter 32 or by section 4051’’ and

3 inserting ‘‘chapter 31 or 32’’.

4 (5) Section 7012 is amended—

5 (A) by striking ‘‘production or importation

6 of gasoline’’ in paragraph (3) and inserting

7 ‘‘taxes on gasoline and diesel fuel’’, and

8 (B) by striking paragraph (4) and redesig9 nating paragraphs (5) and (6) as paragraphs

10 (4) and (5), respectively.

11 (6) Subsection (c) of section 5041 is amended

12 by striking paragraph (6) and by inserting the fol13 lowing new paragraphs:

14 ‘‘(6) CREDIT FOR TRANSFEREE IN BOND.—If—

15 ‘‘(A) wine produced by any person would

16 be eligible for any credit under paragraph (1)

17 if removed by such person during the calendar

18 year,

19 ‘‘(B) wine produced by such person is re20 moved during such calendar year by any other

21 person (hereafter in this paragraph referred to

22 as the ‘transferee’) to whom such wine was

23 transferred in bond and who is liable for the tax

24 imposed by this section with respect to such

25 wine, and
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1 ‘‘(C) such producer holds title to such wine

2 at the time of its removal and provides to the

3 transferee such information as is necessary to

4 properly determine the transferee’s credit under

5 this paragraph,

6 then, the transferee (and not the producer) shall be

7 allowed the credit under paragraph (1) which would

8 be allowed to the producer if the wine removed by

9 the transferee had been removed by the producer on

10 that date.

11 ‘‘(7) REGULATIONS.—The Secretary may pre12 scribe such regulations as may be necessary to carry

13 out the purposes of this subsection, including regula14 tions—

15 ‘‘(A) to prevent the credit provided in this

16 subsection from benefiting any person who pro17 duces more than 250,000 wine gallons during a

18 calendar year, and

19 ‘‘(B) to assure proper reduction of such

20 credit for persons producing more than 150,000

21 wine gallons of wine during a calendar year.’’

22 (7) Paragraph (3) of section 5061(b) is amend23 ed to read as follows:

24 ‘‘(3) section 5041(f),’’.
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1 (8) Section 5354 is amended by inserting ‘‘(tak2 ing into account the appropriate amount of credit

3 with respect to such wine under section 5041(c))’’

4 after ‘‘any one time’’.

5 (9) Effective on the date of the enactment of

6 this Act, paragraph (7) of section 11202(i) of the

7 Revenue Reconciliation Act of 1990 is amended by

8 adding at the end thereof the following: ‘‘The Sec9 retary may treat any person who bore the ultimate

10 burden of the tax imposed by this subsection as the

11 person to whom a credit or refund under such provi12 sions may be allowed or made.’’

13 (c) AMENDMENTS RELATED TO SUBTITLE C.—

14 (1) Paragraph (4) of section 56(g) is amended

15 by redesignating subparagraph (I) as subparagraph

16 (H).

17 (2) Subparagraph (B) of section 6724(d)(1) is

18 amended—

19 (A) by striking ‘‘or’’ at the end of clause

20 (xi),

21 (B) by striking the period at the end of the

22 clause added by section 11212(e) of the Reve23 nue Reconciliation Act of 1990 and inserting ‘‘,

24 or’’, and
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1 (C) by redesignating the clause added by

2 section 11323(c)(2) of such Act as clause (xiii).

3 (3) Subsection (g) of section 6302 is amended

4 by inserting ‘‘, 22,’’ after ‘‘chapters 21’’.

5 (4) The earnings and profits of any insurance

6 company to which section 11305(c)(3) of the Reve7 nue Reconciliation Act of 1990 applies shall be de8 termined without regard to any deduction allowed

9 under such section; except that, for purposes of ap10 plying sections 56, 902, 952(c)(1), and 960 of the

11 Internal Revenue Code of 1986, such deduction shall

12 be taken into account.

13 (5) Subparagraph (D) of section 6038A(e)(4) is

14 amended—

15 (A) by striking ‘‘any transaction to which

16 the summons relates’’ and inserting ‘‘any af17 fected taxable year’’, and

18 (B) by adding at the end thereof the fol19 lowing new sentence: ‘‘For purposes of this sub20 paragraph, the term ‘affected taxable year’

21 means any taxable year if the determination of

22 the amount of tax imposed for such taxable

23 year is affected by the treatment of the trans24 action to which the summons relates.’’
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1 (6) Subparagraph (A) of section 6621(c)(2) is

2 amended by adding at the end thereof the following

3 new sentence: ‘‘The preceding sentence shall be ap4 plied without regard to any such letter or notice

5 which is withdrawn by the Secretary.’’

6 (7) Clause (i) of section 6621(c)(2)(B) is

7 amended by striking ‘‘this subtitle’’ and inserting

8 ‘‘this title’’.

9 (d) AMENDMENTS RELATED TO SUBTITLE D.—

10 (1) Paragraph (9) of section 132(h) is amended

11 by striking ‘‘or the last sentence of subsection (c)(1)

12 thereof’’.

13 (2) Notwithstanding section 11402(c) of the

14 Revenue Reconciliation Act of 1990, the amendment

15 made by section 11402(b)(1) of such Act shall apply

16 to taxable years ending after December 31, 1989.

17 (3) Clause (ii) of section 143(m)(4)(C) is

18 amended—

19 (A) by striking ‘‘any month of the 10-year

20 period’’ and inserting ‘‘any year of the 4-year

21 period’’,

22 (B) by striking ‘‘succeeding months’’ and

23 inserting ‘‘succeeding years’’, and
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1 (C) by striking ‘‘over the remainder of

2 such period (or, if lesser, 5 years)’’ and insert3 ing ‘‘to zero over the succeeding 5 years’’.

4 (e) AMENDMENTS RELATED TO SUBTITLE E.—

5 (1)(A) Clause (ii) of section 56(d)(1)(B) is

6 amended to read as follows:

7 ‘‘(ii) appropriate adjustments in the

8 application of section 172(b)(2) shall be

9 made to take into account the limitation of

10 subparagraph (A).’’

11 (B) For purposes of applying sections 56(g)(1)

12 and 56(g)(3) of the Internal Revenue Code of 1986

13 with respect to taxable years beginning in 1991 and

14 1992, the reference in such sections to the alter15 native tax net operating loss deduction shall be

16 treated as including a reference to the deduction

17 under section 56(h) of such Code as in effect before

18 the amendments made by section 1915 of the En19 ergy Policy Act of 1992.

20 (2) Clause (i) of section 613A(c)(3)(A) is

21 amended by striking ‘‘the table contained in’’.

22 (3) Section 6501 is amended—

23 (A) by striking subsection (m) (relating to

24 deficiency attributable to election under section
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1 44B) and by redesignating subsections (n) and

2 (o) as subsections (m) and (n), respectively, and

3 (B) by striking ‘‘section 40(f) or 51(j)’’ in

4 subsection (m) (as redesignated by subpara5 graph (A)) and inserting ‘‘section 40(f), 43, or

6 51(j)’’.

7 (4) Subparagraph (C) of section 38(c)(2) (as in

8 effect on the day before the date of the enactment

9 of the Revenue Reconciliation Act of 1990) is

10 amended by inserting before the period at the end

11 of the first sentence the following: ‘‘and without re12 gard to the deduction under section 56(h)’’.

13 (f) AMENDMENTS RELATED TO SUBTITLE F.—

14 (1)(A) Section 2701(a)(3) is amended by add15 ing at the end thereof the following new subpara16 graph:

17 ‘‘(C) VALUATION OF QUALIFIED PAYMENTS

18 WHERE NO LIQUIDATION, ETC. RIGHTS.—In the

19 case of an applicable retained interest which is

20 described in subparagraph (B)(i) but not sub21 paragraph (B)(ii), the value of the distribution

22 right shall be determined without regard to this

23 section.’’
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1 (B) Section 2701(a)(3)(B) is amended by in2 serting ‘‘CERTAIN’’ before ‘‘QUALIFIED’’ in the head3 ing thereof.

4 (C) Sections 2701 (d)(1) and (d)(4) are each

5 amended by striking ‘‘subsection (a)(3)(B)’’ and in6 serting ‘‘subsection (a)(3) (B) or (C)’’.

7 (2) Clause (i) of section 2701(a)(4)(B) is

8 amended by inserting ‘‘(or, to the extent provided in

9 regulations, the rights as to either income or cap10 ital)’’ after ‘‘income and capital’’.

11 (3)(A) Section 2701(b)(2) is amended by add12 ing at the end thereof the following new subpara13 graph:

14 ‘‘(C) APPLICABLE FAMILY MEMBER.—For

15 purposes of this subsection, the term ‘applicable

16 family member’ includes any lineal descendant

17 of any parent of the transferor or the transfer18 or’s spouse.’’

19 (B) Section 2701(e)(3) is amended—

20 (i) by striking subparagraph (B), and

21 (ii) by striking so much of paragraph (3)

22 as precedes ‘‘shall be treated as holding’’ and

23 inserting:

24 ‘‘(3) ATTRIBUTION OF INDIRECT HOLDINGS

25 AND TRANSFERS.—An individual’’.
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1 (C) Section 2704(c)(3) is amended by striking

2 ‘‘section 2701(e)(3)(A)’’ and inserting ‘‘section

3 2701(e)(3)’’.

4 (4) Clause (i) of section 2701(c)(1)(B) is

5 amended to read as follows:

6 ‘‘(i) a right to distributions with respect to

7 any interest which is junior to the rights of the

8 transferred interest,’’.

9 (5)(A) Clause (i) of section 2701(c)(3)(C) is

10 amended to read as follows:

11 ‘‘(i) IN GENERAL.—Payments under any

12 interest held by a transferor which (without re13 gard to this subparagraph) are qualified pay14 ments shall be treated as qualified payments

15 unless the transferor elects not to treat such

16 payments as qualified payments. Payments de17 scribed in the preceding sentence which are held

18 by an applicable family member shall be treated

19 as qualified payments only if such member

20 elects to treat such payments as qualified pay21 ments.’’.

22 (B) The first sentence of section

23 2701(c)(3)(C)(ii) is amended to read as follows: ‘‘A

24 transferor or applicable family member holding any

25 distribution right which (without regard to this sub-
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1 paragraph) is not a qualified payment may elect to

2 treat such right as a qualified payment, to be paid

3 in the amounts and at the times specified in such

4 election.’’

5 (C) The time for making an election under the

6 second sentence of section 2701(c)(3)(C)(i) of the

7 Internal Revenue Code of 1986 (as amended by sub8 paragraph (A)) shall not expire before the due date

9 (including extensions) for filing the transferor’s re10 turn of the tax imposed by section 2501 of such

11 Code for the first calendar year ending after the

12 date of enactment.

13 (6) Section 2701(d)(3)(A)(iii) is amended by

14 striking ‘‘the period ending on the date of’’.

15 (7) Subclause (I) of section 2701(d)(3)(B)(ii) is

16 amended by inserting ‘‘or the exclusion under sec17 tion 2503(b),’’ after ‘‘section 2523,’’.

18 (8) Section 2701(e)(5) is amended—

19 (A) by striking ‘‘such contribution to cap20 ital or such redemption, recapitalization, or

21 other change’’ in subparagraph (A) and insert22 ing ‘‘such transaction’’, and

23 (B) by striking ‘‘the transfer’’ in subpara24 graph (B) and inserting ‘‘such transaction’’.
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1 (9) Section 2701(d)(4) is amended by adding at

2 the end thereof the following new subparagraph:

3 ‘‘(C) TRANSFER TO TRANSFERORS.—In

4 the case of a taxable event described in para5 graph (3)(A)(ii) involving a transfer of an ap6 plicable retained interest from an applicable

7 family member to a transferor, this subsection

8 shall continue to apply to the transferor during

9 any period the transferor holds such interest.’’

10 (10) Section 2701(e)(6) is amended by insert11 ing ‘‘or to reflect the application of subsection (d)’’

12 before the period at the end thereof.

13 (11)(A) Section 2702(a)(3)(A) is amended—

14 (i) by striking ‘‘to the extent’’ and insert15 ing ‘‘if’’ in clause (i),

16 (ii) by striking ‘‘or’’ at the end of clause

17 (i),

18 (iii) by striking the period at the end of

19 clause (ii) and inserting ‘‘, or’’, and

20 (iv) by adding at the end thereof the fol21 lowing new clause:

22 ‘‘(iii) to the extent that regulations

23 provide that such transfer is not inconsist24 ent with the purposes of this section.’’
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1 (B)(i) Section 2702(a)(3) is amended by strik2 ing ‘‘incomplete transfer’’ each place it appears and

3 inserting ‘‘incomplete gift’’.

4 (ii) The heading for section 2702(a)(3)(B) is

5 amended by striking ‘‘INCOMPLETE TRANSFER’’ and

6 inserting ‘‘INCOMPLETE GIFT’’.

7 (g) AMENDMENTS RELATED TO SUBTITLE G.—

8 (1)(A) Subsection (a) of section 1248 is amend9 ed—

10 (i) by striking ‘‘, or if a United States per11 son receives a distribution from a foreign cor12 poration which, under section 302 or 331, is

13 treated as an exchange of stock’’ in paragraph

14 (1), and

15 (ii) by adding at the end thereof the follow16 ing new sentence: ‘‘For purposes of this section,

17 a United States person shall be treated as hav18 ing sold or exchanged any stock if, under any

19 provision of this subtitle, such person is treated

20 as realizing gain from the sale or exchange of

21 such stock.’’

22 (B) Paragraph (1) of section 1248(e) is amend23 ed by striking ‘‘or receives a distribution from a do24 mestic corporation which, under section 302 or 331,

25 is treated as an exchange of stock’’.
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1 (C) Subparagraph (B) of section 1248(f)(1) is

2 amended by striking ‘‘or 361(c)(1)’’ and inserting

3 ‘‘355(c)(1), or 361(c)(1)’’.

4 (D) Paragraph (1) of section 1248(i) is amend5 ed to read as follows:

6 ‘‘(1) IN GENERAL.—If any shareholder of a 10-

7 percent corporate shareholder of a foreign corpora8 tion exchanges stock of the 10-percent corporate

9 shareholder for stock of the foreign corporation,

10 such 10-percent corporate shareholder shall recog11 nize gain in the same manner as if the stock of the

12 foreign corporation received in such exchange had

13 been—

14 ‘‘(A) issued to the 10-percent corporate

15 shareholder, and

16 ‘‘(B) then distributed by the 10-percent

17 corporate shareholder to such shareholder in re18 demption or liquidation (whichever is appro19 priate).

20 The amount of gain recognized by such 10-percent

21 corporate shareholder under the preceding sentence

22 shall not exceed the amount treated as a dividend

23 under this section.’’

24 (2) Section 897 is amended by striking sub25 section (f).
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1 (3) Paragraph (13) of section 4975(d) is

2 amended by striking ‘‘section 408(b)’’ and inserting

3 ‘‘section 408(b)(12)’’.

4 (4) Clause (iii) of section 56(g)(4)(D) is amend5 ed by inserting ‘‘, but only with respect to taxable

6 years beginning after December 31, 1989’’ before

7 the period at the end thereof.

8 (5)(A) Paragraph (11) of section 11701(a) of

9 the Revenue Reconciliation Act of 1990 (and the

10 amendment made by such paragraph) are hereby re11 pealed, and section 7108(r)(2) of the Revenue Rec12 onciliation Act of 1989 shall be applied as if such

13 paragraph (and amendment) had never been en14 acted.

15 (B) Subparagraph (A) shall not apply to any

16 building if the owner of such building establishes to

17 the satisfaction of the Secretary of the Treasury or

18 his delegate that such owner reasonably relied on the

19 amendment made by such paragraph (11).

20 (h) AMENDMENTS RELATED TO SUBTITLE H.—

21 (1)(A) Clause (vi) of section 168(e)(3)(B) is

22 amended by striking ‘‘or’’ at the end of subclause

23 (I), by striking the period at the end of subclause

24 (II) and inserting ‘‘, or’’, and by adding at the end

25 thereof the following new subclause:
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1 ‘‘(III) is described in section

2 48(l)(3)(A)(ix) (as in effect on the day be3 fore the date of the enactment of the Reve4 nue Reconciliation Act of 1990).’’

5 (B) Subparagraph (K) of section 168(g)(4) is

6 amended by striking ‘‘section 48(a)(3)(A)(iii)’’ and

7 inserting ‘‘section 48(l)(3)(A)(ix) (as in effect on the

8 day before the date of the enactment of the Revenue

9 Reconciliation Act of 1990)’’.

10 (2) Clause (ii) of section 172(b)(1)(E) is

11 amended by striking ‘‘subsection (m)’’ and inserting

12 ‘‘subsection (h)’’.

13 (3) Sections 805(a)(4)(E), 832(b)(5)(C)(ii)(II),

14 and 832(b)(5)(D)(ii)(II) are each amended by strik15 ing ‘‘243(b)(5)’’ and inserting ‘‘243(b)(2)’’.

16 (4) Subparagraph (A) of section 243(b)(3) is

17 amended by inserting ‘‘of’’ after ‘‘In the case’’.

18 (5) The subsection heading for subsection (a) of

19 section 280F is amended by striking ‘‘INVESTMENT

20 TAX CREDIT AND’’.

21 (6) Clause (i) of section 1504(c)(2)(B) is

22 amended by inserting ‘‘section’’ before ‘‘243(b)(2)’’.

23 (7) Paragraph (3) of section 341(f) is amended

24 by striking ‘‘351, 361, 371(a), or 374(a)’’ and in25 serting ‘‘351, or 361’’.
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1 (8) Paragraph (2) of section 243(b) is amended

2 to read as follows:

3 ‘‘(2) AFFILIATED GROUP.—For purposes of this

4 subsection:

5 ‘‘(A) IN GENERAL.—The term ‘affiliated

6 group’ has the meaning given such term by sec7 tion 1504(b), except that for such purposes sec8 tions 1504(b)(2), 1504(b)(4), and 1504(c) shall

9 not apply.

10 ‘‘(B) GROUP MUST BE CONSISTENT IN

11 FOREIGN TAX TREATMENT.—The requirements

12 of paragraph (1)(A) shall not be treated as

13 being met with respect to any dividend received

14 by a corporation if, for any taxable year which

15 includes the day on which such dividend is re16 ceived—

17 ‘‘(i) 1 or more members of the affili18 ated group referred to in paragraph (1)(A)

19 choose to any extent to take the benefits of

20 section 901, and

21 ‘‘(ii) 1 or more other members of such

22 group claim to any extent a deduction for

23 taxes otherwise creditable under section

24 901.’’
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1 (9) The amendment made by section

2 11813(b)(17) of the Revenue Reconciliation Act of

3 1990 shall be applied as if the material stricken by

4 such amendment included the closing parenthesis

5 after ‘‘section 48(a)(5)’’.

6 (10) Paragraph (1) of section 179(d) is amend7 ed—

8 (A) by striking ‘‘in a trade or business’’

9 and inserting ‘‘a trade or business’’, and

10 (B) by adding at the end thereof the fol11 lowing new sentence: ‘‘Such term shall not in12 clude any property described in section 50(b)

13 and shall not include air conditioning or heating

14 units and horses’’.

15 (11) Subparagraph (E) of section 50(a)(2) is

16 amended by striking ‘‘section 48(a)(5)(A)’’ and in17 serting ‘‘section 48(a)(5)’’.

18 (12) The amendment made by section

19 11801(c)(9)(G)(ii) of the Revenue Reconciliation Act

20 of 1990 shall be applied as if it struck ‘‘Section

21 422A(c)(2)’’ and inserted ‘‘Section 422(c)(2)’’.

22 (13) Subparagraph (B) of section 424(c)(3) is

23 amended by striking ‘‘a qualified stock option, an in24 centive stock option, an option granted under an em25 ployee stock purchase plan, or a restricted stock op-
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1 tion’’ and inserting ‘‘an incentive stock option or an

2 option granted under an employee stock purchase

3 plan’’.

4 (14) Subparagraph (E) of section 1367(a)(2) is

5 amended by striking ‘‘section 613A(c)(13)(B)’’ and

6 inserting ‘‘section 613A(c)(11)(B)’’.

7 (15) Subparagraph (B) of section 460(e)(6) is

8 amended by striking ‘‘section 167(k)’’ and inserting

9 ‘‘section 168(e)(2)(A)(ii)’’.

10 (16) Subparagraph (C) of section 172(h)(4) is

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

13 (17) Section 6503 is amended—

14 (A) by redesignating the subsection relat15 ing to extension in case of certain summonses

16 as subsection (j), and

17 (B) by redesignating the subsection relat18 ing to cross references as subsection (k).

19 (18) Paragraph (4) of section 1250(e) is hereby

20 repealed.

21 (i) EFFECTIVE DATE.—Any amendment made by

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

23 of the Revenue Reconciliation Act of 1990 to which such

24 amendment relates.
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1 SEC. 102. MISCELLANEOUS PROVISIONS.

2 (a) APPLICATION OF AMENDMENTS MADE BY TITLE

3 XII OF OMNIBUS BUDGET RECONCILIATION ACT OF

4 1990.—Except as otherwise expressly provided, whenever

5 in title XII of the Omnibus Budget Reconciliation Act of

6 1990 an amendment or repeal is expressed in terms of

7 an amendment to, or repeal of, a section or other provi8 sion, the reference shall be considered to be made to a

9 section or other provision of the Internal Revenue Code

10 of 1986.

11 (b) TREATMENT OF CERTAIN AMOUNTS UNDER

12 HEDGE BOND RULES.—

13 (1) Clause (iii) of section 149(g)(3)(B) is

14 amended to read as follows:

15 ‘‘(iii) AMOUNTS HELD PENDING REIN16 VESTMENT OR REDEMPTION.—Amounts

17 held for not more than 30 days pending re18 investment or bond redemption shall be

19 treated as invested in bonds described in

20 clause (i).’’

21 (2) The amendment made by paragraph (1)

22 shall take effect as if included in the amendments

23 made by section 7651 of the Omnibus Budget Rec24 onciliation Act of 1989.

25 (c) TREATMENT OF CERTAIN DISTRIBUTIONS

26 UNDER SECTION 1445.—
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1 (1) IN GENERAL.—Paragraph (3) of section

2 1445(e) is amended by adding at the end thereof

3 the following new sentence: ‘‘Rules similar to the

4 rules of the preceding provisions of this paragraph

5 shall apply in the case of any distribution to which

6 section 301 applies and which is not made out of the

7 earnings and profits of such a domestic corpora8 tion.’’

9 (2) EFFECTIVE DATE.—The amendment made

10 by paragraph (1) shall apply to distributions after

11 the date of the enactment of this Act.

12 (d) TREATMENT OF CERTAIN CREDITS UNDER SEC13 TION 469.—

14 (1) IN GENERAL.—Subparagraph (B) of section

15 469(c)(3) is amended by adding at the end thereof

16 the following new sentence: ‘‘If the preceding sen17 tence applies to the net income from any property

18 for any taxable year, any credits allowable under

19 subpart B (other than section 27(a)) or D of part

20 IV of subchapter A for such taxable year which are

21 attributable to such property shall be treated as

22 credits not from a passive activity to the extent the

23 amount of such credits does not exceed the regular

24 tax liability of the taxpayer for the taxable year

25 which is allocable to such net income.’’
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1 (2) EFFECTIVE DATE.—The amendment made

2 by paragraph (1) shall apply to taxable years begin3 ning after December 31, 1986.

4 (e) TREATMENT OF DISPOSITIONS UNDER PASSIVE

5 LOSS RULES.—

6 (1) IN GENERAL.—Subparagraph (A) of section

7 469(g)(1) is amended to read as follows:

8 ‘‘(A) IN GENERAL.—If all gain or loss real9 ized on such disposition is recognized, the ex10 cess of—

11 ‘‘(i) any loss from such activity for

12 such taxable year (determined after the ap13 plication of subsection (b)), over

14 ‘‘(ii) any net income or gain for such

15 taxable year from all other passive activi16 ties (determined after the application of

17 subsection (b)),

18 shall be treated as a loss which is not from a

19 passive activity.’’

20 (2) EFFECTIVE DATE.—The amendment made

21 by paragraph (1) shall apply to taxable years begin22 ning after December 31, 1986.

23 (f) MISCELLANEOUS AMENDMENTS TO FOREIGN

24 PROVISIONS.—
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1 (1) COORDINATION OF UNIFIED ESTATE TAX

2 CREDIT WITH TREATIES.—Subparagraph (A) of sec3 tion 2102(c)(3) is amended by adding at the end

4 thereof the following new sentence: ‘‘For purposes

5 of the preceding sentence, property shall not be

6 treated as situated in the United States if such

7 property is exempt from the tax imposed by this

8 subchapter under any treaty obligation of the United

9 States.’’

10 (2) TREATMENT OF CERTAIN INTEREST PAID

11 TO RELATED PERSON.—

12 (A) IN GENERAL.—Subparagraph (B) of

13 section 163(j)(1) is amended by inserting before

14 the period at the end thereof the following:

15 ‘‘(and clause (ii) of paragraph (2)(A) shall not

16 apply for purposes of applying this subsection

17 to the amount so treated)’’.

18 (B) EFFECTIVE DATE.—The amendment

19 made by subparagraph (A) shall apply as if in20 cluded in the amendments made by section

21 7210(a) of the Revenue Reconciliation Act of

22 1989.

23 (3) TREATMENT OF INTEREST ALLOCABLE TO

24 EFFECTIVELY CONNECTED INCOME.—

25 (A) IN GENERAL.—
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1 (i) Subparagraph (B) of section

2 884(f)(1) is amended by striking ‘‘to the

3 extent’’ and all that follows down through

4 ‘‘subparagraph (A)’’ and inserting ‘‘to the

5 extent that the allocable interest exceeds

6 the interest described in subparagraph

7 (A)’’.

8 (ii) The second sentence of section

9 884(f)(1) is amended by striking ‘‘reason10 ably expected’’ and all that follows down

11 through the period at the end thereof and

12 inserting ‘‘reasonably expected to be alloca13 ble interest.’’

14 (iii) Paragraph (2) of section 884(f) is

15 amended to read as follows:

16 ‘‘(2) ALLOCABLE INTEREST.—For purposes of

17 this subsection, the term ‘allocable interest’ means

18 any interest which is allocable to income which is ef19 fectively connected (or treated as effectively con20 nected) with the conduct of a trade or business in

21 the United States.’’

22 (B) EFFECTIVE DATE.—The amendments

23 made by subparagraph (A) shall take effect as

24 if included in the amendments made by section

25 1241(a) of the Tax Reform Act of 1986.
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1 (4) CLARIFICATION OF SOURCE RULE.—

2 (A) IN GENERAL.—Paragraph (2) of sec3 tion 865(b) is amended by striking ‘‘863(b)’’

4 and inserting ‘‘863’’.

5 (B) EFFECTIVE DATE.—The amendment

6 made by subparagraph (A) shall take effect as

7 if included in the amendments made by section

8 1211 of the Tax Reform Act of 1986.

9 (5) REPEAL OF OBSOLETE PROVISIONS.—

10 (A) Paragraph (1) of section 6038(a) is

11 amended by striking ‘‘, and’’ at the end of sub12 paragraph (E) and inserting a period, and by

13 striking subparagraph (F).

14 (B) Subsection (b) of section 6038A is

15 amended by adding ‘‘and’’ at the end of para16 graph (2), by striking ‘‘, and’’ at the end of

17 paragraph (3) and inserting a period, and by

18 striking paragraph (4).

19 (g) TREATMENT OF ASSIGNMENT OF INTEREST IN

20 CERTAIN BOND-FINANCED FACILITIES.—

21 (1) IN GENERAL.—Subparagraph (A) of section

22 1317(3) of the Tax Reform Act of 1986 is amended

23 by adding at the end thereof the following new sen24 tence: ‘‘A facility shall not fail to be treated as de25 scribed in this subparagraph by reason of an assign-
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1 ment (or an agreement to an assignment) by the

2 governmental unit on whose behalf the bonds are is3 sued of any part of its interest in the property fi4 nanced by such bonds to another governmental

5 unit.’’

6 (2) EFFECTIVE DATE.—The amendment made

7 by paragraph (1) shall take effect as if included in

8 such section 1317 on the date of the enactment of

9 the Tax Reform Act of 1986.

10 (h) CLARIFICATION OF TREATMENT OF MEDICARE

11 ENTITLEMENT UNDER COBRA PROVISIONS.—

12 (1) IN GENERAL.—

13 (A) Subclause (V) of section

14 4980B(f)(2)(B)(i) is amended to read as fol15 lows:

16 ‘‘(V) MEDICARE ENTITLEMENT

17 FOLLOWED BY QUALIFYING EVENT.—

18 In the case of a qualifying event de19 scribed in paragraph (3)(B) that oc20 curs less than 18 months after the

21 date the covered employee became en22 titled to benefits under title XVIII of

23 the Social Security Act, the period of

24 coverage for qualified beneficiaries

25 other than the covered employee shall
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1 not terminate under this clause before

2 the close of the 36-month period be3 ginning on the date the covered em4 ployee became so entitled.’’

5 (B) Clause (v) of section 602(2)(A) of the

6 Employee Retirement Income Security Act of

7 1974 is amended to read as follows:

8 ‘‘(v) MEDICARE ENTITLEMENT FOL9 LOWED BY QUALIFYING EVENT.—In the

10 case of a qualifying event described in sec11 tion 603(2) that occurs less than 18

12 months after the date the covered em13 ployee became entitled to benefits under

14 title XVIII of the Social Security Act, the

15 period of coverage for qualified bene16 ficiaries other than the covered employee

17 shall not terminate under this subpara18 graph before the close of the 36-month pe19 riod beginning on the date the covered em20 ployee became so entitled.’’

21 (C) Clause (iv) of section 2202(2)(A) of

22 the Public Health Service Act is amended to

23 read as follows:

24 ‘‘(iv) MEDICARE ENTITLEMENT FOL25 LOWED BY QUALIFYING EVENT.—In the
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1 case of a qualifying event described in sec2 tion 2203(2) that occurs less than 18

3 months after the date the covered em4 ployee became entitled to benefits under

5 title XVIII of the Social Security Act, the

6 period of coverage for qualified bene7 ficiaries other than the covered employee

8 shall not terminate under this subpara9 graph before the close of the 36-month pe10 riod beginning on the date the covered em11 ployee became so entitled.’’

12 (2) EFFECTIVE DATE.—The amendments made

13 by this subsection shall apply to plan years begin14 ning after December 31, 1989.

15 (i) TREATMENT OF CERTAIN REMIC INCLUSIONS.—

16 (1) IN GENERAL.—Subsection (a) of section

17 860E is amended by adding at the end thereof the

18 following new paragraph:

19 ‘‘(6) COORDINATION WITH MINIMUM TAX.—For

20 purposes of part VI of subchapter A of this chap21 ter—

22 ‘‘(A) the reference in section 55(b)(2) to

23 taxable income shall be treated as a reference

24 to taxable income determined without regard to

25 this subsection,
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1 ‘‘(B) the alternative minimum taxable in2 come of any holder of a residual interest in a

3 REMIC for any taxable year shall in no event

4 be less than the excess inclusion for such tax5 able year, and

6 ‘‘(C) any excess inclusion shall be dis7 regarded for purposes of computing the alter8 native tax net operating loss deduction.

9 The preceding sentence shall not apply to any orga10 nization to which section 593 applies, except to the

11 extent provided in regulations prescribed by the Sec12 retary under paragraph (2).’’

13 (2) EFFECTIVE DATE.—The amendment made

14 by paragraph (1) shall take effect as if included in

15 the amendments made by section 671 of the Tax Re16 form Act of 1986 unless the taxpayer elects to apply

17 such amendment only to taxable years beginning

18 after the date of the enactment of this Act.

19 (j) TREATMENT OF CERTAIN CONTRIBUTIONS MADE

20 PURSUANT TO VETERANS’ REEMPLOYMENT RIGHTS.—

21 (1) IN GENERAL.—Section 414 is amended by

22 adding at the end the following new subsection:

23 ‘‘(u) SPECIAL RULES RELATING TO VETERANS’ RE24 EMPLOYMENT RIGHTS.—
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1 ‘‘(1) TREATMENT OF CERTAIN REQUIRED CON2 TRIBUTIONS.—If any contribution is made by an

3 employer under an individual account plan with re4 spect to an employee and such contribution is re5 quired by reason of such employee’s rights under

6 chapter 43 of title 38, United States Code, resulting

7 from qualified military service—

8 ‘‘(A) such contribution shall not be subject

9 to any otherwise applicable limitation contained

10 in section 402(g), 403(b), 404(a), 408, 415, or

11 457, and

12 ‘‘(B) such plan shall not be treated as fail13 ing to meet any requirement of this part or sec14 tion 457 by reason of the making of such con15 tribution and such contribution shall not be

16 taken into account in applying the limitations

17 referred to in subparagraph (A) to other con18 tributions.

19 For purposes of the preceding sentence, any addi20 tional elective deferral made under paragraph (2)

21 shall be treated as an employer contribution required

22 by reason of the employee’s rights under such chap23 ter 43.

24 ‘‘(2) REEMPLOYMENT RIGHTS WITH RESPECT

25 TO ELECTIVE DEFERRALS.—
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1 ‘‘(A) IN GENERAL.—If an employee is enti2 tled to the benefits of chapter 43 of title 38,

3 United States Code, with respect to any plan

4 which provides for elective deferrals, such em5 ployer shall be treated as meeting the require6 ments of such chapter 43 with respect to such

7 elective deferrals if such employer—

8 ‘‘(i) permits such employee to make

9 additional elective deferrals under such

10 plan (in the amount determined under sub11 paragraph (B)) during the period (not

12 longer than 5 years) which begins on the

13 date of the reemployment and has the

14 same length as the period of qualified mili15 tary service which resulted in such rights,

16 and

17 ‘‘(ii) makes a matching contribution

18 in respect of any additional elective defer19 ral made pursuant to clause (i) which

20 would have been required had such defer21 ral actually been made during the period of

22 such qualified military service.

23 ‘‘(B) AMOUNT OF MAKEUP REQUIRED.—

24 The amount determined under this subpara25 graph is the maximum amount of elective defer-
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1 rals that the individual would have been per2 mitted to make under the plan during his pe3 riod of qualified military service if he had con4 tinued to be employed by the employer during

5 such period and received compensation at the

6 same rate as the individual received from the

7 employer immediately before such qualified

8 military service. Proper adjustment shall be

9 made to the amount determined under the pre10 ceding sentence for any elective deferrals actu11 ally made during the period of such qualified

12 military service.

13 ‘‘(C) ELECTIVE DEFERRAL.—For purposes

14 of this paragraph, the term ‘elective deferral’

15 has the meaning given to such term by section

16 402(g)(3); except that such term shall include

17 any deferral of compensation under an eligible

18 deferred compensation plan (as defined in sec19 tion 457(b)).

20 ‘‘(3) CERTAIN RETROACTIVE ADJUSTMENTS

21 NOT REQUIRED.—Nothing in chapter 43 of title 38,

22 United States Code, shall be construed as requir23 ing—
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1 ‘‘(A) any crediting of earnings to an em2 ployee with respect to any contribution before

3 such contribution is actually made, or

4 ‘‘(B) any allocation with respect to the pe5 riod of qualified military service of any of the

6 following amounts—

7 ‘‘(i) any forfeiture,

8 ‘‘(ii) any employer contribution which

9 was voluntary, and

10 ‘‘(iii) any employer contribution the

11 total amount of which was determined

12 without reference to the number of, or

13 compensation of, plan participants before

14 being allocated to the accounts of partici15 pants.

16 ‘‘(4) LOAN REPAYMENT SUSPENSIONS PER17 MITTED.—If any plan suspends the repayment of

18 any loan made to an individual for the period while

19 such individual is performing qualified military serv20 ice, such suspension shall not be taken into account

21 for purposes of section 72(p).

22 ‘‘(5) QUALIFIED MILITARY SERVICE.—For pur23 poses of this subsection, the term ‘qualified military

24 service’ means any service in the uniformed services

25 (as defined in chapter 43 of title 38, United States
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1 Code) by any individual if such individual is entitled

2 to reemployment rights under such chapter 43, with

3 respect to such service.

4 ‘‘(6) INDIVIDUAL ACCOUNT PLAN.—For pur5 poses of this subsection, the term ‘individual account

6 plan’ means any defined contribution plan and any

7 eligible deferred compensation plan (as defined in

8 section 457(b)).

9 ‘‘(7) REFERENCES.—Any reference in this sub10 section to chapter 43 of title 38 of the United States

11 Code shall be treated as a reference to such chapter

12 as in effect on the day after the date of the enact13 ment of a law passed by the 103d Congress which

14 amends chapter 43 of title 38 of the United States

15 Code to expressly provide pension rights for reem16 ployed veterans.’’

17 (2) EFFECTIVE DATE.—The amendment made

18 by paragraph (1) shall apply in cases where the em19 ployee is reemployed on or after August 1, 1990, but

20 only if there is enacted a law passed by the 103d

21 Congress which amends chapter 43 of title 38 of the

22 United States Code to expressly provide pension

23 rights for reemployed veterans.

24 (k) EXEMPTION FROM HARBOR MAINTENANCE TAX

25 FOR CERTAIN PASSENGERS.—
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1 (1) IN GENERAL.—Subparagraph (D) of section

2 4462(b)(1) (relating to special rule for Alaska, Ha3 waii, and possessions) is amended by inserting be4 fore the period the following: ‘‘, or passengers trans5 ported on United States flag vessels operating solely

6 within the State waters of Alaska or Hawaii and ad7 jacent international waters’’.

8 (2) EFFECTIVE DATE.—The amendment made

9 by paragraph (1) shall take effect as if included in

10 the amendments made by section 1402(a) of the

11 Harbor Maintenance Revenue Act of 1986.

12 (l) TREATMENT OF CERTAIN RIC OR REIT REORGA13 NIZATIONS.—

14 (1) Subsection (a) of section 852 is amended by

15 adding at the end thereof the following new sen16 tence: ‘‘An investment company shall be treated as

17 failing to meet the requirements of paragraph (2) if,

18 by reason of any transaction occurring after Janu19 ary 5, 1993, such investment company is required to

20 take into account earnings and profits accumulated

21 by any other corporation unless the provisions of

22 this part applied to such other corporation for all of

23 its taxable years ending on or after November 8,

24 1983, or no portion of such earnings and profits

25 were accumulated in a taxable year to which the pro-
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1 visions of this part (or the corresponding provisions

2 of prior law) did not apply to such other corpora3 tion.’’.

4 (2) Subsection (a) of section 857 is amended by

5 adding at the end thereof the following new sen6 tence: ‘‘A real estate investment trust shall be treat7 ed as failing to meet the requirements of paragraph

8 (3) if, by reason of any transaction occurring after

9 January 5, 1993, such real estate investment trust

10 is required to take into account earnings and profits

11 accumulated by any other corporation unless the

12 provisions of this part applied to such other corpora13 tion for all of its taxable years beginning after Feb14 ruary 28, 1986, or no portion of such earnings and

15 profits were accumulated in a non-REIT year of

16 such other corporation.’’.

17 (m) AMENDMENTS RELATED TO REVENUE PROVI18 SIONS OF ENERGY POLICY ACT OF 1992.—

19 (1) Subclause (II) of section 53(d)(1)(B)(iv) is

20 amended to read as follows:

21 ‘‘(II) the adjusted net minimum

22 tax for any taxable year is the amount

23 of the net minimum tax for such year

24 increased in the manner provided in

25 clause (iii).’’
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1 (2) Subsection (g) of section 179A is redesig2 nated as subsection (f).

3 (n) MISCELLANEOUS CLERICAL AMENDMENTS.—

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

5 amended by striking ‘‘of the subclause’’ and insert6 ing ‘‘of subclause’’.

7 (2) Paragraph (2) of section 72(m) is amended

8 by inserting ‘‘and’’ at the end of subparagraph (A),

9 by striking subparagraph (B), and by redesignating

10 subparagraph (C) as subparagraph (B).

11 (3) Paragraph (2) of section 86(b) is amended

12 by striking ‘‘adusted’’ and inserting ‘‘adjusted’’.

13 (4)(A) The heading for section 112 is amended

14 by striking ‘‘COMBAT PAY’’ and inserting

15 ‘‘COMBAT ZONE COMPENSATION’’.

16 (B) The item relating to section 112 in the

17 table of sections for part III of subchapter B of

18 chapter 1 is amended by striking ‘‘combat pay’’ and

19 inserting ‘‘combat zone compensation’’.

20 (C) Paragraph (1) of section 3401(a) is amend21 ed by striking ‘‘combat pay’’ and inserting ‘‘combat

22 zone compensation’’.

23 (5) Clause (i) of section 172(h)(3)(B) is amend24 ed by striking the comma at the end thereof and in25 serting a period.
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1 (6) Clause (ii) of section 543(a)(2)(B) is

2 amended by striking ‘‘section 563(c)’’ and inserting

3 ‘‘section 563(d)’’.

4 (7) Paragraph (1) of section 958(a) is amended

5 by striking ‘‘sections 955(b)(1)(A) and (B),

6 955(c)(2)(A)(ii), and 960(a)(1)’’ and inserting ‘‘sec7 tion 960(a)(1)’’.

8 (8) Subparagraph (B) of section 4092(b)(1) is

9 amended by striking ‘‘or’’ at the end of clause (i).

10 (9) Subsection (g) of section 642 is amended by

11 striking ‘‘under 2621(a)(2)’’ and inserting ‘‘under

12 section 2621(a)(2)’’.

13 (10) Section 1463 is amended by striking ‘‘this

14 subsection’’ and inserting ‘‘this section’’.

15 (11) Subsection (k) of section 3306 is amended

16 by inserting a period at the end thereof.

17 (12) The item relating to section 4472 in the

18 table of sections for subchapter B of chapter 36 is

19 amended by striking ‘‘and special rules’’.

20 (13) Paragraph (2) of section 4978(b) is

21 amended by striking the period at the end of sub22 paragraph (A) and inserting a comma, and by strik23 ing the period and quotation marks at the end of

24 subparagraph (B) and inserting a comma.
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1 (14) Paragraph (3) of section 5134(c) is

2 amended by striking ‘‘section 6662(a)’’ and inserting

3 ‘‘section 6665(a)’’.

4 (15) Paragraph (2) of section 5206(f) is

5 amended by striking ‘‘section 5(e)’’ and inserting

6 ‘‘section 105(e)’’.

7 (16) Paragraph (1) of section 6050B(c) is

8 amended by striking ‘‘section 85(c)’’ and inserting

9 ‘‘section 85(b)’’.

10 (17) Subsection (k) of section 6166 is amended

11 by striking paragraph (6).

12 (18) Subsection (e) of section 6214 is amended

13 to read as follows:

14 ‘‘(e) CROSS REFERENCE.— ‘‘For provision giving Tax Court jurisdiction to

order a refund of an overpayment and to award

sanctions, see section 6512(b)(2).’’

15 (19) The section heading for section 6043 is

16 amended by striking the semicolon and inserting a

17 comma.

18 (20) The item relating to section 6043 in the

19 table of sections for subpart B of part III of sub20 chapter A of chapter 61 is amended by striking the

21 semicolon and inserting a comma.

22 (21) The table of sections for part I of sub23 chapter A of chapter 68 is amended by striking the

24 item relating to section 6662.
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1 (22)(A) Section 7232 is amended—

2 (i) by striking ‘‘LUBRICATING OIL,’’

3 in the heading, and

4 (ii) by striking ‘‘lubricating oil,’’ in the

5 text.

6 (B) The table of sections for part II of sub7 chapter A of chapter 75 is amended by striking ‘‘lu8 bricating oil,’’ in the item relating to section 7232.

9 (23) Paragraph (1) of section 6701(a) of the

10 Omnibus Budget Reconciliation Act of 1989 is

11 amended by striking ‘‘subclause (IV)’’ and inserting

12 ‘‘subclause (V)’’.

13 (24) Clause (ii) of section 7304(a)(2)(D) of

14 such Act is amended by striking ‘‘subsection (c)(2)’’

15 and inserting ‘‘subsection (c)’’.

16 (25) Paragraph (1) of section 7646(b) of such

17 Act is amended by striking ‘‘section 6050H(b)(1)’’

18 and inserting ‘‘section 6050H(b)(2)’’.

19 (26) Paragraph (10) of section 7721(c) of

20 such Act is amended by striking ‘‘section

21 6662(b)(2)(C)(ii)’’ and inserting ‘‘section

22 6661(b)(2)(C)(ii)’’.

23 (27) Subparagraph (A) of section 7811(i)(3) of

24 such Act is amended by inserting ‘‘the first place it

25 appears’’ before ‘‘in clause (i)’’.
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1 (28) Paragraph (10) of section 7841(d) of

2 such Act is amended by striking ‘‘section 381(a)’’

3 and inserting ‘‘section 381(c)’’.

4 (29) Paragraph (2) of section 7861(c) of such

5 Act is amended by inserting ‘‘the second place it ap6 pears’’ before ‘‘and inserting’’.

7 (30) Paragraph (1) of section 460(b) is amend8 ed by striking ‘‘the look-back method of paragraph

9 (3)’’ and inserting ‘‘the look-back method of para10 graph (2)’’.

11 (31) The heading for paragraph (2) of section

12 6427(b) is amended by striking ‘‘3-CENT’’ and in13 serting ‘‘3.1-CENT’’.

14 (32) Subparagraph (C) of section 50(a)(2) is

15 amended by striking ‘‘subsection (c)(4)’’ and insert16 ing ‘‘subsection (d)(5)’’.

17 (33) Subparagraph (B) of section 172(h)(4) is

18 amended by striking the material following the head19 ing and preceding clause (i) and inserting ‘‘For pur20 poses ofsubsection (b)(2)—’’.

21 (34) Subparagraph (A) of section 355(d)(7) is

22 amended by inserting ‘‘section’’ before ‘‘267(b)’’.

23 (35) Subparagraph (C) of section 420(e)(1) is

24 amended by striking ‘‘mean’’ and inserting ‘‘means’’.
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1 (36) Paragraph (4) of section 537(b) is amend2 ed by striking ‘‘section 172(i)’’ and inserting ‘‘sec3 tion 172(f)’’.

4 (37) Subparagraph (B) of section 613(e)(1) is

5 amended by striking the comma at the end thereof

6 and inserting a period.

7 (38) Paragraph (4) of section 856(a) is amend8 ed by striking ‘‘section 582(c)(5)’’ and inserting

9 ‘‘section 582(c)(2)’’.

10 (39) Sections 904(f)(2)(B)(i) and

11 907(c)(4)(B)(iii) are each amended by inserting ‘‘(as

12 in effect on the day before the date of the enactment

13 of the Revenue Reconciliation Act of 1990)’’ after

14 ‘‘section 172(h)’’.

15 (40) Subsection (b) of section 936 is amended

16 by striking ‘‘subparagraphs (D)(ii)(I)’’ and inserting

17 ‘‘subparagraphs (D)(ii)’’.

18 (41) Subsection (c) of section 2104 is amended

19 by striking ‘‘subparagraph (A), (C), or (D) of sec20 tion 861(a)(1)’’ and inserting ‘‘section

21 861(a)(1)(A)’’.

22 (42) Paragraph (1) of section 5002(b) is

23 amended by striking ‘‘section 5041(c)’’ and inserting

24 ‘‘section 5041(d)’’.
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1 (43) Section 6038 is amended by redesignating

2 the subsection relating to cross references as sub3 section (f).

4 (44) Clause (iv) of section 6103(e)(1)(A) is

5 amended by striking all that follows ‘‘provisions of’’

6 and inserting ‘‘section 1(g) or 59(j);’’.

7 (45) The subsection (f) of section 6109 of the

8 Internal Revenue Code of 1986 which was added by

9 section 2201(d) of Public Law 101–624 is redesig10 nated as subsection (g).

11 (46) Subsection (b) of section 7454 is amended

12 by striking ‘‘section 4955(e)(2)’’ and inserting ‘‘sec13 tion 4955(f)(2)’’.

14 (47) Subsection (d) of section 11231 of the

15 Revenue Reconciliation Act of 1990 shall be applied

16 as if ‘‘comma’’ appeared instead of ‘‘period’’ and as

17 if the paragraph (9) proposed to be added ended

18 with a comma.

19 (48) Paragraph (1) of section 11303(b) of the

20 Revenue Reconciliation Act of 1990 shall be applied

21 as if ‘‘paragraph’’ appeared instead of ‘‘subpara22 graph’’ in the material proposed to be stricken.

23 (49) Subsection (f) of section 11701 of the Rev24 enue Reconciliation Act of 1990 is amended by in-
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1 serting ‘‘(relating to definitions)’’ after ‘‘section

2 6038(e)’’.

3 (50) Subsection (i) of section 11701 of the Rev4 enue Reconciliation Act of 1990 shall be applied as

5 if ‘‘subsection’’ appeared instead of ‘‘section’’ in the

6 material proposed to be stricken.

7 (51) Subparagraph (B) of section 11801(c)(2)

8 of the Revenue Reconciliation Act of 1990 shall be

9 applied as if ‘‘section 56(g)’’ appeared instead of

10 ‘‘section 59(g)’’.

11 (52) Subparagraph (C) of section 11801(c)(8)

12 of the Revenue Reconciliation Act of 1990 shall be

13 applied as if ‘‘reorganizations’’ appeared instead of

14 ‘‘reorganization’’ in the material proposed to be

15 stricken.

16 (53) Subparagraph (H) of section 11801(c)(9)

17 of the Revenue Reconciliation Act of 1990 shall be

18 applied as if ‘‘section 1042(c)(1)(B)’’ appeared in19 stead of ‘‘section 1042(c)(2)(B)’’.

20 (54) Subparagraph (F) of section 11801(c)(12)

21 of the Revenue Reconciliation Act of 1990 shall be

22 applied as if ‘‘and (3)’’ appeared instead of ‘‘and

23 (E)’’.

24 (55) Subparagraph (A) of section 11801(c)(22)

25 of the Revenue Reconciliation Act of 1990 shall be
47

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1 applied as if ‘‘chapters 21’’ appeared instead of

2 ‘‘chapter 21’’ in the material proposed to be strick3 en.

4 (56) Paragraph (3) of section 11812(b) of the

5 Revenue Reconciliation Act of 1990 shall be applied

6 by not executing the amendment therein to the

7 heading of section 42(d)(5)(B).

8 (57) Clause (i) of section 11813(b)(9)(A) of the

9 Revenue Reconciliation Act of 1990 shall be applied

10 as if a comma appeared after ‘‘(3)(A)(ix)’’ in the

11 material proposed to be stricken.

12 (58) Subparagraph (F) of section 11813(b)(13)

13 of the Revenue Reconciliation Act of 1990 shall be

14 applied as if ‘‘tax’’ appeared after ‘‘investment’’ in

15 the material proposed to be stricken.

16 (59) Paragraph (19) of section 11813(b) of the

17 Revenue Reconciliation Act of 1990 shall be applied

18 as if ‘‘Paragraph (20) of section 1016(a), as redesig19 nated by section 11801,’’ appeared instead of ‘‘Para20 graph (21) of section 1016(a)’’.

21 (60) Paragraph (5) section 8002(a) of the Sur22 face Transportation Revenue Act of 1991 shall be

23 applied as if ‘‘4481(e)’’ appeared instead of

24 ‘‘4481(c)’’.
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1 TITLE II—INCOME SECURITY

2 AND HUMAN RESOURCE

3 AMENDMENTS

4 Subtitle A—Amendments Relating

5 to Old-Age, Survivors, and Dis6 ability Insurance Program

7 SEC. 201. TECHNICAL CORRECTIONS RELATED TO OASDI

8 IN THE OMNIBUS BUDGET RECONCILIATION

9 ACT OF 1990.

10 (a) AMENDMENTS RELATED TO PROVISIONS IN SEC11 TION 5103(b) RELATING TO DISABLED WIDOWS.—Sec12 tion 223(f)(2) of the Social Security Act (42 U.S.C.

13 423(f)(2)) is amended—

14 (1) in subparagraph (A), by striking ‘‘(in a case

15 to which clause (ii)(II) does not apply)’’; and

16 (2) by striking subparagraph (B)(ii) and insert17 ing the following:

18 ‘‘(ii) the individual is now able to en19 gage in substantial gainful activity; or’’.

20 (b) AMENDMENTS RELATED TO PROVISIONS IN SEC21 TION 5105(d) RELATING TO REPRESENTATIVE PAY22 EES.—Section 5105(d)(1)(A) of the Omnibus Budget

23 Reconciliation Act of 1990 (Public Law 101–508) is

24 amended—
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1 (1) by striking ‘‘Section 205(j)(5)’’ and insert2 ing ‘‘Section 205(j)(6)’’; and

3 (2) by redesignating the paragraph (5) as

4 amended thereby as paragraph (6).

5 (c) AMENDMENTS RELATED TO PROVISIONS IN SEC6 TION 5106 RELATING TO COORDINATION OF RULES

7 UNDER TITLES II AND XVI GOVERNING FEES FOR REP8 RESENTATIVES OF CLAIMANTS WITH ENTITLEMENTS

9 UNDER BOTH TITLES.—

10 (1) CALCULATION OF FEE OF CLAIMANT’S REP11 RESENTATIVE BASED ON AMOUNT OF PAST-DUE

12 SUPPLEMENTAL SECURITY INCOME BENEFITS AFTER

13 APPLICATION OF WINDFALL OFFSET PROVISION.—

14 Section 1631(d)(2)(A)(i) of the Social Security Act

15 (as amended by section 5106(a)(2) of the Omnibus

16 Budget Reconciliation Act of 1990) (42 U.S.C.

17 1383(d)(2)(A)(i)) is amended to read as follows:

18 ‘‘(i) by substituting, in subparagraphs (A)(ii)(I)

19 and (C)(i), the phrase ‘(as determined before any

20 applicable reduction under section 1631(g), and re21 duced by the amount of any reduction in benefits

22 under this title or title II made pursuant to section

23 1127(a))’ for the parenthetical phrase contained

24 therein; and’’.
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1 (2) CALCULATION OF PAST-DUE BENEFITS FOR

2 PURPOSES OF DETERMINING ATTORNEY FEES IN JU3 DICIAL PROCEEDINGS.—

4 (A) IN GENERAL.—Section 206(b)(1) of

5 such Act (42 U.S.C. 406(b)(1)) is amended—

6 (i) by inserting ‘‘(A)’’ after ‘‘(b)(1)’’;

7 and

8 (ii) by adding at the end the following

9 new subparagraph:

10 ‘‘(B) For purposes of this paragraph—

11 ‘‘(i) the term ‘past-due benefits’ excludes any

12 benefits with respect to which payment has been

13 continued pursuant to subsection (g) or (h) of sec14 tion 223, and

15 ‘‘(ii) amounts of past-due benefits shall be

16 taken into account to the extent provided under the

17 rules applicable in cases before the Secretary.’’.

18 (B) PROTECTION FROM OFFSETTING SSI

19 BENEFITS.—The last sentence of section

20 1127(a) of such Act (as added by section

21 5106(b) of the Omnibus Budget Reconciliation

22 Act of 1990) (42 U.S.C. 1320a–6(a)) is amend23 ed by striking ‘‘section 206(a)(4)’’ and inserting

24 ‘‘subsection (a)(4) or (b) of section 206’’.
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1 (3) APPLICATION OF SINGLE DOLLAR AMOUNT

2 CEILING TO CONCURRENT CLAIMS UNDER TITLES II

3 AND XVI.—

4 (A) IN GENERAL.—Section 206(a)(2) of

5 such Act (as amended by section 5106(a)(1) of

6 the Omnibus Budget Reconciliation Act of

7 1990) (42 U.S.C. 406(a)(2)) is amended—

8 (i) by redesignating subparagraph (C)

9 as subparagraph (D); and

10 (ii) by inserting after subparagraph

11 (B) the following new subparagraph:

12 ‘‘(C) In any case involving—

13 ‘‘(i) an agreement described in subparagraph

14 (A) with any person relating to both a claim of enti15 tlement to past-due benefits under this title and a

16 claim of entitlement to past-due benefits under title

17 XVI, and

18 ‘‘(ii) a favorable determination made by the

19 Secretary with respect to both such claims,

20 the Secretary may approve such agreement only if the

21 total fee or fees specified in such agreement does not ex22 ceed, in the aggregate, the dollar amount in effect under

23 subparagraph (A)(ii)(II).’’.

24 (B) CONFORMING AMENDMENT.—Section

25 206(a)(3)(A) of such Act (as amended by sec-
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1 tion 5106(a)(1) of the Omnibus Budget Rec2 onciliation Act of 1990) (42 U.S.C.

3 406(a)(3)(A)) is amended by striking ‘‘para4 graph (2)(C)’’ and inserting ‘‘paragraph

5 (2)(D)’’.

6 (d) AMENDMENT RELATED TO PROVISIONS IN SEC7 TION 5115 RELATING TO ADVANCE TAX TRANSFERS.—

8 Section 201(a) of the Social Security Act (42 U.S.C.

9 401(a)) is amended in the last sentence by striking ‘‘and’’

10 the second place it appears.

11 (e) EFFECTIVE DATE.—Each amendment made by

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

13 of the Omnibus Budget Reconciliation Act of 1990 to

14 which such amendment relates.

15 SEC. 202. ELIMINATION OF ROUNDING DISTORTION IN THE

16 CALCULATION OF THE OLD-AGE, SURVIVORS,

17 AND DISABILITY INSURANCE CONTRIBUTION

18 AND BENEFIT BASE, THE EARNINGS TEST EX19 EMPT AMOUNTS, AND THE HOSPITAL INSUR20 ANCE TAX CONTRIBUTION BASE.

21 (a) ADJUSTMENT OF OASDI CONTRIBUTION AND

22 BENEFIT BASE.—

23 (1) IN GENERAL.—Section 230(b) of the Social

24 Security Act (42 U.S.C. 430(b)) is amended by
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1 striking paragraphs (1) and (2) and inserting the

2 following:

3 ‘‘(1) $57,600, and

4 ‘‘(2) the ratio of (A) the deemed average total

5 wages (as defined in section 209(k)(1)) for the cal6 endar year before the calendar year in which the de7 termination under subsection (a) is made to (B) the

8 deemed average total wages (as so defined) for

9 1991,’’.

10 (2) CONFORMING AMENDMENT RELATING TO

11 APPLICABLE PRIOR LAW.—Section 230(d) of such

12 Act (42 U.S.C. 430(d)) is amended by striking ‘‘(ex13 cept that’’ and all that follows through the end and

14 inserting ‘‘(except that, for purposes of subsection

15 (b) of such section 230 as so in effect, the reference

16 to the contribution and benefit base in paragraph

17 (1) of such subsection (b) shall be deemed a ref18 erence to an amount equal to $42,900, each ref19 erence in paragraph (2) of such subsection (b) to the

20 average of the wages of all employees as reported to

21 the Secretary of the Treasury shall be deemed a ref22 erence to the deemed average total wages (as defined

23 in section 209(k)(1)), the reference to a preceding

24 calendar year in paragraph (2)(A) of such sub25 section (b) shall be deemed a reference to the cal-
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1 endar year before the calendar year in which the de2 termination under subsection (a) of such section 230

3 is made, and the reference to a calendar year in

4 paragraph (2)(B) of such subsection (b) shall be

5 deemed a reference to 1991).’’.

6 (3) ADJUSTMENT OF CONTRIBUTION AND BEN7 EFIT BASE APPLICABLE IN DETERMINING YEARS OF

8 COVERAGE FOR PURPOSES OF SPECIAL MINIMUM

9 PRIMARY INSURANCE AMOUNT.—Section

10 215(a)(1)(C)(ii) of such Act is amended by striking

11 ‘‘(except that’’ and all that follows through the end

12 and inserting ‘‘(except that, for purposes of sub13 section (b) of such section 230 as so in effect, the

14 reference to the contribution and benefit base in

15 paragraph (1) of such subsection (b) shall be

16 deemed a reference to an amount equal to $42,900,

17 each reference in paragraph (2) of such subsection

18 (b) to the average of the wages of all employees as

19 reported to the Secretary of the Treasury shall be

20 deemed a reference to the deemed average total

21 wages (as defined in section 209(k)(1)), the ref22 erence to a preceding calendar year in paragraph

23 (2)(A) of such subsection (b) shall be deemed a ref24 erence to the calendar year before the calendar year

25 in which the determination under subsection (a) of
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1 such section 230 is made, and the reference to a cal2 endar year in paragraph (2)(B) of such subsection

3 (b) shall be deemed a reference to 1991).’’.

4 (b) ADJUSTMENT OF EARNINGS TEST EXEMPT

5 AMOUNT.—Section 203(f)(8)(B)(ii) of the Social Security

6 Act (42 U.S.C. 403(f)(8)(B)(ii)) is amended to read as

7 follows:

8 ‘‘(ii) the product of the corresponding ex9 empt amount which is in effect with respect to

10 months in the taxable year ending after 1992

11 and before 1994, and the ratio of—

12 ‘‘(I) the deemed average total wages

13 (as defined in section 209(k)(1)) for the

14 calendar year before the calendar year in

15 which the determination under subpara16 graph (A) is made, to

17 ‘‘(II) the deemed average total wages

18 (as so defined) for 1991,

19 with such product, if not a multiple of $10,

20 being rounded to the next higher multiple of

21 $10 where such product is a multiple of $5 but

22 not of $10 and to the nearest multiple of $10

23 in any other case.’’.

24 (c) COMPUTATION OF ADJUSTMENT OF HEATH IN25 SURANCE TAX CONTRIBUTION BASE.—Paragraph (2) of
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1 section 3121(x) of the Internal Revenue Code of 1986 (re2 lating to hospital insurance contribution base) is amended

3 to read as follows:

4 ‘‘(2) HOSPITAL INSURANCE.—For purposes of

5 the taxes imposed by sections 3101(b) and 3111(b),

6 the applicable contribution base for any calendar

7 year is the product of—

8 ‘‘(A) $135,000, and

9 ‘‘(B) the ratio of (i) the deemed average

10 total wages (as defined in section 209(k)(1) of

11 the Social Security Act) for the second preced12 ing calendar year to (ii) the deemed average

13 total wages (as so defined) for 1991.

14 If the amount determined under the preceding sen15 tence is not a multiple of $300, such amount shall

16 be rounded to the nearest multiple of $300. In no

17 event shall the applicable contribution base for a cal18 endar year determined under this paragraph be less

19 than such applicable contribution base for the pre20 ceding calendar year.’’

21 (d) EFFECTIVE DATES.—

22 (1) The amendments made by subsection (a)

23 shall be effective with respect to the determination

24 of the contribution and benefit base for years after

25 1993.
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1 (2) The amendment made by subsection (b)

2 shall be effective with respect to the determination

3 of the exempt amounts applicable to any taxable

4 year ending after 1993.

5 (3) The amendment made by subsection (c)

6 shall be effective with respect to the determination

7 of the applicable contribution base for years after

8 1993.

9 Subtitle B—Human Resources

10 Provisions

11 SEC. 211. CORRECTIONS RELATED TO THE INCOME SECU12 RITY AND HUMAN RESOURCES PROVISIONS

13 OF THE OMNIBUS BUDGET RECONCILIATION

14 ACT OF 1990.

15 (a) AMENDMENT RELATED TO SECTION

16 5035(a)(2).—Section 5035(a)(2) of the Omnibus Budget

17 Reconciliation Act of 1990 (Public Law 101–508) is

18 amended by striking ‘‘a semicolon’’ and inserting ‘‘ ‘; and’

19 ’’.

20 (b) REPEAL OF PROVISION INADVERTENTLY IN21 CLUDED.—Section 5057 of the Omnibus Budget Rec22 onciliation Act of 1990 (Public Law 101–508), and the

23 amendment made by such section, are hereby repealed,

24 and section 1139(d) of the Social Security Act shall be
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1 applied and administered as if such section 5057 had

2 never been enacted.

3 (c) AMENDMENT RELATED TO SECTION

4 5105(d)(1)(B).—Section 5105(d)(1)(B) of the Omnibus

5 Budget Reconciliation Act of 1990 (Public Law 101–508;

6 104 Stat. 1388–266) is amended to read as follows:

7 ‘‘(B) TITLE XVI.—Section 1631(a)(2)(F)

8 (42 U.S.C. 1383(a)(2)(F)), as so redesignated

9 by subsection (c)(2) of this section, is amended

10 to read as follows:

11 ‘‘ ‘(F) The Secretary shall include as a part of the

12 annual report required under section 704 information with

13 respect to the implementation of the preceding provisions

14 of this paragraph, including—

15 ‘‘ ‘(i) the number of cases in which the rep16 resentative payee was changed;

17 ‘‘ ‘(ii) the number of cases discovered where

18 there has been a misuse of funds;

19 ‘‘ ‘(iii) how any such cases were dealt with by

20 the Secretary;

21 ‘‘ ‘(iv) the final disposition of such cases (in22 cluding any criminal penalties imposed); and

23 ‘‘ ‘(v) such other information as the Secretary

24 determines to be appropriate.’.’’.
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1 (d) AMENDMENT RELATED TO SECTION

2 5105(a)(1)(B).—The second paragraph of section 1631(a)

3 of the Social Security Act (42 U.S.C. 1383(a)) is amended

4 by striking ‘‘(A)(i) Payments’’ and inserting ‘‘(2)(A)(i)

5 Payments’’.

6 (e) AMENDMENTS RELATED TO SECTION 5105(b).—

7 Section 1631(a)(2)(C) of the Social Security Act (42

8 U.S.C. 1383(a)(2)(C)) is amended—

9 (1) by striking clause (ii);

10 (2) by redesignating clauses (iii), (iv), and (v)

11 as clauses (ii), (iii), and (iv), respectively; and

12 (3) in clause (iv) (as so redesignated), by strik13 ing ‘‘(iii), and (iv)’’ and inserting ‘‘and (iii)’’.

14 (f) AMENDMENTS RELATED TO SECTION

15 5107(a)(2)(B).—Section 1631(c)(1)(B) of the Social Se16 curity Act (42 U.S.C. 1383(c)(1)(B)) is amended by strik17 ing ‘‘paragraph (1)’’ each place such term appears and

18 inserting ‘‘subparagraph (A)’’.

19 (g) AMENDMENT RELATED TO SECTION

20 5109(a)(2).—Section 1631 of the Social Security Act (42

21 U.S.C. 1383) is amended by redesignating the subsection

22 (n) added by section 5109(a)(2) of the Omnibus Budget

23 Reconciliation Act of 1990, as subsection (o).

24 (h) AMENDMENTS RELATED TO SECTION

25 11115(b)(2).—Section 11115(b)(2) of the Omnibus Budg-
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1 et Reconciliation Act of 1990 (Public Law 101–508) is

2 amended—

3 (1) in subparagraph (A), by striking ‘‘para4 graph (8)’’ and inserting ‘‘paragraph (9)’’;

5 (2) in subparagraph (B), by striking ‘‘para6 graph (9)’’ and inserting ‘‘paragraph (10)’’; and

7 (3) in subparagraph (C), by redesignating the

8 new paragraph added thereby as paragraph (11).

9 (i) AMENDMENT RELATED TO SECTION

10 13101(d)(2).—Section 256(k)(2)(A) of the Balanced

11 Budget and Emergency Deficit Control Act of 1985 is

12 amended—

13 (1) by striking ‘‘—’’ the second place it appears

14 and all that follows through ‘‘(I)’’; and

15 (2) by striking ‘‘; or’’ and all that follows

16 through ‘‘(II)’’ and inserting ‘‘, except that a State

17 may not be allotted an amount under this subpara18 graph that exceeds’’.

19 (j) EFFECTIVE DATE.—Each amendment made by

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

21 of the Omnibus Budget Reconciliation Act of 1990 to

22 which the amendment relates at the time such provision

23 became law.
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1 SEC. 212. TECHNICAL CORRECTIONS RELATED TO THE

2 HUMAN RESOURCE AND INCOME SECURITY

3 PROVISIONS OF OMNIBUS BUDGET REC4 ONCILIATION ACT OF 1989.

5 (a) AMENDMENT RELATING TO SECTION 8004(a).—

6 Section 408(m)(2)(A) of the Social Security Act (42

7 U.S.C. 608(m)(2)(A)) is amended by striking ‘‘a fiscal’’

8 and inserting ‘‘the fiscal’’.

9 (b) AMENDMENT RELATING TO SECTION 8006(a).—

10 Section 473(a)(6)(B) of such Act (42 U.S.C.

11 673(a)(6)(B)) is amended by striking ‘‘474(a)(3)(B)’’ and

12 inserting ‘‘474(a)(3)(C)’’.

13 (c) AMENDMENT RELATING TO SECTION

14 8007(b)(3).—Subparagraph (D) of section 475(5) of such

15 Act (42 U.S.C. 675(5)(D)) is amended by moving such

16 subparagraph 2 ems to the right so that the left margin

17 of such subparagraph is aligned with the left margin of

18 subparagraph (C) of such section.

19 (d) EFFECTIVE DATE.—Each amendment made by

20 this section shall take effect as if the amendment had been

21 included in the provision of the Omnibus Budget Rec22 onciliation Act of 1989 to which the amendment relates,

23 at the time the provision became law.
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1 SEC. 213. ELIMINATION OF OBSOLETE PROVISIONS RELAT2 ING TO TREATMENT OF THE EARNED IN3 COME TAX CREDIT.

4 (a) TREATMENT OF EITC AS EARNED INCOME.—

5 Section 1612(a)(1) of the Social Security Act (42 U.S.C.

6 1382a(a)(1)) is amended by striking subparagraph (C)

7 and by redesignating subparagraphs (D) and (E) as sub8 paragraphs (C) and (D), respectively.

9 (b) ADJUSTMENT OF BENEFITS DUE TO TREAT10 MENT OF EITC AS EARNED INCOME.—Section 1631(b)

11 of such Act (42 U.S.C. 1383(b)) is amended by striking

12 paragraph (3) and by redesignating paragraphs (4) and

13 (5) as paragraphs (3) and (4), respectively.

14 SEC. 214. REDESIGNATION OF CERTAIN PROVISIONS.

15 Section 1631(e)(6) of the Social Security Act (42

16 U.S.C. 1383(e)(6)) is amended by redesignating subpara17 graphs (1) and (2) as subparagraphs (A) and (B), respec18 tively.

19 TITLE III—TARIFF AND

20 CUSTOMS

21 SEC. 301. TECHNICAL AMENDMENTS TO THE HARMONIZED

22 TARIFF SCHEDULE OF THE UNITED STATES.

23 (a) IN GENERAL.—The Harmonized Tariff Schedule

24 of the United States is amended as follows:

25 (1) TAPESTRY AND UPHOLSTERY FABRICS.—

26 The article description for subheading 5112.19.20 is
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1 amended by striking ‘‘of a weight exceeding

300 g/m2 2 ’’.

3 (2) GLOVES.—

4 (A) Chapter 61 is amended by redesignat5 ing subheading 6116.10.45 as subheading

6 6116.10.48.

7 (B) Chapter 62 is amended by striking the

8 superior text ‘‘Other:’’ that appears between

9 subheadings 6216.00.46 and 6216.00.52.

10 (3) AGGLOMERATE STONE FLOOR AND WALL

11 TILES.—The article description for subheading

12 6810.19.12 is amended to read as follows: ‘‘Of stone

13 agglomerated with binders other than cement’’.

14 (4) 2,4-DIAMINOBENZENESULFONIC ACID.—

15 The article description for heading 9902.30.43 is

16 amended by striking ‘‘2921.51.50’’ and inserting

17 ‘‘2921.59.50’’.

18 (5) MACHINES USED IN THE MANUFACTURE OF

19 BICYCLE PARTS.—The article description for heading

20 9902.84.79 is amended by striking ‘‘8479.89.90’’

21 and inserting ‘‘8462.49.00, 8479.89.90 or

22 9031.80.00’’.

23 (6) COPYING MACHINES AND PARTS.—The arti24 cle description for heading 9902.90.90 is amended

25 by inserting ‘‘or 8473.40.40’’ after ‘‘8472.90.80’’.
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1 (b) STAGED RATE REDUCTIONS FOR GLOVES.—Any

2 staged reduction of a special rate of duty set forth in sub3 heading 6116.10.45 of such Schedule that takes effect on

4 or after October 1, 1990, by reason of section 10011(a)(2)

5 of the Omnibus Budget Reconciliation Act of 1990 shall

6 apply to the corresponding rate of duty in subheading

7 6116.10.48 (as redesignated by subsection (a)(2)(A)).

8 (c) EFFECTIVE DATES.—

9 (1) IN GENERAL.—Except as provided in para10 graph (2), the amendments made by subsection (a)

11 shall apply with respect to goods entered, or with12 drawn from warehouse for consumption, on or after

13 the 15th day after the date of the enactment of this

14 Act.

15 (2) RETROACTIVE APPLICATION FOR CERTAIN

16 LIQUIDATIONS AND RELIQUIDATIONS.—

17 (A) Notwithstanding section 514 of the

18 Tariff Act of 1930 or any other provision of

19 law, upon proper request filed with the appro20 priate customs officer on or before the 90th day

21 after the date of the enactment of this Act, any

22 entry—

23 (i) that was made after the applicable

24 date and before the 15th day after such

25 date of enactment; and
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1 (ii) with respect to which there would

2 have been a lesser or no duty if any

3 amendment made by subsection (a) applied

4 to such entry;

5 shall be liquidated or reliquidated as though

6 such amendment applied to such entry.

7 (B) For purposes of this subsection, the

8 term ‘‘applicable date’’ means—

9 (i) if such amendment is made by sub10 section (a)(3) or (a)(6), December 31,

11 1988; and

12 (ii) if such amendment is made by

13 subsection (a)(1), (a)(2), (a)(4), (a)(5),

14 September 30, 1990.

15 SEC. 302. CLARIFICATION REGARDING THE APPLICATION

16 OF CUSTOMS USER FEES.

17 (a) IN GENERAL.—Subparagraph (D) of section

18 13031(b)(8) of the Consolidated Omnibus Budget Rec19 onciliation Act of 1985 (19 U.S.C. 58c(b)(8)(D)) is

20 amended—

21 (1) by striking ‘‘and’’ at the end of clause (iv);

22 (2) by striking the period at the end of clause

23 (v) and inserting ‘‘; and’’; and

24 (3) by inserting after clause (v) the following

25 new clause:
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1 ‘‘(vi) in the case of merchandise entered from

2 a foreign trade zone (other than merchandise to

3 which clause (v) applies), be applied only to the

4 value of the privileged or nonprivileged foreign sta5 tus merchandise under section 3 of the Act of June

6 18, 1934 (commonly known as the Foreign Trade

7 Zones Act, 19 U.S.C. 81c).’’

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

9 subsection (a) apply to—

10 (1) any entry made from a foreign trade zone

11 on or after the 15th day after the date of the enact12 ment of this Act; and

13 (2) any entry made from a foreign trade zone

14 after November 30, 1986, and before such 15th day

15 if the entry was not liquidated before such 15th day.

16 (c) APPLICATION OF FEES TO CERTAIN AGRICUL17 TURAL PRODUCTS.—The amendment made by section

18 111(b)(2)(D)(iv) of the Customs and Trade Act of 1990

19 shall apply to—

20 (1) any entry made from a foreign trade zone

21 on or after the 15th day after the date of the enact22 ment of this Act; and

23 (2) any entry made from a foreign trade zone

24 after November 30, 1986, and before such 15th day

25 if the entry was not liquidated before such 15th day.
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1 SEC. 303. TECHNICAL AMENDMENTS TO THE OMNIBUS

2 TRADE AND COMPETITIVENESS ACT OF 1988.

3 (a) IN GENERAL.—Paragraph (2) of section 1102(a)

4 of the Omnibus Trade and Competitiveness Act of 1988

5 (19 U.S.C. 2902(a)(2)) is amended—

6 (1) in subparagraph (A)—

7 (A) by striking ‘‘the date of enactment of

8 this Act’’ and inserting ‘‘January 1, 1989’’; and

9 (B) by striking ‘‘such date of enactment’’

10 and inserting ‘‘January 1, 1989’’; and

11 (2) in subparagraph (B), by striking ‘‘such date

12 of enactment’’ and inserting ‘‘January 1, 1989’’.

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

14 subsection (a) shall take effect January 1, 1989.

15 (c) CONSTRUCTION.—For purposes of applying the

16 amendments made by subsection (a), the column 1-general

17 rate of duty established by any amendment to the Har18 monized Tariff Schedule of the United States that was

19 enacted after January 1, 1989, shall, if—

20 (1) such amendment has, or is statutorily treat21 ed as having, an effective date of January 1, 1989;

22 or

23 (2) application for liquidation or reliquidation

24 at such rate with respect to entries made after De25 cember 31, 1988, and before the effective date of the

26 amendment, is provided for;
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1 be treated as the rate in effect on January 1, 1989.

2 SEC. 304. TECHNICAL AMENDMENT TO THE CUSTOMS AND

3 TRADE ACT OF 1990.

4 Subsection (b) of section 484H of the Customs and

5 Trade Act of 1990 (19 U.S.C. 1553 note) is amended by

6 striking ‘‘, or withdrawn from warehouse for consump7 tion,’’ and inserting ‘‘for transportation in bond’’.

8 SEC. 305. TECHNICAL AMENDMENTS REGARDING CERTAIN

9 BENEFICIARY COUNTRIES.

10 (a) CARIBBEAN BASIN ECONOMIC RECOVERY ACT.—

11 Section 213(h)(1) of the Caribbean Basin Economic Re12 covery Act (19 U.S.C. 2703(h)(1)) is amended by adding

13 at the end thereof the following flush sentence:

14 ‘‘The duty reductions provided for under this para15 graph shall not apply to textile and apparel articles

16 which are subject to textile agreements.’’.

17 (b) ANDEAN TRADE PREFERENCE ACT.—Section

18 204(c)(1) of the Andean Preference Act (19 U.S.C.

19 3203(c)(1)) is amended by adding at the end thereof the

20 following flush sentence:

21 ‘‘The duty reductions provided for under this para22 graph shall not apply to textile and apparel articles

23 which are subject to textile agreements.’’

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

25 this section apply with respect to—
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1 (1) articles entered, or withdrawn from ware2 house for consumption, on or after the 15th day

3 after the date of the enactment of this Act, and

4 (2) articles entered after December 31, 1991,

5 and before such 15th day, which are not liquidated

6 before such 15th day.

7 SEC. 306. CLARIFICATION OF FEES FOR CERTAIN CUS8 TOMS SERVICES.

9 (a) IN GENERAL.—Section 13031(b)(9)(A) of the

10 Consolidated Omnibus Budget Reconciliation Act of 1985

11 (19 U.S.C. 58c(b)(9)(A)) is amended—

12 (1) by striking ‘‘centralized hub facility or’’ in

13 clause (i); and

14 (2) in clause (ii)—

15 (A) by striking ‘‘facility—’’ and inserting

16 ‘‘facility or centralized hub facility—’’,

17 (B) by striking ‘‘customs inspectional’’ in

18 subclause (I), and

19 (C) by striking ‘‘at the facility’’ in

20 subclause (I) and inserting ‘‘for the facility’’.

21 (b) DEFINITIONS.—Section 13031(b)(9)(B)(i) of the

22 Consolidated Omnibus Budget Reconciliation Act of 1985

23 (19 U.S.C. 58c(b)(9)(B)(i)) is amended—

24 (1) by striking ‘‘, as in effect on July 30,

25 1990’’, and
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1 (2) by adding at the end thereof the following

2 new sentence: ‘‘Nothing in this paragraph shall be

3 construed as prohibiting the Secretary of the Treas4 ury from processing merchandise that is informally

5 entered or released at any centralized hub facility or

6 express consignment carrier facility during the nor7 mal operating hours of the Customs Service, subject

8 to reimbursement and payment under subparagraph

9 (A).’’.

10 (c) CITATION.—Section 13031(b)(9)(B)(ii) of the

11 Consolidated Omnibus Budget Reconciliation Act of 1985

12 (19 U.S.C. 58c(b)(9)(B)(ii)) is amended by striking ‘‘sec13 tion 236 of the Tariff and Trade Act of 1984’’ and insert14 ing ‘‘section 236 of the Trade and Tariff Act of 1984’’.

15 SEC. 307. CONFORMING AMENDMENT TO SECTION 337 OF

16 THE TARIFF ACT OF 1930.

17 (a) IN GENERAL.—The second sentence of section

18 337(b)(3) of the Tariff Act of 1930 is amended by striking

19 ‘‘section 303, 671, or 673’’ and inserting ‘‘section 303,

20 701, or 731’’.

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

22 subsection (a) shall take effect October 28, 1992.

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