‘‘(II) only gain from property
held for more than 18 months were
taken into account, over
‘‘(ii) the excess (if any) of—
‘‘(I) the amount described in
paragraph (5)(A)(ii), over
‘‘(II) the amount described in
paragraph (5)(A)(i).
‘‘(B) LIMITATION WITH RESPECT TO SEC-
TION 1231 PROPERTY.—The amount described
in subparagraph (A)(i) from sales, exchanges,
and 
conversions 
described 
in 
section
1231(a)(3)(A) for any taxable year shall not ex-
ceed the net section 1231 gain (as defined in
section 1231(c)(3)) for such year.
‘‘(8) SECTION 1202 GAIN.—For purposes of this
subsection, the term ‘section 1202 gain’ means an
amount equal to the gain excluded from gross in-
come under section 1202(a).
‘‘(9) QUALIFIED 5-YEAR GAIN.—For purposes
of this subsection, the term ‘qualified 5-year gain’
means the amount of long-term capital gain which
would be computed for the taxable year if only gains
from the sale or exchange of property held by the
taxpayer for more than 5 years were taken into ac-
count. The determination under the preceding sen-
tence shall be made without regard to collectibles
gain, gain described in paragraph (7)(A)(i), and sec-
tion 1202 gain.
‘‘(10) COORDINATION
WITH
RECAPTURE
OF
NET ORDINARY LOSSES UNDER SECTION 1231.—If
any amount is treated as ordinary income under sec-
tion 1231(c), such amount shall be allocated among
the separate categories of net section 1231 gain (as
defined in section 1231(c)(3)) in such manner as the
Secretary may by forms or regulations prescribe.
‘‘(11) REGULATIONS.—The Secretary may pre-
scribe such regulations as are appropriate (including
regulations requiring reporting) to apply this sub-
section in the case of sales and exchanges by pass-
thru entities and of interests in such entities.
‘‘(12) PASS-THRU ENTITY DEFINED.—For pur-
poses of this subsection, the term ‘pass-thru entity’
means—
‘‘(A) a regulated investment company,
‘‘(B) a real estate investment trust,
‘‘(C) an S corporation,
‘‘(D) a partnership,
‘‘(E) an estate or trust,
‘‘(F) a common trust fund,
‘‘(G) a foreign investment company which
is described in section 1246(b)(1) and for which
an election is in effect under section 1247, and
‘‘(H) a qualified electing fund (as defined
in section 1295).
‘‘(13) SPECIAL
RULES
FOR
PERIODS
DURING
1997.—
‘‘(A) DETERMINATION
OF
PERCENT
RATE GAIN.—In applying paragraph (5)—
‘‘(i) the amount determined under
subclause (I) of paragraph (5)(A)(i) shall
include long-term capital gain (not other-
wise described in paragraph (5)(A)(i))
which is properly taken into account for
the portion of the taxable year before May
7, 1997,
‘‘(ii) the amounts determined under
subclause (I) of paragraph (5)(A)(ii) shall
include long-term capital loss (not other-
wise described in paragraph (5)(A)(ii))
which is properly taken into account for
the portion of the taxable year before May
7, 1997, and
‘‘(iii) clauses (i)(I) and (ii)(I) of para-
graph (5)(A) shall be applied by not taking
into account any gain and loss on property
held for more than 1 year but not more
than 18 months which is properly taken
into account for the portion of the taxable
year after May 6, 1997, and before July
29, 1997.
‘‘(B) OTHER SPECIAL RULES.—
‘‘(i) 
DETERMINATION
OF
UNRECAPTURED SECTION 1250 GAIN NOT
TO INCLUDE PRE-MAY 7, 1997 GAIN.—The
amount 
determined 
under 
paragraph
(7)(A)(i) shall not include gain properly
taken into account for the portion of the
taxable year before May 7, 1997.
‘‘(ii) OTHER
TRANSITIONAL
RULES
FOR 18-MONTH HOLDING PERIOD.—Para-
graphs (6)(A) and (7)(A)(i)(II) shall be
applied by substituting ‘1 year’ for ‘18
months’ with respect to gain properly
taken into account for the portion of the
taxable year after May 6, 1997, and before
July 29, 1997.
‘‘(C) SPECIAL RULES FOR PASS-THRU EN-
TITIES.—In applying this paragraph with re-
spect to any pass-thru entity, the determination
of when gains and loss are properly taken into
account shall be made at the entity level.’’
(2) IN
GENERAL.—Paragraph (3) of section
55(b) of the 1986 Code is amended to read as fol-
lows:
‘‘(3) MAXIMUM RATE OF TAX ON NET CAPITAL
GAIN OF NONCORPORATE TAXPAYERS.—The amount
determined under the first sentence of paragraph
(1)(A)(i) shall not exceed the sum of—
‘‘(A) the amount determined under such
first sentence computed at the rates and in the
same manner as if this paragraph had not been
enacted on the taxable excess reduced by the
lesser of—
‘‘(i) the net capital gain, or
‘‘(ii) the sum of—
‘‘(I) the adjusted net capital
gain, plus
‘‘(II) the unrecaptured section
1250 gain, plus
‘‘(B) 10 percent of so much of the ad-
justed net capital gain (or, if less, taxable ex-
cess) as does not exceed the amount on which
a tax is determined under section 1(h)(1)(B),
plus
amended by striking ‘‘1 year’’ each place it appears
and inserting ‘‘18 months’’.
(e) AMENDMENTS RELATED TO SECTION 312 OF
1997 ACT.—
(1) Section 121(c)(1) of the 1986 Code is
amended to read as follows:
‘‘(1) IN GENERAL.—In the case of a sale or ex-
change to which this subsection applies, the owner-
ship and use requirements of subsection (a), and
subsection (b)(3), shall not apply; but the dollar lim-
itation under paragraph (1) or (2) of subsection (b),
whichever is applicable, shall be equal to—
‘‘(A) the amount which bears the same
ratio to such limitation (determined without re-
gard to this paragraph) as
‘‘(B)(i) the shorter of—
‘‘(I) the aggregate periods, during the
5-year period ending on the date of such
sale or exchange, such property has been
owned and used by the taxpayer as the
taxpayer’s principal residence, or
‘‘(II) the period after the date of the
most recent prior sale or exchange by the
taxpayer to which subsection (a) applied
and before the date of such sale or ex-
change, bears to
‘‘(ii) 2 years.’’.
(2) Section 312(d)(2) of the 1997 Act (relating
to sales before date of enactment) is amended by in-
serting ‘‘on or’’ before ‘‘before’’ each place it ap-
pears in the text and heading.
(f) AMENDMENT RELATED TO SECTION 313 OF 1997
ACT.—Section 1045 of the 1986 Code is amended by add-
ing at the end the following new subsection:
‘‘(c) LIMITATION
ON APPLICATION
TO PARTNER-
SHIPS AND S CORPORATIONS.—Subsection (a) shall apply
to a partnership or S corporation for a taxable year only
if at all times during such taxable year all of the partners
in the partnership, or all of the shareholders of the S cor-
poration, are natural persons or estates.’’
SEC. 6. AMENDMENTS RELATED TO TITLE V OF 1997 ACT.
(a) AMENDMENTS RELATED TO SECTION 501 OF
1997 ACT.—
(1) Subsection (c) of section 2631 of the 1986
Code is amended by striking ‘‘an individual who
dies’’ and inserting ‘‘a generation-skipping trans-
fer’’.
(2) Subsection (f) of section 501 of the 1997
Act is amended by inserting ‘‘(other than the
amendment made by subsection (d))’’ after ‘‘this
section’’.
(b) AMENDMENTS RELATED TO SECTION 502 OF
1997 ACT.—
(1) Subsection (a) of section 2033A of the 1986
Code is amended to read as follows:
‘‘(a) EXCLUSION.—
‘‘(1) IN GENERAL.—In the case of an estate of
a decedent to which this section applies, the value of
the gross estate shall not include the lesser of—
‘‘(A) the adjusted value of the qualified
family-owned business interests of the decedent
otherwise includible in the estate, or
‘‘(B) the exclusion limitation with respect
to such estate.
‘‘(2) EXCLUSION LIMITATION.—
‘‘(A) IN GENERAL.—The exclusion limita-
tion with respect to any estate is the amount of
reduction in the tentative tax base with respect
to such estate which would be required in order
to reduce the tax imposed by section 2001(b)
(determined without regard to this section) by
an amount equal to the maximum credit equiva-
lent benefit.
‘‘(B) MAXIMUM CREDIT EQUIVALENT BEN-
EFIT.—For purposes of subparagraph (A), the
term ‘maximum credit equivalent benefit’ means
the excess of—
‘‘(i) the amount by which the ten-
tative tax imposed by section 2001(b) (de-
termined without regard to this section)
would be reduced if the tentative tax base
were reduced by $675,000, over
‘‘(ii) the amount by which the applica-
ble credit amount under section 2010(c)
with respect to such estate exceeds such
applicable credit amount in effect for
1998.
‘‘(C) TENTATIVE
TAX
BASE.—For pur-
poses of this paragraph, the term ‘tentative tax
base’ means the amount with respect to which
the tax imposed by section 2001(b) would be
computed without regard to this section.’’
(2) Section 2033A(b)(3) of the 1986 Code is
amended to read as follows:
‘‘(3) INCLUDIBLE GIFTS OF INTERESTS.—The
amount of the gifts of qualified family-owned busi-
ness interests determined under this paragraph is
the sum of—
‘‘(A) the amount of such gifts from the de-
cedent to members of the decedent’s family
taken 
into 
account 
under 
section
2001(b)(1)(B), plus
‘‘(B) the amount of such gifts otherwise
excluded under section 2503(b),
to the extent such interests are continuously held by
members of such family (other than the decedent’s
spouse) between the date of the gift and the date of
the decedent’s death.’’
(c) AMENDMENTS RELATED TO SECTION 503 OF
THE 1997 ACT.—
(1) Clause (iii) of section 6166(b)(7)(A) of the
1986 Code is amended to read as follows:
‘‘(iii) for purposes of applying section
6601(j), the 2-percent portion (as defined
in such section) shall be treated as being
zero.’’
(2) Clause (iii) of section 6166(b)(8)(A) of the
1986 Code is amended to read as follows:
‘‘(iii) 2-PERCENT INTEREST RATE NOT
TO APPLY.—For purposes of applying sec-
tion 6601(j), the 2-percent portion (as de-
fined in such section) shall be treated as
being zero.’’
(d) AMENDMENT RELATED TO SECTION 505 OF THE
1997 ACT.—Paragraphs (1) and (2) of section 7479(a)
of the 1986 Code are each amended by striking ‘‘an es-
tate,’’ and inserting ‘‘an estate (or with respect to any
property included therein),’’.
(e) AMENDMENTS RELATED TO SECTION 506 OF
THE 1997 ACT.—
(1) Subsection (c) of section 2504 of the 1986
Code is amended by striking ‘‘was assessed or paid’’
and inserting ‘‘was finally determined for purposes
of this chapter’’.
(2) Paragraph (1) of section 506(e) of the 1997
Act is amended by striking ‘‘and (c)’’ and inserting
‘‘, (c), and (d)’’.
SEC. 7. AMENDMENTS RELATED TO TITLE VII OF 1997 ACT.
(a) AMENDMENT RELATED TO SECTION 1400 OF
1986 CODE.—Section 1400(b)(2)(B) of the 1986 Code is
amended by inserting ‘‘as determined on the basis of the
1990 census’’ after ‘‘percent’’.
(b) AMENDMENTS RELATED TO SECTION 1400B OF
1986 CODE.—
(1) Section 1400B(d)(2) of the 1986 Code is
amended by inserting ‘‘as determined on the basis of
the 1990 census’’ after ‘‘percent’’.
(2) Section 1400B(b) of the 1986 Code is
amended by redesignating paragraphs (6) and (7) as
paragraphs (5) and (6), respectively.
(c) AMENDMENTS RELATED TO SECTION 1400C OF
1986 CODE.—
(1) Paragraph (1) of section 1400C(c) of the
1986 Code is amended to read as follows:
‘‘(1) IN GENERAL.—The term ‘first-time home-
buyer’ means any individual if such individual (and
if married, such individual’s spouse) had no present
ownership interest in a principal residence in the
District of Columbia during the 1-year period ending
on the date of the purchase of the principal resi-
dence to which this section applies.’’
(2) Subparagraph (B) of section 1400C(e)(2) of
the 1986 Code is amended by inserting before the
period ‘‘on the date the taxpayer first occupies such
residence’’.
(3) Paragraph (3) of section 1400C(e) of the
1986 Code is amended by striking all that follows
‘‘principal residence’’ and inserting ‘‘on the date
such residence is purchased.’’
(4) Subsection (i) of section 1400C of the 1986
Code is amended to read as follows:
‘‘(i) APPLICATION OF SECTION.—This section shall
apply to property purchased after August 4, 1997, and
before January 1, 2001.’’
(5) Subsection (c) of section 23 of the 1986
Code is amended by inserting ‘‘and section 1400C’’
after ‘‘other than this section’’.
(6) Subparagraph (C) of section 25(e)(1) of the
1986 Code is amended by striking ‘‘section 23’’ and
inserting ‘‘sections 23 and 1400C’’.
SEC. 8. AMENDMENTS RELATED TO TITLE IX OF 1997 ACT.
(a) AMENDMENTS RELATED TO SECTION 901 OF
1997 ACT.—
(1) Section 9503(c)(7) of the 1986 Code is
amended by striking ‘‘resulting from the amend-
ments made by’’ and inserting ‘‘(and transfers to
the Mass Transit Account) resulting from the
amendments made by subsections (a) and (b) of sec-
tion 901 of’’.
(2) Subsection (e) of section 901 of the 1997
Act is amended by adding at the end the following
new 
sentence: 
‘‘For 
purposes 
of 
determining
amounts appropriated to the Highway Trust Fund
or transfers to any account, the deposits to which
the preceding sentence applies shall be treated as
made when they would have been required to be
made without regard to such sentence.’’
(b) AMENDMENT RELATED TO SECTION 907 OF 1997
ACT.—Paragraph (2) of section 9503(e) of the 1986 Code
is amended by striking the last sentence and inserting the
following new sentence: ‘‘For purposes of the preceding
sentence, the term ‘mass transit portion’ means, for any
fuel with respect to which tax was imposed under section
4041 or 4081 and otherwise deposited into the Highway
Trust Fund, the amount determined at the rate of—
‘‘(A) except as otherwise provided in this
sentence, 2.86 cents per gallon,
‘‘(B) 1.77 cents per gallon in the case of
any partially exempt methanol or ethanol fuel
(as defined in section 4041(m)) none of the al-
cohol in which consists of ethanol,
‘‘(C) 1.86 cents per gallon in the case of
liquefied natural gas,
‘‘(D) 2.13 cents per gallon in the case of
liquefied petroleum gas, and
‘‘(E) 9.71 cents per MCF (determined at
standard temperature and pressure) in the case
of compressed natural gas.’’
(c) AMENDMENT RELATED TO SECTION 976 OF 1997
ACT.—Section 6103(d)(5) of the 1986 Code is amended
by striking ‘‘section 967 of the Taxpayer Relief Act of
1997.’’ and inserting ‘‘section 976 of the Taxpayer Relief
Act of 1997. Subsections (a)(2) and (p)(4) and sections
7213 and 7213A shall not apply with respect to disclo-
sures or inspections made pursuant to this paragraph.’’
SEC. 9. AMENDMENTS RELATED TO TITLE X OF 1997 ACT.
(a) AMENDMENTS RELATED TO SECTION 1001 OF
1997 ACT.—
(1) Paragraph (2) of section 1259(b) of the
1986 Code is amended—
(A) by striking ‘‘debt’’ each place it ap-
pears in clauses (i) and (ii) of subparagraph
(A) and inserting ‘‘position’’,
(B) by striking ‘‘and’’ at the end of sub-
paragraph (A), and
(C) by redesignating subparagraph (B) as
subparagraph (C) and by inserting after sub-
paragraph (A) the following new subparagraph:
‘‘(B) any hedge with respect to a position
described in subparagraph (A), and’’.
(2) Section 1259(d)(1) of the 1986 Code is
amended by inserting ‘‘(including cash)’’ after
‘‘property’’.
(3) Subparagraph (D) of section 475(f)(1) of
the 1986 Code is amended by adding at the end the
such corporation by each person owning
stock in such corporation immediately be-
fore the acquisition does not decrease.’’
(c) AMENDMENTS RELATED TO SECTION 1014 OF
1997 ACT.—
(1) Paragraph (1) of section 351(g) of the 1986
Code is amended by adding ‘‘and’’ at the end of sub-
paragraph (A) and by striking subparagraphs (B)
and (C) and inserting the following new subpara-
graph:
‘‘(B) if (and only if) the transferor receives
stock other than nonqualified preferred stock—
‘‘(i) subsection (b) shall apply to such
transferor, and
‘‘(ii) such nonqualified preferred stock
shall be treated as other property for pur-
poses of applying subsection (b).’’
(2) Clause (ii) of section 354(a)(2)(C) of 1986
Code is amended by adding at the end the following
new subclause:
‘‘(III) EXTENSION
OF
STATUTE
OF LIMITATIONS.—The statutory pe-
riod for the assessment of any defi-
ciency attributable to a corporation
failing to be a family-owned corpora-
tion shall not expire before the expira-
tion of 3 years after the date the Sec-
retary is notified by the corporation
(in such manner as the Secretary may
prescribe) of such failure, and such
deficiency may be assessed before the
expiration of such 3-year period not-
withstanding the provisions of any
other law or rule of law which would
otherwise prevent such assessment.’’
(d) AMENDMENT RELATED TO SECTION 1024 OF
1997 ACT.—Section 6331(h)(1) of the 1986 Code is
amended by striking ‘‘The effect of a levy’’ and inserting
‘‘If the Secretary approves a levy under this subsection,
the effect of such levy’’.
(e) AMENDMENTS RELATED TO SECTION 1031 OF
1997 ACT.—
(1) Subsection (l) of section 4041 of the 1986
Code is amended by striking ‘‘subsection (e) or (f)’’
and inserting ‘‘subsection (f) or (g)’’.
(2) Subsection (b) of section 9502 of the 1986
Code is amended by moving the sentence added at
the end of paragraph (1) to the end of such sub-
section.
(3) Section 6421(f)(2) of the 1986 Code is
amended by adding at the end the following flush
sentence:
‘‘Subparagraph (B) shall not apply to fuel used as
supplies for vessels or aircraft (as defined in section
4221(d)(3)) on flight segments outside the United
States or beginning in the United States and ending
outside the United States.’’
(f) AMENDMENTS RELATED TO SECTION 1032 OF
1997 ACT.—
(1) Section 1032(a) of the 1997 Act is amended
by striking ‘‘Subsection (a) of section 4083’’ and in-
serting ‘‘Paragraph (1) of section 4083(a)’’.
(2) Section 1032(e)(12)(A) of the 1997 Act
shall be applied as if ‘‘gasoline, diesel fuel,’’ were the
material proposed to be stricken.
(3) Paragraph (1) of section 4101(e) of the
1986 Code is amended by striking ‘‘dyed diesel fuel
and kerosene’’ and inserting ‘‘such fuel in a dyed
form’’.
(g) AMENDMENT RELATED TO SECTION 1055 OF
1997 ACT.—Section 6611(g)(1) of the 1986 Code is
amended by striking ‘‘(e), and (h)’’ and inserting ‘‘and
(e)’’.
(h) AMENDMENT RELATED TO SECTION 1083 OF
1997 ACT.—Section 1083(a)(2) of the 1997 Act is amend-
ed—
(1) by striking ‘‘21’’ and inserting ‘‘20’’, and
(2) by striking ‘‘22’’ and inserting ‘‘21’’.
(i) AMENDMENT RELATED
TO SECTION 1084 OF
1997 ACT.—
(1) Paragraph (3) of section 264(a) of the 1986
Code is amended by striking ‘‘subsection (c)’’ and
inserting ‘‘subsection (d)’’.
(2) Paragraph (4) of section 264(a) of the 1986
Code is amended by striking ‘‘subsection (d)’’ and
inserting ‘‘subsection (e)’’.
(3) Paragraph (4) of section 264(f) of the 1986
Code is amended by adding at the end the following
new subparagraph:
‘‘(E) MASTER
CONTRACTS.—If coverage
for each insured under a master contract is
treated as a separate contract for purposes of
sections 817(h), 7702, and 7702A, coverage for
each such insured shall be treated as a separate
contract for purposes of subparagraph (A). For
purposes of the preceding sentence, the term
‘master contract’ shall not include any group
life insurance contract (as defined in section
848(e)(2)).’’
(4)(A) Clause (iv) of section 264(f)(5)(A) of the
1986 Code is amended by striking the second sen-
tence.
(B) Subparagraph (B) of section 6724(d)(1) of
the 1986 Code is amended by striking ‘‘or’’ at the
end of clause (xv), by striking the period at the end
of clause (xvi) and inserting ‘‘, or’’, and by adding
at the end the following new clause:
‘‘(xvii) section 264(f)(5)(A)(iv) (relat-
ing to reporting with respect to certain life
insurance and annuity contracts).’’
(C) Paragraph (2) of section 6724(d) of the
1986 Code is amended by striking ‘‘or’’ at the end
of subparagraph (Y), by striking the period at the
end of subparagraph (Z) and inserting ‘‘or’’, and by
adding at the end the following new subparagraph:
‘‘(AA) section 264(f)(5)(A)(iv) (relating to
reporting with respect to certain life insurance
and annuity contracts).’’
(j) AMENDMENT RELATED TO SECTION 1085 OF
1997 ACT.—Paragraph (5) of section 32(c) of the 1986
Code is amended—
(1) by inserting before the period at the end of
subparagraph (A) ‘‘and increased by the amounts
described in subparagraph (C)’’,
(2) by adding ‘‘or’’ at the end of clause (iii) of
subparagraph (B), and
(3) by striking all that follows subclause (II) of
subparagraph (B)(iv) and inserting the following:
‘‘(III) other trades or businesses.
For purposes of clause (iv), there shall not
be taken into account items which are at-
tributable to a trade or business which
consists of the performance of services by
the taxpayer as an employee.
‘‘(C) CERTAIN AMOUNTS INCLUDED.—An
amount is described in this subparagraph if it
is—
‘‘(i) interest received or accrued dur-
ing the taxable year which is exempt from
tax imposed by this chapter, or
‘‘(ii) amounts received as a pension or
annuity, and any distributions or payments
received from an individual retirement
plan, by the taxpayer during the taxable
year to the extent not included in gross in-
come.
Clause (ii) shall not include any amount which
is not includible in gross income by reason of
section 402(c), 403(a)(4), 403(b), 408(d) (3),
(4), or (5), or 457(e)(10).’’
(k) AMENDMENT RELATED TO SECTION 1088 OF
1997 ACT.—Section 1088(b)(2)(C) of the 1997 Act is
amended by inserting ‘‘more than 1 year’’ before ‘‘after’’.
(l) AMENDMENT RELATED
TO SECTION 1089 OF
1997 ACT.—Paragraphs (1)(C) and (2)(C) of section
664(d) of the 1986 Code are each amended by adding ‘‘,
and’’ at the end.
SEC. 10. AMENDMENTS RELATED TO TITLE XI OF 1997 ACT.
(a) AMENDMENT RELATED TO SECTION 1103 OF
1997 ACT.—The paragraph (3) of section 59(a) added by
section 1103 of the 1997 Act is redesignated as paragraph
(4).
(b) AMENDMENT RELATED TO SECTION 1121 OF
1997 ACT.—Section 1298(a)(2)(B) of the 1986 Code is
amended by adding at the end the following new sentence:
‘‘Section 1297(e) shall not apply in determining whether
a corporation is a passive foreign investment company for
purposes of this subparagraph.’’
(c) AMENDMENT RELATED TO SECTION 1122 OF
1997 ACT.—Section 672(f)(3)(B) of the 1986 Code is
amended by striking ‘‘section 1296’’ and inserting ‘‘sec-
tion 1297’’.
(d) AMENDMENT RELATED TO SECTION 1123 OF
1997 ACT.—The subsection (e) of section 1297 of the
1986 Code added by section 1123 of the 1997 Act is re-
designated as subsection (f).
(e) AMENDMENT RELATED TO SECTION 1144 OF
1997 ACT.—Paragraphs (1) and (2) of section 1144(c)
of the 1997 Act are each amended by striking ‘‘6038B(b)’’
and inserting ‘‘6038B(c) (as redesignated by subsection
(b))’’.
SEC. 11. AMENDMENTS RELATED TO TITLE XII OF 1997 ACT.
(a) AMENDMENT RELATED TO SECTION 1204 OF
1997 ACT.—The last sentence of section 162(a) of the
1986 Code is amended by striking ‘‘investigate’’ and all
that follows and inserting ‘‘investigate or prosecute, or
provide support services for the investigation or prosecu-
tion of, a Federal crime.’’
(b) AMENDMENTS RELATED TO SECTION 1205 OF
1997 ACT.—
(1) Section 6311(e)(1) of the 1986 Code is
amended by striking ‘‘section 6103(k)(8)’’ and in-
serting ‘‘section 6103(k)(9)’’.
(2) Paragraph (8) of section 6103(k) of the
1986 Code (as added by section 1205(c)(1) of the
1997 Act) is redesignated as paragraph (9).
(3) The heading for section 7431(g) of the
1986 Code is amended by striking ‘‘(8)’’ and insert-
ing ‘‘(9)’’.
(4) Section 1205(c)(3) of the 1997 Act shall be
applied as if it read as follows:
‘‘(3) Section 6103(p)(3)(A), as amended by sec-
tion 1026(b)(1)(A), is amended by striking ‘‘or (8)’’
and inserting ‘‘(8), or (9)’’.
(5) Section 1213(b) of the 1997 Act is amended
by striking ‘‘section 6724(d)(1)(A)’’ and inserting
‘‘section 6724(d)(1)’’.
(c) AMENDMENT RELATED TO SECTION 1226 OF
1997 ACT.—Section 1226 of the 1997 Act is amended by
striking ‘‘ending on or’’ and inserting ‘‘beginning’’.
(d) AMENDMENT RELATED TO SECTION 1285 OF
1997 ACT.—Section 7430(b) of the 1986 Code is amended
by redesignating paragraph (5) as paragraph (4).
SEC. 12. AMENDMENTS RELATED TO TITLE XIII OF 1997
ACT.
(a) Section 646 of the 1986 Code is redesignated as
section 645.
‘‘(8) the employer social security credit deter-
mined under section 45B(a).’’
(b) EFFECTIVE DATE.—The amendment made by
this section shall take effect as if included in the amend-
ments made by section 13443 of the Revenue Reconcili-
ation Act of 1993.
SEC. 17. AMENDMENT RELATED TO TAX REFORM ACT OF
1984.
(a) IN GENERAL.—Paragraph (3) of section 136(c)
of the Tax Reform Act of 1984 is amended by adding at
the end the following flush sentence:
‘‘The treatment under the preceding sentence shall
apply to each period after June 30, 1983, during
which such members are stapled entities, whether or
not such members are stapled entities for all periods
after June 30, 1983.’’
(b) EFFECTIVE DATE.—The amendment made by
subsection (a) shall take effect as if included in the Tax
Reform Act of 1984 as of the date of the enactment of
such Act.
SEC. 18. AMENDMENT RELATED TO TAX REFORM ACT OF
1986.
(a) IN GENERAL.—Section 6401(b)(1) of the 1986
Code is amended by striking ‘‘and D’’ and inserting ‘‘D,
and G’’.