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‘‘(d) TERMINATION.—This section shall not apply to
any property placed in service after the date which is 3
years after the date of the enactment of this section.’’.
(b) CREDIT ALLOWED AS PART OF GENERAL BUSI-
NESS CREDIT.—Section 38(b), as amended by this Act, is
amended by striking ‘‘plus’’ at the end of paragraph (32),
by striking the period at the end of paragraph (33) and
inserting ‘‘, plus’’, and by adding at the end the following
new paragraph:
‘‘(34) the credit for energy efficient motors deter-
mined under section 45Q(a).’’.
(c) CONFORMING AMENDMENTS.—
(1) Section 1016(a), as amended by this Act, is
amended by striking ‘‘and’’ at the end of paragraph
(39), by striking the period at the end of paragraph
(40) and inserting ‘‘, and’’, and by adding at the end
the following new paragraph:
‘‘(41) 
to 
the 
extent 
provided 
in 
section
45Q(c)(1).’’.
(2) The table of sections for subpart D of part
IV of subchapter A of chapter 1, as amended by this
Act, is amended by adding at the end the following
new item:
‘‘Sec. 45Q. Credit for energy efficient motors.’’.
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(d) EFFECTIVE DATE.—The amendments made by this
section shall apply to property placed in service after the
date of the enactment of this Act.
Subtitle E—Revenue Provisions
PART I—MISCELLANEOUS REVENUE PROVISIONS
SEC. 12501. LIMITATION ON FARMING LOSSES OF CERTAIN
TAXPAYERS.
(a) IN GENERAL.—Section 461 (relating to general
rule for taxable year of deduction) is amended by adding
at the end the following new subsection:
‘‘(j) LIMITATION ON FARMING LOSSES OF CERTAIN
TAXPAYERS.—
‘‘(1) IN GENERAL.—If an applicable taxpayer
has a farming loss for the taxable year, such loss shall
be allowed for such taxable year only to the extent
such loss does not exceed $200,000.
‘‘(2) FARMING LOSS.—For purposes of this sub-
section, the term ‘farming loss’ means the excess of the
deductions of the taxpayer for the taxable year which
are attributable to farming businesses (as defined in
section 263A(e)(4)) of such taxpayer over income or
gain of such taxpayer for the taxable year which is
attributable to such deductions.
‘‘(3) DISALLOWED
LOSS
CARRIED
TO
NEXT
YEAR.—Any loss which is disallowed under para-
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graph (1) shall be treated as a deduction of the tax-
payer attributable to farming businesses in the next
taxable year.
‘‘(4) APPLICABLE TAXPAYER.—For purposes of
this subsection, the term ‘applicable taxpayer’ means,
with respect to any taxable year, any individual,
partnership, estate, or trust which receives—
‘‘(A) benefits under subtitle A or B of title
I of the Food and Energy Security Act of 2007
in such taxable year, or
‘‘(B) Commodity Credit Corporation loans
in such taxable year.’’.
(b) EFFECTIVE DATE.—The amendment made by this
section shall apply to taxable years beginning after Decem-
ber 31, 2007.
SEC. 12502. MODIFICATION TO OPTIONAL METHOD OF COM-
PUTING NET EARNINGS FROM SELF-EMPLOY-
MENT.
(a) AMENDMENTS TO THE INTERNAL REVENUE CODE
OF 1986.—
(1) IN GENERAL.—The matter following para-
graph (17) of section 1402(a) is amended—
(A) by striking ‘‘$2,400’’ each place it ap-
pears and inserting ‘‘the upper limit’’, and
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(B) by striking ‘‘$1,600’’ each place it ap-
pears and inserting ‘‘the lower limit’’.
(2) DEFINITIONS.—Section 1402 is amended by
adding at the end the following new subsection:
‘‘(l) UPPER AND LOWER LIMITS.—For purposes of
subsection (a)—
‘‘(1) LOWER LIMIT.—The lower limit for any
taxable year is the sum of the amounts required under
section 213(d) of the Social Security Act for a quarter
of coverage in effect with respect to each calendar
quarter ending with or within such taxable year.
‘‘(2) UPPER LIMIT.—The upper limit for any
taxable year is the amount equal to 150 percent of the
lower limit for such taxable year.’’.
(b) AMENDMENTS TO THE SOCIAL SECURITY ACT.—
(1) IN GENERAL.—The matter following para-
graph (16) of section 211(a) of the Social Security
Act is amended—
(A) by striking ‘‘$2,400’’ each place it ap-
pears and inserting ‘‘the upper limit’’, and
(B) by striking ‘‘$1,600’’ each place it ap-
pears and inserting ‘‘the lower limit’’.
(2) DEFINITIONS.—Section 211 of such Act is
amended by adding at the end the following new sub-
section:
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‘‘Upper and Lower Limits
‘‘(k) For purposes of subsection (a)—
‘‘(1) The lower limit for any taxable year is the
sum of the amounts required under section 213(d) for
a quarter of coverage in effect with respect to each
calendar quarter ending with or within such taxable
year.
‘‘(2) The upper limit for any taxable year is the
amount equal to 150 percent of the lower limit for
such taxable year.’’.
(3) CONFORMING AMENDMENT.—Section 212 of
such Act is amended—
(A) in subsection (b), by striking ‘‘For’’ and
inserting ‘‘Except as provided in subsection (c),
for’’; and
(B) by adding at the end the following new
subsection:
‘‘(c) For the purpose of determining average indexed
monthly earnings, average monthly wage, and quarters of
coverage in the case of any individual who elects the option
described in clause (ii) or (iv) in the matter following sec-
tion 211(a)(16) for any taxable year that does not begin
with or during a particular calendar year and end with
or during such year, the self-employment income of such
individual deemed to be derived during such taxable year