I 
107TH CONGRESS 
2D SESSION 
H. R. 5713
To amend the Internal Revenue Code of 1986 to make technical corrections, 
and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 13, 2002
Mr. THOMAS (for himself and Mr. RANGEL) introduced the following bill; 
which was referred to the Committee on Ways and Means 
A BILL 
To amend the Internal Revenue Code of 1986 to make 
technical corrections, and for other purposes.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE; ETC. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Tax Technical Corrections Act of 2002’’. 
(b) AMENDMENT OF 1986 CODE.—Except as other-
wise expressly provided, whenever in this Act an amend-
ment or repeal is expressed in terms of an amendment 
to, or repeal of, a section or other provision, the reference
shall be considered to be made to a section or other provi-
sion of the Internal Revenue Code of 1986. 
(c) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows:
Sec. 1. Short title; etc. 
Sec. 2. Amendments related to Job Creation and Worker Assistance Act of 
2002. 
Sec. 3. Amendments related to Economic Growth and Tax Relief Reconciliation 
Act of 2001. 
Sec. 4. Amendment related to Victims of Terrorism Tax Relief Act of 2001. 
Sec. 5. Amendments related to Community Renewal Tax Relief Act of 2000. 
Sec. 6. Amendments related to Taxpayer Relief Act of 1997. 
Sec. 7. Other technical corrections. 
Sec. 8. Clerical amendments.
SEC. 2. AMENDMENTS RELATED TO JOB CREATION AND 
WORKER ASSISTANCE ACT OF 2002.
(a) AMENDMENTS RELATED TO SECTION 101 OF 
THE ACT.—
(1) Subparagraph (A) of section 168(k)(2) is 
amended—
(A) by striking ‘‘but only if no written 
binding contract for the acquisition was in ef-
fect before September 11, 2001,’’ in clause 
(iii)(I), and 
(B) by adding at the end the following new 
sentence: 
‘‘Such term shall not include any property with 
respect to which a written binding contract is in 
effect before September 11, 2001, for the acqui-
sition of such property or, in the case of prop-
erty manufactured, constructed, or produced for 
the taxpayer’s own use, for the manufacture, 
construction, or production of such property.’’. 
(2) Clause (ii) of section 168(k)(2)(D) is 
amended—
(A) by inserting ‘‘clause (iii) and’’ before 
‘‘subparagraph (A)(ii)’’, 
(B) by inserting ‘‘is’’ after ‘‘if property’’, 
and 
(C) by striking ‘‘is’’ in subclause (I). 
(3) Subparagraph (D) of section 168(k)(2) is 
amended by adding at the end the following new 
clause: 
‘‘(iii) SYNDICATION.—For purposes of 
subparagraph (A)(ii), if—
‘‘(I) property is originally placed 
in service after September 10, 2001, 
by the lessor of such property, 
‘‘(II) such property is sold by 
such lessor or any subsequent pur-
chaser within 3 months after the date 
so placed in service, and
‘‘(III) the user of such property 
after the last sale during such 3-
month period remains the same as
when such property was originally 
placed in service, 
such property shall be treated as originally 
placed in service not earlier than the date 
of such last sale.’’. 
(b) AMENDMENTS RELATED TO SECTION 102 OF 
THE ACT.—
(1) Subparagraph (H) of section 172(b)(1) is 
amended by striking ‘‘a taxpayer which has’’. 
(2) In the case of a net operating loss for a tax-
able year ending during 2001—
(A) an application under section 6411(a) 
of the Internal Revenue Code of 1986 with re-
spect to such loss shall not fail to be treated as 
timely filed if filed before November 1, 2002, 
and 
(B) any election made under subsection 
(b)(3) or (j) of section 172 of such Code may 
(notwithstanding such subsections) be revoked 
before November 1, 2002. 
(3) Section 102(c)(2) of the Job Creation and 
Worker Assistance Act of 2002 (Public Law 107–
147) is amended by striking ‘‘before January 1, 
2003’’ and inserting ‘‘after December 31, 1995’’.
(4)(A) Subclause (I) of section 56(d)(1)(A)(i) is 
amended by striking ‘‘attributable to carryovers’’. 
(B) Subclause (I) of section 56(d)(1)(A)(ii) is 
amended—
(i) by striking ‘‘for taxable years’’ and in-
serting ‘‘from taxable years’’, and 
(ii) by striking ‘‘carryforwards’’ and insert-
ing ‘‘carryovers’’. 
(c) AMENDMENTS RELATED TO SECTION 301 OF 
THE ACT.—
(1) Subparagraph (D) of section 1400L(a)(2) is 
amended—
(A) by striking ‘‘subchapter B’’ and insert-
ing ‘‘subchapter A’’, and 
(B) 
in 
clause 
(ii), 
by 
striking 
‘‘subparagraph (B)’’ and inserting ‘‘this para-
graph’’. 
(2) Subparagraph (A) of section 1400L(b)(2) is 
amended—
(A) by striking ‘‘but only if no written 
binding contract for the acquisition was in ef-
fect before September 11, 2001,’’ in clause (iv), 
and 
(B) by adding at the end the following new 
sentence: ‘‘The term ‘qualified New York Lib-
erty Zone property’ shall not include any prop-
erty with respect to which a written binding 
contract is in effect before September 11, 2001, 
for the acquisition of such property or, in the 
case of property manufactured, constructed, or 
produced for the taxpayer’s own use, for the 
manufacture, construction, or production of 
such property.’’. 
(3) Paragraph (2) of section 1400L(f) is 
amended by inserting before the period ‘‘, deter-
mined without regard to subparagraph (C)(i) there-
of’’. 
(d) AMENDMENT RELATED TO SECTION 405 OF THE 
ACT.—The last sentence of section 4006(a)(3)(E)(iii)(IV) 
of the Employee Retirement Income Security Act of 1974 
(29 U.S.C. 1306(a)(3)(E)(iii)(IV)) is amended—
(1) by inserting ‘‘or this subparagraph’’ after 
‘‘this clause’’ both places it appears, and 
(2) by inserting ‘‘(other than sections 4005, 
4010, 4011, and 4043)’’ after ‘‘subsections’’. 
(e) AMENDMENT RELATED TO SECTION 411 OF THE 
ACT.—Section 411(c)(2)(B) of the Job Creation and 
Worker Assistance Act of 2002 is amended by striking 
‘‘Paragraph (2)’’ and inserting ‘‘Paragraph (1)’’.
(f) EFFECTIVE DATE.—The amendments made by 
this section shall take effect as if included in the provisions 
of the Job Creation and Worker Assistance Act of 2002 
to which they relate. 
SEC. 3. AMENDMENTS RELATED TO ECONOMIC GROWTH 
AND TAX RELIEF RECONCILIATION ACT OF 
2001. 
(a) AMENDMENT RELATED TO SECTION 401 OF THE 
ACT.—Clause (i) of section 530(d)(2)(C) is amended by 
striking ‘‘higher’’ after ‘‘qualified’’. 
(b) AMENDMENT RELATED TO SECTION 611 OF THE 
ACT.—Section 415(d)(4)(A) is amended by adding at the 
end the following new sentence: ‘‘This subparagraph shall 
also apply for purposes of any provision of this title that 
provides for adjustments in accordance with the method 
contained in this subsection, except to the extent provided 
in such provision.’’. 
(c) AMENDMENT RELATED TO SECTION 637 OF THE 
ACT.—Section 408(p)(6)(A)(i) is amended by adding at 
the end the following new sentence: ‘‘For purposes of the 
preceding 
sentence, 
amounts 
described 
in 
section 
6051(a)(3) shall be determined without regard to section 
3401(a)(3).’’.
(d) EFFECTIVE DATE.—The amendments made by 
this section shall take effect as if included in the provisions
of the Economic Growth and Tax Relief Reconciliation Act 
of 2001 to which they relate. 
SEC. 4. AMENDMENT RELATED TO VICTIMS OF TERRORISM 
TAX RELIEF ACT OF 2001. 
(a) AMENDMENT RELATED TO SECTION 201 OF THE 
ACT.—Clause (iv) of section 6103(i)(7)(B) is amended by 
inserting ‘‘and subparagraph (A)’’ after ‘‘this subpara-
graph’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall take effect as if included in section 201 
of the Victims of Terrorism Tax Relief Act of 2001. 
SEC. 5. AMENDMENTS RELATED TO COMMUNITY RENEWAL 
TAX RELIEF ACT OF 2000. 
(a) AMENDMENTS RELATED TO SECTION 401 OF 
THE ACT.—
(1) Subsection (c) of section 1234B is amended 
by adding at the end the following new sentence: 
‘‘The Secretary may prescribe regulations regarding 
the status of contracts the value of which are deter-
mined directly or indirectly by reference to an index 
which becomes (or ceases to be) a narrow-based se-
curity index (as defined for purposes of section 
1256(g)(6)).’’. 
(2) Paragraph (6) of section 1256(g) is amend-
ed by adding at the end the following new sentence:
‘‘The Secretary may prescribe regulations regarding 
the status of options the value of which are deter-
mined directly or indirectly by reference to an index 
which becomes (or ceases to be) a narrow-based se-
curity index (as so defined).’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall take effect as if included in section 401 
of the Community Renewal Tax Relief Act of 2000. 
SEC. 6. AMENDMENTS RELATED TO TAXPAYER RELIEF ACT 
OF 1997. 
(a) AMENDMENTS RELATED TO SECTION 1001 OF 
THE ACT.—
(1) Paragraph (2) of section 1259(c) is amend-
ed by striking ‘‘The term ‘constructive sale’ shall not 
include any contract’’ and inserting ‘‘A taxpayer 
shall not be treated as having made a constructive 
sale solely because the taxpayer enters into a con-
tract’’. 
(2) Subparagraphs (A) and (B)(i) of section 
1259(c)(3) are each amended by striking ‘‘be treated 
as a constructive sale’’ and inserting ‘‘cause a con-
structive sale’’. 
(3) Clause (i) of section 1259(c)(3)(A) is 
amended by striking ‘‘before the end of’’ and insert-
ing ‘‘on or before’’.
(4) Clause (ii) of section 1259(c)(3)(B) is 
amended by striking ‘‘substantially similar’’. 
(5) Subclause (I) of section 1259(c)(3)(B)(ii) is 
amended to read as follows: 
‘‘(I) which would (but for this 
subparagraph) cause the requirement 
of subparagraph (A)(iii) not to be met 
with respect to the transaction de-
scribed in clause (i) of this subpara-
graph,’’. 
(6) Subclause (II) of such section is amended 
by inserting ‘‘on or’’ before ‘‘before the 30th day’’. 
(7) The heading for subparagraph (B) of sec-
tion 1259(c)(3) is amended by striking ‘‘POSITIONS 
WHICH
ARE
REESTABLISHED’’ 
and 
inserting 
‘‘CERTAIN CLOSED TRANSACTIONS WHERE RISK OF 
LOSS ON APPRECIATED FINANCIAL POSITION DIMIN-
ISHED’’. 
(b) AMENDMENT RELATED TO SECTION 1031 OF 
THE ACT.—Section 4261(e)(4) is amended by adding at 
the end the following new subparagraph: 
‘‘(D) SPECIAL RULE FOR AMOUNTS PAID 
FOR DOMESTIC SEGMENTS BEGINNING AFTER 
2002.—If an amount is paid during a calendar 
year for a domestic segment beginning in a
later calendar year, then the rate of tax under 
subsection (b) on such amount shall be the rate 
in effect for the calendar year in which such 
amount is paid.’’
(c) EFFECTIVE DATE.—
(1) 
AMENDMENTS
RELATED
TO
SECTION 
1001.—The amendments made by subsection (a) 
shall take effect as if included in section 1001 of the 
Taxpayer Relief Act of 1997. 
(2) 
AMENDMENTS
RELATED
TO
SECTION 
1031.—The amendment made by subsection (b) shall 
apply to segments beginning after December 31, 
2002. 
SEC. 7. OTHER TECHNICAL CORRECTIONS. 
(a) DEFINITION OF VALID TAXPAYER IDENTIFICA-
TION NUMBER FOR EARNED INCOME CREDIT.—Section 
32(m) is amended to read as follows: 
‘‘(m) IDENTIFICATION NUMBERS.—Solely for pur-
poses of subsections (c)(1)(F) and (c)(3)(D), a taxpayer 
identification number means a social security number as-
signed by the Social Security Administration—
‘‘(1) to a citizen of the United States, or 
‘‘(2) to an individual pursuant to subclause (I) 
(or that portion of subclause (III) that relates to
subclause (I)) of section 205(c)(2)(B)(i) of the So-
cial Security Act.’’. 
(b) EFFECTIVE DATE.—The amendment made by 
this subsection shall apply to taxable years beginning after 
the date of the enactment of this Act. 
SEC. 8. CLERICAL AMENDMENTS. 
(a) The heading for subparagraph (F) of section 
168(k)(2) is amended by striking ‘‘MINIUMUM’’ and insert-
ing ‘‘MINIMUM’’. 
(b) The item relating to section 1234B in the table 
of sections for subpart IV of subchapter P of chapter 1 
is amended to read as follows:
‘‘Sec. 1234B. Gains or losses from securities futures contracts.’’.
(c) Section 156(c) of the Community Renewal Tax 
Relief Act of 2000 (114 Stat. 2763A–623) is amended in 
the first sentence by inserting ‘‘than’’ after ‘‘not later’’.
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