Tax Technical Corrections Act of 2007
PL 110-172 (H.R.4839), enacted 12/29/2007

121 STAT. 2473 
PUBLIC LAW 110–172—DEC. 29, 2007 
Public Law 110–172 
110th Congress 
An Act 
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 Representatives of 
the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF CON-
TENTS. 
(a) SHORT TITLE.—This Act may be cited as the ‘‘Tax Technical 
Corrections Act of 2007’’. 
(b) AMENDMENT OF 1986 CODE.—Except as otherwise expressly 
provided, whenever in this Act an amendment 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 provision of the Internal Revenue Code of 1986. 
(c) TABLE OF CONTENTS.—The table of contents of this Act 
is as follows: 
Sec. 1. Short title; amendment of 1986 Code; table of contents. 
Sec. 2. Amendment related to the Tax Relief and Health Care Act of 2006. 
Sec. 3. Amendments related to title XII of the Pension Protection Act of 2006. 
Sec. 4. Amendments related to the Tax Increase Prevention and Reconciliation Act 
of 2005. 
Sec. 5. Amendments related to the Safe, Accountable, Flexible, Efficient Transpor-
tation Equity Act: A Legacy for Users. 
Sec. 6. Amendments related to the Energy Policy Act of 2005. 
Sec. 7. Amendments related to the American Jobs Creation Act of 2004. 
Sec. 8. Amendments related to the Economic Growth and Tax Relief Reconciliation 
Act of 2001. 
Sec. 9. Amendments related to the Tax Relief Extension Act of 1999. 
Sec. 10. Amendment related to the Internal Revenue Service Restructuring and Re-
form Act of 1998. 
Sec. 11. Clerical corrections. 
SEC. 2. AMENDMENT RELATED TO THE TAX RELIEF AND HEALTH CARE 
ACT OF 2006. 
(a) AMENDMENT RELATED TO SECTION 402 OF DIVISION A OF 
THE ACT.—Subparagraph (A) of section 53(e)(2) is amended to read 
as follows: 
‘‘(A) IN GENERAL.—The term ‘AMT refundable credit 
amount’ means, with respect to any taxable year, the 
amount (not in excess of the long-term unused minimum 
tax credit for such taxable year) equal to the greater of— 
‘‘(i) $5,000, 
‘‘(ii) 20 percent of the long-term unused minimum 
tax credit for such taxable year, or 
‘‘(iii) the amount (if any) of the AMT refundable 
credit amount determined under this paragraph for 
26 USC 53. 
26 USC 1 et seq. 
26 USC 1 note. 
Tax Technical 
Corrections Act 
of 2007. 
Dec. 29, 2007 
[H.R. 4839] 
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121 STAT. 2474 
PUBLIC LAW 110–172—DEC. 29, 2007 
the taxpayer’s preceding taxable year (as determined 
before any reduction under subparagraph (B)).’’. 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall take effect as if included in the provision of the Tax Relief 
and Health Care Act of 2006 to which it relates. 
SEC. 3. AMENDMENTS RELATED TO TITLE XII OF THE PENSION 
PROTECTION ACT OF 2006. 
(a) AMENDMENT RELATED
TO SECTION 1201 OF
THE ACT.— 
Subparagraph (D) of section 408(d)(8) is amended by striking ‘‘all 
amounts distributed from all individual retirement plans were 
treated as 1 contract under paragraph (2)(A) for purposes of deter-
mining the inclusion of such distribution under section 72’’ and 
inserting ‘‘all amounts in all individual retirement plans of the 
individual were distributed during such taxable year and all such 
plans were treated as 1 contract for purposes of determining under 
section 72 the aggregate amount which would have been so includ-
ible’’. 
(b) AMENDMENT RELATED
TO SECTION 1203 OF
THE ACT.— 
Subsection (d) of section 1366 is amended by adding at the end 
the following new paragraph: 
‘‘(4) APPLICATION OF LIMITATION ON CHARITABLE CONTRIBU-
TIONS.—In the case of any charitable contribution of property 
to which the second sentence of section 1367(a)(2) applies, 
paragraph (1) shall not apply to the extent of the excess (if 
any) of— 
‘‘(A) the shareholder’s pro rata share of such contribu-
tion, over 
‘‘(B) the shareholder’s pro rata share of the adjusted 
basis of such property.’’. 
(c) AMENDMENT RELATED TO SECTION 1215 OF THE ACT.—Sub-
clause (I) of section 170(e)(7)(D)(i) is amended by striking ‘‘related’’ 
and inserting ‘‘substantial and related’’. 
(d) AMENDMENTS RELATED TO SECTION 1218 OF THE ACT.— 
(1) Section 2055 is amended by striking subsection (g) 
and by redesignating subsection (h) as subsection (g). 
(2) Subsection (e) of section 2522 is amended— 
(A) by striking paragraphs (2) and (4), 
(B) by redesignating paragraph (3) as paragraph (2), 
and 
(C) by adding at the end of paragraph (2), as so redesig-
nated, the following new subparagraph: 
‘‘(C) INITIAL FRACTIONAL CONTRIBUTION.—For purposes 
of this paragraph, the term ‘initial fractional contribution’ 
means, with respect to any donor, the first gift of an 
undivided portion of the donor’s entire interest in any 
tangible personal property for which a deduction is allowed 
under subsection (a) or (b).’’. 
(e) AMENDMENTS RELATED TO SECTION 1219 OF THE ACT.— 
(1) Paragraph (2) of section 6695A(a) is amended by 
inserting ‘‘a substantial estate or gift tax valuation understate-
ment (within the meaning of section 6662(g)),’’ before ‘‘or a 
gross valuation misstatement’’. 
(2) Paragraph (1) of section 6696(d) is amended by striking 
‘‘or under section 6695’’ and inserting ‘‘, section 6695, or 6695A’’. 
26 USC 408. 
26 USC 53 note. 
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121 STAT. 2475 
PUBLIC LAW 110–172—DEC. 29, 2007 
(f) AMENDMENT RELATED
TO SECTION 1221 OF
THE ACT.— 
Subparagraph (A) of section 4940(c)(4) is amended to read as fol-
lows: 
‘‘(A) There shall not be taken into account any gain 
or loss from the sale or other disposition of property to 
the extent that such gain or loss is taken into account 
for purposes of computing the tax imposed by section 511.’’. 
(g) AMENDMENT RELATED
TO SECTION 1225 OF
THE ACT.— 
(1) Subsection (b) of section 6104 is amended— 
(A) by striking ‘‘INFORMATION’’ in the heading, and 
(B) by adding at the end the following: ‘‘Any annual 
return which is filed under section 6011 by an organization 
described in section 501(c)(3) and which relates to any 
tax imposed by section 511 (relating to imposition of tax 
on unrelated business income of charitable, etc., organiza-
tions) shall be treated for purposes of this subsection in 
the same manner as if furnished under section 6033.’’. 
(2) Clause (ii) of section 6104(d)(1)(A) is amended to read 
as follows: 
‘‘(ii) any annual return which is filed under section 
6011 by an organization described in section 501(c)(3) 
and which relates to any tax imposed by section 511 
(relating to imposition of tax on unrelated business 
income of charitable, etc., organizations),’’. 
(3) Paragraph (2) of section 6104(d) is amended by striking 
‘‘section 6033’’ and inserting ‘‘section 6011 or 6033’’. 
(h) AMENDMENT RELATED
TO SECTION 1231 OF
THE ACT.— 
Subsection (b) of section 4962 is amended by striking ‘‘or D’’ and 
inserting ‘‘D, or G’’. 
(i) AMENDMENT RELATED TO SECTION 1242 OF THE ACT.— 
(1) Subclause (II) of section 4958(c)(3)(A)(i) is amended 
by striking ‘‘paragraph (1), (2), or (4) of section 509(a)’’ and 
inserting ‘‘subparagraph (C)(ii)’’. 
(2) Clause (ii) of section 4958(c)(3)(C) is amended to read 
as follows: 
‘‘(ii) EXCEPTION.—Such term shall not include— 
‘‘(I) any organization described in paragraph 
(1), (2), or (4) of section 509(a), and 
‘‘(II) any organization which is treated as 
described in such paragraph (2) by reason of the 
last sentence of section 509(a) and which is a sup-
ported organization (as defined in section 509(f)(3)) 
of the organization to which subparagraph (A) 
applies.’’. 
(j) EFFECTIVE DATE.—The amendments made by this section 
shall take effect as if included in the provisions of the Pension 
Protection Act of 2006 to which they relate. 
SEC. 4. AMENDMENTS RELATED TO THE TAX INCREASE PREVENTION 
AND RECONCILIATION ACT OF 2005. 
(a) AMENDMENTS RELATED TO SECTION 103 OF THE ACT.—Para-
graph (6) of section 954(c) is amended by redesignating subpara-
graph (B) as subparagraph (C) and inserting after subparagraph 
(A) the following new subparagraph: 
‘‘(B) EXCEPTION.—Subparagraph (A) shall not apply 
in the case of any interest, rent, or royalty to the extent 
such interest, rent, or royalty creates (or increases) a deficit 
26 USC 170 note. 
26 USC 4940. 
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121 STAT. 2476 
PUBLIC LAW 110–172—DEC. 29, 2007 
which under section 952(c) may reduce the subpart F 
income of the payor or another controlled foreign corpora-
tion.’’. 
(b) AMENDMENTS RELATED TO SECTION 202 OF THE ACT.— 
(1) Subparagraph (A) of section 355(b)(2) is amended to 
read as follows: 
‘‘(A) it is engaged in the active conduct of a trade 
or business,’’. 
(2) Paragraph (3) of section 355(b) is amended to read 
as follows: 
‘‘(3) SPECIAL RULES FOR DETERMINING ACTIVE CONDUCT IN 
THE CASE OF AFFILIATED GROUPS.— 
‘‘(A) IN
GENERAL.—For purposes of determining 
whether a corporation meets the requirements of paragraph 
(2)(A), all members of such corporation’s separate affiliated 
group shall be treated as one corporation. 
‘‘(B) SEPARATE
AFFILIATED
GROUP.—For purposes of 
this paragraph, the term ‘separate affiliated group’ means, 
with respect to any corporation, the affiliated group which 
would be determined under section 1504(a) if such corpora-
tion were the common parent and section 1504(b) did not 
apply. 
‘‘(C) TREATMENT OF TRADE OR BUSINESS CONDUCTED 
BY ACQUIRED MEMBER.—If a corporation became a member 
of a separate affiliated group as a result of one or more 
transactions in which gain or loss was recognized in whole 
or in part, any trade or business conducted by such corpora-
tion (at the time that such corporation became such a 
member) shall be treated for purposes of paragraph (2) 
as acquired in a transaction in which gain or loss was 
recognized in whole or in part. 
‘‘(D) REGULATIONS.—The Secretary shall prescribe such 
regulations as are necessary or appropriate to carry out 
the purposes of this paragraph, including regulations which 
provide for the proper application of subparagraphs (B), 
(C), and (D) of paragraph (2), and modify the application 
of subsection (a)(3)(B), in connection with the application 
of this paragraph.’’. 
(3) The Internal Revenue Code of 1986 shall be applied 
and administered as if the amendments made by section 202 
of the Tax Increase Prevention and Reconciliation Act of 2005 
and by section 410 of division A of the Tax Relief and Health 
Care Act of 2006 had never been enacted. 
(c) AMENDMENT RELATED TO SECTION 515 OF THE ACT.—Sub-
section (f) of section 911 is amended to read as follows: 
‘‘(f) DETERMINATION OF TAX LIABILITY.— 
‘‘(1) IN GENERAL.—If, for any taxable year, any amount 
is excluded from gross income of a taxpayer under subsection 
(a), then, notwithstanding sections 1 and 55— 
‘‘(A) if such taxpayer has taxable income for such tax-
able year, the tax imposed by section 1 for such taxable 
year shall be equal to the excess (if any) of— 
‘‘(i) the tax which would be imposed by section 
1 for such taxable year if the taxpayer’s taxable income 
were increased by the amount excluded under sub-
section (a) for such taxable year, over 
Applicability. 
26 USC 355 note. 
26 USC 355. 
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121 STAT. 2477 
PUBLIC LAW 110–172—DEC. 29, 2007 
‘‘(ii) the tax which would be imposed by section 
1 for such taxable year if the taxpayer’s taxable income 
were equal to the amount excluded under subsection 
(a) for such taxable year, and 
‘‘(B) if such taxpayer has a taxable excess (as defined 
in section 55(b)(1)(A)(ii)) for such taxable year, the amount 
determined under the first sentence of section 55(b)(1)(A)(i) 
for such taxable year shall be equal to the excess (if any) 
of— 
‘‘(i) the amount which would be determined under 
such sentence for such taxable year (subject to the 
limitation of section 55(b)(3)) if the taxpayer’s taxable 
excess (as so defined) were increased by the amount 
excluded under subsection (a) for such taxable year, 
over 
‘‘(ii) the amount which would be determined under 
such sentence for such taxable year if the taxpayer’s 
taxable excess (as so defined) were equal to the amount 
excluded under subsection (a) for such taxable year. 
‘‘(2) SPECIAL RULES.— 
‘‘(A) REGULAR TAX.—In applying section 1(h) for pur-
poses of determining the tax under paragraph (1)(A)(i) 
for any taxable year in which, without regard to this sub-
section, the taxpayer’s net capital gain exceeds taxable 
income (hereafter in this subparagraph referred to as the 
capital gain excess)— 
‘‘(i) the taxpayer’s net capital gain (determined 
without regard to section 1(h)(11)) shall be reduced 
(but not below zero) by such capital gain excess, 
‘‘(ii) the taxpayer’s qualified dividend income shall 
be reduced by so much of such capital gain excess 
as exceeds the taxpayer’s net capital gain (determined 
without regard to section 1(h)(11) and the reduction 
under clause (i)), and 
‘‘(iii) adjusted net capital gain, unrecaptured sec-
tion 1250 gain, and 28-percent rate gain shall each 
be determined after increasing the amount described 
in section 1(h)(4)(B) by such capital gain excess. 
‘‘(B) ALTERNATIVE MINIMUM TAX.—In applying section 
55(b)(3) for purposes of determining the tax under para-
graph (1)(B)(i) for any taxable year in which, without 
regard to this subsection, the taxpayer’s net capital gain 
exceeds 
the 
taxable 
excess 
(as 
defined 
in 
section 
55(b)(1)(A)(ii))— 
‘‘(i) the rules of subparagraph (A) shall apply, 
except that such subparagraph shall be applied by 
substituting ‘the taxable excess (as defined in section 
55(b)(1)(A)(ii))’ for ‘taxable income’, and 
‘‘(ii) the reference in section 55(b)(3)(B) to the 
excess described in section 1(h)(1)(B) shall be treated 
as a reference to such excess as determined under 
the rules of subparagraph (A) for purposes of deter-
mining the tax under paragraph (1)(A)(i). 
‘‘(C) DEFINITIONS.—Terms used in this paragraph 
which are also used in section 1(h) shall have the respective 
meanings given such terms by section 1(h), except that 
Applicability. 
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121 STAT. 2478 
PUBLIC LAW 110–172—DEC. 29, 2007 
in applying subparagraph (B) the adjustments under part 
VI of subchapter A shall be taken into account.’’. 
(d) EFFECTIVE DATE.— 
(1) IN GENERAL.—Except as otherwise provided in this sub-
section, the amendments made by this section shall take effect 
as if included in the provisions of the Tax Increase Prevention 
and Reconciliation Act of 2005 to which they relate. 
(2) MODIFICATION OF ACTIVE BUSINESS DEFINITION UNDER 
SECTION 355.— 
(A) IN GENERAL.—Except as otherwise provided in this 
paragraph, the amendments made by subsection (b) shall 
apply to distributions made after May 17, 2006. 
(B) TRANSITION RULE.—The amendments made by sub-
section (b) shall not apply to any distribution pursuant 
to a transaction which is— 
(i) made pursuant to an agreement which was 
binding on May 17, 2006, and at all times thereafter, 
(ii) described in a ruling request submitted to the 
Internal Revenue Service on or before such date, or 
(iii) described on or before such date in a public 
announcement or in a filing with the Securities and 
Exchange Commission. 
(C) ELECTION
OUT
OF
TRANSITION
RULE.—Subpara-
graph (B) shall not apply if the distributing corporation 
elects not to have such subparagraph apply to distributions 
of such corporation. Any such election, once made, shall 
be irrevocable. 
(D) SPECIAL RULE FOR CERTAIN PRE-ENACTMENT DIS-
TRIBUTIONS.—For purposes of determining the continued 
qualification under section 355(b)(2)(A) of the Internal Rev-
enue Code of 1986 of distributions made on or before May 
17, 2006, as a result of an acquisition, disposition, or other 
restructuring after such date, such distribution shall be 
treated as made on the date of such acquisition, disposition, 
or restructuring for purposes of applying subparagraphs 
(A) through (C) of this paragraph. The preceding sentence 
shall only apply with respect to the corporation that under-
takes such acquisition, disposition, or other restructuring, 
and only if such application results in continued qualifica-
tion under section 355(b)(2)(A) of such Code. 
(3) AMENDMENT RELATED TO SECTION 515 OF THE ACT.— 
The amendment made by subsection (c) shall apply to taxable 
years beginning after December 31, 2006. 
SEC. 5. AMENDMENTS RELATED TO THE SAFE, ACCOUNTABLE, 
FLEXIBLE, EFFICIENT TRANSPORTATION EQUITY ACT: A 
LEGACY FOR USERS. 
(a) AMENDMENTS RELATED TO SECTION 11113 OF THE ACT.— 
(1) Paragraph (3) of section 6427(i) is amended— 
(A) by inserting ‘‘or under subsection (e)(2) by any 
person with respect to an alternative fuel (as defined in 
section 6426(d)(2))’’ after ‘‘section 6426’’ in subparagraph 
(A), 
(B) by inserting ‘‘or (e)(2)’’ after ‘‘subsection (e)(1)’’ in 
subparagraphs (A)(i) and (B), and 
26 USC 6427. 
Applicability. 
26 USC 355 note. 
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121 STAT. 2479 
PUBLIC LAW 110–172—DEC. 29, 2007 
(C) by striking ‘‘ALCOHOL FUEL AND BIODIESEL MIXTURE 
CREDIT’’ and inserting ‘‘MIXTURE CREDITS AND THE ALTER-
NATIVE FUEL CREDIT’’ in the heading thereof. 
(2) Subparagraph (F) of section 6426(d)(2) is amended by 
striking ‘‘hydrocarbons’’ and inserting ‘‘fuel’’. 
(3) Section 6426 is amended by adding at the end the 
following new subsection: 
‘‘(h) DENIAL OF DOUBLE BENEFIT.—No credit shall be deter-
mined under subsection (d) or (e) with respect to any fuel with 
respect to which credit may be determined under subsection (b) 
or (c) or under section 40 or 40A.’’. 
(b) EFFECTIVE DATE.—The amendments made by this section 
shall take effect as if included in the provisions of the SAFETEA– 
LU to which they relate. 
SEC. 6. AMENDMENTS RELATED TO THE ENERGY POLICY ACT OF 2005. 
(a) AMENDMENT RELATED
TO SECTION 1306 OF
THE ACT.— 
Paragraph (2) of section 45J(b) is amended to read as follows: 
‘‘(2) AMOUNT
OF
NATIONAL
LIMITATION.—The aggregate 
amount of national megawatt capacity limitation allocated by 
the Secretary under paragraph (3) shall not exceed 6,000 
megawatts.’’. 
(b) AMENDMENTS RELATED TO SECTION 1342 OF THE ACT.— 
(1) So much of subsection (b) of section 30C as precedes 
paragraph (1) thereof is amended to read as follows: 
‘‘(b) LIMITATION.—The credit allowed under subsection (a) with 
respect to all qualified alternative fuel vehicle refueling property 
placed in service by the taxpayer during the taxable year at a 
location shall not exceed—’’. 
(2) Subsection (c) of section 30C is amended to read as 
follows: 
‘‘(c) QUALIFIED ALTERNATIVE FUEL VEHICLE REFUELING PROP-
ERTY.—For purposes of this section, the term ‘qualified alternative 
fuel vehicle refueling property’ has the same meaning as the term 
‘qualified clean-fuel vehicle refueling property’ would have under 
section 179A if— 
‘‘(1) paragraph (1) of section 179A(d) did not apply to prop-
erty installed on property which is used as the principal resi-
dence (within the meaning of section 121) of the taxpayer, 
and 
‘‘(2) only the following were treated as clean-burning fuels 
for purposes of section 179A(d): 
‘‘(A) Any fuel at least 85 percent of the volume of 
which consists of one or more of the following: ethanol, 
natural gas, compressed natural gas, liquified natural gas, 
liquefied petroleum gas, or hydrogen. 
‘‘(B) Any mixture— 
‘‘(i) which consists of two or more of the following: 
biodiesel (as defined in section 40A(d)(1)), diesel fuel 
(as defined in section 4083(a)(3)), or kerosene, and 
‘‘(ii) at least 20 percent of the volume of which 
consists of biodiesel (as so defined) determined without 
regard to any kerosene in such mixture.’’. 
(c) AMENDMENTS RELATED TO SECTION 1351 OF THE ACT.— 
(1) Paragraph (3) of section 41(a) is amended by inserting 
‘‘for energy research’’ before the period at the end. 
26 USC 6426 
note. 
26 USC 6426. 
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121 STAT. 2480 
PUBLIC LAW 110–172—DEC. 29, 2007 
(2) Paragraph (6) of section 41(f) is amended by adding 
at the end the following new subparagraph: 
‘‘(E) ENERGY RESEARCH.—The term ‘energy research’ 
does not include any research which is not qualified 
research.’’. 
(d) AMENDMENTS RELATED TO SECTION 1362 OF THE ACT.— 
(1)(A) Paragraph (1) of section 4041(d) is amended by 
adding at the end the following new sentence: ‘‘No tax shall 
be imposed under the preceding sentence on the sale or use 
of any liquid if tax was imposed with respect to such liquid 
under section 4081 at the Leaking Underground Storage Tank 
Trust Fund financing rate.’’. 
(B) Paragraph (3) of section 4042(b) is amended to read 
as follows: 
‘‘(3) EXCEPTION FOR FUEL ON WHICH LEAKING UNDERGROUND 
STORAGE
TANK
TRUST
FUND
FINANCING
RATE
SEPARATELY 
IMPOSED.—The Leaking Underground Storage Tank Trust Fund 
financing rate under paragraph (2)(B) shall not apply to the 
use of any fuel if tax was imposed with respect to such fuel 
under section 4041(d) or 4081 at the Leaking Underground 
Storage Tank Trust Fund financing rate.’’. 
(C) Notwithstanding section 6430 of the Internal Revenue 
Code of 1986, a refund, credit, or payment may be made under 
subchapter B of chapter 65 of such Code for taxes imposed 
with respect to any liquid after September 30, 2005, and before 
the date of the enactment of this Act under section 4041(d)(1) 
or 4042 of such Code at the Leaking Underground Storage 
Tank Trust Fund financing rate to the extent that tax was 
imposed with respect to such liquid under section 4081 at 
the Leaking Underground Storage Tank Trust Fund financing 
rate. 
(2)(A) Paragraph (5) of section 4041(d) is amended— 
(i) by striking ‘‘(other than with respect to any sale 
for export under paragraph (3) thereof)’’, and 
(ii) by adding at the end the following new sentence: 
‘‘The preceding sentence shall not apply with respect to 
subsection (g)(3) and so much of subsection (g)(1) as relates 
to vessels (within the meaning of section 4221(d)(3)) 
employed in foreign trade or trade between the United 
States and any of its possessions.’’. 
(B) Section 4082 is amended— 
(i) by striking ‘‘(other than such tax at the Leaking 
Underground Storage Tank Trust Fund financing rate 
imposed in all cases other than for export)’’ in subsection 
(a), and 
(ii) by redesignating subsections (f) and (g) as sub-
sections (g) and (h), respectively, and by inserting after 
subsection (e) the following new subsection: 
‘‘(f) EXCEPTION
FOR LEAKING UNDERGROUND STORAGE TANK 
TRUST FUND FINANCING RATE.— 
‘‘(1) IN GENERAL.—Subsection (a) shall not apply to the 
tax imposed under section 4081 at the Leaking Underground 
Storage Tank Trust Fund financing rate. 
‘‘(2) EXCEPTION FOR EXPORT, ETC.—Paragraph (1) shall not 
apply with respect to any fuel if the Secretary determines 
that such fuel is destined for export or for use by the purchaser 
as supplies for vessels (within the meaning of section 4221(d)(3)) 
26 USC 6430 
note. 
26 USC 41. 
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121 STAT. 2481 
PUBLIC LAW 110–172—DEC. 29, 2007 
employed in foreign trade or trade between the United States 
and any of its possessions.’’. 
(C) Subsection (e) of section 4082 is amended— 
(i) by striking ‘‘an aircraft, the rate of tax under section 
4081(a)(2)(A)(iii) shall be zero.’’ and inserting ‘‘an aircraft— 
‘‘(1) the rate of tax under section 4081(a)(2)(A)(iii) shall 
be zero, and 
‘‘(2) if such aircraft is employed in foreign trade or trade 
between the United States and any of its possessions, the 
increase in such rate under section 4081(a)(2)(B) shall be zero.’’; 
and 
(ii) by moving the last sentence flush with the margin 
of such subsection (following the paragraph (2) added by 
clause (i)). 
(D) Section 6430 is amended to read as follows: 
‘‘SEC. 6430. TREATMENT OF TAX IMPOSED AT LEAKING UNDERGROUND 
STORAGE TANK TRUST FUND FINANCING RATE. 
‘‘No refunds, credits, or payments shall be made under this 
subchapter for any tax imposed at the Leaking Underground Stor-
age Tank Trust Fund financing rate, except in the case of fuels— 
‘‘(1) which are exempt from tax under section 4081(a) by 
reason of section 4082(f)(2), 
‘‘(2) which are exempt from tax under section 4041(d) by 
reason of the last sentence of paragraph (5) thereof, or 
‘‘(3) with respect to which the rate increase under section 
4081(a)(2)(B) is zero by reason of section 4082(e)(2).’’. 
(3) Paragraph (5) of section 4041(d) is amended by inserting 
‘‘(b)(1)(A),’’ after ‘‘subsections’’. 
(e) EFFECTIVE DATE.— 
(1) IN GENERAL.—Except as otherwise provided in this sub-
section, the amendments made by this section shall take effect 
as if included in the provisions of the Energy Policy Act of 
2005 to which they relate. 
(2) NONAPPLICATION OF EXEMPTION FOR OFF-HIGHWAY BUSI-
NESS USE.—The amendment made by subsection (d)(3) shall 
apply to fuel sold for use or used after the date of the enactment 
of this Act. 
(3) AMENDMENT MADE BY THE SAFETEA–LU.—The amend-
ment made by subsection (d)(2)(C)(ii) shall take effect as if 
included in section 11161 of the SAFETEA–LU. 
SEC. 7. AMENDMENTS RELATED TO THE AMERICAN JOBS CREATION 
ACT OF 2004. 
(a) AMENDMENTS RELATED TO SECTION 339 OF THE ACT.— 
(1)(A) Section 45H is amended by striking subsection (d) 
and by redesignating subsections (e), (f), and (g) as subsections 
(d), (e), and (f), respectively. 
(B) Subsection (d) of section 280C is amended to read 
as follows: 
‘‘(d) CREDIT
FOR LOW SULFUR DIESEL FUEL PRODUCTION.— 
The deductions otherwise allowed under this chapter for the taxable 
year shall be reduced by the amount of the credit determined 
for the taxable year under section 45H(a).’’. 
(C) Subsection (a) of section 1016 is amended by striking 
paragraph (31) and by redesignating paragraphs (32) through 
(37) as paragraphs (31) through (36), respectively. 
26 USC 30c note. 
26 USC 4082. 
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121 STAT. 2482 
PUBLIC LAW 110–172—DEC. 29, 2007 
(2)(A) Section 45H, as amended by paragraph (1), is 
amended by adding at the end the following new subsection: 
‘‘(g) ELECTION TO NOT TAKE CREDIT.—No credit shall be deter-
mined under subsection (a) for the taxable year if the taxpayer 
elects not to have subsection (a) apply to such taxable year.’’. 
(B) Subsection (m) of section 6501 is amended by inserting 
‘‘45H(g),’’ after ‘‘45C(d)(4),’’. 
(3)(A) Subsections (b)(1)(A), (c)(2), (e)(1), and (e)(2) of sec-
tion 45H (as amended by paragraph (1)) and section 179B(a) 
are each amended by striking ‘‘qualified capital costs’’ and 
inserting ‘‘qualified costs’’. 
(B) The heading of paragraph (2) of section 45H(c) is 
amended by striking ‘‘CAPITAL’’. 
(C) Subsection (a) of section 179B is amended by inserting 
‘‘and which are properly chargeable to capital account’’ before 
the period at the end. 
(b) AMENDMENTS RELATED TO SECTION 710 OF THE ACT.— 
(1) Clause (ii) of section 45(c)(3)(A) is amended by striking 
‘‘which is segregated from other waste materials and’’. 
(2) Subparagraph (B) of section 45(d)(2) is amended by 
inserting ‘‘and’’ at the end of clause (i), by striking clause 
(ii), and by redesignating clause (iii) as clause (ii). 
(c) AMENDMENTS RELATED TO SECTION 848 OF THE ACT.— 
(1) Paragraph (2) of section 470(c) is amended to read 
as follows: 
‘‘(2) TAX-EXEMPT USE PROPERTY.— 
‘‘(A) IN GENERAL.—The term ‘tax-exempt use property’ 
has the meaning given to such term by section 168(h), 
except that such section shall be applied— 
‘‘(i) without regard to paragraphs (1)(C) and (3) 
thereof, and 
‘‘(ii) as if section 197 intangible property (as 
defined in section 197), and property described in para-
graph (1)(B) or (2) of section 167(f), were tangible prop-
erty. 
‘‘(B) EXCEPTION FOR PARTNERSHIPS.—Such term shall 
not include any property which would (but for this subpara-
graph) be tax-exempt use property solely by reason of sec-
tion 168(h)(6). 
‘‘(C) CROSS REFERENCE.—For treatment of partnerships 
as leases to which section 168(h) applies, see section 
7701(e).’’. 
(2) Subparagraph (A) of section 470(d)(1) is amended by 
striking ‘‘(at any time during the lease term)’’ and inserting 
‘‘(at all times during the lease term)’’. 
(d) AMENDMENTS RELATED
TO SECTION 888 OF
THE ACT.— 
(1) Subparagraph (A) of section 1092(a)(2) is amended by 
striking ‘‘and’’ at the end of clause (ii), by redesignating clause 
(iii) as clause (iv), and by inserting after clause (ii) the following 
new clause: 
‘‘(iii) if the application of clause (ii) does not result 
in an increase in the basis of any offsetting position 
in the identified straddle, the basis of each of the 
offsetting positions in the identified straddle shall be 
increased in a manner which— 
Applicability. 
26 USC 6501. 
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121 STAT. 2483 
PUBLIC LAW 110–172—DEC. 29, 2007 
‘‘(I) is reasonable, consistent with the purposes 
of this paragraph, and consistently applied by the 
taxpayer, and 
‘‘(II) results in an aggregate increase in the 
basis of such offsetting positions which is equal 
to the loss described in clause (ii), and’’. 
(2)(A) Subparagraph (B) of section 1092(a)(2) is amended 
by adding at the end the following flush sentence: 
‘‘A straddle shall be treated as clearly identified for pur-
poses of clause (i) only if such identification includes an 
identification of the positions in the straddle which are 
offsetting with respect other positions in the straddle.’’. 
(B) Subparagraph (A) of section 1092(a)(2) is amended— 
(i) by striking ‘‘identified positions’’ in clause (i) and 
inserting ‘‘positions’’, 
(ii) by striking ‘‘identified position’’ in clause (ii) and 
inserting ‘‘position’’, and 
(iii) by striking ‘‘identified offsetting positions’’ in 
clause (ii) and inserting ‘‘offsetting positions’’. 
(C) Subparagraph (B) of section 1092(a)(3) is amended by 
striking ‘‘identified offsetting position’’ and inserting ‘‘offsetting 
position’’. 
(3) Paragraph (2) of section 1092(a) is amended by redesig-
nating subparagraph (C) as subparagraph (D) and inserting 
after subparagraph (B) the following new subparagraph: 
‘‘(C) APPLICATION TO LIABILITIES AND OBLIGATIONS.— 
Except as otherwise provided by the Secretary, rules 
similar to the rules of clauses (ii) and (iii) of subparagraph 
(A) shall apply for purposes of this paragraph with respect 
to any position which is, or has been, a liability or obliga-
tion.’’. 
(4) Subparagraph (D) of section 1092(a)(2), as redesignated 
by paragraph (3), is amended by inserting ‘‘the rules for the 
application of this section to a position which is or has been 
a liability or obligation, methods of loss allocation which satisfy 
the requirements of subparagraph (A)(iii),’’ before ‘‘and the 
ordering rules’’. 
(e) EFFECTIVE DATE.— 
(1) IN GENERAL.—Except as otherwise provided in this sub-
section, the amendments made by this section shall take effect 
as if included in the provisions of the American Jobs Creation 
Act of 2004 to which they relate. 
(2) IDENTIFICATION REQUIREMENT OF AMENDMENT RELATED 
TO SECTION 888 OF THE AMERICAN JOBS CREATION ACT OF 2004.— 
The amendment made by subsection (d)(2)(A) shall apply to 
straddles acquired after the date of the enactment of this Act. 
SEC. 8. AMENDMENTS RELATED TO THE ECONOMIC GROWTH AND TAX 
RELIEF RECONCILIATION ACT OF 2001. 
(a) AMENDMENTS RELATED TO SECTION 617 OF THE ACT.— 
(1) Subclause (II) of section 402(g)(7)(A)(ii) is amended 
by striking ‘‘for prior taxable years’’ and inserting ‘‘permitted 
for prior taxable years by reason of this paragraph’’. 
(2) Subparagraph (A) of section 3121(v)(1) is amended by 
inserting ‘‘or consisting of designated Roth contributions (as 
defined in section 402A(c))’’ before the comma at the end. 
Applicability. 
26 USC 1092 
note. 
26 USC 1092. 
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121 STAT. 2484 
PUBLIC LAW 110–172—DEC. 29, 2007 
(b) 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. 9. AMENDMENTS RELATED TO THE TAX RELIEF EXTENSION ACT 
OF 1999. 
(a) AMENDMENT RELATED TO SECTION 507 OF THE ACT.—Clause 
(i) of section 45(e)(7)(A) is amended by striking ‘‘placed in service 
by the taxpayer’’ and inserting ‘‘originally placed in service’’. 
(b) AMENDMENT RELATED TO SECTION 542 OF THE ACT.—Clause 
(ii) of section 856(d)(9)(D) is amended to read as follows: 
‘‘(ii) LODGING FACILITY.—The term ‘lodging facility’ 
means a— 
‘‘(I) hotel, 
‘‘(II) motel, or 
‘‘(III) other establishment more than one-half 
of the dwelling units in which are used on a tran-
sient basis.’’. 
(c) EFFECTIVE DATE.—The amendments made by this section 
shall take effect as if included in the provisions of the Tax Relief 
Extension Act of 1999 to which they relate. 
SEC. 10. AMENDMENT RELATED TO THE INTERNAL REVENUE SERVICE 
RESTRUCTURING AND REFORM ACT OF 1998. 
(a) AMENDMENT RELATED
TO SECTION 3509 OF
THE ACT.— 
Paragraph (3) of section 6110(i) is amended by inserting ‘‘and 
related background file documents’’ after ‘‘Chief Counsel advice’’ 
in the matter preceding subparagraph (A). 
(b) EFFECTIVE DATE.—The amendment made by this section 
shall take effect as if included in the provision of the Internal 
Revenue Service Restructuring and Reform Act of 1998 to which 
it relates. 
SEC. 11. CLERICAL CORRECTIONS. 
(a) IN GENERAL.— 
(1) Paragraph (5) of section 21(e) is amended by striking 
‘‘section 152(e)(3)(A)’’ in the flush matter after subparagraph 
(B) and inserting ‘‘section 152(e)(4)(A)’’. 
(2) Paragraph (3) of section 25C(c) is amended by striking 
‘‘section 3280’’ and inserting ‘‘part 3280’’. 
(3) Paragraph (2) of section 26(b) is amended by redesig-
nating subparagraphs (S) and (T) as subparagraphs (U) and 
(V), respectively, and by inserting after subparagraph (R) the 
following new subparagraphs: 
‘‘(S) sections 106(e)(3)(A)(ii), 223(b)(8)(B)(i)(II), and 
408(d)(9)(D)(i)(II) (relating to certain failures to maintain 
high deductible health plan coverage), 
‘‘(T) section 170(o)(3)(B) (relating to recapture of certain 
deductions for fractional gifts),’’. 
(4) Subsection (a) of section 34 is amended— 
(A) in paragraph (1), by striking ‘‘with respect to gaso-
line used during the taxable year on a farm for farming 
purposes’’, 
(B) in paragraph (2), by striking ‘‘with respect to gaso-
line used during the taxable year: (A) otherwise than as 
a fuel in a highway vehicle; or (B) in vehicles while engaged 
26 USC 6110 
note. 
26 USC 45 note. 
26 USC 45. 
26 USC 402 note. 
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121 STAT. 2485 
PUBLIC LAW 110–172—DEC. 29, 2007 
in furnishing certain public passenger land transportation 
service’’, and 
(C) in paragraph (3), by striking ‘‘with respect to fuels 
used for nontaxable purposes or resold during the taxable 
year’’. 
(5) Paragraph (2) of section 35(d) is amended— 
(A) by striking ‘‘paragraph (2) or (4) of’’, and 
(B) by striking ‘‘(within the meaning of section 
152(e)(1))’’ 
and 
inserting 
‘‘(as 
defined 
in 
section 
152(e)(4)(A))’’. 
(6) Subsection (b) of section 38 is amended— 
(A) by striking ‘‘and’’ each place it appears at the 
end of any paragraph, 
(B) by striking ‘‘plus’’ each place it appears at the 
end of any paragraph, and 
(C) by inserting ‘‘plus’’ at the end of paragraph (30). 
(7) Paragraphs (2) and (3) of section 45L(c) are each 
amended by striking ‘‘section 3280’’ and inserting ‘‘part 3280’’. 
(8) Subsection (c) of section 48 is amended by striking 
‘‘subsection’’ in the text preceding paragraph (1) and inserting 
‘‘section’’. 
(9) Paragraphs (1)(B) and (2)(B) of section 48(c) are each 
amended by striking ‘‘paragraph (1)’’ and inserting ‘‘subsection 
(a)’’. 
(10) Clause (ii) of section 48A(d)(4)(B) is amended by 
striking ‘‘subsection’’ both places it appears. 
(11)(A) Paragraph (9) of section 121(d) is amended by 
adding at the end the following new subparagraph: 
‘‘(E) TERMINATION
WITH
RESPECT
TO
EMPLOYEES
OF 
INTELLIGENCE
COMMUNITY.—Clause (iii) of subparagraph 
(A) shall not apply with respect to any sale or exchange 
after December 31, 2010.’’. 
(B) Subsection (e) of section 417 of division A of the Tax 
Relief and Health Care Act of 2006 is amended by striking 
‘‘and before January 1, 2011’’. 
(12) The last sentence of section 125(b)(2) is amended by 
striking ‘‘last sentence’’ and inserting ‘‘second sentence’’. 
(13) Subclause (II) of section 167(g)(8)(C)(ii) is amended 
by 
striking 
‘‘section 
263A(j)(2)’’ 
and 
inserting 
‘‘section 
263A(i)(2)’’. 
(14)(A) Clause (vii) of section 170(b)(1)(A) is amended by 
striking ‘‘subparagraph (E)’’ and inserting ‘‘subparagraph (F)’’. 
(B) Clause (ii) of section 170(e)(1)(B) is amended by striking 
‘‘subsection (b)(1)(E)’’ and inserting ‘‘subsection (b)(1)(F)’’. 
(C) Clause (i) of section 1400S(a)(2)(A) is amended by 
striking ‘‘subparagraph (F)’’ and inserting ‘‘subparagraph (G)’’. 
(D) Subparagraph (A) of section 4942(i)(1) is amended by 
striking 
‘‘section 
170(b)(1)(E)(ii)’’ 
and 
inserting 
‘‘section 
170(b)(1)(F)(ii)’’. 
(15) Subclause (II) of section 170(e)(1)(B)(i) is amended 
by inserting ‘‘, but without regard to clause (ii) thereof’’ after 
‘‘paragraph (7)(C)’’. 
(16)(A) Subparagraph (A) of section 170(o)(1) and subpara-
graph (A) of section 2522(e)(1) are each amended by striking 
‘‘all interest in the property is’’ and inserting ‘‘all interests 
in the property are’’. 
26 USC 121 note. 
26 USC 35. 
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121 STAT. 2486 
PUBLIC LAW 110–172—DEC. 29, 2007 
(B) Section 170(o)(3)(A)(i), and section 2522(e)(2)(A)(i) (as 
redesignated by section 3(d)(2)), are each amended— 
(i) by striking ‘‘interest’’ and inserting ‘‘interests’’, and 
(ii) by striking ‘‘before’’ and inserting ‘‘on or before’’. 
(17)(A) Subparagraph (C) of section 852(b)(4) is amended 
to read as follows: 
‘‘(C) DETERMINATION OF HOLDING PERIODS.—For pur-
poses of this paragraph, in determining the period for 
which the taxpayer has held any share of stock— 
‘‘(i) the rules of paragraphs (3) and (4) of section 
246(c) shall apply, and 
‘‘(ii) there shall not be taken into account any 
day which is more than 6 months after the date on 
which such share becomes ex-dividend.’’. 
(B) Subparagraph (B) of section 857(b)(8) is amended to 
read as follows: 
‘‘(B) DETERMINATION OF HOLDING PERIODS.—For pur-
poses of this paragraph, in determining the period for 
which the taxpayer has held any share of stock or beneficial 
interest— 
‘‘(i) the rules of paragraphs (3) and (4) of section 
246(c) shall apply, and 
‘‘(ii) there shall not be taken into account any 
day which is more than 6 months after the date on 
which such share or interest becomes ex-dividend.’’. 
(18) Paragraph (2) of section 856(l) is amended by striking 
the last sentence and inserting the following: ‘‘For purposes 
of subparagraph (B), securities described in subsection (m)(2)(A) 
shall not be taken into account.’’. 
(19) Subparagraph (F) of section 954(c)(1) is amended to 
read as follows: 
‘‘(F) INCOME FROM NOTIONAL PRINCIPAL CONTRACTS.— 
‘‘(i) IN GENERAL.—Net income from notional prin-
cipal contracts. 
‘‘(ii) COORDINATION
WITH
OTHER
CATEGORIES
OF 
FOREIGN PERSONAL HOLDING COMPANY INCOME.—Any 
item of income, gain, deduction, or loss from a notional 
principal contract entered into for purposes of hedging 
any item described in any preceding subparagraph 
shall not be taken into account for purposes of this 
subparagraph but shall be taken into account under 
such other subparagraph.’’. 
(20) Paragraph (1) of section 954(c) is amended by redesig-
nating subparagraph (I) as subparagraph (H). 
(21) Paragraph (33) of section 1016(a), as redesignated 
by section 7(a)(1)(C), is amended by striking ‘‘section 25C(e)’’ 
and inserting ‘‘section 25C(f)’’. 
(22) Paragraph (36) of section 1016(a), as redesignated 
by section 7(a)(1)(C), is amended by striking ‘‘section 30C(f)’’ 
and inserting ‘‘section 30C(e)(1)’’. 
(23) Subparagraph (G) of section 1260(c)(2) is amended 
by adding ‘‘and’’ at the end. 
(24)(A) Section 1297 is amended by striking subsection 
(d) and by redesignating subsections (e) and (f) as subsections 
(d) and (e), respectively. 
(B) Subparagraph (G) of section 1260(c)(2) is amended by 
striking ‘‘subsection (e)’’ and inserting ‘‘subsection (d)’’. 
Applicability. 
Applicability. 
26 USC 852. 
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121 STAT. 2487 
PUBLIC LAW 110–172—DEC. 29, 2007 
(C) Subparagraph (B) of section 1298(a)(2) is amended by 
striking ‘‘Section 1297(e)’’ and inserting ‘‘Section 1297(d)’’. 
(25) Paragraph (1) of section 1362(f) is amended— 
(A) by striking ‘‘, section 1361(b)(3)(B)(ii), or section 
1361(c)(1)(A)(ii)’’ and inserting ‘‘or section 1361(b)(3)(B)(ii)’’, 
and 
(B) by striking ‘‘, section 1361(b)(3)(C), or section 
1361(c)(1)(D)(iii)’’ in subparagraph (B) and inserting ‘‘or 
section 1361(b)(3)(C)’’. 
(26) Paragraph (2) of section 1400O is amended by striking 
‘‘under of’’ and inserting ‘‘under’’. 
(27) The table of sections for part II of subchapter Y of 
chapter 1 is amended by adding at the end the following new 
item: 
‘‘Sec. 1400T. Special rules for mortgage revenue bonds.’’. 
(28) Subsection (b) of section 4082 is amended to read 
as follows: 
‘‘(b) NONTAXABLE USE.—For purposes of this section, the term 
‘nontaxable use’ means— 
‘‘(1) any use which is exempt from the tax imposed by 
section 4041(a)(1) other than by reason of a prior imposition 
of tax, 
‘‘(2) any use in a train, and 
‘‘(3) any use described in section 4041(a)(1)(C)(iii)(II). 
The term ‘nontaxable use’ does not include the use of kerosene 
in an aircraft and such term shall not include any use described 
in section 6421(e)(2)(C).’’. 
(29) Paragraph (4) of section 4101(a) (relating to registra-
tion in event of change of ownership) is redesignated as para-
graph (5). 
(30) Paragraph (6) of section 4965(c) is amended by striking 
‘‘section 4457(e)(1)(A)’’ and inserting ‘‘section 457(e)(1)(A)’’. 
(31) Subpart C of part II of subchapter A of chapter 51 
is amended by redesignating section 5432 (relating to record-
keeping by wholesale dealers) as section 5121. 
(32) Paragraph (2) of section 5732(c), as redesignated by 
section 11125(b)(20)(A) of the SAFETEA–LU, is amended by 
striking ‘‘this subpart’’ and inserting ‘‘this subchapter’’. 
(33) Subsection (b) of section 6046 is amended— 
(A) by striking ‘‘subsection (a)(1)’’ and inserting ‘‘sub-
section (a)(1)(A)’’, and 
(B) by striking ‘‘paragraph (2) or (3) of subsection (a)’’ 
and inserting ‘‘subparagraph (B) or (C) of subsection (a)(1)’’. 
(34)(A) Subparagraph (A) of section 6103(b)(5) is amended 
by striking ‘‘the Canal Zone,’’. 
(B) Section 7651 is amended by striking paragraph (4) 
and by redesignating paragraph (5) as paragraph (4). 
(35) Subparagraph (A) of section 6211(b)(4) is amended 
by striking ‘‘and 34’’ and inserting ‘‘34, and 35’’. 
(36) Subparagraphs (A) and (B) of section 6230(a)(3) are 
each amended by striking ‘‘section 6013(e)’’ and inserting ‘‘sec-
tion 6015’’. 
(37) Paragraph (3) of section 6427(e) (relating to termi-
nation), as added by section 11113 of the SAFETEA–LU, is 
redesignated as paragraph (5) and moved after paragraph (4). 
26 USC 1298. 
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121 STAT. 2488 
PUBLIC LAW 110–172—DEC. 29, 2007 
(38) Clause (ii) of section 6427(l)(4)(A) is amended by 
striking 
‘‘section 
4081(a)(2)(iii)’’ 
and 
inserting 
‘‘section 
4081(a)(2)(A)(iii)’’. 
(39)(A) Section 6427, as amended by section 1343(b)(1) 
of the Energy Policy Act of 2005, is amended by striking sub-
section (p) (relating to gasohol used in noncommercial aviation) 
and redesignating subsection (q) as subsection (p). 
(B) The Internal Revenue Code of 1986 shall be applied 
and administered as if the amendments made by paragraph 
(2) of section 11151(a) of the SAFETEA–LU had never been 
enacted. 
(40) Subsection (a) of section 6695A is amended by striking 
‘‘then such person’’ in paragraph (2) and inserting the following: 
‘‘then such person’’. 
(41) Subparagraph (C) of section 6707A(e)(2) is amended 
by striking ‘‘section 6662A(e)(2)(C)’’ and inserting ‘‘section 
6662A(e)(2)(B)’’. 
(42)(A) Paragraph (3) of section 9002 is amended by 
striking ‘‘section 309(a)(1)’’ and inserting ‘‘section 306(a)(1)’’. 
(B) Paragraph (1) of section 9004(a) is amended by striking 
‘‘section 320(b)(1)(B)’’ and inserting ‘‘section 315(b)(1)(B)’’. 
(C) Paragraph (3) of section 9032 is amended by striking 
‘‘section 309(a)(1)’’ and inserting ‘‘section 306(a)(1)’’. 
(D) Subsection (b) of section 9034 is amended by striking 
‘‘section 320(b)(1)(A)’’ and inserting ‘‘section 315(b)(1)(A)’’. 
(43) Section 9006 is amended by striking ‘‘Comptroller Gen-
eral’’ each place it appears and inserting ‘‘Commission’’. 
(44) Subsection (c) of section 9503 is amended by redesig-
nating paragraph (7) (relating to transfers from the trust fund 
for certain aviation fuels taxes) as paragraph (6). 
(45) Paragraph (1) of section 1301(g) of the Energy Policy 
Act of 2005 is amended by striking ‘‘shall take effect of the 
date of the enactment’’ and inserting ‘‘shall take effect on 
the date of the enactment’’. 
(46) The Internal Revenue Code of 1986 shall be applied 
and administered as if the amendments made by section 1(a) 
of Public Law 109–433 had never been enacted. 
(b) CLERICAL AMENDMENTS RELATED TO THE TAX RELIEF AND 
HEALTH CARE ACT OF 2006.— 
(1) AMENDMENT RELATED TO SECTION 209 OF DIVISION A 
OF THE ACT.—Paragraph (3) of section 168(l) is amended by 
striking ‘‘enzymatic’’. 
(2) AMENDMENTS RELATED TO SECTION 419 OF DIVISION A 
OF THE ACT.— 
(A) Clause (iv) of section 6724(d)(1)(B) is amended 
by inserting ‘‘or (h)(1)’’ after ‘‘section 6050H(a)’’. 
(B) Subparagraph (K) of section 6724(d)(2) is amended 
by inserting ‘‘or (h)(2)’’ after ‘‘section 6050H(d)’’. 
(3) EFFECTIVE DATE.—The amendments made by this sub-
section shall take effect as if included in the provision of the 
Tax Relief and Health Care Act of 2006 to which they relate. 
(c) CLERICAL AMENDMENTS RELATED TO THE GULF OPPORTUNITY 
ZONE ACT OF 2005.— 
(1) AMENDMENTS RELATED TO SECTION 402 OF THE ACT.— 
Subparagraph (B) of section 24(d)(1) is amended— 
(A) by striking ‘‘the excess (if any) of’’ in the matter 
preceding clause (i) and inserting ‘‘the greater of’’, and 
26 USC 168 note. 
Applicability. 
26 USC 9508 
note. 
26 USC 45 note. 
Applicability. 
26 USC 6427 
note. 
26 USC 6427. 
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121 STAT. 2489 
PUBLIC LAW 110–172—DEC. 29, 2007 
(B) by striking ‘‘section’’ in clause (ii)(II) and inserting 
‘‘section 32’’. 
(2) EFFECTIVE DATE.—The amendments made by this sub-
section shall take effect as if included in the provisions of 
the Gulf Opportunity Zone Act of 2005 to which they relate. 
(d) CLERICAL AMENDMENTS RELATED TO THE SAFE, ACCOUNT-
ABLE, FLEXIBLE, EFFICIENT TRANSPORTATION EQUITY ACT: A LEGACY 
FOR USERS.— 
(1) AMENDMENTS RELATED TO SECTION 11163 OF THE ACT.— 
Subparagraph (C) of section 6416(a)(4) is amended— 
(A) by striking ‘‘ultimate vendor’’ and all that follows 
through ‘‘has certified’’ and inserting ‘‘ultimate vendor or 
credit card issuer has certified’’, and 
(B) by striking ‘‘all ultimate purchasers of the vendor’’ 
and all that follows through ‘‘are certified’’ and inserting 
‘‘all ultimate purchasers of the vendor or credit card issuer 
are certified’’. 
(2) EFFECTIVE DATE.—The amendments made by this sub-
section shall take effect as if included in the provisions of 
the Safe, Accountable, Flexible, Efficient Transportation Equity 
Act: A Legacy for Users to which they relate. 
(e) CLERICAL AMENDMENTS RELATED TO THE ENERGY POLICY 
ACT OF 2005.— 
(1) AMENDMENT RELATED TO SECTION 1344 OF THE ACT.— 
Subparagraph (B) of section 6427(e)(5), as redesignated by sub-
section (a)(37), is amended by striking ‘‘2006’’ and inserting 
‘‘2008’’. 
(2) AMENDMENTS RELATED TO SECTION 1351 OF THE ACT.— 
Subparagraphs (A)(ii) and (B)(ii) of section 41(f)(1) are each 
amended by striking ‘‘qualified research expenses and basic 
research payments’’ and inserting ‘‘qualified research expenses, 
basic research payments, and amounts paid or incurred to 
energy research consortiums,’’. 
(3) EFFECTIVE DATE.—The amendments made by this sub-
section shall take effect as if included in the provisions of 
the Energy Policy Act of 2005 to which they relate. 
(f) CLERICAL AMENDMENTS RELATED TO THE AMERICAN JOBS 
CREATION ACT OF 2004.— 
(1) AMENDMENT RELATED TO SECTION 301 OF THE ACT.— 
Section 9502 is amended by striking subsection (e) and redesig-
nating subsection (f) as subsection (e). 
(2) AMENDMENT RELATED TO SECTION 413 OF THE ACT.— 
Subsection (b) of section 1298 is amended by striking paragraph 
(7) and by redesignating paragraphs (8) and (9) as paragraphs 
(7) and (8), respectively. 
(3) AMENDMENT RELATED TO SECTION 895 OF THE ACT.— 
Clause (iv) of section 904(f)(3)(D) is amended by striking ‘‘a 
controlled group’’ and inserting ‘‘an affiliated group’’. 
(4) EFFECTIVE DATE.—The amendments made by this sub-
section shall take effect as if included in the provisions of 
the American Jobs Creation Act of 2004 to which they relate. 
(g) CLERICAL AMENDMENTS RELATED TO THE FSC REPEAL AND 
EXTRATERRITORIAL INCOME EXCLUSION ACT OF 2000.— 
(1) Subclause (I) of section 56(g)(4)(C)(ii) is amended by 
striking ‘‘921’’ and inserting ‘‘921 (as in effect before its repeal 
by the FSC Repeal and Extraterritorial Income Exclusion Act 
of 2000)’’. 
26 USC 904 note. 
26 USC 41 note. 
26 USC 6416 
note. 
26 USC 6416. 
26 USC 24 note. 
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121 STAT. 2490 
PUBLIC LAW 110–172—DEC. 29, 2007 
(2) Clause (iv) of section 54(g)(4)(C) is amended by striking 
‘‘a cooperative described in section 927(a)(4)’’ and inserting 
‘‘an organization to which part I of subchapter T (relating 
to tax treatment of cooperatives) applies which is engaged 
in the marketing of agricultural or horticultural products’’. 
(3) Paragraph (4) of section 245(c) is amended by adding 
at the end the following new subparagraph: 
‘‘(C) FSC.—The term ‘FSC’ has the meaning given such 
term by section 922.’’. 
(4) Subsection (c) of section 245 is amended by inserting 
at the end the following new paragraph: 
‘‘(5) REFERENCES
TO
PRIOR
LAW.—Any reference in this 
subsection to section 922, 923, or 927 shall be treated as a 
reference to such section as in effect before its repeal by the 
FSC Repeal and Extraterritorial Income Exclusion Act of 
2000.’’. 
(5) Paragraph (4) of section 275(a) is amended by striking 
‘‘if’’ and all that follows and inserting ‘‘if the taxpayer chooses 
to take to any extent the benefits of section 901.’’. 
(6)(A) Subsection (a) of section 291 is amended by striking 
paragraph (4) and by redesignating paragraph (5) as paragraph 
(4). 
(B) Paragraph (1) of section 291(c) is amended by striking 
‘‘subsection (a)(5)’’ and inserting ‘‘subsection (a)(4)’’. 
(7)(A) Paragraph (4) of section 441(b) is amended by 
striking ‘‘FSC or’’. 
(B) Subsection (h) of section 441 is amended— 
(i) by striking ‘‘FSC or’’ each place it appears, and 
(ii) by striking ‘‘FSC’S AND’’ in the heading thereof. 
(8) Subparagraph (B) of section 884(d)(2) is amended by 
inserting before the comma ‘‘(as in effect before their repeal 
by the FSC Repeal and Extraterritorial Income Exclusion Act 
of 2000)’’. 
(9) Section 901 is amended by striking subsection (h). 
(10) Clause (v) of section 904(d)(2)(B) is amended— 
(A) by inserting ‘‘and’’ at the end of subclause (I), 
by striking subclause (II), and by redesignating subclause 
(III) as subclause (II), 
(B) by striking ‘‘a FSC (or a former FSC)’’ in subclause 
(II) (as so redesignated) and inserting ‘‘a former FSC (as 
defined in section 922)’’, and 
(C) by adding at the end the following: 
‘‘Any reference in subclause (II) to section 922, 923, 
or 927 shall be treated as a reference to such section 
as in effect before its repeal by the FSC Repeal and 
Extraterritorial Income Exclusion Act of 2000.’’. 
(11) Subsection (b) of section 906 is amended by striking 
paragraph (5) and redesignating paragraphs (6) and (7) as 
paragraphs (5) and (6), respectively. 
(12) Subparagraph (B) of section 936(f)(2) is amended by 
striking ‘‘FSC or’’. 
(13) Section 951 is amended by striking subsection (c) 
and by redesignating subsection (d) as subsection (c). 
(14) Subsection (b) of section 952 is amended by striking 
the second sentence. 
(15)(A) Paragraph (2) of section 956(c) is amended— 
26 USC 56. 
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121 STAT. 2491 
PUBLIC LAW 110–172—DEC. 29, 2007 
LEGISLATIVE HISTORY—H.R. 4839: 
CONGRESSIONAL RECORD, Vol. 153 (2007): 
Dec. 19, considered and passed House and Senate. 
(i) by striking subparagraph (I) and by redesignating 
subparagraphs (J) through (M) as subparagraphs (I) 
through (L), respectively, and 
(ii) by striking ‘‘subparagraphs (J), (K), and (L)’’ in 
the flush sentence at the end and inserting ‘‘subparagraphs 
(I), (J), and (K)’’. 
(B) Clause (ii) of section 954(c)(2)(C) is amended by striking 
‘‘section 956(c)(2)(J)’’ and inserting ‘‘section 956(c)(2)(I)’’. 
(16) Paragraph (1) of section 992(a) is amended by striking 
subparagraph (E), by inserting ‘‘and’’ at the end of subpara-
graph (C), and by striking ‘‘, and’’ at the end of subparagraph 
(D) and inserting a period. 
(17) Paragraph (5) of section 1248(d) is amended— 
(A) by inserting ‘‘(as defined in section 922)’’ after 
‘‘a FSC’’, and 
(B) by adding at the end the following new sentence: 
‘‘Any reference in this paragraph to section 922, 923, or 
927 shall be treated as a reference to such section as 
in effect before its repeal by the FSC Repeal and 
Extraterritorial Income Exclusion Act of 2000.’’. 
(18) Subparagraph (D) of section 1297(b)(2) is amended 
by striking ‘‘foreign trade income of a FSC or’’. 
(19)(A) Paragraph (1) of section 6011(c) is amended by 
striking ‘‘or former DISC or a FSC or former FSC’’ and inserting 
‘‘, former DISC, or former FSC (as defined in section 922 
as in effect before its repeal by the FSC Repeal and 
Extraterritorial Income Exclusion Act of 2000)’’. 
(B) Subsection (c) of section 6011 is amended by striking 
‘‘AND FSC’S’’ in the heading thereof. 
(20) Subsection (c) of section 6072 is amended by striking 
‘‘a FSC or former FSC’’ and inserting ‘‘a former FSC (as defined 
in section 922 as in effect before its repeal by the FSC Repeal 
and Extraterritorial Income Exclusion Act of 2000)’’. 
(21) Section 6686 is amended by inserting ‘‘FORMER’’ 
before ‘‘FSC’’ in the heading thereof. 
Approved December 29, 2007. 
26 USC 954. 
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