I-SEARCH (tm) V1.89P Retrieved Documents Listing on 10/21/93 at 12:31:47. Database: USCODE Search: (26:CITE) ------DocID 33515 Document 1 of 2652------ -CITE- 26 USC TITLE 26 -EXPCITE- TITLE 26 -HEAD- TITLE 26 - INTERNAL REVENUE CODE -MISC1- SECTIONS 1 TO 2000 APPEAR IN THIS VOLUME ACT AUG. 16, 1954, CH. 736, 68A STAT. 3 The following tables have been prepared as aids in comparing provisions of the Internal Revenue Code of 1954 (redesignated the Internal Revenue Code of 1986 by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095) with provisions of the Internal Revenue Code of 1939. No inferences, implications, or presumptions of legislative construction or intent are to be drawn or made by reason of such tables. Citations to 'R.A.' refer to the sections of earlier Revenue Acts. Table I --------------------------------------------------------------------- 1939 Code section number 1986 Code section number --------------------------------------------------------------------- 1 Omitted 2 7806(a) 3, 4 Omitted 11 1 12(a), (b)(1), (2) Omitted 12(b)(3), (c) 1 12(d) 2 12(e) Omitted 12(f) 1 12(g), 13(a) Omitted 13(b) 11 13(c)-(f), 14 Omitted 15(a), (b) 11 15(c) 1551 21 63 22(a) 61 22(b)(1) 101 22(b)(2)(A) 72 22(b)(2)(B) 72, 403 22(b)(2)(C) 72 22(b)(3)-(5) 102-104 22(b)(6) 107 22(b)(7) 894 22(b)(8) 115, 526, 892, 893, 911, 912, 933, 943 22(b)(9), (10) 108 22(b)(11)-(14) 109, 111-113 22(b)(15) 621 22(b)(16), (17) 114, 121 22(c) 471 22(d)(1)-(5) 472 22(d)(6) 1321, 6155(a) 22(e) 301(a) 22(f) 1001 22(g) 861, 862, 863, 864 22(h) Chapter 1, Subchapter G, Part III 22(i) Omitted 22(j) 76 22(k) 71 22(l) 691 22(m) 73, 6201(c) 22(n) 62 22(o) 75 23 161, 211 23(a)(1)(A), (B) 162 23(a)(1)(C) 263 23(a)(2) 212 23(b) 163, 265 23(c)(1) 164 23(c)(2) Omitted 23(c)(3), (d) 164 23(e)-(i) 165 23(j) 1091 23(k)(1) 166, 593 23(k)(2) 165(g)(1), 166(e), 582 23(k)(3) 165(g)(2) 23(k)(4), (5) 166 23(k)(6) 166, 271 23(l) 167 23(m) 611 23(n) 167 23(o) 170 23(p) 404 23(q) 170 23(r) 591 23(s) 172 23(t) 168, 169 23(u) 215 23(v) 171 23(w) 691 23(x) 213 23(y) Omitted 23(z) 216 23(aa)(1) 141 23(aa)(2) 36 23(aa)(3) 144 23(aa)(4) 4, 142 23(aa)(5)-(7) 142-144 23(bb) 173 23(cc) 616 23(dd) 592 23(ee) 1202 23(ff) 615 24(a) 261 24(a)(1) 262 24(a)(2), (3) 263 24(a)(4), (5) 264, 265 24(a)(6) 264 24(a)(7) 266 24(b), (c) 267 24(d) 273 24(e) 1451 24(f) 268 25(a) 35 25(b)(1) 151 25(b)(2) 153 25(b)(3) 152 26 241 26(a) 242 26(b)(1)-(3) 243-245 26(b) 246 26(c) 545, 556 26(d) 535, 545, 601 26(e) Omitted 26(f) 561, 562, 564 26(g) 565 26(h) 247 26(i) 922 27(a) 561 27(b) 535, 562 27(c)-(i) 562, 564 28 565 31 33 32 32 33 6401 34 Omitted 35 31 41 441, 446 42(a) 451 42(b)-(d) 454 43 461 44 453, 7101 45 482 46 442 47 443, 6011(a) 48 441, 7701 51 6001, 6011(a) 51(a) 6001, 6012(a), 6065(b) 51(b) 6012(b)(1), 6013(a), 6014(b) 51(c) 6012(b) 51(d) Omitted. See 6064. 51(e) 6065(a) 51(f) 6014(a), (b), 6151(a), (b), 6155(a) 51(g) 6012(b), 6013(b), 6653(a), 6659 52 6012(a), (b), 6062 53 6072, 6081, 6091 54(a)-(b) 6001 54(c)-(e) Omitted 54(f) 6033(a), 6065(b) 55 6103, 7213(a) 56(a) 6151(a) 56(b) 6152, 6601(c)(2) 56(c) 6161(a), 6162(a), 6165, 7101 56(d)-(f) Omitted 56(g) 6313 56(h) Omitted 56(i) 6151(b) 56(j), 57 Omitted 58 6012(b), 6015, 6064, 6065, 6073(a), (c), 6081(a), 6091(b), 6103, 6161(a) 59(a)-(c) 6153 59(d) 6201(b), 6315, 6601(g) 60 6015(g), 6073(b), (d), (e), 6091(b), 6153(b), (d), (e) 61 Omitted 62 7805 63 6108 64 7701 101(1)-(11), (13)-(19) 501 101(12) 521, 522 101 502 102(a) 531, 532 102(b), (c) 533 102(d), (e) 535, 541 102(f) 536 103 891 104(a) 581 104(b) 11 105 632 106 1347 107(a), (b) 1301, 1302 107(c) 1304(a) 107(d) 1303 107(e) 1304(b) 108 21 109 921 110 594 111 1001 112(a) 1002 112(b)(1) 1031 112(b)(2) 1036 112(b)(3) 354, 355 112(b)(4) 361 112(b)(5) 351 112(b)(6) 332 112(b)(6)(D) 7101 112(b)(7) 333 112(b)(8) 1081 112(b)(9) 373 112(b)(10) 371 112(b)(11) 355 112(c) 351, 356, 371, 1031 112(d) 361, 371 112(e) 351, 356, 361, 371, 1031 112(f) 1033 112(g), (h) 368 112(i) 367 112(j) Omitted 112(k) 357, 371 112(l) 371 112(m) 1071 112(n) 1034 113(a) 1012 113(a)(1) 1013 113(a)(2)-(4) 1015 113(a)(5) 1014 113(a)(6) 358, 1031 113(a)(7), (8) 362 113(a)(9) 1033 113(a)(10) 1091 113(a)(11), (12) 1051, 1052 113(a)(13) 723, 732 113(a)(14) 1053 113(a)(15) 334 113(a)(16) 1052 113(a)(17) 1082 113(a)(18) 334 113(a)(19) 307 113(a)(20), (21) 373 113(a)(22) 372 113(a)(23) 358 113(b) 1011 113(b)(1), (2) 1016 113(b)(3), (4) 1017, 1018 113(c), (d) 1019, 1020 113(e) 1022 114(a) 167(f) 114(b)(1) 612 114(b)(2) Omitted 114(b)(3) 613(b)(3) 114(b)(4) 613(b)(4) 115(a) 301, 316 115(b) 301, 316 115(c) 302, 312, 331, 342 115(d), (e) 301 115(f) 305 115(g)(1) 302 115(g)(2) 304 115(g)(3) 303 115(h) 312 115(i) 302, 346 115(j) 301 115(k) Omitted 115(l), (m) 312 116(a) 911 116(b) Omitted 116(c) 892 116(d), (e) 115 116(f) 943 116(g) 526 116(h) 893 116(i) 121(a)(17) 116(j), (k) 912 116(l) 933 117(a) 1221, 1222 117(b) 1202 117(c) 1201 117(d) 1211 117(e)(1) 1212 117(e)(2) Omitted 117(f) 1232 117(g)(1), (2) 1233, 1234 117(g)(3) 1238 117(h) 1223 117(i) 582 117(j) 1231 117(k) 631 117(l) 1233 117(m) 341 117(n) 1236 117(o), (p) 1239, 1240 118 1091 119(a), (b) 861 119(c), (d) 862 119(e) 861, 862, 863 119(f) 864 120 170 121 583 122 172 123 77 124 Omitted 124A, 124B 168, 169 125 171 126 691 127(a), (b) Omitted 127(c)(1)-(5) 1331-1335 127(d) 1336 127(e), (f) 1337 128 1346 129, 130 269, 270 130A 421 131(a) 901 131(b) 904 131(c) 905, 6155(a), 7101 131(d), (e) 905 131(f) 902 131(g) 901(c) 131(h) 903 131(i) 905 141 1501-1505, 6071, 6081(a), 6091(b)(2), 6503(a)(2) 142 6012(a), (b), 6065(a) 143(a) 1451 143(b) 1441 143(c) 1461, 6011(a), 6072(a), 6091(b), 6151(a) 143(d), (e) 1462, 1463 143(f) 1464, 6414 143(g) 1461 143(h) 1443, 6151 144 1442, 6151(a) 145 7201, 7202, 7203, 7343 146 443, 6155(a), 6601(a), 6658, 6851, 7101 147 6041(b), (c), 6071, 6081(a), 6091(a) 148 6042, 6043, 6044, 6065(a), 6071, 6081(a), 6091(a) 149 6045, 6065(a), 6071, 6081(a), 6091(a) 150 6071, 6081(a), 6091(a), 7001(a), 7231 151 Omitted 153(a) 6033(b), 6071, 6081(a), 6091(a) 153(b) 6034, 6071, 6081(b), 6091(a) 153(c) 6104 153(d) 7201, 7203 154 692 161 641 162(a) 642(c) 162(b) 651, 652, 661, 662 162(c) 661 162(d) 643, 663 162(e), (f) 642 162(g) 681 163(a)(1), (2), (b) 642 163(c) 642(a)(1) 164 652, 662 165(a) 401, 501(a) 165(b)-(d) 402 166, 167 676, 677 168 642 169(a)-(c) 584, 6065 169(d)(1)-(4), (e) 584 169(f) 6032, 6065(a) 169(g) 584 170 584, 642 171 682 172 642 181, 182 701, 702 183(a), (b) 702, 703 183(c) 702 183(d) 703(a) 184, 186 702 187 6031, 6063, 6065(a) 188 706 189 702, 703 190 Omitted 191 704 201(a)(1) 802 201(a)(2), (3) 807 201(b) 801 201(c)(1)-(7) 803(a)-(g) 201(d)-(f) 803(h)-(j) 201(g), 202(a) Omitted 202(b) 804(a) 202(c) 806 203 Omitted 203A 805 204(a)(1) 831(a) 204(a)(2) 831(b), 832 204(a)(3) 831(b) 204(b)(1) 832(b)(1) 204(b)(2) 832(a) 204(b)(3)-(7) 832(b)(2)-(6) 204(c)-(e) 832(c)-(e) 204(f) 832(c)(12) 205, 206 841, 842 207(a)(1), (2) 821(a) 207(a)(3), (4) 821(b), (c) 207(a)(5) 822(e) 207(a)(6) 821(d) 207(b)(1) 822(a), (b) 207(b)(2), (3) 823(1), (2) 207(b)(4) 822(a) 207(b)(4)(A)-(F) 822(c) 207(c), (d) 822(d)(1), (2) 207(e) 822(e) 207(f) 822(d)(3) 207(g), 208 Omitted 211, 212 871, 872 213(a)-(c) 873 213(d) 142(b)(1) 214 873 215 874, 6011(a), 6065(b) 216 874 217 6011(a), 6012(a), 6072(c) 218(a) 6151(a) 219 875 220 876 221 877 231(a) 881 231(b), (c) 882(a), (b) 231(d) 883 232(a), (b) 882 233 882, 6065(a) 234 882 235(a) 882, 6011(a), 6072(c) 235(b) 6012(a) 236(a) 6151(a) 236(b) 884(1) 237 884(3) 238 884(4) 251 931, 6011(a) 252 932 261 11 262 941 263 942 265 943 271 6211, 6653(c)(1) 272(a) 6212(a), (b)(2), 6213(a) 272(b) 6155(a), 6215(a) 272(c) 6155(a), 6213(c) 272(d) 6213(d) 272(e) 6214(a) 272(f) 6212(c), 6213(b)(1) 272(g), (h) 6214(b), (c) 272(i) 6152(c), 6601(c)(2) 272(j) 6161(b), 6165, 7101 272(k) 6212(b) 273(a)-(i), (k) 6155, 6861, 6863(a), (b), 7101 273(j) 6404(b) 274 6036, 6155(a), 6161(c), 6503(b), 6871, 6872, 6873 275 6501 276 6501(c), 6502(a) 277 6503(a) 291 6651(a), 6659 292 6155(a), 6601 293 6653(a), (b), 6659 294 6601, 6651(c), 6654(a) 295-298 6601 299 6658 311, 312 6901, 6903 313 Omitted 321 6403 322(a)(1)-(3) 6401, 6402 322(a)(4) 31 322(b)(1)-(3) 6511 322(b)(4) 6151(c), 6513(a), 6611(d) 322(b)(5), (6) 6511(d) 322(c) 6512(a) 322(d) 6512(b) 322(e) 6151(c), 6513(b), 6611(d) 322(f) Omitted 322(g) 6511(d) 331-334 552-555 335, 336(a)-(c) 556 336(d) 557 337 551 338 6035(a) 339 6035(b) 340 7201, 7203 361 851 362 852, 855 371-373 1081-1083 391-393, 394(a)-(c) Omitted 394(d) 312 394(e), (f), 395, 396 Omitted 400 3 401, 402 4 403 36 404 4 421(a), (b) 501, 511 421(c), (d) 512 422(a) 512 422(b), 423, 424 513, 514, 515 480, 481 1401, 1402 482 1403, 6017 500-503 541-544 504(a), (b) 545 504(c) 562, 563 504(d) Omitted 504(e) 545 505(a)-(c) 545 505(d) Omitted 505(e) 546 506(a)-(h) 547 506(i), (j), 507(a) Omitted 507(b) 543 508 Omitted 509 531 510 Chapter 1, Subchapter G, Part III 511 6103, 7213(a) 650, 651 1471 722(g) 6105 800 2001, 2101 801, 802 Omitted 810 2001(a), 2011(a), (b) 811 2031(a) 811(a), (b) 2033, 2034 811(c) 2035, 2036, 2037 811(d)(1) 2038(a)(1) 811(d)(2) 2038(a)(2) 811(d)(3) 2038(b) 811(d)(4) Omitted 811(e)-(g) 2040-2042 811(h) 2044 811(i) 2043(a) 811(j) 2032 811(k), (l) 2031(b), 2035 811(m) Omitted 812 2051 812(a) Omitted 812(b) 2043(b), 2053, 2054 812(c) 2013 812(d), (e) Omitted. See 2055, 2056. 813(a)(1) Omitted 813(a)(2) 2012 813(b) 2011 813(c) 2014 820 6036, 6091(a) 821(a) 6018, 6065(a) 821(b) 6071, 6075(a), 6081(a) 821(c) 6091(b) 821(d) 6001 821(e) Omitted 822(a)(1) 6151(a) 822(a)(2) 6161(a)(2), 6165, 6503(d), 7101 822(b) 2002 823 6314(b) 824 Omitted 825 2204 826(a) 7404 826(b)-(d) 2205-2207 827(a) 6324(a)(1), 6325(a)(1) 827(b), (c) 6324(a)(2), (3) 828, 840, 841 Omitted 850 2202 851 Omitted 860 2101 861 2102, 2103, 2106 862, 863 2104, 2105 864(a) 6018, 6065(a) 864(b) 6071, 6075(a), 6081(a) 864(c) 6091(b) 865 Omitted 870 6211(a), 6653(c)(1) 871(a) 6212(a), 6213(a) 871(b) 6155(a), 6215(a) 871(c) 6155(a), 6213(c) 871(d), (e) 6213(d), 6214(a) 871(f) 6212(c), 6213(b) 871(g) 6214(c) 871(h) 6161(b)(2), 6165, 6503(d), 7101 871(i) 6155(a), 6653(b), 6659(a) 872(a) 6155(a), 6861(a) 872(b)-(e) 6861(b)-(e) 872(f) 6863(a), (b)(2), 7101 872(g) 6155(a), 6863(b)(1) 872(h) 6863(a), (b)(2) 872(i) 6155(a), 6861(f) 872(j) 6861(g) 873 6404(b) 874(a) 6501(a) 874(b)(1) 6501(c)(1), (3) 874(b)(2) 6502(a) 874(b)(3) 2016, 6071, 6081, 6091, 6155 875 6503(a)(1) 876 Omitted 890 6601(a), (b), (f)(1) 891 6155(a), 6601(a), (d), (f)(1) 892 6601(a), (c)(3) 893 6601(a), (c), (f) 894(a) 6651(a), 6653(a) 894(b) 7201, 7202, 7203, 7207, 7269, 7343 900(a) 6901(a), (b) 900(b), (c) 6901(c), (f) 900(d) 6904, 7421(b) 900(e) 6901(h) 901(a), (b) 6903(a) 901(c) 6903(b) 901(d) 6212(b) 910, 911, 912 6511, 6512(a), (b) 913, 920, 921 Omitted 925 6163(a), 6601(a), (b) 926 6163(a), 7101 927 2015 930(a) 2203 930(b)-(d), 931 Omitted 935 2001, 2052, 2101 936(a) Omitted 936(b), (c) 2012, 2014 937 6018(a), 7203 938 6103 939 2201 1000(a) 2501 1000(b) 2511(a) 1000(c) 2514 1000(d), (e) Omitted 1000(f) 2513 1000(g) Omitted 1001(a), (b) 2502(a), (c) 1001(c) Omitted 1002 2512(b) 1003 2503 1004(a)(1)-(3) 2521-2523 1004(b), (c) 2522, 2524 1005 2512(a) 1006(a) 6019(a), 6065(a) 1006(b) 6075(b), 6091(b)(1) 1007 6001 1008(a) 2502(d), 6151(a) 1008(b) 6161(a)(1) 1008(c) Omitted 1008(d) 6313 1008(e) 6314(a) 1009 6324(b), 6325(a)(1) 1010 Omitted 1011 6211(a), 6653(c)(1) 1012(a) 6212(a), 6213(a) 1012(b) 6155(a), 6215(a) 1012(c) 6155(a), 6213(c) 1012(d) 6213(d) 1012(e) 6214(a) 1012(f) 6212(c), 6213(b) 1012(g), (h) 6214(b), (c) 1012(i) 6161(b)(1), 6165, 7101 1012(j) 6212(b) 1013(a) 6155(a), 6861(a) 1013(b)-(e) 6861(b)-(e) 1013(f) 6863(a), (b)(2), 7101 1013(g) 6155(a), 6863(b)(1) 1013(h) 6863(a), (b)(2) 1013(i) 6155(a), 6861(f) 1013(j) 6861(g) 1014 6404(b) 1015(a) 6871 1015(b) 6155(a), 6161(c), 6503(b), 6873(a) 1016 6501, 6502(a) 1017 6503(a)(1) 1018 Omitted 1019 6653, 6659(b) 1020 6601(a), (f)(1) 1021 6155(a), 6601(a), (d), (f)(1) 1022 6601(a), (c)(3) 1023 6601(a), (c)(1), (f)(1) 1024(a) 7201, 7203 1024(b) 7201 1025(a) 6901(a), (b) 1025(b)-(d) 6901(c), (e), (f) 1025(e) 6904, 7421(b) 1025(f) 6901(h) 1025(g) 6901(g) 1026(a) 6903(a) 1026(b) 6903 1026(c) 6903(b) 1027(a) 6402(a) 1027(b) 6511(a), (b) 1027(c), (d) 6512(a), (b) 1028 Omitted 1029 7805(a) 1030(a) 2502(b) 1030(b) 2511(b) 1031 6103 1100, 1101 7441, 7442 1102(a)-(g) 7443(a)-(g) 1103(a)-(d) 7444(a)-(d) 1104-1106 7445-7447 1110, 111 7451, 7453 1112, 1113 7454(a), 7455 1114(a), (b) 7456(a), (c) 1115(a), (b) 7457(a), (b) 1116 7458 1117(a)-(f) 7459(a)-(f) 1117(g) 6155(a), 6659, 6673 1117(h) Omitted 1118 7460 1119, 1120, 1121 6902, 7461, 7462 1130-1133 7471-7474 1140-1143 7481-7484 1144 Omitted 1145 7101, 7485(a) 1146 7486 1250-1252 1491-1493 1253 1494, 6071, 6081(a), 6091(a), 6151(a) 1400 3101 1401(a), (b) 3102(a), (b) 1401(c) 6205(a), 6413(a)(1) 1401(d)(1), (2) Omitted 1401(d)(3), (4) 6413(c)(1), (2) 1402 3502 1403 6051(a) 1410 3111 1411 6205(a), 6413(a) 1412 3112 1420(a) 3501 1420(b) 6601(a), (f)(1) 1420(c) 6011(a), 6071, 6081(a), 6091(a), 6302(b) 1420(d) 6313 1420(e) 3122 1421 6205(b), 6413(b) 1422 3503 1423(a) 6802(1) 1423(b), (c) 6803(a)(1), (2) 1424 7509 1425(a) 7209 1425(b) 7208(1) 1426(a)-(e) 3121(a)-(e) 1426(f) 7701(a)(1) 1426(g)-(l) 3121(f)-(k) 1427, 1428 3123, 3124 1429 7805(a), (c) 1430, 1431 Omitted 1432 3125 1500 3201 1501(a), (b) 3202(a), (b) 1501(c) 6205(a)(1), 6413(a)(1) 1502 6205(b), 6413(b) 1503 3502(a) 1510, 1511, 1512 3211, 3212, 3502 1520 3221 1521 6205(a)(1), 6413(a)(1) 1522 6205(b), 6413(b) 1530(a) 3501 1530(b) 6011(a), 6071, 6081(a), 6091(a), 6151(a) 1530(c) 6601(a), (f)(1) 1530(d) 6313 1531 3503 1532(a)-(e) 3231(a)-(e) 1532(f) 7701(a)(9) 1532(g), (h) 3231(f), (g) 1532(i) 7701(a)(1) 1534 3232 1535 7805(a), (c) 1536, 1537 Omitted 1538 3233 1600 3301 1601(a)-(c) 3302 1601(d) 6413(d) 1602 3303 1603 3304 1604(a) 6011(a), 6065, 6071, 6091(b)(1), (2) 1604(b) 6081(a) 1604(c) 6106 1605(a) 3501 1605(b) 6601(a), (f)(1) 1605(c) 6152(a)(3), (b), 6155(a), 6601(c)(2) 1605(d) 6161(a)(1) 1605(e) 6313 1606 3305 1607(a)-(j) 3306(a)-(j) 1607(k) 7701(a)(1) 1607(l)-(o) 3306(k)-(n) 1608 3307 1609 7805(a), (c) 1610 Omitted 1611 3308 1621 3401 1622(a), (b) 3402(a), (b) 1622(c)(1)(A) Omitted 1622(c)(1)(B), (2)-(5) 3402(c) 1622(d) 3402(d) 1622(e) 3502(b) 1622(f)(1) 6414 1622(f)(2) 6401, 6402 1622(g)-(k) 3402(e)-(i) 1623 3403 1624 3404, 6011(a) 1625(c) 6081(a) 1626(a) 7204 1626(b) 6674 1626(d) 7205 1627 Omitted 1631 6651(a) 1632 3504 1633(a), (b) 6051(a)-(d) 1633(c) 6081(a) 1634(a) 7204 1634(b) 6659, 6674 1635(a) 6501(a) 1635(b) 6501(c)(1), (3) 1635(c) 6501(c)(2) 1635(d) 6502(a) 1635(e) 6501(b)(2) 1635(f), (g) Omitted 1636(a)(1) 6511(a), (b)(1) 1636(a)(2) 6511(b)(2) 1636(b) Omitted 1636(c) 6513(c) 1636(d), (e) Omitted 1650 4001, 4011, 4021, 4471 1651 4031 1652-1655 Omitted 1656(a), (b), (c) 5063(a), (b), (c) 1657-1659 Omitted 1700 4231, 4232, 6011(a) 1701 4233 1702, 1703 4234 1704 4232 1710 4241 1711 4243 1712 4242 1715(a) 4291 1715(b), (c) 6151(a) 1715(d) 6415(b), (c), (d), 6416(a) 1716(a) 6011(a), 6065(a) 1716(b) 6071, 6081(a) 1716(c) 6091(b)(1), (2) 1717 6601(a), (f)(1) 1718(a) 7201, 7203 1718(b) 7201, 7202 1718(c) 6659, 6671(a), 6672 1718(d) 6671(b), 7343 1719 6302(b) 1720 6001 1721-1723 Omitted 1800 4301, 4311, 4321 1801 4311, 4312, 4314, 4315, 4381 1802 4301, 4302, 4304, 4321, 4322, 4323, 4341, 4342, 4343, 4344, 4351, 4352, 4353, 4381 1804 4371, 4372, 4373 1805 4891, 4892, 4894, 4895, 4896, 7701(a)(1) 1807 4451 1808 4303, 4373, 4382 1809 4383, 4454, 4893, 6201(a)(2), 6801(a), (b) 1815 6804 1816 Omitted 1817(a)-(c) 6802(1)-(3) 1818(a) 6803(b)(1), 7101 1818(b) 6803(b)(2) 1819 Omitted 1820 7271(2), (3) 1821(a)(1) 7201, 7203 1821(a)(2) 7201, 7202 1821(a)(3) 6653(e), 6659, 6671(a), 6672 1821(a)(4) 6671(b), 7343 1821(b)(3) 4374, 7270 1821(b)(4) 7201 1822 7208(3), 7271(1) 1823 7303(1) 1823(a)-(c) 7208(2)-(4) 1830 4453 1831 4452, 4455, 7272 1832 4456 1835 6001 1836-1838 Omitted 1850 4286 1851 4291 1852(a) 6011(a), 6065(a), 6071 1852(b) 6091(b)(1), (2) 1853(a), (b) 6151(a) 1853(c) 6601(a), (f)(1) 1854 6415(a), (b), (d) 1855, 1856 Omitted 1857 4287 1858, 1859 Omitted 1900, 1901, 1902 4881, 4883, 4884 1902(a)(1) 6011(a), 6065(a), 6071 1902(a)(2) 6091(b)(1), (2) 1902(a)(3), (b) 6151(a) 1903 4885 1904 Omitted 1905, 1906 4882, 4883 1907 Omitted 1920(a), (b) 4851(a), (b) 1920(c) 4871, 6804 1921 4861 1922 4863 1923 4864 1924 4865 1925 4853, 7492 1926 4854 1927 4862 1928 4872, 6001 1929(a) 7233(1), (2) 1929(b) 7263(b) 1929(c) 7263(a) 1930 4874, 7493 1931 4852, 7701(a)(1) 1932 4873 1933 4876 1934 Omitted 1935 4875 2000(a), (b) 5701(a) 2000(c)(1), (2) 5701(b), (c) 2000(d) 5701(d), (e) 2000(g)(1)-(3) 5707(a)-(c) 2001(a) 5703(a) 2002(b) 5703(d) 2002(c) 5703(a) 2010 5702(b) 2012 5712 2013 5711(a), (b) 2014 5713(a), (b) 2017 5721 2018 5741 2019 5722 2030 5702(e) 2032 5712 2033 5711(a), (b) 2036 5721 2037 5741 2038 5722 2039(a) 5711(a), (b) 2039(b) 5722, 5741 2040 5704(c) 2050 5702(b)(1) 2052 5712 2053 5711(a), (b) 2054 5713(a), (b) 2055 Omitted 2056 5741 2057 Omitted 2058 5732 2059, 2060 5731 2070-2075 Omitted 2100(a), (b) 5723(a) 2100(c)(1) 5723(d) 2100(c)(2) 5723(a) 2100(d) 5723(b), (c) 2100(e) 5723(a) 2101 5704(c) 2102 5723(a) 2103(a)(1) 5723(a) 2103(e) 5752 2104(a) 5751(a) 2110(a), (b) 5702(c), (d) 2111(a)(1), (2) 5723(a) 2111(a)(3) 5723(d) 2111(b) 5723(a) 2111(c) 5723(b), (c) 2111(d), (e)(1) 5723(a) 2111(e)(2) 5723(d) 2111(f) 5704(a), 5723(d) 2112(a)(1) 5723(a) 2112(e) 5752 2113 5751(a) 2130(a), (b) 5723(a), 5762(a)(4), (6) 2130(c) 5723(a), 5762 2130(d) 5704(d) 2135(a)(1), (2) 5704(b), (c) 2135(a)(3) 5704(b) 2136(a) 5706 2137 5705(a) 2150 Omitted 2151 5762(a)(5) 2152-2154 Omitted 2155(a) 5762(a)(4), (5) 2155(b) 5763(a) 2156(a) 5762(a)(2), (3) 2156(b) 5762(a)(3) 2156(c) 5761(b) 2160(a) 5762(a)(4) 2160(b)-(d) 5762(a)(5) 2160(e) 5762(a)(6) 2160(g)(1), (2) 5762(a)(8), (9) 2160(g)(3) 5762(a)(6) 2160(h) 5763(a) 2160(i) 5762(a)(9), (10) 2161(a) 5762(a)(1) 2161(b) 5763(c) 2161(c) 5762(a)(1) 2161(e)-(g) 5762(a)(2) 2161(h) 5763(b) 2161(i)(1) 5763(b) 2161(j)(1) 5763(b) 2161(l)(1) 5763(b) 2161(m)(1) 5761(a) 2161(m)(2) 5763(b) 2162(a)(2) 5762(a)(1) 2162(a)(3)-(5) 5762(a)(2) 2162(b)(1) 5762(a)(4), (5) 2163 Omitted 2170(a)(2) 5751(a), 5762(a)(5) 2170(a)(4) 5762(a)(6) 2170(b) 5762(a)(5), 5763(a) 2171(a) 5763(a) 2171(b)(1) 5762(a)(4) 2171(b)(2) 5762(a)(4), (5) 2172(a) 5762(a)(8) 2172(b) 5762(a)(6) 2172(c) 5762(a)(9) 2172(d) 5762(a)(6) 2172(e), (f) 5762(a)(9) 2173(a), 2174 5762(a)(5) 2175 5763(a) 2176(a)(2) 5762(a)(10) 2176(a)(3) 5762(a)(8) 2180(a) 5762(a)(1) 2180(b) 5763(c) 2180(d)-(f) 5762(a)(2) 2180(g)(1) 5763(b) 2180(h) 5763(b) 2180(i)(1) 5763(b) 2180(k)(1) 5763(b) 2180(l)(1) 5761(a) 2180(l)(2) 5763(b) 2181 Omitted 2190 5753 2191-2193 Omitted 2194 5703(a), 5722, 5741 2197(b) 5704(b) 2198 5705(a) 2300 4592, 4593 2302 4594, 4596, 6001, 7101, 7641 2303 4595, 4597, 6001 2304 4595 2305 4813 2306 4591, 4812 2307 4593, 4816 2308(a) 7234(a) 2308(b) 7265(a)(1) 2308(c) 7234(b) 2308(d) 7234(d)(4) 2308(e) 7265(b) 2308(f) Omitted 2308(g) 7234(d)(2) 2308(h), (i) 7234(c), (d) 2308(j) 7265(c) 2309 7303(2), (3), (5) 2310 Omitted 2311 4591, 4818 2312-2314 Omitted 2320 4826 2321 4811, 4813 2322 4814, 4826, 6001, 7101, 7641 2323 4815, 4826 2324 4815, 6001 2325 4817 2326(a) 7235(a), 7265(a) 2326(b), (c) 7235(b), (c) 2327 4812, 4813, 4816, 4818, 7235(e), 7265(b), (c) 2350 4846 2351 4831, 4832, 6201(a)(2)(A) 2352 4833, 4846, 6001, 7101, 7641 2353, 2354 4834, 4846 2355 4832 2356 4831, 4832 2357 7236, 7266(b)-(f) 2358 7303(2), (4), (5) 2359 Omitted 2360 4835 2361 4832 2362 Omitted 2400 4001, 4003 2401 4011, 4012 2402 4021, 4022 2403(a) 6011(a), 6065(a), 6071, 6081(a), 6091(b)(1), (2) 2403(b) 6151(a), 6601(a), (f)(1) 2403(c) 4051 2404, 2405 4052, 4053 2406 4055, 4056 2407 6416(a), (b) 2408 Omitted 2409 7261 2410, 2411 Omitted 2412 4002, 4003, 4012, 4013 2413 4054 2450 4041 2451(a) 6011(a), 6071, 6081(a), 6091(b)(1), (2), 6151(a) 2451(b) 6151(a), 6601(a), (f)(1) 2452(a) 6416(b)(2)(D) 2452(b) 6416(a) 2453 4055, 6416(b)(2)(A) 2454, 2455 Omitted 2456 4222 2470 4511, 4513 2471 6011(a), 6065(a), 6071, 6081(a), 6091(b)(1), (2) 2472 6151(a) 2473 6417(a) 2474 4513, 6417(b), 7101 2475 6601(a), (f)(1) 2477 4512 2478, 2479 Omitted 2480 7809(a) 2481, 2482 Omitted 2483 7654 2490 4561, 4571, 4581 2491 4561, 4562, 4571, 4572, 4581, 4582 2492 4582, 4602 2493 4601 2494 Omitted 2550 4701, 4771 2550(c) 6302(b) 2551 4702 2552 4703, 4771 2553 4704, 4723 2554 4705 2555 4732, 6001 2555(a) 6065(a) 2555(b) 6071 2555(c) 6065(a), 6071 2555(c)(1) 6081(a), 6091(a) 2556 4773 2557(a) 7237(b) 2557(b)(1) 7237(a) 2557(b)(2) 7201, 7203 2557(b)(3) 7201, 7202 2557(b)(4) 6671(a), 6672 2557(b)(8) 6671(b), 7343 2558 4706, 4733, 7301(a) 2559, 2560 Omitted 2561 4734 2562 4736 2563 4774 2564 4735 2565 Omitted 2567 4711, 4712 2568, 2569 4712, 4713 2569(b) 7101 2569(d) 6001 2569(d)(4) 7641 2570 7238 2571 4714, 7301(a) 2590 4741, 4771 2591 4742 2592 4743, 4771 2593 4744 2594(a) 6001 2595 4773 2596 7237(a) 2597 7491 2598 4745, 7301(a) 2599, 2600 Omitted 2601 4756 2602 4774 2603 4762 2604, 2606 Omitted 2650 4802 2651 4801, 4803 2651(c)(2) 6201(a)(2)(A) 2652(a) 6801(a) 2653 4804 2653(b) 6001, 7641 2653(d) 7101 2654, 2655 4805 2656 7274 2656(a) 7206(4) 2656(b) 7239(a) 2656(c) 7271(1), 7303(6)(B) 2656(d) 7239(b) 2656(f) 7201 2656(g) 7272 2656(h) 7267(d) 2656(i) 7267(c) 2656(j), (k) 7267(a), (b) 2657(a), (b) 7303(6)(B) 2657(c) 7303(6)(A) 2657(d) 7328 2657(e) 7301(c) 2657(f) 7303(6)(B) 2658 Omitted 2659 4803 2660 Omitted 2700 4181, 4182, 4224, 5831 2701 6011(a), 6065(a), 6071, 6081(a), 6091(b)(1), (2) 2702 6151(a) 2703(a) 6416(f) 2704 4216 2705 4225, 6416(e) 2706 6601(a), (f)(1) 2707(a) 6671(a), 6672 2707(b) 7201, 7203 2707(c) 7201, 7202 2707(d) 6671(b), 7343 2708 6302(b) 2709 6001 2710-2712 Omitted 2720-2723 5811-5814 2724 5842, 6001(a) 2725 5843 2726(a)-(c) 5851-5853 2727, 2728 5844, 5845 2729 5861 2730(a), (b) 5862(a), (b) 2731-2733 5846-5848 2733(a) 7701(a)(1) 2734 5821 2734(e) 6071, 6091(a) 2800(a) 5001(a)(9) (Rev. See 5001(a)(8)) 2800(a)(1) 5001(a)(1), 5005(a), 5006(a) 2800(a)(1)(A) 5026(a)(1), 5007(a) 2800(a)(1)(B) 5689 2800(a)(2) 5001(a)(2) 2800(a)(3) 5001(a)(3), 5007(b)(2) 2800(a)(4) 5001(a)(4) (Rev. See 5001(a)(10)), 5007(c) (Rev. See 7652, 7805) 2800(a)(5) 5021(a), 5025(b) 2800(a)(6) 5001(a)(5) (Rev. See 5001(a)(4)) 2800(b)(2) 5006(c) 2800(c) 5001(b) 2800(d) 5005(b) 2800(e)(1) 5004(a)(1) 2800(e)(2) 5004(a)(2) (Rev. See 5004(b)(2)) 2800(e)(3) 5004(a)(3) (Rev. See 5004(b)(3)) 2800(e)(4) 5004(a)(4) (Rev. See 5004(b)(4)) 2800(f) 5006(d), 5007(b)(1) 2801(b) 5021(b) (Rev. Omitted) 2801(c)(1) 5391 2801(c)(2) 5025(e) (Rev. See 5025(f)) 2801(d) 5281 (Rev. See 5201(a)) 2801(e) 5025 2801(e)(1) 5272(a) (Rev. See 5173(a), (d)), 5281(a) (Rev. See 5201(a)) 2801(e)(2) 5273(a) (Rev. See 5178(a)), 5627 (Rev. See 5687)) 2801(e)(3) 5386(b), 5391 2801(e)(4) 5386(a) 2801(e)(5) 5023 (Rev. See 5687) 2801(f) 5628 (Rev. See 5601(a)(10), 5687) 2802(a) 5009(a) (Rev. See 5205(c)(1), (f), 5206(c)), 5010(a) (Rev. See 5205(e)) 2802(b) 5010(b) (Rev. See 5205(f)) 2802(c) 5027(a) (Rev. See 5061, 5205) 2803(a) 5008(b)(1)(E) (Rev. See 5205(c)(2)) 2803(b) 5008(b)(3) (Rev. See 5205(g)) 2803(c) 5008(b)(4) 2803(d) 5008(b)(2) (Rev. See 5205(g)) 2803(e) 5008(b)(5) 2803(f) 5640 (Rev. See 5613(b)) 2803(g) 5642 (Rev. See 5604(a)(1), (4)- (6), (10), (12)-(15), (b)) 2804 5211 (Rev. See 5311) 2805(a) 5688(a) 2805(b) 5688(b) 2806(a)(1), (2) 5634 (Rev. See 5601(a)(13), 5615(7)) 2806(b)(1) 5645 (Rev. See 7214) 2806(c) 5625 (Rev. See 5612(a)) 2806(d) 5639 (Rev. See 5613(a)) 2806(e) 5646 (Rev. See Subtitle F) 2806(f) 5626 (Rev. See 5602, 5615(3)) 2806(g) 5687 (See 7301, 7302) 2807 5622 (Rev. See 5610) 2808(a) 5212(a) (Rev. See 5204(b)) 2809(a) 5002(a) (Rev. See 5002(a)(5)) 2809(b)(1) 5002(b)(1) (Rev. See 5002(a)(6)(A)) 2809(b)(2) 5002(b)(2) (Rev. See 5002(a)(6)(B)) 2809(c) 5002(c) (Rev. See 5002(a)(7)) 2809(d) 5002(d) (Rev. See 5002(a)(8)) 2810(a) 5174(a) (Rev. See 5179(a), 5505(d)), 5601 (Rev. See 5505(i), 5601(a)(1), 5615(1)) 2811 5213(a), 5609 2812(a) 5175(a) (Rev. See 5171(a), 5172), 5271 (Rev. See 5171(a), (c), 5172, 5178(a)(1)(A), (4)(B)- (D)), 5603 (Rev. See 5601(a)(2), (3)) 2813(a) 5282 (Rev. See 5201(a), 5202(a), 5204(a), (c), 5205(d), 5206(c), 5251) 2814(a)(1) 5176(a), (c) (Rev. See 5173(a), (b), 5176(a)), 5177(c) (Rev. See 5173(b)(1), 5551(c)), 5604 (Rev. See 5601(a)(4), (5), 5615(3)) 2814(a)(2) 5176(d) (Rev. See 5173(b)) 2815(a) 5177(a), 5605 (Rev. See 7214) 2815(b)(1)(A) 5177(b)(1) (Rev. See 5173(b)(1)(A)) 2815(b)(1)(B) 5177(b)(2) (Rev. See 5173(b)(1)(B)) 2815(b)(1)(C) 5177(b)(3) (Rev. See 5173(b)(1)(C)) 2815(b)(1)(D) 5177(b)(4) (Rev. See 5173(b)(3)) 2815(c)-(e) 5551(a), (b)(1), (c) 2816(a) 5178 (Rev. See 5171(a), 5172) 2817(a) 5179(a) (Rev. Omitted) 2817(b) 5179(b) (Rev. Omitted) 2818(a) 5105(a) 2818(b) 5602 (Rev. See 5615(2), 5687) 2819 5171 (Rev. See 5178(a)(1)(B), (b), (c)(2), 5505(b), 5601(a)(6)), 5607 (Rev. See 5505(i), 5601(a)(6)) 2820(a) 5173(b) (Rev. See 5178(a)(2)(B), 5202(b)), 5192(b) (Rev. See 5202(b)), 5193(a) (Rev. See 5201(a), 5202(f), 5204(a), 5205(b), 5206(a), (c), 5211) 2821 5682 2822(a) 5173(a) (Rev. See 5178(a)(1)(A), (2)(C)), 5618 (Rev. See 5687) 2823(a) 5173(c) (Rev. See 5173(a)(2)(C)) 2824 Omitted 2825 5215 (Rev. See 5201(c), 5312(a), (c), 5373(a), 5562) 2826(a) 5196(a) (Rev. See 5203(a)), 5617 (Rev. See 5687) 2827(a) 5196(b) (Rev. See 5203(b)), 5616 (Rev. See 5687) 2828(a) 5196(c) (Rev. See 5203(c)), 5283 (Rev. See 5203(c), (d)), 5615 (Rev. See 5203(c), (e), 5687) 2829(a) 5552 (See 5503, 5505(e)) 2830(a) 5196(d) (Rev. See 5203(d)), 5283 (Rev. See 5203(c), (d)) 2831 5116(a) (Rev. See 5115), 5180(a), 5274(a) (Rev. See 5180), 5681 2832 5172 (Rev. See 5171(a), 5172, 5173(a), 5178(a)(1)(A), 5601(a)(2), (4)) 2833(a) 5606 (Rev. See 5601(a)(4), 5602, 5615(3)) 2834 5216(a) (Rev. See 5222(a)(1), (2)(D), 5501, 5502(a), 5503, 5504(a), (b), 5505(a), (c), 5601(a)(7), (8), (9)(A)), 5608(a), (b) (Rev. See 5601(a)(7), (8), (9)(A), (12), 5615(4)) 2835 Omitted 2836 5195(a) (Rev. See 5201(c)), 5613 (Rev. See 5687) 2837 Omitted 2838 5192(c) (Rev. See 5202(a), (b)), 5612 (Rev. See 5687) 2839(a) 5196(e) (Rev. See 5203(b), (c)), 5619 (Rev. See 5687) 2840 Omitted 2841(a) 5197(a)(1)(A) (Rev. See 5207(a), (d)) 2841(b) 5197(a)(1)(B) (Rev. See 5207(a), (d)) 2841(c) 5620 (Rev. See 5603, 5615(5)) 2842 5611 (Rev. See 5603) 2843 5610 (Rev. See 5603) 2844(a) 5197(b) (Rev. See 5207(c)) 2845 Omitted 2846(a) 5007(e)(1) (Rev. See 5004(b)(1), 5006(a)(3)) 2847(a) 5007(e)(2) (Rev. Omitted) 2848 Omitted 2849 5191(a) (Rev. See 5221(a)) 2850(a) 5191(a) (Rev. See 5221(a)), 5650 (Rev. See 5601(a)(14), 5615(3)) 2851 5682 2852 5624 (Rev. See 5611) 2853(a) 5623 (Rev. See 5609) 2854 5649 (Rev. See 5614) 2855(a) 5285(a) (Rev. See 5207(b)) 2856 5629 (Rev. See 5610(a)(10), (11)) 2857(a) 5114(a) (Rev. See 5114(a)(1), 5146(a)), 5285(b) (Rev. See 5207(c)), 5621 (Rev. See 5603) 2858 5114(b) 2859 5197(a)(2) (Rev. See 5207(a)), 5621 (Rev. See 5603) 2860 Omitted 2861(a) 5282(b) (Rev. See 5202(a), 5204(a), (c), 5205(d), 5206(c)) 2862(a) 5282(c) (Rev. See 5205(d)) 2863(a) 5115(a) (Rev. See 5205(d)) 2865(a) 5630 (Rev. See 5687) 2866 5010(c) (Rev. See 5205(g)), 5636 (Rev. See 5604(a)(2), (3), (7)- (9), (17), 7301) 2867 5635 (Rev. See 5604(a)(17)) 2868 5637 (Rev. See 5604(a)(18)) 2869 5638 (Rev. See 5604(a)(19), 5613, 7301, 7302) 2870 5195(b) (Rev. See 5201(c)), 5614 (Rev. See 5687, 7301) 2871 5214(a) (Rev. See 5301(a)), 5641 (Rev. See 5606, 5613, 7301, 7302, 7321-7323) 2872 5231 (Rev. See 5171(a), 5172, 5173(a), 5178(a)(1)(A), (B), (3)(A), (B)), 5241(b) (Rev. See 5202(a), (c), (d)) 2873 5231 (Rev. See 5171(a), 5172, 5173(a), 5178(a)(1)(A), (B), (3)(A), (B)), 5241(a) (Rev. See 5201(a), 5202(a), (c)) 2874(a) 5252 (Rev. See 5236) 2875 5231 (Rev. See 5171(a), 5172, 5173(a), 5178(a)(1)(A), (B), (3)(A), (B)), 5246(a) (Rev. See 5212) 2876 5631 (Rev. See 5601(a)(12), 5615(6), 5687) 2877(a) 5192(d) (Rev. See 7803; T. 5 Sec. 301) 2878(a) 5193(a) (Rev. See 5201(a), 5202(f), 5204(a), 5205(b), 5206(a), (c), 5211) 2878(b) 5009(c), 5193(b) (Rev. See 5206(a), 5214(a)(4)) 2878(c) 5193(c) (Rev. See 5206(b)) 2878(d) 5193(d) (Rev. See 5204(c)) 2879(a) 5242(a) (Rev. See 5211, 5231(a)) 2879(b) 5006(a) (Rev. See 5006(a)(1), (2), 5008(c)) 2879(c) 5232(a) (Rev. See 5005(c)(1), 5006(a)(2), 5173(a), (c)(1)) 2879(d) 5232(a), (c) (Rev. See 5005(c)(1), 5006(a)(2), 5173(a), (c)(1), 5176(a), (b)) 2880(a) 5006(b) 2881(a) 5245 (Rev. See 5204(a)) 2882(a) 5244 (Rev. See 5213) 2883(a) 5194(a) (Rev. See 5211(a), 5212, 5213) 2883(b) 5194(d) (Rev. See 5214(a)) 2883(c) 5194(c) (Rev. See 5241) 2883(d) 5194(e)(1) (Rev. See 5212, 5213) 2883(e) 5025(d), 5194(f) (Rev. See 5005(c)(1), 5212, 5223(a), (d)) 2883(f) 5194(g) (Rev. See 5201(a), 5204(a), 5212) 2883(g) 5194(h) (Rev. Omitted) 2884(a) 5250(a) (Rev. See 5205(b)) 2885(a) 5247(a) (Rev. See 5175(a), 5206(a), 5214(a)(4)) 2885(b) 5009(b) (Rev. See 5205(i)(4)), 5247(b) 2885(d) 5648 (Rev. See 5608) 2886(a) 5247(c) 2887 5012(a) (Rev. See 5009) 2888(a) 5247(d) (Rev. See 5206(a)) 2889, 2890 Omitted 2891(a) 5522(a) (Rev. See 5214(a)) 2891(b) 5011(a) (Rev. See 5008(a)) 2900 5006(a) (Rev. See 5006(a)(1), (2), 5008(c)) 2901(a)(1) 5011(a)(1)(A) (Rev. See 5008(a)(1)(A)) 2901(a)(2) 5011(a)(1)(B) (Rev. See 5008(a)(1)(B)), 5011(b) (Rev. See 5008(b)(1)) 2901(b) 5011(a)(1)(B), (2) (Rev. See 5008(a)(1)(B), (2)) 2901(c) 5011(a)(3) (Rev. See 5008(a)(3), (4)) 2901(d) 5011(a)(4) (Rev. See 5008(a)(4)) 2903(a) 5243(a) (Rev. See 5171, 5172, 5178(a)(3), (4)(A), 5233(a), (b)) 2903(b) 5008(a)(1) (Rev. See 5205(a)(1), (3)) 2903(c) 5008(a)(2) (Rev. See 5205(a)(3)) 2903(d) 5008(a)(3) 2903(e) 5008(a)(4) 2903(f) 5243(d) (Rev. See 5206(c)) 2903(g) 5243(c) (Rev. See 5233(c)) 2904(a) 5243(a), (b) (Rev. See 5171, 5172, 5178(a)(3), (4)(A), 5202(g), 5233(a), (b)) 2905 5243(e) (Rev. See 5175, 5206(c), 5214(a)(4)) 2908 5643 (Rev. See 5601(a)(12), 5604(a)(11), (12), (16), 5615(6), 5687) 2909 5644 (Rev. See 5604(a)(4), (5), (10)) 2910(a) 5243(b) (Rev. See 5202(g), 5233(b)) 2911 5243(f) (Rev. See T. 27 Sec. 121) 2912, 2913 5632 (Rev. See 5601(a)(12), 5615(6)) 2914(a) 5633 (Rev. See 7214) 2915(a) 5241(c) (Rev. See 7803; T. 5 Sec. 301) 2916(a) 5194(b) 3030(a) 5001(a)(9) (Rev. See 5001(a)(8)) 3030(a)(1) 5001(a)(5), (9) (Rev. See 5001(a)(4), (8)), 5041(a), 5041(b), 5042(a)(2), 5362, 5368(b) 3030(a)(2) 5022, 5041(b)(4) 3030(b) 5043(b) 3031(a) 5354, 5362, 5373(b)(1), 5373(b)(3), 5391 3032(a) 5373(a), 5382(b)(2) 3033(a) 5373(b)(1) 3034(a), 3035 5366 3036 5025(f) (Rev. See 5025(g)), 5373(a), 5381, 5382(a), (b)(1), (2), 5383(a), (b)(3), (4), 5392 3037(a) 5362, 5373(b)(4) 3038(a) 5362 3039(a) 5370(a)(1) 3040(a) 5351, 5354, 5356, 5368(a), (b), 5369 3041(a) 5043(b), 5368(a) 3042(a) 5192(a) (Rev. See 5202(a)), 5366 3043(a) 5661(a) (See Chapter 68), (b), 5385(b) 3044 5381, 5382, 5383, 5392 3045 5381, 5382, 5384, 5392 3070(a) 5331(a) (Rev. See 5171(a), 5172, 5173(a), (c), 5178(a)(5), 5202(e), 5207(a), (c), (d), 5214(a), 5241, 5242, 5273(b)(1), (2), (d), 5275) 3070(b) 5331(b), (c) (Rev. See 5214(a), 5273(a), (b)(1), (2), (d)) 3072 5647 (Rev. See 5273(b)(1), (2), (d), 5601(a)(12), 5607, 5615(6)) 3073(a) 5332 (Rev. See 5273(c)) 3074(a) 5333 (Rev. See 5243) 3100(a) 5301 (See 5171(a), (b)(1), 5172, 5173(a), (b)) 3101(a) 5302 (Rev. See 5171(a), (b)(1), 5172, 5173(a), (c), 5178(a)(3)(A), (B), 5201(a), 5206(a)) 3102 5303 (Rev. See 5171(a), (b)(1), 5172, 5173(a), (c), 5178(a)(5), 5241, 5242, 5273(b)(1), (2), (d)) 3103 5306 (Rev. See 5025(d), (e)(1), 5103, 5113(a), 5173(c), 5201(a), (c), 5204(c), 5243(a)(1)(A), 5306), 5312(c) 3104(a) 5309 (Rev. See 5222(b)), 5412 (Rev. See 5222(b), 5412) 3105(a) 5305 (Rev. See 5171, 5172, 5173(a), 5178(a)(1)(A), (5), 5201(a), (b), 5207(a), (c), (d), 5211, 5223(a), 5235, 5273(b)(1), (2), (d), 5275, 5312(b)) 3106(a) 5307 (Rev. See 5178(a)(2)(A), 5201(a)) 3107 5308 (Rev. See 5212, 5223(a)) 3108(a) 5310(a) (Rev. See 5214(a), 5241, 5242, 5273(b)(1), (2), (d)) 3108(b) 5310(b) (Rev. See 5214(a), 5313) 3108(c) 5310(c) (Rev. See 5214(a)) 3108(d) 5310(d) (Rev. See 5272(b)) 3109 5310(a) (Rev. See 5214(a), 5241, 5242, 5273(b)(1), (2), (d)) 3110 5502 (Rev. Omitted) 3111 5001(a)(6) 3112(a) 5004(b) (Rev. See 5004(a)(1), (b)(1)), 5005(c) (Rev. See 5005(a), (b)(1), (c)(1)) 3112(b) 5007(d) (Rev. See 5007(a)(1)), 5689 3113(a) 5011(c) 3114(a) 5304(a) (Rev. See 5171(b)(1), 5271(a), (b), (c), (e)(1), (f), 5272(a)) 3114(b) 5304(b) (Rev. See 5271(e)) 3114(c) 5304(c) (Rev. See 5271(e)) 3114(d) 5304(d) 3115(a) 5686(a) (Rev. See 5687) 3116 5686(b) (Rev. See 5505(i), 5686(a)), 7302 3117(a) 5314 (Rev. See 5557) 3118 5688(d) 3119 5315 3120 5316 3121(a), (c) 5313(a), (b) (Rev. See 5275) 3121(d) 5317(b) (Rev. See 5274) 3122 5317(a) 3123 5318 (Rev. See 5314(a)(2)) 3124(a) 5119 (Rev. See 5002(a)) 3125(a) 5001(a)(8) (Rev. See 5001(a)(9)), 5007(d) (Rev. See 5007(a)(1)), 5311 (Rev. See 5232) 3125(b) 5310(b) (Rev. See 5214(a), 5313) 3126 Omitted 3150(a) 5051(a) 3150(b)(1) 5054 (Rev. See 5054(a)(1)) 3150(b)(2) 5055 (Rev. See 5054(a)(1), (2), (c), (d)) 3150(b)(3) 5689 3150(c) 5051(b) 3152 Omitted 3153(b) 5053(a), 5401(b) 3153(c) 5053(b) 3155(a), (b) 5401(a), (b) 3155(c) 5415(a) 3155(f) 5412, 5413, 5675 3156 Omitted 3157(a) 5055 (Rev. See 5054(a)(1), (2), (c), (d)) 3158 5402(a), 5411 3159(a)-(c) 5671, 5672, 5673, 5674 3159(e)-(i) 5676(1)-(5) 3159(j) 5674 3160 5052(b) 3170 Omitted 3171(a) 5367, 5555(a) (Rev. See 5207(b)- (d)) 3172(a) 5061(b) 3173(a) 5683 3173(b)(1)-(3) 5684 (Rev. See 5687 and Subtitle F) 3173(b)(4) 5690 3173(c) 5685 3173(d) 5688(c) 3174 5064 (Rev. See 5065) 3175 5557 (Rev. See 5560) 3176(a) 5556 (Rev. See 5505(h)) 3177(a) 5521(a) 3177(b) 5521(c)(1), (2) 3177(c) 5521(b) 3177(d)(1), (2) 5521(d)(1), (2) 3178 5523 3179(a), (b) 5062(a), (b) 3180 Omitted 3182(a) 5511 3182(b) 5001(a)(7) 3183(a) 5217(a) (Rev. See 5005(c)(1), (2), 5025(d), (e)(2), 5212, 5223(a), 5234(b)) 3183(b) 5217(b) (Rev. See 5561) 3183(c) 5217(c) (Rev. Omitted) 3190-3195 Omitted 3206 4821 3207 7235(d), 7264 3208 4822, 4826 3210 4841 3211 7266(a) 3212 4842 3220 4721, 6001, 6151(a) 3221 4722 3222 4772 3223 Omitted 3224 4724 3225 7237(a) 3226 4775 3227 4725 3228 4731, 7343, 7701(a) 3230 4751, 4752, 6151(a) 3231 4753 3232 4772 3233 4754, 6001, 6065(a), 6071, 6081(a), 6091(a) 3234 4755 3235 7237(a) 3236 4775 3237 4756 3238 4761, 7701(a) 3239 Omitted 3250(a)(1) 5111(a)(1) (Rev. See 5111(a)) 3250(a)(3) 5111(a)(2) (Rev. See 5112(b)) 3250(a)(4) 5113(a) 3250(b)(1) 5121(a)(1) (Rev. See 5121(a)) 3250(b)(2) 5122(c) (Rev. See 5121(a)(2)) 3250(b)(4) 5121(a)(2) (Rev. See 5122(a), (b)) 3250(c)(1) 5091 3250(d)(1) 5111(b)(1) (Rev. See 5111(b)) 3250(d)(2) 5111(b)(2) (Rev. See 5112(c)) 3250(d)(3) 5091, 5113(b) (Rev. See 5113(a)) 3250(e)(1) 5121(b)(1) (Rev. See 5122(b)) 3250(e)(2) 5121(b)(2) (Rev. See 5122(b)) 3250(e)(3) 5121(c) (Rev. See 5121(c), 5122(c)) 3250(e)(4) 5123(a) (Rev. See 5113(a)) 3250(f)(1) 5081 3250(g) 5113(c) (Rev. See 5113(a)) 3250(h) 5025(g) (Rev. See 5025(h)) 3250(i) 5025(h) (Rev. See 5025(i)) 3250(j)(1) 5101 3250(j)(3) 5106 (Rev. See 5106(b)) 3250(l)(1), (2) 5131(a), (b) 3250(l)(3)-(5) 5132-5134 3251(a) 5113(d)(1) (Rev. See 5113(c)(1)) 3251(b) 5113(d)(2) (Rev. See 5113(c)(2)) 3251(c) 5123(c) (Rev. See 5113(e)) 3252(a) 5124(a) 3252(b) 5124(b) (Rev. See 5146(a)) 3252(c) 5124(c) (Rev. See 5146(a)) 3252(d) 5692 (Rev. See 5603) 3253 5691 (Rev. See 5607, 5613, 5615, 5661(a), 5671, 5673, 5676(4), 5683, 7301, 7301(a), 7302) 3254(b) 5112(a) (Rev. See 5111(a), 5112(b)) 3254(c)(1) 5122(a) (Rev. See 5121(a)(1), 5122(a)) 3254(c)(2) 5111 (Rev. See 5111(a), (b), 5112(b), (c)) 3254(d) 5052(a), 5092, 5402(a) 3254(e) 5112(b) (Rev. See 5112(c)) 3254(f) 5122(b) 3254(g) 5025(c), 5082, 5387(c) 3254(h) 5102 3255(a) 5123(b)(1) 3255(b) 5123(b)(2) (Rev. See 5123(b)(2)(A)) 3255(c) 5123(b)(3) (Rev. See 5113(d)(1), (2)) 3260 5801(a) 3261(a) 5802 3261(b) 5841 3262 5803 3263(a) 5854(a) 3263(b) 5854(a), (b) 3267 4461, 4462, 4463 3268 4471, 4472, 4473 3270(a) 5141, 7011(a) 3271 4901 3271(a) 5142(a) 3271(b) 5142(b), 6151(a) 3271(c)(1) 5104, 5142(c) 3272(a) 5143(a) (Rev. See Subtitle F), 6011(a), 6065(a), 6071, 6081(a), 6091(b), 6151(a) 3273(a) 5145 (Rev. See 5144), 6801(a) 3273(b) 5146 (Rev. See 6806(a), 7273(a)), 6806(a) 3274 5693 (Rev. See 5692), 7273(a) 3275 5147 (Rev. See 6107), 6107 3276 4906, 5148 (Rev. See 5145) 3277 4902, 5144(a) (Rev. See 5143(a)) 3278 4903, 5144(c) (Rev. See 5113(a), 5143(c)(1)-(3)) 3279 4904, 5144(b) (Rev. See 5143(b)) 3280(a) 4905, 5144 (Rev. See 5113(a) 5143), 7011(b) 3281 6302(b) 3282 5149 (Rev. See 5147), 6302(b) 3283 4907, 5144(e) (Rev. See 5143(e)) 3285 4401, 4402, 4404, 4421 3286 6419 3287 4403 3290 4411 3291 4412, 6091(b) 3292 4413, 4903, 4907, 6107 3293 6806(c) 3294 7262, 7273(b) 3297 4422 3298 4423 3300(a) 6801(a) 3300(b) 7208 3300(c) 6808 3301(a) 6801(b), 6804 3301(b) 6808 3303 Omitted 3304(a)-(d) 6805(a)-(d) 3304(e), 3305 Omitted 3310 6331(a) 3310(a) 6011(a), 6071, 6601(c)(4), 6659 3310(b) 6011(a), 6601(c)(4), 6659 3310(c) 6601(a), (f)(1), 6659 3310(d) 6155(a), 6601(f)(1), 6659 3310(e) 6659 3310(f)(1) 6011(a), 6071, 6081(a) 3310(f)(2) 5703(c), 6302(c) 3311 6155(a), 6201(a)(2)(A), 6601(c)(4), 6659 3312(a) 6501(a) 3312(b) 6501(c)(1), (3) 3312(c) 6501(c)(2) 3312(d) 6502(a) 3313 5705(a), 6511(a), (b)(1), (2) 3314 Omitted 3320(a) 7268 3320(b) Omitted 3321 7206(4) 3321(b) 7301 3321(c) Omitted 3322 7301(d) 3323(a)(1), (2) 7271(4) 3323(a)(3) 7208(5) 3323(b) 7303(7) 3324(a)-(c) 7341(a)-(c) 3325 7211 3326 7304 3330 6065(a) 3331 5704(b), 7510 3332-3335 Omitted 3350(a), (b) 7652(b)(1), (2) 3351(a) 7653(a)(2) 3351(b), (c) 7653(b), (c) 3360(a) 7652(a)(1) 3360(b) 7101, 7652(a)(2), 7803(c) 3360(c) 7652(a)(3) 3361(a) 7653(a)(1) 3361(b), (c) 7653(b), (c) 3400(a), (c) 4071, 4072, 4073 3400(b), 3401 Omitted 3403 4061, 4062, 4063 3403(e) 6416(c) 3404 4141, 4142, 4143, 4151, 4152 3405 4111, 4112, 4113 3406(a)(1) 4161 3406(a)(2) Omitted 3406(a)(3) 4121 3406(a)(4) 4171, 4172, 4173 3406(a)(5) Omitted 3406(a)(6) 4191, 4192 3406(a)(7)-(9) Omitted 3406(a)(10) 4131 3406(b) 4221 3406(c) Omitted 3407 4181, 4182, 4224, 5831 3408 4201, 4221 3408(b) 6416(d) 3409(a) 4211 3409(b) Omitted 3412(a)-(f) 4081, 4082, 4083, 4101, 4102, 7101, 7232 3412(g) 6412(b) 3413 4091, 4092, 4093, 7101 3414, 3415, 3416 Omitted 3420 4521, 4531, 4541, 4551 3422 4521 3423 4531, 4532 3424 4551, 4552, 4553 3425 4541, 4542 3430 4601 3431 Omitted 3440 4217 3441 4216 3442 4220, 4224 3443 6416, 6611 3444, 3445, 3446 4218, 4219, 4223 3447 Omitted 3448(a) 6011(a), 6065(a), 6071, 6081(a), 6091(b), 6151(a) 3448(b) 6151(a), 6601(a), (f)(1) 3449, 3450 Omitted 3451 4222 3453 Omitted 3460 4281, 4282, 4283 3461 6011(a), 6065(a), 6071, 6081, 6091(b), 6151(a) 3462 Omitted 3465 4251, 4252, 4253, 4254 3466 4253, 4292 3467 4291, 6011(a), 6065(a), 6071, 6081(a), 6091(b), 6151(a), 6161(a) 3468 Omitted 3469(a), (b), (c) 4261, 4262 3469(d) 4291, 6011(a), 6065(a), 6071, 6091(b), 6151(a) 3469(e) 6081(a), 6161(a) 3469(f) 4262, 4292 3470 6151(a), 6601(a), (f) 3471 6415, 6416(f) 3472-3474 Omitted 3475(a) 4271, 4272 3475(b) 4272, 4292 3475(c) 4271, 4291, 6011(a), 6065(a), 6071, 6091(b), 6151(a) 3475(d) 6081(a), 6161(a) 3475(e) 4273, 7272 3480 4331, 4361 3481 4331, 4332, 4341, 4342, 4343, 4344, 4351-4353 3482 4361, 4362 3483 4382 3490 4501, 4503 3491 4501, 6011(a), 6071, 6091(b), 6151(a) 3492 4502 3493(a) 6418(b) 3493(b) 6511(e)(2) 3494(b) 6511(e)(1) 3495 6601(a), (f) 3496-3498 Omitted 3500, 3501 4501, 4504 3506 7240 3507 4502, 7701(a) 3508 4501, 6412(d) 3600 7601(a) 3601(a)(1), (2) 7606(a), (b) 3601(b) 7342 3601(c) 7212(a), (b) 3602 Omitted 3603 6001 3604(a) 6046(a), 6071, 6091(a) 3604(b) 6046(b), (c), 6065(a) 3604(c) 7201, 7203 3611(a)(1) 6011(a), 6065(a), 6081(a), 6091(a), (b)(1), (2) 3611(a)(2) 6020(a), 6065(a) 3611(b) 6071 3611(c) 6065(a), 6071, 6091(a), (b)(1), (2) 3612(a), (c) 6020(b) 3612(d)(1) 6651(a) 3612(d)(2) 6653(b) 3612(e) Omitted 3612(f) 6201(a)(1) 3613 6021 3614 7602, 7605(a) 3615 7605(a) 3615(a)-(c) 7602 3615(d) 7603 3615(e) 7604(b) 3616(a) 7207 3616(b) 7210 3616(c), 3617 Omitted 3630 6101 3631 7605(b) 3632(a) 7622(a) 3632(a)(1) 7602 3632(b) 7622(b) 3633 7402(b) 3633(a) 7604(a) 3633(b) Omitted 3634 6081(a) 3640 6201(a) 3641 6203 3642 6204 3643 Omitted 3644 6202 3645, 3646 Omitted 3647 6201(a) 3650 7621 3651(a)(1) 6301 3651(a)(2), (b) Omitted 3652 6302(a) 3653(a), (b) 7421(a), (b) 3654 Omitted 3655(a) 6303(a), 6659 3655(b) 6601(a), (f)(1), 6659 3656(a)(1) 6311(a) 3656(a)(2)(A), (B) 6311(b)(1), (2) 3656(b)(1) 6311(a) 3656(b)(2) 6311(b)(1) 3657 6312(a) 3658 6313 3659(a) 6314(a) 3659(b) Omitted 3660 6331(a) 3660(a) 6155(a), 6862 3660(b) 6863(a), 7101 3661 7501 3662, 3663 Omitted 3670 6321 3671 6322 3672 7207 3672(a), (b) 6323(a), (d) 3673(a), (b) 6325(a)(1), (2) 3674(a), (b) 6325(b)(1), (2) 3675 6325(c) 3676 7102 3677 Omitted 3678 7403 3679(a) 7424(a) 3679(b) Omitted 3679(c), (d) 7424(b), (c) 3680 Omitted 3690 6331(a), (b) 3691 6334 3692 6331(a), (b), 6334(c) 3693 6335(e)(2)(E) 3693(a)-(c) 6335(a), (b), (d) 3693(d) 6335(e)(2)(F) 3694 6342(a) 3695(a) 6335(e)(1), (2)(A) 3695(b) 6335(e)(2), 7505(a) 3695(c) 7505(b) 3696 6337(a) 3697(a)-(d) 6339(a)(1)-(4) 3698 Omitted 3700 6331(a), (b) 3701 6335(e)(2)(E) 3701(a)-(c) 6335(a), (b), (d) 3701(d) 6335(e)(1), (2)(A), (B) 3701(e) 6335(e)(1) 3701(f) 6335(e)(2)(D), (F), (3) 3702(a) 6337(a) 3702(b)(1), (2) 6337(b)(1), (2) 3702(c) 6337(c) 3703(a) 6338(c) 3703(b) 6338(a) 3704(a) 6338(c) 3704(b) 6338(b) 3704(c)(1), (2) 6339(b)(1), (2) 3705 Omitted 3706(a), (b) 6340(a) 3706(c)-(e) Omitted 3706(f) 6340(b) 3707 Omitted 3710(a), (b) 6332(a), (b) 3710(c) 6332(c), 7343 3711 6333 3712 6335(c), 6342(b) 3713, 3714(a) Omitted 3714(b) 6502(b) 3715 6331(c) 3716 6341 3717 Omitted 3720(a)(1)-(3) 7301(a)-(c) 3720(b) 7321 3720(c) Omitted 3721, 3722 7322, 7324 3722(a), (b) 7324(1), (2) 3722(c) 7101, 7324(3) 3722(d) 7324(4) 3723(a)-(c) 7323(a)-(c) 3723(d) Omitted 3724 7101, 7325 3725 6807 3726 7327 3727 Omitted 3740 7401 3742, 3743, 3745 Omitted 3746(a) 7405(a) 3746(b) 6532(b), 7405(b) 3746(c) Omitted 3746(d) 6602 3747 7406 3748 6531 3760, 3761 7121, 7122 3762 7206(5) 3770(a)(1) 6402(a), 6404(a) 3770(a)(2) 6401(a) 3770(a)(3) 6407 3770(a)(4) 6402(a) 3770(a)(5) 6402(a), 6404(a) 3770(b) 7423 3770(b)(1), (2) 7423(1), (2) 3770(c) 6401(c) 3771(a) 6611(a) 3771(b)(1) 6611(b)(1) 3771(b)(2) 6611(b)(2), (e) 3771(c) 6611(c) 3771(d) Omitted 3771(e) 6611(f) 3771(f), (g) Omitted 3772(a)(1) 7422(a) 3772(a)(2), (3) 6532(a)(1), (4) 3772(b) 7422(b) 3772(c) Omitted 3772(d), (e) 7422(c), (d) 3773 Omitted 3774 6514(a) 3774(b) 6532(a)(2) 3775 6514(b) 3777(a)-(c) 6405(a)-(c) 3778 Omitted 3779(a) 6091(a), 6164(a) 3779(b) 6065(a), 6071, 6081(a), 6164(b) 3779(c)-(g) 6164(c)-(g) 3779(h) 6155(a), 6164(h) 3779(i) 6601(a), (e), (f)(1) 3780(a) 6065(a), (b), 6071, 6091(a), 6411(a) 3780(b) 6411(b) 3780(c) 6213(b)(2) 3781 6164(i), 6411(c) 3790 6406, 6611(g) 3791(a) 6071, 6081(a), 6091(a), (b)(1), (2), 7805(a) 3791(b) 7805(b) 3792 7623 3793 7206(3) 3793(a)(2) 7303(8) 3793(b) 7206(2), 7207 3793(b)(2) 7343 3794 6601(a) 3795(a)-(d) 7506(a)-(d) 3797(a)(1)-(11) 7701(a)(1)-(11) 3797(a)(12) 7701(a)(13) 3797(a)(13) Omitted 3797(a)(14)-(20) 1465, 7701(a)(14)-(20) 3797(b), (c) 7701(b), (c) 3798 7507 3799 76 3800 7402(a) 3801 1311-1314 3802 7511 3803 7852(a) 3804(a) 7508(a) 3804(b), (c) Omitted 3804(d) 7508(b) 3804(e) Omitted 3804(f) 7508(a) 3805 6072(e) 3806 1481 3808 Omitted 3809(a) 7206(1) 3809(b) 6061, 6064 3809(c) 6065(a) 3810 Omitted 3811 7651 3812 6521 3813, 3814 503, 504 3900 7802 3901(a) 6801(a), 7805(c) 3901(b) 7803(b)(2) 3905, 3906, 3910, 3911, 3915, 3916 Omitted 3920, 3921 7803(a) 3930(a) 7801(b) 3930(b) Omitted 3931, 3932 7801(b), (c) 3940-3942 Omitted 3943 7101, 7803(c) 3944, 3950-3955, 3960-3967 Omitted 3970 7808 3971(a), (b) 7809(a), (b) 3971(b)(1)-(3) 7809(b)(1)-(3) 3975-3978 7803(d) 3990, 3991 Omitted 3992 7101, 7402(d), 7803(c) 3993, 3994 Omitted 3995(c) 7402(d) 3996, 3997 Omitted 4000 7803(a) 4001-4003 Omitted 4010 7101, 7803(c) 4011, 4012 Omitted 4013(a) 5241 4013(b)-(d) Omitted 4014-4022, 4030-4033 Omitted 4040 7803(b)(1) 4041(a) 7803(a) 4041(b) Omitted 4042 7402(c) 4043-4046 Omitted 4047(a)(1) 7213(b) 4047(b) 7214(b) 4047(c), (d) Omitted 4047(e) 7214(a) 4048 7344 5000-5004 8001-8005 5010-5012 8021-8023 ------------------------------- Table II --------------------------------------------------------------------- 1986 Code section number 1939 Code section number --------------------------------------------------------------------- 1 11, 12(b)(3), (c), (f) 2 12(d) 3 400 4 23(aa)(4), 401, 402, 404 5 11 13, 15, 104(b), 261 12 21 108 31 35, 322(a)(4) 32 32 33 31 34 35 25 36 23(aa)(2) 37 38 61 22(a) 62 22(n) 63 21 71 22(k) 72 22(b)(2) 73 22(m) 74 75 22(o) 76 22(j), 3799 77 123 101 22(b)(1) 102 22(b)(3) 103 22(b)(4) 104 22(b)(5) 105 106 107 22(b)(6) 108 22(b)(9), (10) 109 22(b)(11) 110 111 22(b)(12) 112 22(b)(13) 113 22(b)(14) 114 22(b)(16) 115 22(b)(8), 116(d), (e) 116 117 118 119 120 121 22(b)(17), 116(i) 141 23(aa)(1) 142 23(aa)(4), (5), 213(d) 143 23(aa)(6) 144 23(aa)(3), (7) 145 151 25(b)(1) 152 25(b)(3) 153 25(b)(2) 154 161 23 162 23(a)(1) 163 23(b) 164 23(c), (d) 165 23(e), (f), (g)(1), (2), (3), (4), (h), (i), (k)(2) 166 23(k) 167 23(l), 23(n), 114(a) 168 23(t), 124A 169 23(t), 124B 170 23(o), (q), 120 171 23(v), 125 172 23(s), 122 173 23(bb) 174 175 211 23 212 23(a)(2) 213 23(x) 214 215 23(u) 216 23(z) 217 241 26 242 26(a) 243 26(b)(1) 244 26(b)(2) 245 26(b)(3) 246 26(b) 247 26(h) 248 261 24(a) 262 24(a)(1) 263 23(a)(1)(C), 24(a)(2), (3) 264 24(a)(4), (6) 265 23(b), 24(a)(5) 266 24(a)(7) 267 24(b), (c) 268 24(f) 269 129 270 130 271 23(k)(6) 272 273 24(d) 301 22(e), 115(a), (b), (d), (e), (j) 302 115(c), (g)(1), (i) 303 115(g)(3) 304 115(g)(2) 305 115(f) 306 307 113(a)(19) 311 312 115(c), (h), (l), (m), 394(d) 316 115(a), (b) 317 318 331 115(c) 332 112(b)(6) 333 112(b)(7) 334 113(a)(15), (18) 336 337 338 341 117(m) 342 115(c) 346 115(i) 351 112(b)(5), (c), (e) 354 112(b)(3) 355 112(b)(3), (11) 356 112(c), (e) 357 112(k) 358 113(a)(6), (23) 361 112(b)(4), (d), (e) 362 113(a)(7), (8) 363 367 112(i) 368 112(g)(1), (2), (h) 371 112(b)(10), (c), (d), (e), (k), (l) 372 113(a)(22) 373 112(b)(9), 113(a)(20), (21) 381 382 391 392 393 394 395 401 165(a) 402 165(b), (c), (d) 403 22(b)(2)(B) 404 23(p) 421 130A 441 41, 48(a), (b) 442 46 443 47(a), (c), (e), (g); 146(a) 446 41 451 42(a) 452 453 44 454 42(b), (c), (d) 461 43 462 471 22(c) 472 22(d)(1)-(5) 481 482 45 501 101 except (12) and last par.; 165(a), 421 502 Last par. 101 503 3813 504 3814 511 421 512 421(c), (d); 422 513 422(b) 514 423 515 424 521 101(12)(A) 522 101(12)(B) 526 116(g) 531 102(a) 532 102(a) 533 102(b), (c) 534 535 26(d), 27(b)(2), 102(d) 536 102(f) 537 541 500 542 501 543 502, 507(b) 544 503 545 26(c), (d); 504, 505 546 505(e) 547 506 551 337 552 331 553 332 554 333 555 334 556 26(c), 335, 336 557 336(d) 561 26(f), 27(a) 562 26(f), 27(b)-(i) 563 504(c) 564 26(f), 27(c)-(i) 565 26(g), 28 581 104(a) 582 23(k)(2), 117(i) 583 121 584 169, second sentence of 170 591 23(r) 592 23(dd) 593 23(k) 594 110 601 26(d) 611 23(m) 612 114(b)(1) 613 114(b)(3), (4) 614 615 23(ff) 616 23(cc) 621 22(b)(15) 631 117(k) 632 105 641 161 642 162(a), (e), (f); 163, 168, 170, 172 643 162(d) 651 162(b) 652 162(b), 164 661 162(b), (c) 662 162(b), (c), 164 663 162(d) 665 666 667 668 671 672 673 674 675 676 166 677 167 678 681 162(g) 682 171 683 691 126 692 154 701 181 702 182, 183, 184, 186, 189 703 183, 189 704 191, 3797(a)(2) 705 706 188 707 708 721 722 723 113(a)(13) 731 732 113(a)(13) 733 734 735 736 741 742 743 751 752 753 754 755 761 3797(a)(2) 771 801 201(b) 802 201(a)(1) 803 201(c)(1)-(7), (d), (e) 804 202(b) 805 203A(b), (c), (d) 806 202(c) 807 201(a)(2), (3) 821 207(a) 822 207(a)(5), (b)(1), (4), (c), (d), (e), (f) 823 207(b)(2), (3) 831 204(a) 832 204(a)(2), (b)-(f) 841 205 842 206 851 361 852 362(a), (b)(1)-(7) 853 854 855 362(b)(8) 861 119(a), (b), (e) 862 119(c), (d), (e) 863 119(e) 864 119(f) 871 211(a), (b), (c) 872 212 873 213, 214 874 215, 216 875 219 876 220 877 221 881 231(a) 882 231(b), (c); 232(a), (b); 233, 234, 235(a) 883 231(d) 884 236(b), 237, 238 891 103 892 116(c) 893 116(h) 894 22(b)(7) 901 131(a), (g) 902 131(f)(1), (2) 903 131(h) 904 131(b)(1) 905 131(c), (d), (e) 911 116(a) 912 116(j), (k) 921 109 922 26(i) 931 251 932 252 933 116(l) 941 262 942 263 943 116(f), 265 1001 111 1002 112(a) 1011 113(b), except (1)-(4) 1012 113(a) 1013 113(a)(1) 1014 113(a)(5) 1015 113(a)(2), (3), (4) 1016 113(b)(1), (2) 1017 113(b)(3) 1018 113(b)(4) 1019 113(c) 1020 113(d) 1021 1022 113(e) 1031 112(b)(1), (c)(1), (e), 113(a)(6) 1032 1033 112(f), 113(a)(9) 1034 112(n) 1035 1036 112(b)(2) 1051 113(a)(11) 1052 113(a)(12), (16) 1053 113(a)(14) 1054 1071 112(m) 1081 112(b)(8), 371 1082 372, 113(a)(17) 1083 373 1091 118, 113(a)(10) 1201 117(c) 1202 23(ee), 117(b) 1211 117(d) 1212 117(e) 1221 117(a)(1) 1222 117(a)(2)-(10) 1223 117(h) 1231 117(j) 1232 117(f) 1233 117(e), (g)(1) 1234 117(g)(2) 1235 1236 117(n) 1237 1238 117(g)(3) 1239 117(o) 1240 117(p) 1241 1301 107(a) 1302 107(b) 1303 107(d) 1304 107(c), (e) 1311 3801(b) 1312 3801(b) 1313 3801(a) 1314 3801(c), (d), (e), (f), (g) 1315 1321 22(d)(6) 1331 127(c)(1) 1332 127(c)(2) 1333 127(c)(3) 1334 127(c)(4) 1335 127(c)(5) 1336 127(d) 1337 127(e), (f) 1341 1346 128 1347 106 1351 1361 1401 480 1402 481 1403 482 1441 143(b) 1442 144 1443 143(h) 1451 143(a) 1461 143(c) 1462 143(d) 1463 143(e) 1464 143(f) 1465 3797(a)(16) 1471 650, 651 1481 3806 1491 1250 1492 1251 1493 1252 1494 1253 1501 141(a) 1502 141(b) 1503 141(c) 1504 141(d), (e), (f), (g) 1505 141(h), (i) 1551 15(c) 1552 2001 810, 935 2002 822(b) 2011 810, 813(b) 2012 813(a)(2), 936(b) 2013 2014 813(c), 936(c) 2015 927 2016 874(b)(3) 2031 811(k) 2032 811(j) 2033 811(a) 2034 811(b) 2035 811(c)(1)(A), 811(1) 2036 811(c)(1)(B) 2037 811(c)(1)(C), (c)(2), (3) 2038 811(d) 2039 2040 811(e) 2041 811(f); 403(d)(2) R.A. 1942; 2, P.L. 635 (80th Cong.) 2042 811(g) 2043 811(i), 812(b) 2044 811(h) 2051 812 2052 935(c) 2053 812(b) 2054 812(b) 2055 812(d) 2056 812(e) 2101 860, 935 2102 861(a)(2) 2103 861(a) 2104 862 2105 863 2106 861 2201 939 2202 850 2203 930(a) 2204 825(a) 2205 826(b) 2206 826(c) 2207 826(d) 2501 1000(a) 2502 1001(a), (b); 1008(a), 1030(a) 2503 1003(a), 1003(b) 2504 2511 1000(b), 1030(b) 2512 1002, 1005 2513 1000(f) 2514 1000(c); 452(b)(2) R.A. 1942; 2, P.L. 635 (80th Cong.) 2515 2516 2521 1004(a)(1) 2522 1004(a)(2), 1004(b) 2523 1004(a)(3) 2524 1004(c) 3101 1400 3102 1401(a), (b) 3111 1410 3112 1412 3121 1426(a)-(e), (g)-(l) 3122 1420(e) 3123 1427 3124 1428 3125 1432 3201 1500 3202 1501(a), (b) 3211 1510 3212 1511 3221 1520 3231 1532(a)-(e), (g), (h) 3232 1534 3233 1538 3301 1600 3302 1601(a), (b), (c) 3303 1602 3304 1603 3305 1606 3306 1607(a)-(j), (l)-(o) 3307 1608 3308 1611 3401 1621 3402 1622(a)-(d), (g)-(k) 3403 1623 3404 1624 3501 1420(a), 1530(a), 1605(a) 3502 1402, 1503, 1512, 1622(e) 3503 1422, 1531 3504 1632 4001 1650, 2400 4002 2412(a) 4003 2400, 2412(b) 4011 1650, 2401 4012 2401, 2412(a) 4013 2412(b) 4021 1650, 2402(a) 4022 2402(a), (b) 4031 1651(a) 4041 2450 4051 2403(c) 4052 2404 4053 2405 4054 2413 4055 2406, 2453 4056 2406 4057 4061 3403(a), (b), (c) 4062 4063 3403(c), (d) 4071 3400(a) 4072 3400(c) 4073 3400(a) 4081 3412(a) 4082 3412(b), 3412(c) 4083 3412(a) 4091 3413 4092 3413 4093 3413 4101 3412(d) 4102 3412(e) 4111 3405 4112 3405 4113 3405(b) 4121 3406(a)(3) 4131 3406(a) 4141 3404(a) 4142 3404(b) 4143 3404(a), 3404(b) 4151 3404(d) 4152 3404(d) 4161 3406(a)(1) 4171 3406(a) 4172 3406(a)(4) 4173 3406(a)(4) 4181 2700(a), 3407 4182 2700(b)(2), 3407; 706, P.L. 911 (81st Cong.) 4191 3406(a)(6) 4192 3406(a)(6) 4201 3408(a) 4211 3409(a) 4216 2704, 3441 4217 3440 4218 3444 4219 3445 4220 3442 4221 3406(b), 3408(b) 4222 2456, 3451 4223 3446 4224 2700(b), 3407, 3442(3) 4225 2705 4226 4231 1700 4232 1700(e), 1704 4233 1701 4234 1702, 1703 4241 1710 4242 1712 4243 1711 4251 3465 4252 3465 4253 3465, 3466(b), (c) 4254 3465 4261 3469 4262 3469(a), (b), (f) 4271 3475(a), (c) 4272 3475(a), (b) 4273 3475(e) 4281 3460(a) 4282 3460(b) 4283 3460(c) 4286 1850 4287 1857 4291 1715(a), 1851, 3467(b), 3469(d), 3475(c) 4292 3466(a), 3469(f), 3475(b)(1) 4293 307 R.A. 1943 4294 4301 1800, 1802(a) 4302 1802(a) 4303 1808(g) 4304 1802(a) 4305 4311 1800, 1801 4312 1801 4313 1801 4314 1801 4315 1801 4316 4321 1800, 1802(b) 4322 1802(b) 4323 1802(b) 4324 4331 3480, 3481(a) 4332 3481(a) 4333 4341 1802(b), 3481(a) 4342 1802(b), 3481(a) 4343 1802(c), 3481(b) 4344 1802(b), 3481 4345 4351 1802(b), 3481(a) 4352 1802(b), 3481(a) 4353 1802(b), 3481(a) 4354 4361 3480, 3482 4362 3482 4363 4371 1804(a)-(c) 4372 1804(a)-(d) 4373 1804, 1808(b) 4374 1821(b)(3) 4375 4381 1801, 1802(a), (b) 4382 1808(a)-(f), except (b), 3483 4383 1809(a) 4401 3285(a), (c), (d) 4402 3285(e) 4403 3287 4404 3285(f) 4405 4411 3290 4412 3291 4413 3292 4414 4421 3285(b) 4422 3297 4423 3298 4451 1807 4452 1831(a) 4453 1830 4454 1809(a) 4455 1831(b) 4456 1832 4457 4461 3267(a) 4462 3267(b) 4463 3267(c) 4471 1650, 3268(a) 4472 3268(a) 4473 3268(a) 4474 4501 3490(a), 3491(a), 3500, 3508 4502 3492, 3507 4503 3490(b) 4504 3501 4511 2470(a)(1), (2) 4512 2477 4513 2470(a)(2), 2470(b), 2474 4514 4521 3420, 3422 4531 3420, 3423 4532 3423 4541 3420, 3425 4542 3425 4551 3420, 3424 4552 3424 4553 3424(a) 4561 2490, 2491(a) 4562 2491(a) 4571 2490, 2491(b), 2491(d) 4572 2491(f) 4581 2490, 2491(c) 4582 2491(c), (g), 2492 4591 2306, 2311(a) 4592 2300 4593 2300, 2307 4594 2302 4595 2303, 2404 4596 2302(e) 4597 2303(c) 4601 2493, 3430 4602 2492 4603 4701 2550(a), (b) 4702 2551(a), (b), (c) 4703 2552(a) 4704 2553 4705 2554 4706 2558(a), (c) 4707 4711 2567(a) 4712 2567(b), 2568 4713 2569 4714 2571 4715 4721 3220 4722 3221 4723 2553(a) 4724 3224 4725 3227(a) 4726 4731 P.L. 240, (83d Cong.); 3228(a) 4732 2555 4733 2558(b) 4734 2561 4735 2564; P.L. 238, (83d Cong.) 4736 2562 4741 2590(a), (b) 4742 2591 4743 2592(a) 4744 2593 4745 2598 4746 4751 3230(a) 4752 3230(b), (c), (d) 4753 3231 4754 3233 4755 3234 4756 2601, 3237 4757 4761 3238 4762 2603 4771 2550(c)(1), (2); 2552(b), 2590(c), 2592(b) 4772 3222, 3232 4773 2556, 2595 4774 2563, 2602 4775 3226, 3236 4776 4801 2651(a), (b) 4802 2650 4803 2651(c), 2659(a) 4804 2653 4805 2654, 2655 4806 4811 2321(a), (b) 4812 2306, 2327(a) 4813 2305, 2321(c), 2327(a), (d) 4814 2322(b)-(e) 4815 2323(c), 2324 4816 2307, 2327(a) 4817 2325 4818 2311, 2327(a) 4819 4821 3206 4822 3208 4826 2320, 2322(a), 2323(a), (b); 3208 4831 2351(a), (b); 2356 4832 2351(c), 2355, 2356, 2361 4833 2352(b)-(e) 4834 2353(b), 2354(b), (c) 4835 2360 4836 4841 3210 4842 3212 4846 2350, 2352(a), 2353(a), 2354(a) 4851 1920(a), (b) 4852 1931 4853 1925 4854 1926 4861 1921 4862 1927 4863 1922 4864 1923 4865 1924 4871 1920(c) 4872 1928 4873 1932 4874 1930 4875 1935 4876 1933 4877 4881 1900 4882 1905 4883 1901, 1906 4884 1902 4885 1903 4886 4891 1805 4892 1805 4893 1809(a) 4894 1805 4895 1805 4896 1805 4897 4901 3271 4902 3277 4903 3278, 3292 4904 3279 4905 3280 4906 3276 4907 3283, 3292 5001 2800(a)(1), (4), (6), (c); 3030(a)(1); 3111; 3125(a); 3182(b) 5002 2809(a), (b)(1), (2), (c), (d) 5003 5004 2800(e)(1), (2), (3), (4); 3112 5005 2800(a)(1), (d); 3112 5006 2800(a)(1), (b)(2), (f); 2879(b); 2880, 2900(a) 5007 2800(f), (a)(3), (4); 2846(a), 2847(a); 3112(b); 3125(a) 5008 2803(a)-(e), 2903(b)-(e) 5009 2802, 2885, 2878 5010 2802(a), (b); 2866 5011 2891(b), 2901(a), (b), (c), (d); 3113 5012 2887 5021 2800(a)(5), 2801(b) 5022 3030(a)(2) 5023 2801(e)(5) 5024 5025 2800(a)(5); 2801(c)(2), (e); 2883(e), 3036(a), 3250(h), (i); 3254(g) 5026 2800(a)(1)(A) 5027 2802(c) 5028 5041 3030(a)(1), (2) 5042 3030(a)(1) 5043 3030(b), 3041 5044 5045 5051 3150(a), (c) 5052 3160, 3254 5053 3153(b)(c) 5054 3150(b)(1) 5055 3150(b)(2), 3157(a) 5056 5057 5061 3172(a) 5062 3179(a), (b) 5063 1656(a), (b), (c) 5064 3174 5065 5081 3250(f)(1) 5082 3254(g) 5083 5084 5091 3250(c)(1), (d)(3) 5092 3254(d) 5093 5101 3250(j)(1) 5102 3254(h) 5103 5104 3271(c)(1) 5105 2818(a) 5106 3250(j)(3) 5111 3250(a)(1), (a)(3), (d)(1), (d)(2); 3254(c)(2) 5112 3254(b), (e) 5113 3250(a)(4), (d)(3), (g); 3251(a), (b) 5114 2857, 2858 5115 2863 5116 2831 5121 3250(b)(1), (b)(4), (e)(1), (2), (3) 5122 3250(b)(2), 3254(c)(1), (f) 5123 3250(e)(4); 3251(c); 3255(a), (b), (c) 5124 3252(a), (b), (c) 5131 3250(l)(1), (2) 5132 3250(l)(3) 5133 3250(l)(4) 5134 3250(l)(5) 5141 3270 5142 3271(a), (b), (c) 5143 3272(a) 5144 3277, 3278, 3279, 3280(a), 3283 5145 3273(a) 5146 3273(b) 5147 3275(a) 5148 3276 5149 3282 5171 2819 5172 2832 5173 2820(a), 2822, 2823 5174 2810 5175 2812 5176 2814(a)(1), (a)(2) 5177 2814(a)(1); 2815(a), (b)(1)(A), (B), (C), (D) 5178 2816 5179 2817(a), (b) 5180 2831 5191 2849, 2850(a) 5192 2820, 2838, 2877, 3042 5193 2820, 2878(a), (b), (c), (d) 5194 2883(a)-(g), 2916 5195 2836, 2870 5196 2826, 2827, 2828, 2830, 2839 5197 2841, 2844, 2859 5211 2804 5212 2808 5213 2811 5214 2871 5215 2825 5216 2834 5217 3183(a), (b), (c) 5231 2872, 2873, 2875 5232 2879(c), (d) 5233 5241 2872, 2873, 2915, 4013(a) 5242 2879(a) 5243 2903(a), (f), (g); 2904, 2905, 2910, 2911 5244 2882 5245 2881 5246 2875 5247 2885(a), (b), 2886, 2888 5248 5249 5250 2884 5251 5252 2874 5271 2812 5272 2801(e)(1) 5273 2801(e)(2) 5274 2831 5275 5281 2801(e)(1), (d) 5282 2813, 2861, 2862 5283 2828, 2830 5284 5285 2855, 2857 5301 3100 5302 3101 5303 3102 5304 3114 5305 3105 5306 3103 5307 3106 5308 3107 5309 3104 5310 3108(a)-(d); 3109, 3125(b) 5311 3125(a) 5312 5313 3121(a), (c) 5314 3117 5315 3119 5316 3120 5317 3121(d), 3122 5318 3123 5319 3124 5320 5331 3070(a), (b) 5332 3073 5333 3074 5334 5351 3040 5352 5353 5354 3031(a), 3040 5355 5356 3040 5357 5361 5362 3030(a)(1), 3031(a), 3037, 3038; 19 U.S.C. 81(c), 1309, 1311 5363 5364 5365 5366 3034, 3035, 3042 5367 3171 5368 3030(a)(1), 3040, 3041 5369 3040 5370 3039 5371 5372 5373 3031, 3032, 3033, 3036, 3037(a) 5381 3036, 3044(a), 3045 5382 3032, 3036, 3044, 3045 5383 3036, 3044(b), (c) 5384 3045 5385 3043(a) 5386 2801(e)(3), (4) 5387 3254(g) 5388 5391 2801(c), (e)(3); 3031(a) 5392 3036, 3044(b), 3045 5401 3153(b); 3155(a), (b) 5402 3158, 3254(d) 5403 5411 3158 5412 3104, 3155(f) 5413 3155(f) 5414 5415 3155(c) 5416 5501 5502 3110 5511 3182(a) 5512 5521 3177(a), (b), (c), (d)(1) 5522 2891(a) 5523 3178 5551 2815(c), (d), (e) 5552 2829 5553 5554 5555 3171 5556 3176 5557 3175 5601 2810 5602 2818 5603 2812 5604 2814 5605 2815(a) 5606 2833 5607 2819 5608 2834 5609 2811 5610 2843 5611 2842 5612 2838 5613 2836 5614 2870 5615 2828 5616 2827 5617 2826 5618 2822 5619 2839 5620 2841 5621 2857(a), 2859 5622 2807 5623 2853 5624 2852 5625 2806(c) 5626 2806(f) 5627 2801(e)(2) 5628 2801(f) 5629 2856 5630 2865 5631 2876 5632 2912, 2913 5633 2914(a) 5634 2806(a)(1)(2) 5635 2867 5636 2866 5637 2868 5638 2869 5639 2806(d) 5640 2803(f) 5641 2871 5642 2803(g) 5643 2908 5644 2909 5645 2806(b)(1) 5646 2806(e) 5647 3072 5648 2885(d) 5649 2854 5650 2850 5661 3043 5662 5663 5671 3159 5672 3159 5673 3159 5674 3159 5675 3155(f) 5676 3159(e), (f), (g), (h), (i) 5681 2831 5682 2821, 2851 5683 3173(a) 5684 3173(b) 5685 3173(c) 5686 3115, 3116 5687 2806(g) 5688 2805(a)-(b); 3118, 3173(d), 63 Stat. 377 et seq. 5689 2800(a)(1)(B), 3112(b), 3150(b)(3) 5690 3173(b)(4) 5691 3253 5692 3252 5693 3274 5701 2000 5702 2010, 2030, 2050, 2110 5703 2001, 2002(b), (c), 2194, 3310(f)(2) 5704 2040, 2101, 2111(f); 2130(d); 2135(a)(1), (2), (3); 2197(b); 2130(d) 5705 2137, 2198, 3313 5706 2136 5707 2000(g)(1), (2), (3) 5711 2013, 2033, 2039(a), 2053 5712 2012, 2032, 2052 5713 2014, 2054 5721 2017, 2036 5722 2019, 2038, 2039(b), 2194 5723 2100, 2102, 2103(a)(1), 2111, 2112(a)(1), 2130(a)(b)(c) 5731 2059, 2060 5732 2058 5741 2018, 2037, 2039(b)(1), 2056, 2194 5751 2104(a), 2113, 2170(a)(2) 5752 2103(e), 2112(e) 5753 2190 5761 2156(c), 2161(m)(1), 2180(1) 5762 2130(a), (b), (c); 2151(a), (c); 2155(a), 2156, 2160(a)-(e), (g), (i); 2161(a), (c), (e)-(g); 2162(a)(2), (4), (b); 2170(a)(2), (4), (b); 2171(a), (b)(2); 2172, 2173(a), 2174, 2176(a)(2), (3); 2180(a), (d)-(f) 5763 2155(b), 2160(h), 2161(b), (h), (i)(1), (j)(1), (l)(1), (m)(2); 2170(b), 2171(a), 2175, 2180(b), (g)(1), (h), (i), (k), (l)(1), (2) 5801 3260 5802 3261(a) 5803 3262 5811 2720 5812 2721 5813 2722 5814 2723 5821 2734 5831 2700, 3407 5841 3261(b) 5842 2724 5843 2725 5844 2727 5845 2728 5846 2731 5847 2732 5848 2733 5851 2726(a) 5852 2726(b) 5853 2726(c) 5854 3263 5861 2729 5862 2730 6001 51, 54(a), (b); 821(d), 1007(a), (b); 1720, 1835, 1928(b), 2302, 2303, 2322(c), 2324, 2352, 2555, 2569(d), 2594(a), 2653(b), 2709, 2724, 3220(c), 3233(a), 3603 6011(a) 47(a), 51, 143(c), 215(a), 217, 235, 251(g), 1420(c), 1530(b), 1604(a), 1624, 1700 (c)(2), (d)(2), (e)(2); 1716(a), 1852(a), 1902(a)(1), 2403(a), 2451(a), 2471, 2701, 3272(a), 3310(a), (b), (f)(1), 3448(a), 3461, 3467(b), 3469(d), 3475(c), 3491(a), 3611(a)(1) 6011(b) 6012(a) 51(a), 52(a), 142(a)(2), (3), (4); 217(b), 235(b) 6012(b)(1) 51(b)(4), (c), (g)(5); 142(a)(1) 6012(b)(2) 51(c), 58(f), 142(a) 6012(b)(3) 52(a) 6012(b)(4) 142(a) 6012(b)(5) 142(b) 6013(a) 51(b)(1), (2), (3), (4), (5) 6013(b) 51(g)(1)-(5) 6014(a) 51(f)(1), (2), (4) 6014(b) 51(b)(1), 51(f)(3) 6015(a) 58(a) 6015(b) 58(c) 6015(c) 58(b) 6015(d) 58(b) 6015(e) 58(d)(2) 6015(f) 58(d)(3) 6015(g) 60(b) 6015(h) 58(a) 6016 6017 482(a) 6018(a) 821(a)(1), 864(a)(1), 937 6018(b) 821(a)(2), 864(a)(2) 6019(a) 1006(a) 6019(b) 6020(a) 3611(a)(2) 6020(b) 3612(a), (c) 6020(c) 6021 3613 6031 187 6032 169(f) 6033(a) 54(f) 6033(b) 153(a) 6033(c) 6034(a) 153(b) 6034(b) 153(b) 6035(a) 338 6035(b) 339 6036 274(a), 820 6037 6041(a) 147(b)(2) 6041(b) 147(b)(1) 6041(c) 147(c) 6041(d) 6042 148(a), (b), (c) 6043 148(d), (e) 6044(a) 148(f) 6044(b) 148(f) 6044(c) 148(f) 6045 149 6046(a) 3604(a) 6046(b) 3604(b) 6046(c) 3604(b) 6046(d) 6051(a) 1403, 1633(a), (b) 6051(b) 1633(a) 6051(c) 1633(b) 6051(d) 1633(b) 6061 3809(b) 6062 52(a) 6063 187 6064 58(g), 3809(b) 6065(a) 142(a), (b), 148(a), (d), (e); 149, 169(f), 187, 233, 821(a), 864(a), 1006(a), 1604(a), 1716(a), 1852(a), 1902(a)(1), 2403(a), 2471, 2555(a), (c); 2701, 3233(a), 3272(a), 3330, 3448(a), 3461, 3467(b), 3469(d), 3475(c), 3604(b), 3611(a), (c), 3779(b), 3780(a), 3809(c) 6065(b) 51(a), 54(f), 58(b), 215(a), 3780(a) 6071 141(b), 147(a), 148(a), (b), (c), (e); 149, 150, 153(a), (b), 821(b), 864(b), 874(b)(3), 1253(a), 1420(c), 1530(b), 1604(a), 1716(b), 1852(a), 1902(a)(1), 2403(a), 2451(a), 2471, 2555(b), (c), 2701, 2734(e), 3233(a), 3272(a), 3310(a), (f)(1); 3448(a), 3461, 3467(b), 3469(d), 3475(c), 3491(a), 3604(a), 3611(b), (c); 3779(b), 3780(a), 3791(a) 6072(a) 53(a)(1), 143(c) 6072(b) 53(a) 6072(c) 217(a), 235(a) 6072(d) 6072(e) 3805 6073(a) 58(d)(1) 6073(b) 60(a) 6073(c) 58(d)(2) 6073(d) 60(b) 6073(e) 60(c) 6074(a) 6074(b) 6074(c) 6075(a) 821(b), 864(b) 6075(b) 1006(b) 6081(a) 53(a)(2), 58(e), 141(b), 147(a), 148(a), (b), (c), (e); 149, 150, 153(a), (b); 821(b), 864(b), 874(b)(3), 1253(a), 1420(c), 1530(b), 1604(b), 1625(c), 1633(c), 1716(b), 2403(a), 2451(a), 2471, 2555(c)(1), 2701, 3233(a), 3272(a), 3310(f)(1), 3448(a), 3461, 3467(b), 3469(e), 3475(d), 3611(a)(1), 3634, 3779(b), 3791(a) 6081(b) 6081(c) 6091(a) 147(a), 148(b), (c), (d), 149, 150, 153(a), (b), 820, 874(b)(3), 1253(a), 1420(c), 1530(b), 2555(c)(1), 2734(e), 3233(a), 3604(a), 3611(a)(1), (c); 3779(a), 3780(a), 3791(a) 6091(b)(1) 53(b)(1), 58(d)(2), 60(b), 143(c), 821(c), 864(c), 1006(b), 1604(a), 1716(c), 1852(b), 1902(a)(2), 2403(a), 2451(a), 2471, 2701, 3272(a), 3291(a), 3448(a), 3461, 3467(b), 3469(d), 3475(c), 3491(c), 3611(a)(1), (c); 3791(a) 6091(b)(2) 53(b)(2), 141(b), 143(c), 1604(a), 1716(c), 1852(b), 1902(a)(2), 2403(a), 2451(a), 2471, 2701, 3272(a), 3291(a), 3448(a), 3461, 3467(b), 3469(d), 3475(c), 3491(c), 3611(a)(1), (c); 3791(a) 6091(b)(3) 821(c), 864(c) 6091(b)(4) 6101 3630 6102 6103(a) 55(a) 6103(b) 55(b) 6103(c) 55(c) 6103(d) 55(d) 6103(e) 58(h) 6103(f) 55(e) 6104 153(c) 6105 722(g) 6106 1604(c) 6107 3275, 3292 6108 63 6109 6151(a) 56(a), 143(c), (h); 144, 218(a), 236(a), 822(a)(1), 1008(a), 1253(a), 1530(b), 1715(b), (c); 1853(a), (b); 1902(a)(3), (b); 2403(b), 2451(a), (b); 2472, 2702(a), 3220, 3230, 3271(b), 3272(a), 3448(a), (b); 3461, 3467(b), 3469(b), 3470, 3475(c), 3491(a), (c) 6151(b) 51(f)(2), 56(i) 6151(c) 322(b)(4), (e) 6152(a)(1) 56(b)(2)(A) 6152(a)(1)(A) 56(b)(2)(A) 6152(a)(1)(B) 56(b)(2)(B) 6152(a)(2) 56(b)(1) 6152(a)(3) 1605(c) 6152(b)(1) 56(b)(3)(A), 1605(c) 6152(b)(2) 56(b)(3)(B) 6152(c) 272(i) 6152(d) 56(b)(4) 6153(a) 59(a) 6153(b) 60(a) 6153(c) 59(b) 6153(d) 60(b) 6153(e) 60(c) 6153(f) 59(c) 6154 6155(a) 22(d)(6)(F), 51(f)(2), 131(c), 146(a), 272(b), (c); 273(a), (g), (i); 274(b), 292(a), 871(b), (c), (i); 872(a), (g), (i); 874(b)(3), 891, 1012(b), (c); 1013(a), (g), (i); 1015(b), 1021, 1117(g), 1605(c), 3310(d), 3311, 3660(a), 3779(h) 6155(b) 6156 6161(a)(1) 56(c), 58(e), 1008(b), 1605(d), 3467(b), 3469(e), 3475(d) 6161(a)(2) 822(a)(2) 6161(b)(1) 272(j), 1012(i) 6161(b)(2) 871(h) 6161(c) 274(b), 1015(b) 6161(d) 6162(a) 56(c)(2) 6162(b) 6163(a) 925, 926 6163(b) 6164(a) 3779(a) 6164(b) 3779(b) 6164(c) 3779(c) 6164(d) 3779(d) 6164(e) 3779(e) 6164(f) 3779(f) 6164(g) 3779(g) 6164(h) 3779(h) 6164(i) 3781 6165 56(c)(2), 272(j), 822(a)(2), 871(h), 1012(i) 6201(a) 3640, 3647 6201(a)(1) 3612(f) 6201(a)(2)(A) 1809(b)(2), 2351(c)(2), 2651(c)(2), 3311 6201(a)(2)(B) 6201(a)(3) 6201(b) 59(d) 6201(c) 22(m)(4) 6201(d) 6202 3644 6203 3641 6204 3642 6205(a)(1) 1401(c), 1411, 1501(c), 1521 6205(a)(2) 1411 6205(b) 1421, 1502, 1522 6206 6211(a) 271(a), 870, 1011 6211(b)(1) 271(b)(1) 6211(b)(2) 271(b)(2) 6211(b)(3) 271(b)(3) 6212(a) 272(a), 871(a), 1012(a) 6212(b)(1) 272(k), 1012(j) 6212(b)(2) 272(a) 6212(b)(3) 901(d) 6212(c)(1) 272(f), 871(f), 1012(f) 6212(c)(2) 6213(a) 272(a), 871(a), 1012(a) 6213(b)(1) 272(f), 871(f), 1012(f) 6213(b)(2) 3780(c) 6213(b)(3) 6213(c) 272(c), 871(c), 1012(c) 6213(d) 272(d), 871(d), 1012(d) 6213(e) 6214(a) 272(e), 871(e), 1012(e) 6214(b) 272(g), 1012(g) 6214(c) 272(h), 871(g), 1012(h) 6215(a) 272(b), 871(b), 1012(b) 6215(b) 6216 6301 3651(a)(1) 6302(a) 3652 6302(b) 1420(c), 1719, 2550(c), 2708, 3281, 3282 6302(c) 3310(f)(2) 6303(a) 3655(a) 6303(b) 6304 6311(a) 3656(a)(1), (b)(1) 6311(b)(1) 3656(a)(2)(A), (b)(2) 6311(b)(2) 3656(a)(2)(B) 6312(a) 3657 6312(b) 6313 56(g), 1008(d), 1420(d), 1530(d), 1605(e), 3658 6314(a) 1008(e), 3659(a) 6314(b) 823 6314(c) 6315 59(d) 6316 6321 3670 6322 3671 6323(a) 3672(a) 6323(a)(1) 3672(a)(1) 6323(a)(2) 3672(a)(2) 6323(a)(3) 3672(a)(3) 6323(b) 6323(c) 6323(d)(1) 3672(b)(1) 6323(d)(2) 3672(b)(2) 6323(e) 6324(a)(1) 827(a) 6324(a)(2) 827(b) 6324(a)(3) 827(c) 6324(b) 1009 6324(c) 6325(a)(1) 827(a), 1009, 3673(a) 6325(a)(2) 3673(b) 6325(b)(1) 3674(a) 6325(b)(2) 3674(b) 6325(c) 3675 6325(d) 6326 6331(a) 3310, 3660, 3690, 3692, 3700 6331(b) 3690, 3692, 3700 6331(c) 3715 6331(d) 6332(a) 3710(a) 6332(b) 3710(b) 6332(c) 3710(c) 6333 3711 6334(a) 3691(a) 6334(b) 3691(b) 6334(c) 3692 6335(a) 3693(a), 3701(a) 6335(b) 3693(b), 3701(b) 6335(c) 3712 6335(d) 3693(c), 3701(c) 6335(e)(1) 3695(a), 3701(d), (e) 6335(e)(2) 3695(b) 6335(e)(2)(A) 3695(a), 3701(d) 6335(e)(2)(B) 3701(d) 6335(e)(2)(C) 6335(e)(2)(D) 3701(f) 6335(e)(2)(E) 3693, 3701 6335(e)(2)(F) 3693(d), 3701(f) 6335(e)(3) 3701(f) 6336 6337(a) 3696, 3702 6337(b)(1) 3702(b)(1) 6337(b)(2) 3702(b)(2) 6337(c) 3702(c) 6338(a) 3703(b) 6338(b) 3704(b) 6338(c) 3703(a), 3704(a) 6339(a)(1) 3697(a)(1) 6339(a)(2) 3697(b) 6339(a)(3) 3697(c) 6339(a)(4) 3697(d) 6339(a)(5) 6339(b)(1) 3704(c)(1) 6339(b)(2) 3704(c)(2) 6340(a) 3706(a), (b) 6340(b) 3706(f) 6341 3716 6342(a) 3694 6342(b) 3712 6343 6344 6401(a) 3770(a)(2) 6401(b) 322(a)(2) 6401(c) 3770(c) 6402(a) 1027(a), 3770(a)(1), (4), (5) 6402(b) 322(a)(3) 6403 321 6404(a) 3770(a)(1), (5) 6404(b) 273(j), 873, 1014 6404(c) 6405(a) 3777(a) 6405(b) 3777(b) 6405(c) 3777(c) 6406 3790 6407 3770(a)(3) 6411(a) 3780(a) 6411(b) 3780(b) 6411(c) 3781 6412(a) 6412(b)(1) 3412(g)(1) 6412(b)(2) 3412(g)(2) 6412(c) 6412(d) 3508 6412(e) 6413(a)(1) 1401(c), 1411, 1501(c), 1521 6413(a)(2) 1411 6413(b) 1421, 1502, 1522 6413(c)(1) 1401(d)(3) 6413(c)(2) 1401(d)(4) 6413(d) 1601(d) 6414 143(f), 1622(f)(1) 6415(a) 1854(a), 3471(a) 6415(b) 1715(d)(1), (2); 1854(b), (c); 3471(b), (c) 6415(c) 1715(d)(2) 6415(d) 1715(d)(1), 1854(c), 3471(c) 6416(a) 1715(d), 2407(b), 2452(b), 3443(a)(3)(B), (b), (d) 6416(b)(1) 2407(a), 3443(a)(2) 6416(b)(2)(A) 3443(a)(3)(A)(i) 6416(b)(2)(B) 3443(a)(3)(A)(ii) 6416(b)(2)(C) 3443(a)(3)(A)(iii) 6416(b)(2)(D) 2452(a) 6416(b)(2)(E) 3443(a)(3)(A)(iv) 6416(b)(2)(F) 3443(a)(3)(A)(v) 6416(b)(2)(G) 3443(a)(3)(A)(vi) 6416(b)(2)(H) 3443(a)(3)(A)(vii) 6416(b)(3) 3443(a)(1) 6416(c) 3403(e) 6416(d) 3408(b) 6416(e) 2705 6416(f) 2703(a), 3471(b) 6417(a) 2473 6417(b) 2474 6418(a) 3494(a) 6418(b) 3493(a) 6419 3286 6420 6501(a) 275(a), 874(a), 1016(a), 1635(a), 3312(a) 6501(b)(1) 275(f) 6501(b)(2) 1635(e) 6501(b)(3) 6501(c)(1) 276(a), 874(b)(1), 1016(b)(1), 1635(b), 3312(b) 6501(c)(2) 1635(c), 3312(c) 6501(c)(3) 276(a), 874(b)(1), 1016(b)(1), 1635(b), 3312(b) 6501(c)(4) 276(b) 6501(c)(5) 6501(d) 275(b) 6501(e)(1)(A) 275(c) 6501(e)(1)(B) 275(d)(1) 6501(e)(2) 6501(f) 6501(g) 6502(a) 276(c), 874(b)(2), 1016(b)(2), 1635(d), 3312(d) 6502(b) 3714(b) 6503(a)(1) 277, 875, 1017 6503(a)(2) 141(h) 6503(b) 274(b), 1015(b) 6503(c) 6503(d) 822(a)(2), 871(h) 6503(e) 6504 6511(a) 322(b)(1), 910, 1027(b)(1), 1636(a)(1), 3313 6511(b)(1) 322(b)(1), 910, 1027(b)(1), 1636(a)(1), 3313 6511(b)(2) 322(b)(2), 910, 1027(b)(2), 1636(a)(2), 3313 6511(c) 322(b)(3) 6511(d)(1) 322(b)(5) 6511(d)(2)(A) 322(b)(6) 6511(d)(2)(B) 322(g) 6511(d)(3) 6511(e)(1) 3494(b) 6511(e)(2) 3493(b) 6511(f) 6512(a) 322(c), 911, 1027(c) 6512(b) 322(d), 912, 1027(d) 6513(a) 322(b)(4) 6513(b) 322(e) 6513(c) 1636(c) 6513(d) 6514(a) 3774 6514(b) 3775 6515 6521 3812 6531 3748(a) 6532(a)(1) 3772(a)(2) 6532(a)(2) 3774(b) 6532(a)(3) 6532(a)(4) 3772(a)(3) 6532(b) 3746(a), (b), (c) 6533 6601(a) 146(f), 292(a), (c), (d); 294(a)(1), (2), (b), (c); 295, 296, 297, 298, 890(a), (b), 891, 892, 893(a)(1), (2); (b)(1), (2), (3), (4); 925, 1020(a), (b), 1021, 1022, 1023(a)(1), (2); (b)(1), (2), (3), (4), (5), 1420(b), 1530(c), 1605(b), 1717, 1853(c), 2403(b), 2451(b), 2475, 2706, 3310(c), 3448(b), 3470, 3495, 3655(b), 3779(i), 3794 6601(b) 890(a), 925 6601(c)(1) 294(a)(2), 296, 893(a)(2), (b)(3); 1023(a)(2), (b)(3) 6601(c)(2) 56(b), 272(i), 1605(c) 6601(c)(3) 297, 892, 1022 6601(c)(4) 3310(a), (b), 3311 6601(d) 292(a), 891, 1021 6601(e) 292(c), 3779(i) 6601(f)(1) 292(a), 294(b), 295, 296, 298, 890(a), (b), 891, 893(a), (b), 1020(a), (b), 1021, 1023(a), (b), 1420(b), 1530(c), 1605(b), 1717, 1853(c), 2403(b), 2451(b), 2475, 2706, 3310(c), (d), 3448(b), 3470, 3495, 3655(b), 3779(i) 6601(f)(2) 6601(f)(3) 6601(g) 59(d) 6601(h) 6602 3746(d) 6611(a) 3443(c), 3771(a) 6611(b)(1) 3771(b)(1) 6611(b)(2) 3771(b)(2) 6611(c) 3771(c) 6611(d) 322(b)(4), (e); 1636 6611(e) 3771(b)(2) 6611(f) 3771(e) 6611(g) 3790 6612 6651(a) 291, 894(a), 1631, 3612(d)(1) 6651(b) 6651(c) 294(d)(1)(A) 6652 6653(a) 51(g)(6)(A), 293(a), 894(a) 1019(a) 6653(b) 51(g)(6)(B), 293(b), 871(i), 1019(b), 3612(d)(2) 6653(c)(1) 271, 870, 1011 6653(c)(2) 6653(d) 6653(e) 1821(a)(3) 6654 294(d)(1)(B) 6655 6656 6657 6658 146(f) 6659 51(g)(6), 291, 293, 871(i), 1019, 1117(g), 1634(b), 1718(c), 1821(a)(3), 3310(a)-(e), 3311, 3655(a)(b) 6671(a) 1718(c), 1821(a)(3), 2557(b)(4), 2707(a) 6671(b) 1718(d), 1821(a)(4), 2557(b)(8), 2707(d) 6672 1718(c), 1821(a)(3), 2557(b)(4), 2707(a) 6673 1117(g) 6674 1634(b) 6801(a) 1809(b)(1), 2652(a), 3273(a), 3300(a), 3901(a)(2) 6801(b) 1809(b)(1), 3301(a) 6802(1) 1423(a), 1817(a) 6802(2) 1817(b) 6802(3) 1817(c) 6803(a)(1) 1423(b) 6803(a)(2) 1423(c) 6803(b)(1) 1818(a) 6803(b)(2) 1818(b) 6804 1815, 1920(c), 3301(a) 6805(a) 3304(a) 6805(b) 3304(b) 6805(c) 3304(c) 6805(d) 3304(d) 6806(a) 3273(b) 6806(b) 6806(c) 3293 6807 3725 6808 6851(a)(1) 146(a)(1) 6851(a)(2) 146(a)(2) 6851(b) 6851(c) 146(d) 6851(d) 146(e) 6851(e) 146(b) 6861(a) 273(a), 872(a), 1013(a) 6861(b) 273(b), 872(b), 1013(b) 6861(c) 273(c), 872(c), 1013(c) 6861(d) 273(d), 872(d), 1013(d) 6861(e) 273(e), 872(e), 1013(e) 6861(f) 273(i), 872(i), 1013(i) 6861(g) 273(k), 872(j), 1013(j) 6861(h) 6862(a) 3660(a) 6862(b) 6863(a) 273(f), (h); 872(f), (h); 1013(f), (h); 3660(b) 6863(b)(1) 273(g), 872(g), 1013(g) 6863(b)(2) 273(f), (h); 872(f), (h); 1013(f), (h) 6864 6871(a) 274(a), 1015(a) 6871(b) 274(a), 1015(a) 6872 274(a) 6873(a) 274(b), 1015(b) 6873(b) 6901(a) 311(a), 900(a), 1025(a) 6901(b) 311(a), 900(a), 1025(a) 6901(c) 311(b), 900(b), 1025(b) 6901(d) 311(b)(4) 6901(e) 311(c), 1025(c) 6901(f) 311(d), 900(c), 1025(d) 6901(g) 311(e), 1025(g) 6901(h) 311(f), 900(e), 1025(f) 6901(i) 6902(a) 1119(a) 6902(b) 1119(b) 6903(a) 312(a), 901(a), 1026(a) 6903(b) 312(c), 901(c), 1026(c) 6904 7001(a) 150 7001(b) 7011(a) 3270(a) 7011(b) 3280(a) 7012 7101 44(d), 56(c)(2), 112(b)(6)(D), 131(c), 146(b), 272(j), 273(f), 822(a)(2), 871(h), 872(f), 926, 1012(i), 1013(f), 1145, 1818(a), 2302(e), 2322(e), 2352(e), 2474, 2569(b), 2653(d), 3360(d)(2)(B), 3412(d), 3413, 3660(b), 3722(c), 3724(c), 3943, 3992, 4010, and 6 U.S.C. 15 7102 3676 7103 7121(a) 3760 7121(b) 3760 7122(a) 3761 7122(b) 3761 7123 7201 145(a), (b), 153(d), 340, 894(b)(2)(B), (C); 937, 1024(a), (b); 1718(a), (b); 1821(a)(1), (2), (b)(4); 2557(b)(2), (b)(3); 2656(f), 2707(b), 2707(c), 3604(c) 7202 145(b), 894(b)(2)(C), 1718(b), 1821(a)(2), 2557(b)(3), 2707(c) 7203 145(a), 153(d), 340, 894(b)(2)(B), 937, 1024(a), 1718(a), 1821(a)(1), 2557(b)(2), 2707(b), 3604(c) 7204 1634(a) 7205 1626(d) 7206(1) 3809(a) 7206(2) 3793(b) 7206(3) 3793(a) 7206(4) 2656(a), 3321 7206(5) 3762 7207 894(b)(2), 3616(a), 3672, 3793(b) 7208 3300(b) 7208(1) 1425(b) 7208(2) 1823(a) 7208(3) 1822, 1823(b) 7208(4) 1823(c) 7208(5) 3323(a)(3) 7209 1425(a) 7210 3616(b) 7211 3325 7212(a) 3601(c) 7212(b) 3601(c)(2) 7213(a)(1) 55(f)(1) 7213(a)(2) 55(f)(2) 7213(a)(3) 55(f)(3) 7213(b) 4047(a)(1) 7213(c) 7214(a) 4047(e) 7214(b) 4047 7214(c) 7231 150 7232 3412(d) 7233(1) 1929(a)(1) 7233(2) 1929(a)(2) 7234(a) 2308(a) 7234(b) 2308(c) 7234(c) 2308(h) 7234(d)(1) 2308(i)(1) 7234(d)(2)(A) 2308(g)(1) 7234(d)(2)(B) 2308(g)(2) 7234(d)(3) 2308(i)(2) 7234(d)(4) 2308(d) 7235(a) 2326(a) 7235(b) 2326(b) 7235(c) 2326(c) 7235(d) 3207(b) 7235(e) 2327 7236 2357(b) 7237(a) 2557(b)(1), 2596, 3225, 3235 7237(b) 2557(a) 7238 2570 7239(a) 2656(b) 7239(b) 2656(d) 7240 3506 7261 2409 7262 3294(a) 7263(a) 1929(c) 7263(b) 1929(b) 7264 3207(a) 7265(a)(1) 2308(b) 7265(a)(2) 2326(a)(2) 7265(b) 2308(e), 2327(a) 7265(c) 2308(j), 2327(a) 7266(a)(1) 3211(a) 7266(a)(2) 3211(b) 7266(a)(3) 3211(c) 7266(b) 2357(a) 7266(c) 2357(c) 7266(d) 2357(d) 7266(e) 2357(e) 7266(f) 2357(f) 7267(a) 2656(j) 7267(b) 2656(k) 7267(c) 2656(i) 7267(d) 2656(h) 7268 3320(a) 7269 894(b)(1) 7270 1821(b)(3) 7271(1) 1822, 2656(c) 7271(2) 1820(b) 7271(3) 1820(a) 7271(4) 3323(a)(1), (2) 7272(a) 1831(c), 2656(g), 3475(e) 7272(b) 7273(a) 3274 7273(b) 3294(b) 7274 2656 7275 7301(a) 2558(a), (b); 2571, 2598(a), (b), (c); 3253, 3321(b)(1), 3720(a)(1) 7301(b) 3321(b)(1), 3720(a)(2) 7301(c) 2657(e), 3321(b)(1), 3720(a)(3) 7301(d) 3321(b)(2), 3322 7302 3116 7303(1) 1823 7303(2) 2309(b), 2358(b) 7303(3) 2309(d) 7303(4) 2358(a) 7303(5) 2309(b), 2358(b) 7303(6)(A) 2657(c) 7303(6)(B) 2656(c), 2657(a)(b), (f) 7303(7) 3323(b) 7303(8) 3793(a)(2) 7304 3326 7321 3720(b) 7322 3721 7323(a) 3723(a) 7323(b) 3723(b) 7323(c) 3723(c) 7324 3722 7325 3724 7326 7327 3726 7328 2657 7329 7341(a) 3324(a) 7341(b) 3324(b) 7341(c) 3324(c) 7342 3601(b) 7343 145(d), 894(b)(2)(D), 1718(d), 1821(a)(4), 2557(b)(8), 2707(d), 3228, 3710(c), 3793(b)(2) 7344 4048 7401 3740 7402(a) 3800 7402(b) 3633 7402(c) 4042 7402(d) 3992, 3995(c) 7402(e) 7403(a) 3678(a) 7403(b) 3678(b) 7403(c) 3678(c) 7403(d) 3678(d) 7404 826(a) 7405(a) 3746(a) 7405(b) 3746(b) 7405(c) 7405(d) 7406 3747 7407 7421(a) 3653(a) 7421(b) 3653(b) 7422(a) 3772(a)(1) 7422(b) 3772(b) 7422(c) 3772(d) 7422(d) 3772(e) 7422(e) 7422(f) 7423(1) 3770(b)(1) 7423(2) 3770(b)(2) 7424(a)(1) 3679(a)(1) 7424(a)(2) 3679(a)(2) 7424(a)(3) 3679(a)(3) 7424(b) 3679(c) 7424(c) 3679(d) 7425 7441 1100 7442 1101 7443(a) 1102(a) 7443(b) 1102(b) 7443(c) 1102(c) 7443(d) 1102(d) 7443(e) 1102(e) 7443(f) 1102(f) 7443(g) 1102(g) 7444(a) 1103(a) 7444(b) 1103(b) 7444(c) 1103(c) 7444(d) 1103(d) 7445 1104 7446 1105 7447(a) 1106(a) 7447(b) 1106(b) 7447(c) 1106(c) 7447(d) 1106(d) 7447(e) 1106(e) 7447(f) 1106(f) 7447(g) 1106(g) 7451 1110 7452 504(b), R.A. 1942 7453 1111 7454(a) 1112 7454(b) 7455 1113 7456(a) 1114 7456(b) 7456(c) 1114(b) 7457(a) 1115(a) 7457(b) 1115(b) 7458 1116 7459(a) 1117(a) 7459(b) 1117(b) 7459(c) 1117(c) 7459(d) 1117(d) 7459(e) 1117(e) 7459(f) 1117(f) 7459(g) 7460(a) 1118(a) 7460(b) 1118(b) 7461 1120 7462 1121 7463 7471(a) 1130(a) 7471(b) 1130(b) 7471(c) 7472 1131 7473 1132 7474 1133 7481 1140 7482(a) 1141(a) 7482(b) 1141(b) 7482(c) 1141(c) 7483 1142 7484 1143 7485(a) 1145 7485(b) 7486 1146 7487 7491 2597 7492 1925(b) 7493 1930 7501(a) 3661 7501(b) 7502 7503 7504 7505(a) 3695(b) 7505(b) 3695(c) 7506(a) 3795(a) 7506(b) 3795(b) 7506(c) 3795(c) 7506(d) 3795(d) 7507(a) 3798(a) 7507(b) 3798(b) 7507(c) 3798(c) 7507(d) 3798(d) 7508(a) 3804(a) 7508(b) 3804(d) 7509 1424 7510 3331 7511 3802 7601(a) 3600 7601(b) 7602 3614, 3615(a), (b), (c); 3632(a)(1) 7603 3615(d) 7604(a) 3633(a) 7604(b) 3615(e) 7604(c) 7605(a) 3614, 3615 7605(b) 3631 7606(a) 3601(a)(1) 7606(b) 3601(a)(2) 7606(c) 7607 7621 3650 7622(a) 3632(a) 3622(b) 3632(b) 7623 3792 7641 2302(c), 2322(c), 2352(c), 2569(d)(4), 2653(b) 7651(2)(A) 3811 7652(a)(1) 3360(a) 7652(a)(2) 3360(b) 7652(a)(3) 3360(c) 7652(b)(1) 3350(a) 7652(b)(2) 3350(b) 7653(a)(1) 3361(a) 7653(a)(2) 3351(a) 7653(b) 3351(b), 3361(b) 7653(c) 3351(c), 3361(c) 7653(d) 7654 2483 7655 7701(a)(1) 1426(f), 1532(i), 1607(k), 1805, 1931(b), 2733(i), 3228(a), 3238(a), 3507(a), 3797(a)(1) 7701(a)(2) 3797(a)(2) 7701(a)(3) 3797(a)(3) 7701(a)(4) 3797(a)(4) 7701(a)(5) 3797(a)(5) 7701(a)(6) 3797(a)(6) 7701(a)(7) 3797(a)(7) 7701(a)(8) 3797(a)(8) 7701(a)(9) 3797(a)(9) 7701(a)(10) 3797(a)(10) 7701(a)(11) 3797(a)(11) 7701(a)(12) 7701(a)(13) 3797(a)(12) 7701(a)(14) 3797(a)(14) 7701(a)(15) 3797(a)(15) 7701(a)(16) 3797(a)(16) 7701(a)(17) 3797(a)(17) 7701(a)(18) 3797(a)(18) 7701(a)(19) 3797(a)(19) 7701(a)(20) 3797(a)(20) 7701(a)(21) 7701(a)(22) 7701(a)(23) 48(a) 7701(a)(24) 48(b) 7701(a)(25) 48(c) 7701(a)(26) 48(d) 7701(a)(27) 7701(a)(28) 7701(b) 3797(b) 7701(c)(1) 3797(c) 7701(c)(2) 7801(a) Reorg. Plan No. 26 of 1950 7801(b) 3930(a), 3931 7801(c) 3932 7802 3900 7803(a) 3920, 3921, 4000, 4041(a) 7803(b)(1) 4040 7803(b)(2) 3901(b) 7803(c) 3360(b)(2)(B), 3943, 3992, 4010 7803(d) 3975, 3976, 3977, 3978 7804(a) 616 R.A. 1951 7804(b) 3, P.L. 567 (82d Cong.) 7805(a) 62, 3791(a) 7805(b) 3791(b) 7805(c) 3901(a)(2) 7806(a) 2 7806(b) Ch. 1, Sec. 6, P.L. 1 7807(a) 7807(b) 7808 3970 7809(a) 2480, 3971(a) 7809(b) 3971(b) 7809(b)(1) 3971(b)(1) 7809(b)(2) 3971(b)(2) 7809(b)(3) 3971(b)(3) 7851(a) See 26 U.S.C. 3, 4 7851(b) See 26 U.S.C. 4(b) 7851(c) See 26 U.S.C. 4(c) 7851(d) See 26 U.S.C. 4(d) 7852(a) 3803 7852(b) See 26 U.S.C. 4(a), 5, 7 7852(c) 7852(d) 108 R.A. 1941; 109 R.A. 1942; 136 R.A. 1943; 214 R.A. 1950; 615 R.A. 1951; See 22(b)(7) 8001 5000 8002 5001 8003 5002 8004 5003 8005 5004 8021 5010 8022 5011 8023 5012 ------------------------------- An Act to revise the internal revenue laws of the United States Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That (a) Citation (1) The provisions of this Act set forth under the heading 'Internal Revenue Title' may be cited as the 'Internal Revenue Code of 1986 (formerly I.R.C. 1954)'. (2) The Internal Revenue Code enacted on February 10, 1939, as amended, may be cited as the 'Internal Revenue Code of 1939'. (b) Publication This Act shall be published as volume 68A of the United States Statutes at Large, with a comprehensive table of contents and an appendix; but without an index or marginal references. The date of enactment, bill number, public law number, and chapter number, shall be printed as a headnote. (c) Cross reference For saving provisions, effective date provisions, and other related provisions, see chapter 80 (sec. 7801 and following) of the Internal Revenue Code of 1986. (d) Enactment of Internal Revenue Title into law The Internal Revenue Title referred to in subsection (a)(1) is as follows: * * *. (Aug. 16, 1954, ch. 736, 68A Stat. 3; Oct. 22, 1986, Pub. L. 99-514, Sec. 2, 100 Stat. 2095.) AMENDMENTS 1986 - Subsecs. (a)(1), (c). Pub. L. 99-514 substituted 'Internal Revenue Code of 1986' for 'Internal Revenue Code of 1954'. REDESIGNATION OF INTERNAL REVENUE CODE OF 1954; REFERENCES Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(a) Redesignation of 1954 Code. - The Internal Revenue Title enacted August 16, 1954, as heretofore, hereby, or hereafter amended, may be cited as the 'Internal Revenue Code of 1986'. '(b) References in Laws, Etc. - Except when inappropriate, any reference in any law, Executive order, or other document - '(1) to the Internal Revenue Code of 1954 shall include a reference to the Internal Revenue Code of 1986, and '(2) to the Internal Revenue Code of 1986 shall include a reference to the provisions of law formerly known as the Internal Revenue Code of 1954.' INTERNAL REVENUE TITLE Subtitle A. Income taxes Sec. 1-1564. (FOOTNOTE 1) (FOOTNOTE 1) Section numbers editorially supplied. B. Estate and gift taxes Sec. 2001-2622. C. Employment taxes Sec. 3101-3507. D. Miscellaneous excise taxes Sec. 4001-4998. E. Alcohol, tobacco, and certain other excise taxes Sec. 5001-5872. F. Procedure and administration Sec. 6001-7852. G. The Joint Committee on Taxation Sec. 8001-8023. H. Financing of Presidential election campaigns Sec. 9001-9042. I. Trust Fund Code Sec. 9500-9602. AMENDMENTS 1982 - Pub. L. 97-248, title III, Sec. 307(b)(2), 308(a), Sept. 3, 1982, 96 Stat. 590, 591, provided that, applicable to payments of interest, dividends, and patronage dividends paid or credited after June 30, 1983, subtitle C heading is amended to read 'Employment taxes and collection of income tax at source'. Section 102(a), (b) of Pub. L. 98-67, title I, Aug. 5, 1983, 97 Stat. 369, repealed subtitle A (Sec. 301-308) of title III of Pub. L. 97-248 as of the close of June 30, 1983, and provided that the Internal Revenue Code of 1954 (now 1986) (this title) shall be applied and administered (subject to certain exceptions) as if such subtitle A (and the amendments made by such subtitle A) had not been enacted. 1981 - Pub. L. 97-119, title I, Sec. 103(c)(2), Dec. 29, 1981, 95 Stat. 1638, added subtitle I heading 'Trust Fund Code'. 1976 - Pub. L. 94-455, title XIX, Sec. 1907(b)(2), Oct. 4, 1976, 90 Stat. 1836, substituted in subtitle G heading 'The Joint Committee on Taxation' for 'The Joint Committee on Internal Revenue Taxation'. 1974 - Pub. L. 93-443, title IV, Sec. 408(a), Oct. 15, 1974, 88 Stat. 1297, added subtitle H heading 'Financing of Presidential election campaigns'. -SECREF- TITLE REFERRED TO IN OTHER SECTIONS This title is referred to in title 2 sections 31a-2, 31a-3, 60c-1, 65c, 632, 651; title 5 section 8440; title 10 section 2401; title 12 sections 3413, 3607; title 15 sections 78kkk, 631b; title 16 section 470b; title 18 section 4043; title 20 sections 1070a-6, 1087-1, 1087-2, 1087ee, 1087ss, 1087vv, 1132d-1, 1132g-1; title 22 sections 3307, 4071i, 4071j, 5401; title 25 sections 983f, 1716, 2719; title 29 sections 1002, 1061, 1083, 1301, 1453, 1706; title 30 section 1473; title 31 sections 1324, 3105, 3106, 3124, 3701, 3711, 3718, 3729, 3801; title 33 section 2717; title 36 sections 1514, 1614, 1714, 1814, 1914, 2014, 2114, 2214, 2314, 2414, 2514, 2614, 2714, 2814, 2915, 3014, 3114, 3614, 3714, 3815, 3914, 4015, 4814; title 40 section 270a; title 41 section 261; title 42 sections 401, 408, 416, 1471, 4636, 5055, 8217, 10702; title 45 sections 231m, 1347; title 46 App. section 1177; title 49 section 326. -MISC8- TABLE OF CONTENTS This Table of Contents is inserted for convenience of users and was not enacted as part of the Internal Revenue Code of 1986. SUBTITLE A - INCOME TAXES Chapter Sec. 1. Normal taxes and surtaxes 1 2. Tax on self-employment income 1401 3. Withholding of tax on nonresident aliens and foreign corporations 1441 (4. Repealed.) 5. Tax on transfers to avoid income tax 1491 6. Consolidated returns 1501 SUBTITLE B - ESTATE AND GIFT TAXES 11. Estate tax 2001 12. Gift tax 2501 13. Tax on certain generation skipping transfers 2601 14. Special valuation rules 2701 SUBTITLE C - EMPLOYMENT TAXES 21. Federal insurance contributions act 3101 22. Railroad retirement tax act 3201 23. Federal unemployment tax act 3301 23A. Railroad unemployment repayment tax 3321 24. Collection of income tax at source on wages 3401 25. General provisions relating to employment taxes 3501 SUBTITLE D - MISCELLANEOUS EXCISE TAXES 31. Retail excise taxes 4001 32. Manufacturers excise taxes 4061 33. Facilities and services 4231 34. Policies issued by foreign insurers 4301 35. Taxes on wagering 4401 36. Certain other excise taxes 4451 (37. Repealed.) 38. Environmental taxes 4611 39. Registration-required obligations 4701 40. General provisions relating to occupational taxes 4901 41. Public charities 4911 42. Private foundations and certain other tax-exempt organizations 4940 43. Qualified pension, etc., plans 4971 44. Qualified investment entities 4981 (45. Repealed.) 46. Golden parachute payments 4999 47. Certain large group health plans 5000 SUBTITLE E - ALCOHOL, TOBACCO, AND CERTAIN OTHER EXCISE TAXES 51. Distilled spirits, wines, and beer 5001 52. Cigars, cigarettes, smokeless tobacco, and cigarette papers and tubes 5701 53. Machine guns, destructive devices, and certain other firearms 5801 54. Greenmail 5881 SUBTITLE F - PROCEDURE AND ADMINISTRATION 61. Information and returns 6001 62. Time and place for paying tax 6151 63. Assessment 6201 64. Collection 6301 65. Abatements, credits, and refunds 6401 66. Limitations 6501 67. Interest 6601 68. Additions to the tax, additional amounts, and assessable penalties 6651 69. General provisions relating to stamps 6801 70. Jeopardy, receiverships, etc. 6851 71. Transferees and fiduciaries 6901 72. Licensing and registration 7001 73. Bonds 7101 74. Closing agreements and compromises 7121 75. Crimes, other offenses, and forfeitures 7201 76. Judicial proceedings 7401 77. Miscellaneous provisions 7501 78. Discovery of liability and enforcement of title 7601 79. Definitions 7701 80. General Rules 7801 SUBTITLE G - THE JOINT COMMITTEE ON TAXATION 91. Organization and membership of the Joint Committee 8001 92. Powers and duties of the Joint Committee 8021 SUBTITLE H - FINANCING OF PRESIDENTIAL ELECTION CAMPAIGNS 95. Presidential election campaign fund 9001 96. Presidential primary matching payment account 9031 SUBTITLE I - TRUST FUND CODE 98. Trust Fund Code 9501 ------DocID 33537 Document 2 of 2652------ -CITE- 26 USC Sec. 26 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- Sec. 26. Limitation based on tax liability; definition of tax liability -STATUTE- (a) Limitation based on amount of tax The aggregate amount of credits allowed by this subpart for the taxable year shall not exceed the excess (if any) of - (1) the taxpayer's regular tax liability for the taxable year, over (2) the tentative minimum tax for the taxable year (determined without regard to the alternative minimum tax foreign tax credit). (b) Regular tax liability For purposes of this part - (1) In general The term 'regular tax liability' means the tax imposed by this chapter for the taxable year. (2) Exception for certain taxes For purposes of paragraph (1), any tax imposed by any of the following provisions shall not be treated as tax imposed by this chapter: (A) section 55 (relating to minimum tax), (B) section 59A (relating to environmental tax), (C) subsection (m)(5)(B), (q), (t), or (v) of section 72 (relating to additional taxes on certain distributions), (D) section 143(m) (relating to recapture of proration of Federal subsidy from use of mortgage bonds and mortgage credit certificates), (E) section 531 (relating to accumulated earnings tax), (F) section 541 (relating to personal holding company tax), (G) section 1351(d)(1) (relating to recoveries of foreign expropriation losses), (H) section 1374 (relating to tax on certain built-in gains of S corporations), (I) section 1375 (relating to tax imposed when passive investment income of corporation having subchapter C earnings and profits exceeds 25 percent of gross receipts), (J) subparagraph (A) of section 7518(g)(6) (relating to nonqualified withdrawals from capital construction funds taxed at highest marginal rate), (K) sections 871(a) and 881 (relating to certain income of nonresident aliens and foreign corporations), (L) section 860E(e) (relating to taxes with respect to certain residual interests), (M) section 884 (relating to branch profits tax), and (N) sections 453(l)(3) and 453A(c) (relating to interest on certain deferred tax liabilities). (c) Tentative minimum tax For purposes of this part, the term 'tentative minimum tax' means the amount determined under section 55(b)(1). -SOURCE- (Added Sec. 25, renumbered Sec. 26, Pub. L. 98-369, div. A, title IV, Sec. 472, title VI, Sec. 612(a), July 18, 1984, 98 Stat. 827, 905, and amended Pub. L. 99-499, title V, Sec. 516(b)(1)(A), Oct. 17, 1986, 100 Stat. 1770; Pub. L. 99-514, title II, Sec. 261(c), title VI, Sec. 632(c)(1), title VII, Sec. 701(c)(1), Oct. 22, 1986, 100 Stat. 2214, 2277, 2340; Pub. L. 100-647, title I, Sec. 1006(t)(16)(C), 1007(g)(1), 1011A(c)(10), 1012(q)(8), title IV, Sec. 4005(g)(4), title V, Sec. 5012(b)(2), Nov. 10, 1988, 102 Stat. 3425, 3434, 3476, 3524, 3650, 3662; Pub. L. 101-239, title VII, Sec. 7811(c)(1), (2), 7821(a)(4)(A), Dec. 19, 1989, 103 Stat. 2406, 2407, 2424.) -MISC1- AMENDMENTS 1989 - Subsec. (b)(2)(C), (D). Pub. L. 101-239, Sec. 7811(c)(1), amended subpars. (C) and (D) generally. Prior to amendment, subpars. (C) and (D) read as follows: '(C) subsection (m)(5)(B) (q), or (v) of section 72 (relating to additional tax on certain distributions), '(D) section 72(t) (relating to 10-percent additional tax on early distributions from qualified retirement plans),'. Subsec. (b)(2)(K). Pub. L. 101-239, Sec. 7811(c)(2), added subpar. (K) and struck out former subpar. (K) which was identical. Subsec. (b)(2)(L), (M). Pub. L. 101-239, Sec. 7811(c)(2), added subpars. (L) and (M) and struck out former subpars. (L) and (M) which read as follows: '(L) section 860E(e) (relating to taxes with respect to certain residual interests), and '(L) section 884 (relating to branch profits tax), and '(M) section 143(m) (relating to recapture of portion of federal subsidy from use of mortgage bonds and mortgage credit certificates).' Subsec. (b)(2)(N). Pub. L. 101-239, Sec. 7821(a)(4)(A), which directed amendment of subsec. (b)(2) of this section 'as amended by section 11811' by adding subpar. (N), was executed as if it directed amendment of subsec. (b)(2) of this section 'as amended by section 7811', to reflect the probable intent of Congress and the renumbering of section 11811 of H.R. 3299 as section 7811 prior to the enactment of H.R. 3299 into law as Pub. L. 101-239. 1988 - Subsec. (b)(2)(C). Pub. L. 100-647, Sec. 1011A(c)(10)(A), struck out ', (o)(2),' after 'subsection (m)(5)(B)'. Pub. L. 100-647, Sec. 5012(b)(2), substituted '(q), or (v)' for 'or (q)'. Subsec. (b)(2)(D). Pub. L. 100-647, Sec. 1011A(c)(10)(B), substituted '72(t) (relating to 10-percent additional tax on early distributions from qualified retirement plans)' for '408(f) (relating to additional tax on income from certain retirement accounts)'. Subsec. (b)(2)(K). Pub. L. 100-647, Sec. 1007(g)(1), substituted 'corporations).' for 'corporations,'. Subsec. (b)(2)(L). Pub. L. 100-647, Sec. 1012(q)(8), added subpar. (L) relating to branch profits tax. Pub. L. 100-647, Sec. 1006(t)(16)(C), added subpar. (L) relating to taxes with respect to certain residual interests. Subsec. (b)(2)(M). Pub. L. 100-647, Sec. 4005(g)(4), added subpar. (M). 1986 - Subsec. (a). Pub. L. 99-514, Sec. 701(c)(1)(A), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'The aggregate amount of credits allowed by this subpart for the taxable year shall not exceed the taxpayer's tax liability for such taxable year.' Subsec. (b). Pub. L. 99-514, Sec. 701(c)(1)(B)(i), (v), substituted 'Regular tax liability' for 'Tax liability' in heading and 'this part' for 'this section' in introductory provisions. Subsec. (b)(1). Pub. L. 99-514, Sec. 701(c)(1)(B)(ii), substituted 'regular tax liability' for 'tax liability'. Subsec. (b)(2). Pub. L. 99-499 added subpar. (B) and redesignated former subpars. (B) to (J) as (C) to (K), respectively. Pub. L. 99-514, Sec. 701(c)(1)(B)(iii), substituted 'section 55 (relating to minimum tax)' for 'section 56 (relating to corporate minimum tax)' in subpar. (A). Pub. L. 99-514, Sec. 632(c)(1), substituted 'certain built-in gains' for 'certain capital gains' in subpar. (G). Pub. L. 99-514, Sec. 261(c), added subpar. (I). Pub. L. 99-514, Sec. 701(c)(1)(B)(iv), added subpar. (J). Subsec. (c). Pub. L. 99-514, Sec. 701(c)(1)(C), amended subsec. (c) generally, substituting provisions relating to tentative minimum tax for provisions referring to section 55(c) of this title for similar rule for alternative minimum tax for taxpayers other than corporations. EFFECTIVE DATE OF 1989 AMENDMENT Amendment by section 7811(c)(1), (2) of Pub. L. 101-239 effective, except as otherwise provided, as if included in the provision of the Technical and Miscellaneous Revenue Act of 1988, Pub. L. 100-647, to which such amendment relates, see section 7817 of Pub. L. 101-239, set out as a note under section 1 of this title. Section 7823 of Pub. L. 101-239 provided that: 'Except as otherwise provided in this part (part II (Sec. 7821-7823) of subtitle H of title VII of Pub. L. 101-239, amending this section and sections 453A, 842, 1503, 6427, 6655, 6863, 7519, 7611, 9502, 9503, and 9508 of this title and enacting provisions set out as notes under sections 56 and 7519 of this title), any amendment made by this part shall take effect as if included in the provision of the 1987 Act (Pub. L. 100-203, title X) to which such amendment relates.' EFFECTIVE DATE OF 1988 AMENDMENT Amendment by section 1006(t)(16)(C) of Pub. L. 100-647 applicable, with certain exceptions, to transfers after Mar. 31, 1988, and to excess inclusions for periods after Mar. 31, 1988, see section 1006(t)(16)(D)(ii)-(iv) of Pub. L. 100-647, set out as a note under section 860E of this title. Amendment by sections 1007(g)(1), 1011A(c)(10), and 1012(q)(8) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. Amendment by section 4005(g)(4) of Pub. L. 100-647 applicable, with certain exceptions, to financing provided, and mortgage credit certificates issued, after Dec. 31, 1990, see section 4005(h)(3) of Pub. L. 100-647, set out as a note under section 143 of this title. Amendment by section 5012(b)(2) of Pub. L. 100-647 applicable to contracts entered into on or after June 21, 1988, with special rule where death benefit increases by more than $150,000, certain other material changes taken into account, and certain exchanges permitted, see section 5012(e) of Pub. L. 100-647, set out as an Effective Date note under section 7702A of this title. EFFECTIVE DATE OF 1986 AMENDMENTS Amendment by section 261(c) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 261(g) of Pub. L. 99-514, set out as an Effective Date note under section 7518 of this title. Amendment by section 632(c)(1) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, but only in cases where the return for the taxable year is filed pursuant to an S election made after Dec. 31, 1986, see section 633(b) of Pub. L. 99-514, as amended, set out as an Effective Date note under section 336 of this title. Amendment by section 632(c)(1) of Pub. L. 99-514 not applicable in the case of certain transactions, see section 54(d)(3)(D) of Pub. L. 98-369, as amended, set out as an Effective Date of 1984 Amendment note under section 311 of this title. Amendment by section 701(c)(1) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. Section 516(c) of Pub. L. 99-499 provided that: 'The amendments made by this section (enacting section 59A of this title and amending this section and sections 164, 275, 936, 1561, 6154, 6425, and 6655 of this title) shall apply to taxable years beginning after December 31, 1986.' EFFECTIVE DATE Section applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as an Effective Date of 1984 Amendment note under section 21 of this title. APPLICABILITY OF CERTAIN AMENDMENTS BY PUBLIC LAW 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by section 701(c)(1) of Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, with provision that for such purposes any amendment by title I of Pub. L. 100-647 be treated as if it had been included in the provision of Pub. L. 99-514 to which such amendment relates, see section 1012(aa)(2), (4) of Pub. L. 100-647, set out as a note under section 861 of this title. TREATMENT OF TAX IMPOSED UNDER FORMER SECTION 409(C) Section 491(f)(5) of Pub. L. 98-369, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'For purposes of section 26(b) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as amended by this Act), any tax imposed by section 409(c) of such Code (as in effect before its repeal by this section) shall be treated as a tax imposed by section 408(f) of such Code.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 25, 39, 55, 163, 469, 901 of this title. ------DocID 9112 Document 3 of 2652------ -CITE- 7 USC Sec. 26 -EXPCITE- TITLE 7 CHAPTER 1 -HEAD- Sec. 26. Special studies -STATUTE- (a)(1) The Board of Governors of the Federal Reserve System, the Commission, and the Securities and Exchange Commission, with assistance from the Secretary of the Treasury, shall conduct a study of the effects on the economy of trading in contracts of sale of commodities for future delivery and in options (including options on commodities, options on contracts of sale of commodities for future delivery, options on foreign currencies, and options on securities, including exempted securities or on any group or index of securities). The agencies participating in the study may select representative futures contracts and options contracts and representative periods of time for detailed study. (2) The Board of Governors of the Federal Reserve System shall organize the study and shall do so in such manner that the total cost to all participating agencies of conducting the study is not more than $3,000,000. To the extent possible, such agencies shall use data which are readily available to them. (3) among (FOOTNOTE 1) the areas to be studied are - (FOOTNOTE 1) So in original. Probably should be 'Among'. (A) the effects, if any, that trading in such instruments has on the formation of real capital in the economy (particularly that of a long-term nature) and the structure of liquidity in credit markets; (B) the economic purposes, if any, served by the trading of such instruments; (C) the sufficiency of the public policy tools available to regulate such trading activity to avoid harmful economic effects in the markets for such instruments, the underlying cash markets, and related financial markets; (D) the adequacy of investor protections afforded to participants in the markets for such instruments; and (E) the extent to which such instruments may be utilized to manipulate, or profit from the manipulation of, the markets for evidences of indebtedness, foreign currency, and securities. (4) The Commission shall have primary responsibility for selecting and studying the instruments under its jurisdiction, and the Securities and Exchange Commission shall have primary responsibility for selecting and studying the instruments under its jurisdiction. (5) The Board of Governors of the Federal Reserve System shall review, and may supplement with its own analyses, the studies conducted under this subsection by the Commission and the Securities and Exchange Commission. The Board of Governors, after consultation with the Commission and the Securities and Exchange Commission, shall, not later than September 30, 1984, submit to Congress a report comprised of such studies, together with any supplementation and recommendations for legislative or regulatory action proposed by the participants. (b)(1) The Commission shall conduct at a cost of not more than $200,000 a study of (A) the nature, extent, and effects of trading in representative futures markets by persons possessing material information not generally available to the public regarding present or anticipated cash or futures transactions (to which such persons are not parties) in any commodity, and (B) the adequacy of the Commission's authority to prevent market and customer abuses resulting from the possession of such nonpublic information. (2) To the extent possible, the Commission shall use data which are readily available to it in conducting the study. The Commission shall, not later than September 30, 1984, transmit to the Committee on Agriculture of the House of Representatives and the Committee on Agriculture, Nutrition, and Forestry of the Senate a report describing the results of the study and including any recommendations for legislative action. -SOURCE- (Sept. 21, 1922, ch. 369, Sec. 23, as added Jan. 11, 1983, Pub. L. 97-444, title II, Sec. 236, 96 Stat. 2324.) -MISC1- EFFECTIVE DATE Section effective Jan. 11, 1983, see section 239 of Pub. L. 97-444, set out as an Effective Date of 1983 Amendment note under section 2 of this title. ------DocID 9706 Document 4 of 2652------ -CITE- 7 USC CHAPTER 26 -EXPCITE- TITLE 7 CHAPTER 26 -HEAD- CHAPTER 26 - AGRICULTURAL ADJUSTMENT -MISC1- SUBCHAPTER I - DECLARATION OF CONDITIONS AND POLICY Sec. 601. Declaration of conditions. 602. Declaration of policy; establishment of price basing period; marketing standards; orderly supply flow; circumstances for continued regulation. SUBCHAPTER II - COTTON OPTION CONTRACTS 603. Government owned cotton; transfer to Secretary of Agriculture; powers of Secretary. 604. Borrowing money; expenditures; authority of Secretary. 605, 606. Repealed. 607. Sale by Secretary; additional options; validation of assignments; publication of information. SUBCHAPTER III - COMMODITY BENEFITS 608. Powers of Secretary. (1) Investigations; proclamation of findings. (2) Agreements for adjustment of acreage or production and for rental or benefit payments. (3) Payments by Secretary. (4) Additional investigation; suspension of exercise of powers. (5) Hearings; notice. (6) Commodity in which payment made. (7) Additional payments to producers of sugar beets or sugarcane. (8) Pledge by rice producer for production credit of right to rental or benefit payments. (9) Advances of payments on stored nonperishable commodity. 608-1. Omitted. 608a. Enforcement of chapter. (1) to (4) Omitted. (5) Forfeitures. (6) Jurisdiction of district courts. (7) Duties of United States attorneys; investigation of violations by Secretary; hearings. (8) Cumulative remedies. (9) 'Person' defined. 608a-1. Repealed. 608b. Marketing agreements; exemption from antitrust laws; inspection requirements for handlers not subject to agreements. 608c. Orders regulating handling of commodity. (1) Issuance by Secretary. (2) Commodities to which applicable; single commodities and separate agricultural commodities. (3) Notice and hearing. (4) Finding and issuance of order. (5) Milk and its products; terms and conditions of orders. (6) Other commodities; terms and conditions of orders. (7) Terms common to all orders. (8) Orders with marketing agreement. (9) Orders with or without marketing agreement. (10) Manner of regulation and applicability. (11) Regional application. (12) Approval of cooperative association as approval of producers. (13) Retailer and producer exemption. (14) Violation of order; penalty. (15) Petition by handler for modification of order or exemption; court review of ruling of Secretary. (16) Termination of orders and marketing agreements. (17) Provisions applicable to amendments. (18) Milk prices. (19) Producer or processor referendum for approving order. 608c-1. Repealed. 608d. Books and records; disclosure of information; notification of Congressional committees. 608e. Repealed. 608e-1. Import prohibitions on specified foreign produce. (a) Import prohibitions on tomatoes, avocadoes, limes, etc. (b) Extension of time for marketing order; factors; review. (c) Notification of United States Trade Representative of import restrictions; advisement of Secretary of Agriculture. (d) Proposed prohibition or regulation; authority of Secretary of Agriculture to proceed. 608f. Repealed. 609. Processing tax; methods of computation; rate; what constitutes processing; publicity as to tax to avoid profiteering. 610. Administration. (a) Appointment of officers and employees; impounding appropriations. (b) State and local committees or associations of producers; handlers' share of expenses of authority or agency. (c) Regulations; penalty for violation. (d) Regulations of Secretary of Treasury (e) Review of official acts. (f) Geographical application. (g) Officers; dealing or speculating in agricultural products; penalties. (h) Adoption of Federal Trade Commission Act; hearings; report of violations to Attorney General. (i) Cooperation with State authorities; imparting information. (j) Definitions. 611. 'Basic agricultural commodity' defined; exclusion of commodities. 612. Appropriation; use of revenues; administrative expenses. 612a, 612b. Omitted. 612c. Appropriation to encourage exportation and domestic consumption of agricultural products. 612c-1. Authorization for appropriations to increase domestic consumption of surplus farm commodities. 612c-2. Technical support to exporters and importers of United States agricultural products; scope of support provided by Department of Agriculture. 612c-3. Export sales reports; Presidential control of agricultural commodity exports. 613. Termination date; investigations and reports. 613a. Repealed. 614. Separability. 615. Refunds of tax; exemptions from tax; compensating tax; compensating tax on foreign goods; covering into Treasury. 616. Stock on hand when tax takes effect or terminates. 617. Refund on goods exported; bond to suspend tax on commodity intended for export. 618. Existing contracts; imposition of tax on vendee; collection. 619. Collection of tax; provisions of internal revenue laws applicable; returns. 619a. Cotton tax, time for payment. 620. Falsely ascribing deductions or charges to taxes; penalty. 621. Machinery belting processed from cotton; exemption from tax. 622. Omitted. 623. Actions relating to tax; legalization of prior taxes. (a) Action to restrain collection of tax or obtain declaratory judgment forbidden. (b) Taxes imposed prior to August 24, 1935, legalized and ratified. (c) Rental and benefit payments, agreements, and programs made prior to August 24, 1935, legalized and ratified. 624. Limitation on imports; authority of President. 625. Review of Burley tobacco imports by Secretary of Agriculture; price-support levels; excessive stocks. 626. Import inventory. (a) Compilation and report on imports. (b) Compilation and report on consumption. (c) Issuing of data. SUBCHAPTER IV - REFUNDS 641 to 659. Omitted. -CROSS- CROSS REFERENCES Agricultural Adjustment Act of 1938, see section 1281 et seq. of this title. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 499b-1, 671, 672, 673, 1446 of this title; title 12 section 1150a; title 18 section 433; title 41 section 22. ------DocID 14611 Document 5 of 2652------ -CITE- 10 USC APPENDIX - RULES OF COURT OF MILITARY APPEALS Rule 26 -EXPCITE- TITLE 10 APPENDIX UNITED STATES COURT OF MILITARY APPEALS BRIEFS -HEAD- Rule 26. Amicus Curiae Briefs -STATUTE- (a) A brief of an amicus curiae may be filed (1) by an appellate government or defense division of an armed service other than that in which the case has arisen, (2) by invitation of the Court, or (3) by motion for leave to file granted by the Court. (b) Unless otherwise ordered by the Court, a brief of an amicus curiae under subsection (a)(1) of this rule shall be filed no later than 10 days after the filing of the answer by the appellee or respondent. (c) Neither the hearing nor the disposition of a case will be delayed pending action on a motion for leave to file an amicus curiae brief or a motion of an amicus curiae to participate in a hearing, or to await the filing of a brief of an amicus curiae under this rule. (d) A brief of an amicus curiae shall not exceed 30 pages, excluding appendices. ------DocID 14666 Document 6 of 2652------ -CITE- 10 USC APPENDIX - RULES OF COURTS OF MILITARY REVIEW Rule 26 -EXPCITE- TITLE 10 APPENDIX COURTS OF MILITARY REVIEW -HEAD- Rule 26. Internal rules -STATUTE- The Chief Judge of the Court has the authority to prescribe internal rules for the Court. ------DocID 15158 Document 7 of 2652------ -CITE- 11 USC APPENDIX - BANKRUPTCY RULES Form 26 -EXPCITE- TITLE 11 APPENDIX BANKRUPTCY RULES AND OFFICIAL FORMS OFFICIAL FORMS -HEAD- Form 26. - Certificate of Retention of Debtor in Possession -STATUTE- (CAPTION AS IN FORM NO. 1) CERTIFICATE OF RETENTION OF DEBTOR IN POSSESSION I hereby certify that the above-named debtor continues in possession of its estate as debtor in possession, no trustee having been appointed. Dated: XXXXXX XXXXXXXXXXXXXXXX, Clerk of the Bankruptcy Court. -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES This form may be used in chapter 11 reorganization cases. Usually, a trustee will not be appointed in which event the debtor is automatically continued in possession pursuant to Sec. 1101(a) of the Code. When evidence of debtor in possession status is required, this certificate may be used in accordance with Rule 2011. ------DocID 15195 Document 8 of 2652------ -CITE- 12 USC Sec. 26 -EXPCITE- TITLE 12 CHAPTER 2 SUBCHAPTER I -HEAD- Sec. 26. Comptroller to determine if association can commence business -STATUTE- Whenever a certificate is transmitted to the Comptroller of the Currency, as provided in title 62 of the Revised Statutes, and the association transmitting the same notifies the comptroller that all of its capital stock has been duly paid in, and that such association has complied with all the provisions of title 62 of the Revised Statutes required to be complied with before an association shall be authorized to commence the business of banking, the comptroller shall examine into the condition of such association, ascertain especially the amount of money paid in on account of its capital, the name and place of residence of each of its directors, and the amount of the capital stock of which each is the owner in good faith, and generally whether such association has complied with all the provisions of title 62 of the Revised Statutes required to entitle it to engage in the business of banking; and shall cause to be made and attested by the oaths of a majority of the directors, and by the president or cashier of the association, a statement of all the facts necessary to enable the comptroller to determine whether the association is lawfully entitled to commence the business of banking. -SOURCE- (R.S. Sec. 5168; Pub. L. 86-230, Sec. 2, Sept. 8, 1959, 73 Stat. 457.) -REFTEXT- REFERENCES IN TEXT Title 62 of the Revised Statutes, referred to in text, was in the original 'this Title' meaning title 62 of the Revised Statutes, consisting of R.S. Sec. 5133 to 5243, which are classified to sections 21, 22 to 24, 25a, 26 to 29, 35 to 37, 39, 51, 52, 53, 56, 57, 59 to 62, 66, 71, 72 to 76, 81 to 91, 93, 93a, 94, 101a, 102, 104, 107 to 110, 123, 124, 131 to 138, 141 to 144, 151, 152, 161, 164, 168 to 175, 181 to 186, 192 to 196, 481 to 485, 501, 541, 548, and 582 of this title. See, also, sections 8, 333, 334, 475, 656, 709, 1004, and 1005 of Title 18, Crimes and Criminal Procedure. For complete classification of R.S. Sec. 5133 to 5243 to the Code, see Tables. -COD- CODIFICATION R.S. Sec. 5168 derived from act June 3, 1864, ch. 106, Sec. 17, 13 Stat. 104, which was the National Bank Act. See section 38 of this title. -MISC3- AMENDMENTS 1959 - Pub. L. 86-230 substituted 'all' for 'at least 50 per centum' before 'of its capital stock'. -TRANS- EXCEPTION AS TO TRANSFER OF FUNCTIONS Functions vested by any provision of law in Comptroller of the Currency, referred to in this section, not included in transfer of functions to Secretary of the Treasury, see note set out under section 1 of this title. -CROSS- CROSS REFERENCES Conversion of national banks into State banks, see sections 214 to 214c of this title. ------DocID 16673 Document 9 of 2652------ -CITE- 12 USC CHAPTER 26 -EXPCITE- TITLE 12 CHAPTER 26 -HEAD- CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S CHECKS -MISC1- Sec. 2501. Congressional findings and declaration of purpose. 2502. Definitions. 2503. State entitlement to escheat or custody. ------DocID 17002 Document 10 of 2652------ -CITE- 13 USC Sec. 26 -EXPCITE- TITLE 13 CHAPTER 1 SUBCHAPTER II -HEAD- Sec. 26. Transportation by contract -STATUTE- The Secretary may contract with field employees for the rental and use within the continental limits of the United States of means of transportation, other than motorcycle, automobile, or airplane, and for the rental and use outside of the continental United States of any means of transportation, which means may be owned by the field employee. Such rental contracts shall be made without regard to section 4 of the Travel Expense Act of 1949, as amended (5 U.S.C. 837). The rentals shall be at rates equivalent to the prevailing rental rates of the locality. The rental contracts within the continental United States may be entered into only when the use by the field employee of such other means of transportation is safer, more economical, or more advantageous to the Government than use of his motorcycle, automobile, or airplane in conducting the census. -SOURCE- (Added Pub. L. 85-207, Sec. 6, Aug. 28, 1957, 71 Stat. 482.) -REFTEXT- REFERENCES IN TEXT Section 4 of the Travel Expense Act of 1949, as amended (5 U.S.C. 837), referred to in text, was repealed by Pub. L. 89-554, Sec. 8(a), Sept. 6, 1966, 80 Stat. 632, and reenacted by the first section thereof as section 5704 of Title 5, Government Organization and Employees. ------DocID 17468 Document 11 of 2652------ -CITE- 15 USC Sec. 26 -EXPCITE- TITLE 15 CHAPTER 1 -HEAD- Sec. 26. Injunctive relief for private parties; exception; costs -STATUTE- Any person, firm, corporation, or association shall be entitled to sue for and have injunctive relief, in any court of the United States having jurisdiction over the parties, against threatened loss or damage by a violation of the antitrust laws, including sections 13, 14, 18, and 19 of this title, when and under the same conditions and principles as injunctive relief against threatened conduct that will cause loss or damage is granted by courts of equity, under the rules governing such proceedings, and upon the execution of proper bond against damages for an injunction improvidently granted and a showing that the danger of irreparable loss or damage is immediate, a preliminary injunction may issue: Provided, That nothing herein contained shall be construed to entitle any person, firm, corporation, or association, except the United States, to bring suit in equity for injunctive relief against any common carrier subject to the provisions of subtitle IV of title 49, in respect of any matter subject to the regulation, supervision, or other jurisdiction of the Interstate Commerce Commission. In any action under this section in which the plaintiff substantially prevails, the court shall award the cost of suit, including a reasonable attorney's fee, to such plaintiff. -SOURCE- (Oct. 15, 1914, ch. 323, Sec. 16, 38 Stat. 737; Sept. 30, 1976, Pub. L. 94-435, title III, Sec. 302(3), 90 Stat. 1396.) -REFTEXT- REFERENCES IN TEXT The antitrust laws, referred to in text, are defined in section 12 of this title. -COD- CODIFICATION 'Subtitle IV of title 49,' substituted in text for 'the Act to regulate commerce, approved February fourth, eighteen hundred and eighty-seven' on authority of Pub. L. 95-473, Sec. 3(b), Oct. 17, 1978, 92 Stat. 1466, the first section of which enacted subtitle IV of Title 49, Transportation. -MISC3- AMENDMENTS 1976 - Pub. L. 94-435 inserted provision authorizing court to award costs, including attorneys' fees, to a successful plaintiff. -CROSS- FEDERAL RULES OF CIVIL PROCEDURE Continuation of section under rule 65, see note by Advisory Committee under rule 65, Title 28, Appendix, Judiciary and Judicial Procedure. Injunctions, see rule 65. One form of action, see rule 2. Rules as governing the procedure in all suits of a civil nature whether cognizable as cases at common law or in equity, see rule 1. CROSS REFERENCES Labor disputes, restriction of injunctive relief, see sections 52 and 107 of Title 29, Labor. Venue of - Damage actions, see section 15 of this title. Proceedings against corporations, see section 22 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 4016, 4304 of this title; title 46 App. section 1706. ------DocID 17768 Document 12 of 2652------ -CITE- 15 USC Sec. 80a-26 -EXPCITE- TITLE 15 CHAPTER 2D SUBCHAPTER I -HEAD- Sec. 80a-26. Unit investment trusts -STATUTE- (a) Custody and sale of securities No principal underwriter for or depositor of a registered unit investment trust shall sell, except by surrender to the trustee for redemption, any security of which such trust is the issuer (other than short-term paper), unless the trust indenture, agreement of custodianship, or other instrument pursuant to which such security is issued - (1) designates one or more trustees or custodians, each of which is a bank, and provides that each such trustee or custodian shall have at all times an aggregate capital, surplus, and undivided profits of a specified minimum amount, which shall not be less than $500,000 (but may also provide, if such trustee or custodian publishes reports of condition at least annually, pursuant to law or to the requirements of its supervising or examining authority, that for the purposes of this paragraph the aggregate capital, surplus, and undivided profits of such trustee or custodian shall be deemed to be its aggregate capital, surplus, and undivided profits as set forth in its most recent report of condition so published); (2) provides, in substance, (A) that during the life of the trust the trustee or custodian, if not otherwise remunerated, may charge against and collect from the income of the trust, and from the corpus thereof if no income is available, such fees for its services and such reimbursement for its expenses as are provided for in such instrument; (B) that no such charge or collection shall be made except for services theretofore performed or expenses theretofore incurred; (C) that no payment to the depositor of or a principal underwriter for such trust, or to any affiliated person or agent of such depositor or underwriter, shall be allowed the trustee or custodian as an expense (except that provision may be made for the payment to any such person of a fee, not exceeding such reasonable amount as the Commission may prescribe as compensation for performing bookkeeping and other administrative services, of a character normally performed by the trustee or custodian itself); and (D) that the trustee or custodian shall have possession of all securities and other property in which the funds of the trust are invested, all funds held for such investment, all equalization, redemption, and other special funds of the trust, and all income upon, accretions to, and proceeds of such property and funds, and shall segregate and hold the same in trust (subject only to the charges and collections allowed under clauses (A), (B), and (C) of this paragraph) until distribution thereof to the security holders of the trust; (3) provides, in substance, that the trustee or custodian shall not resign until either (A) the trust has been completely liquidated and the proceeds of the liquidation distributed to the security holders of the trust, or (B) a successor trustee or custodian, having the qualifications prescribed in paragraph (1) of this subsection, has been designated and has accepted such trusteeship or custodianship; and (4) provides, in substance, (A) that a record will be kept by the depositor or an agent of the depositor of the name and address of, and the shares issued by the trust and held by, every holder of any security issued pursuant to such instrument, insofar as such information is known to the depositor or agent; and (B) that whenever a security is deposited with the trustee in substitution for any security in which such security holder has an undivided interest, the depositor or the agent of the depositor will, within five days after such substitution, either deliver or mail to such security holder a notice of substitution, including an identification of the securities eliminated and the securities substituted, and a specification of the shares of such security holder affected by the substitution. (b) Substitution of securities It shall be unlawful for any depositor or trustee of a registered unit investment trust holding the security of a single issuer to substitute another security for such security unless the Commission shall have approved such substitution. The Commission shall issue an order approving such substitution if the evidence establishes that it is consistent with the protection of investors and the purposes fairly intended by the policy and provisions of this subchapter. (c) Binding contract or agreement embodying applicable provisions deemed to qualify non-complying instrument by which securities were issued In the event that a trust indenture, agreement of custodianship, or other instrument pursuant to which securities of a registered unit investment trust are issued does not comply with the requirements of subsection (a) of this section, such instrument will be deemed to meet such requirements if a written contract or agreement binding on the parties and embodying such requirements has been executed by the depositor on the one part and the trustee or custodian on the other part, and three copies of such contract or agreement have been filed with the Commission. (d) Liquidation of unit investment trust Whenever the Commission has reason to believe that a unit investment trust is inactive and that its liquidation is in the interest of the security holders of such trust, the Commission may file a complaint seeking the liquidation of such trust in the district court of the United States in any district wherein any trustee of such trust resides or has its principal place of business. A copy of such complaint shall be served on every trustee of such trust, and notice of the proceeding shall be given such other interested persons in such manner and at such times as the court may direct. If the court determines that such liquidation is in the interest of the security holders of such trust, the court shall order such liquidation and, after payment of necessary expenses, the distribution of the proceeds to the security holders of the trust in such manner and on such terms as may to the court appear equitable. -SOURCE- (Aug. 22, 1940, ch. 686, title I, Sec. 26, 54 Stat. 827; Dec. 14, 1970, Pub. L. 91-547, Sec. 15, 84 Stat. 1424; Dec. 4, 1987, Pub. L. 100-181, title VI, Sec. 618, 619, 101 Stat. 1262.) -MISC1- AMENDMENTS 1987 - Subsec. (b). Pub. L. 100-181, Sec. 618, substituted 'intended' for 'intend'. Subsec. (c). Pub. L. 100-181, Sec. 619, substituted 'contract or agreement' for 'contract of agreement'. 1970 - Subsecs. (b) to (d). Pub. L. 91-547 added subsec. (b), redesignated former subsec. (b) as (c), struck out 'at the effective date of this subchapter' before 'comply', substituted 'contract of agreement' for 'contract or agreement', and redesignated former subsec. (c) as (d). EFFECTIVE DATE OF 1970 AMENDMENT Amendment by Pub. L. 91-547 effective Dec. 14, 1970, see section 30 of Pub. L. 91-547, set out as a note under section 80a-52 of this title. -TRANS- TRANSFER OF FUNCTIONS For transfer of functions of Securities and Exchange Commission, with certain exceptions, to Chairman of such Commission, see Reorg. Plan No. 10 of 1950, Sec. 1, 2, eff. May 24, 1950, 15 F.R. 3175, 64 Stat. 1265, set out under section 78d of this title. -CROSS- CROSS REFERENCES Deposit of investments as certificate reserve requirements, see section 80a-28 of this title. Registered management companies, deposit of securities and investments of, see section 80a-17 of this title. Unlawful sale of periodic payment plan certificates, see section 80a-27 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 80a-6, 80a-12, 80a-17, 80a-27, 80a-28 of this title. ------DocID 18446 Document 13 of 2652------ -CITE- 15 USC CHAPTER 26 -EXPCITE- TITLE 15 CHAPTER 26 -HEAD- CHAPTER 26 - HOUSEHOLD REFRIGERATORS -MISC1- Sec. 1211. Prohibition against transportation of refrigerators without safety devices. 1212. Violations; misdemeanor; penalties. 1213. Publication of safety standards in Federal Register. 1214. 'Interstate commerce' defined. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2079 of this title. ------DocID 19652 Document 14 of 2652------ -CITE- 16 USC Sec. 26 -EXPCITE- TITLE 16 CHAPTER 1 SUBCHAPTER V -HEAD- Sec. 26. Regulations for hunting and fishing in park; punishment for violations; forfeitures -STATUTE- All hunting, or the killing, wounding, or capturing at any time of any bird or wild animal, except dangerous animals, when it is necessary to prevent them from destroying human life or inflicting an injury, is prohibited within the limits of said park; nor shall any fish be taken out of the waters of the park by means of seines, nets, traps, or by the use of drugs or any explosive substances or compounds, or in any other way than by hook and line, and then only at such seasons and in such times and manner as may be directed by the Secretary of the Interior. The Secretary of the Interior shall make and publish such rules and regulations as he may deem necessary and proper for the management and care of the park and for the protection of the property therein, especially for the preservation from injury or spoliation of all timber, mineral deposits, natural curiosities, or wonderful objects within said park; and for the protection of the animals and birds in the park, from capture or destruction, or to prevent their being frightened or driven from the park; and he shall make rules and regulations governing the taking of fish from the streams or lakes in the park. Possession within the said park of the dead bodies, or any part thereof, of any wild bird or animal shall be prima facie evidence that the person or persons having the same are guilty of violating this Act. Any person or persons, or stage or express company or railway company, receiving for transportation any of the said animals, birds, or fish so killed, taken, or caught shall be deemed guilty of a misdemeanor, and shall be fined for every such offense not exceeding $300. Any person found guilty of violating any of the provisions of this Act or any rule or regulation that may be promulgated by the Secretary of the Interior with reference to the management and care of the park, or for the protection of the property therein, for the preservation from injury or spoliation of timber, mineral deposits, natural curiosities, or wonderful objects within said park, or for the protection of the animals, birds, and fish in the said park, shall be deemed guilty of a misdemeanor, and shall be subjected to a fine of not more than $500 or imprisonment not exceeding six months, or both, and be adjudged to pay all costs of the proceedings. All guns, traps, teams, horses, or means of transportation of every nature or description used by any person or persons within said park limits when engaged in killing, trapping, ensnaring, or capturing such wild beasts, birds, or wild animals shall be forfeited to the United States, and may be seized by the officers in said park and held pending the prosecution of any person or persons arrested under charge of violating the provisions of this Act, and upon conviction under this Act of such person or persons using said guns, traps, teams, horses, or other means of transportation such forfeiture shall be adjudicated as a penalty in addition to the other punishment provided in this Act. Such forfeited property shall be disposed of and accounted for by and under the authority of the Secretary of the Interior. -SOURCE- (May 7, 1894, ch. 72, Sec. 4, 28 Stat. 73; June 28, 1916, ch. 179, 39 Stat. 238.) -REFTEXT- REFERENCES IN TEXT This Act, referred to in text, is act May 7, 1894, which is classified to sections 24 to 30a of this title. For complete classification of this Act to the Code, see Tables. -CROSS- CROSS REFERENCES Destruction of such animals as may be detrimental to use of national parks, see section 3 of this title. Rules and regulations for use and management of national parks to be made by Secretary of the Interior, see section 3 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 21b, 30a of this title. ------DocID 21119 Document 15 of 2652------ -CITE- 16 USC Sec. 460m-26 -EXPCITE- TITLE 16 CHAPTER 1 SUBCHAPTER LXXI-A -HEAD- Sec. 460m-26. Cooperative agreements with State -STATUTE- In administering the national river, the Secretary is authorized to enter into cooperative agreements with the State of West Virginia, or any political subdivision thereof, for the rendering, on a reimbursable or non-reimbursable basis, of rescue, fire fighting, and law enforcement services and cooperative assistance by nearby law enforcement and fire preventive agencies. -SOURCE- (Pub. L. 95-625, title XI, Sec. 1113, as added Pub. L. 100-534, title I, Sec. 102, Oct. 26, 1988, 102 Stat. 2700.) ------DocID 22875 Document 16 of 2652------ -CITE- 16 USC CHAPTER 26 -EXPCITE- TITLE 16 CHAPTER 26 -HEAD- CHAPTER 26 - ESTUARINE AREAS -MISC1- Sec. 1221. Congressional declaration of policy. 1222. General study and inventory of estuaries and their natural resources. (a) Estuaries included; considerations; other applicable studies. (b) Federal or State land acquisition or administration; other protective methods. (c) Report to Congress; recommendations; authorization for acquisition of lands; consultation with States and Federal agencies; accompanying statement of views, probable effects, and major trends. (d) Authorization of appropriations. 1223. Agreements with States and subdivisions; equitable sharing of costs; development improvements; availability of appropriations; State hunting and fishing laws applicable. 1224. Commercial and industrial development considerations; reports to Congress; recommendations. 1225. State consideration of protection and restoration of estuaries in State comprehensive planning and proposals for financial assistance under certain Federal laws; grants: terms and conditions, prohibition against disposition of lands without approval of the Secretary. 1226. Federal agency authority to carry out Federal project within an estuary unaffected. ------DocID 25109 Document 17 of 2652------ -CITE- 18 USC APPENDIX - RULES OF CRIMINAL PROCEDURE Rule 26 -EXPCITE- TITLE 18 RULES OF CRIMINAL PROCEDURE FOR THE UNITED STATES DISTRICT COURTS VI -HEAD- Rule 26. Taking of Testimony -STATUTE- In all trials the testimony of witnesses shall be taken orally in open court, unless otherwise provided by an Act of Congress or by these rules, the Federal Rules of Evidence, or other rules adopted by the Supreme Court. -SOURCE- (As amended Nov. 20, 1972, eff. July 1, 1975.) -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES 1. This rule contemplates the development of a uniform body of rules of evidence to be applicable in trials of criminal cases in the Federal courts. It is based on Funk v. United States, 290 U.S. 371, and Wolfle v. United States, 291 U.S. 7, which indicated that in the absence of statute the Federal courts in criminal cases are not bound by the State law of evidence, but are guided by common law principles as interpreted by the Federal courts 'in the light of reason and experience.' The rule does not fetter the applicable law of evidence to that originally existing at common law. It is contemplated that the law may be modified and adjusted from time to time by judicial decisions. See Homer Cummings, 29 A.B.A.Jour. 655; Vanderbilt, 29 A.B.A.Jour. 377; Holtzoff, 12 George Washington L.R. 119, 131-132; Holtzoff, 3 F.R.D. 445, 453; Howard, 51 Yale L.Jour. 763; Medalie, 4 Lawyers Guild R. (3)1, 5-6. 2. This rule differs from the corresponding rule for civil cases (Federal Rules of Civil Procedure, Rule 43(a) (28 U.S.C., Appendix)), in that this rule contemplates a uniform body of rules of evidence to govern in criminal trials in the Federal courts, while the rule for civil cases prescribes partial conformity to State law and, therefore, results in a divergence as between various districts. Since in civil actions in which Federal jurisdiction is based on diversity of citizenship, the State substantive law governs the rights of the parties, uniformity of rules of evidence among different districts does not appear necessary. On the other hand, since all Federal crimes are statutory and all criminal prosecutions in the Federal courts are based on acts of Congress, uniform rules of evidence appear desirable if not essential in criminal cases, as otherwise the same facts under differing rules of evidence may lead to a conviction in one district and to an acquittal in another. 3. This rule expressly continues existing statutes governing the admissibility of evidence and the competency and privileges of witnesses. Among such statutes are the following: U.S.C., Title 8: Section 138 (see 1326, 1328, 1329) (Importation of aliens for immoral purposes; attempt to re-enter after deportation; penalty) U.S.C., Title 28: Section 632 (now 18 U.S.C. 3481) (Competency of witnesses governed by State laws; defendants in criminal cases) Section 633 (former) (Competency of witnesses governed by State laws; husband or wife of defendant in prosecution for bigamy) Section 634 (now 18 U.S.C. 3486) (Testimony of witnesses before Congress) Section 638 (now 1731) (Comparison of handwriting to determine genuineness) Section 695 (now 1732) (Admissibility) Section 695a (now 18 U.S.C. 3491) (Foreign documents) U.S.C., Title 46: Section 193 (Bills of lading to be issued; contents) NOTES OF ADVISORY COMMITTEE ON RULES - 1972 AMENDMENT The first sentence is retained, with appropriate narrowing of the title, since its subject is not covered in the Rules of Evidence. The second sentence is deleted because the Rules of Evidence govern admissibility of evidence, competency of witnesses, and privilege. The language is broadened, however, to take account of the Rules of Evidence and any other rules adopted by the Supreme Court. -REFTEXT- REFERENCES IN TEXT The Federal Rules of Evidence, referred to in text, are set out in the Appendix to Title 28, Judiciary and Judicial Procedure. -MISC2- EFFECTIVE DATE OF AMENDMENT PROPOSED NOVEMBER 20, 1972 Amendment of this rule embraced by the order entered by the Supreme Court of the United States on November 20, 1972, effective on the 180th day beginning after January 2, 1975, see section 3 of Pub. L. 93-595, Jan. 2, 1975, 88 Stat. 1959, set out as a note under section 3771 of this title. -CROSS- CROSS REFERENCES Depositions, objections to admissibility, see rule 15. Expert witnesses, see rule 28. Foreign documents, see sections 3491 to 3496 of this title. Informing defendant he is not required to make statement and of use against him, see rules 5 and 40. Mental competency of accused, determination of, see section 4241 et seq. of this title. Motions - New trial for newly discovered evidence, see rule 33. Return of property unlawfully seized, see rule 41. Suppression of evidence, see rule 41 and form 16. Offer of evidence after refusal of motion for acquittal, see rule 29. Official record, proof, see rule 27. Shop book rule, records made in regular course of business, see sections 3491 and 3492 of this title. Subpoenas, see rule 17 and form 21. Witnesses - Absence, use of depositions, see rule 15. Accused, competency, see section 3481 of this title. ------DocID 25110 Document 18 of 2652------ -CITE- 18 USC APPENDIX - RULES OF CRIMINAL PROCEDURE Rule 26.1 -EXPCITE- TITLE 18 RULES OF CRIMINAL PROCEDURE FOR THE UNITED STATES DISTRICT COURTS VI -HEAD- Rule 26.1. Determination of Foreign Law -STATUTE- A party who intends to raise an issue concerning the law of a foreign country shall give reasonable written notice. The court, in determining foreign law, may consider any relevant material or source, including testimony, whether or not submitted by a party or admissible under the Federal Rules of Evidence. The court's determination shall be treated as a ruling on a question of law. -SOURCE- (Added Feb. 28, 1966, eff. July 1, 1966, and amended Nov. 20, 1972, eff. July 1, 1975.) -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES The original Federal Rules of Criminal Procedure did not contain a provision explicitly regulating the determination of foreign law. The resolution of issues of foreign law, when relevant in federal criminal proceedings, falls within the general compass of Rule 26 which provides for application of 'the (evidentiary) principles of the common law as they may be interpreted by the courts of the United States in the light of reason and experience.' See Green, Preliminary Report on the Advisability and Feasibility of Developing Uniform Rules of Evidence for the United States District Courts 6-7, 17-18 (1962). Although traditional 'commonlaw' methods for determining foreign-country law have proved inadequate, the courts have not developed more appropriate practices on the basis of this flexible rule. Cf. Green, op. cit. supra at 26-28. On the inadequacy of common-law procedures for determining foreign law, see, e.g., Nussbaum, Proving the Law of Foreign Countries, 3 Am.J.Comp.L. 60 (1954). Problems of foreign law that must be resolved in accordance with the Federal Rules of Criminal Procedure are most likely to arise in places such as Washington, D.C., the Canal Zone, Guam, and the Virgin Islands, where the federal courts have general criminal jurisdiction. However, issues of foreign law may also arise in criminal proceedings commenced in other federal districts. For example, in an extradition proceeding, reasonable ground to believe that the person sought to be extradited is charged with, or was convicted of, a crime under the laws of the demanding state must generally be shown. See Factor v. Laubenheimer, 290 U.S. 276 (1933); Fernandez v. Phillips, 268 U.S. 311 (1925); Bishop International Law: Cases and Materials (2d ed. 1962). Further, foreign law may be invoked to justify non-compliance with a subpoena duces tecum, Application of Chase Manhattan Bank, 297 F.2d 611 (2d Cir. 1962), and under certain circumstances, as a defense to prosecution. Cf. American Banana Co. v. United Fruit Co., 213 U.S. 347 (1909). The content of foreign law may also be relevant in proceedings arising under 18 U.S.C. Sec. 1201, 2312-2317. Rule 26.1 is substantially the same as Civil Rule 44.1. A full explanation of the merits and practicability of the rule appear in the Advisory Committee's Note to Civil Rule 44.1. It is necessary here to add only one comment to the explanations there made. The second sentence of the rule frees the court from the restraints of the ordinary rules of evidence in determining foreign law. This freedom, made necessary by the peculiar nature of the issue of foreign law, should not constitute an unconstitutional deprivation of the defendant's rights to confrontation of witnesses. The issue is essentially one of law rather than of fact. Furthermore, the cases have held that the Sixth Amendment does not serve as a rigid barrier against the development of reasonable and necessary exceptions to the hearsay rule. See Kay v. United States, 255 F.2d 476, 480 (4th Cir. 1958), cert. den., 358 U.S. 825 (1958); Matthews v. United States, 217 F.2d 409, 418 (5th Cir. 1954); United States v. Leathers, 135 F.2d 507 (2d Cir. 1943); and cf., Painter v. Texas, 85 S.Ct. 1065 (1965); Douglas v. Alabama, 85 S.Ct. 1074 (1965). NOTES OF ADVISORY COMMITTEE ON RULES - 1972 AMENDMENT Since the purpose is to free the judge, in determining foreign law, from restrictive evidentiary rules, the reference is made to the Rules of Evidence generally. EFFECTIVE DATE OF AMENDMENT PROPOSED NOVEMBER 20, 1972 Amendment of this rule embraced by the order entered by the Supreme Court of the United States on November 20, 1972, effective on the 180th day beginning after January 2, 1975, see section 3 of Pub. L. 93-595, Jan. 2, 1975, 88 Stat. 1959, set out as a note under section 3771 of this title. ------DocID 25111 Document 19 of 2652------ -CITE- 18 USC APPENDIX - RULES OF CRIMINAL PROCEDURE Rule 26.2 -EXPCITE- TITLE 18 RULES OF CRIMINAL PROCEDURE FOR THE UNITED STATES DISTRICT COURTS VI -HEAD- Rule 26.2. Production of Statements of Witnesses -STATUTE- (a) Motion for Production. After a witness other than the defendant has testified on direct examination, the court, on motion of a party who did not call the witness, shall order the attorney for the government or the defendant and the defendant's attorney, as the case may be, to produce, for the examination and use of the moving party, any statement of the witness that is in their possession and that relates to the subject matter concerning which the witness has testified. (b) Production of Entire Statement. If the entire contents of the statement relate to the subject matter concerning which the witness has testified, the court shall order that the statement be delivered to the moving party. (c) Production of Excised Statement. If the other party claims that the statement contains matter that does not relate to the subject matter concerning which the witness has testified, the court shall order that it be delivered to the court in camera. Upon inspection, the court shall excise the portions of the statement that do not relate to the subject matter concerning which the witness has testified, and shall order that the statement, with such material excised, be delivered to the moving party. Any portion of the statement that is withheld from the defendant over the defendant's objection shall be preserved by the attorney for the government, and, in the event of a conviction and an appeal by the defendant, shall be made available to the appellate court for the purpose of determining the correctness of the decision to excise the portion of the statement. (d) Recess for Examination of Statement. Upon delivery of the statement to the moving party, the court, upon application of that party, may recess proceedings in the trial for the examination of such statement and for preparation for its use in the trial. (e) Sanction for Failure to Produce Statement. If the other party elects not to comply with an order to deliver a statement to the moving party, the court shall order that the testimony of the witness be stricken from the record and that the trial proceed, or, if it is the attorney for the government who elects not to comply, shall declare a mistrial if required by the interest of justice. (f) Definition. As used in this rule, a 'statement' of a witness means: (1) a written statement made by the witness that is signed or otherwise adopted or approved by the witness; (2) a substantially verbatim recital of an oral statement made by the witness that is recorded contemporaneously with the making of the oral statement and that is contained in a stenographic, mechanical, electrical, or other recording or a transcription thereof; or (3) a statement, however taken or recorded, or a transcription thereof, made by the witness to a grand jury. -SOURCE- (Added Apr. 30, 1979, eff. Dec. 1, 1980, and amended Mar. 9, 1987, eff. Aug. 1, 1987.) -MISC1- NOTES OF ADVISORY COMMITTEE ON RULES S. 1437, 95th Cong., 1st Sess. (1977), would place in the criminal rules the substance of what is now 18 U.S.C. Sec. 3500 (the Jencks Act). Underlying this and certain other additions to the rules contemplated by S. 1437 is the notion that provisions which are purely procedural in nature should appear in the Federal Rules of Criminal Procedure rather than in Title 18. See Reform of the Federal Criminal Laws, Part VI: Hearings on S. 1, S. 716, and S. 1400, Subcomm. on Criminal Laws and Procedures, Senate Judiciary Comm., 93rd Cong., 1st Sess. (statement of Judge Albert B. Maris, at page 5503). Rule 26.2 is identical to the S.1437 rule except as indicated by the marked additions and deletions. As those changes show, rule 26.2 provides for production of the statements of defense witnesses at trial in essentially the same manner as is now provided for with respect to the statements of government witnesses. Thus, the proposed rule reflects these two judgments: (i) that the subject matter - production of the statements of witnesses - is more appropriately dealt with in the criminal rules; and (ii) that in light of United States v. Nobles, 422 U.S. 225 (1975), it is important to establish procedures for the production of defense witnesses' statements as well. The rule is not intended to discourage the practice of voluntary disclosure at an earlier time so as to avoid delays at trial. In Nobles, defense counsel sought to introduce the testimony of a defense investigator who prior to trial had interviewed prospective prosecution witnesses and had prepared a report embodying the essence of their conversation. When the defendant called the investigator to impeach eyewitness testimony identifying the defendant as the robber, the trial judge granted the prosecutor the right to inspect those portions of the investigator's report relating to the witnesses' statements, as a potential basis for cross-examination of the investigator. When the defense declined to produce the report, the trail judge refused to permit the investigator to testify. The Supreme Court unanimously upheld the trail court's actions, finding that neither the Fifth nor Sixth Amendments nor the attorney work product doctrine prevented disclosure of such a document at trial. Noting 'the federal judiciary's inherent power to require the prosecution to produce the previously recorded statements of its witnesses so that the defense may get the full benefit of cross-examinations and the truth-finding process may be enhanced,' the Court rejected the notion 'that the Fifth amendment renders criminal discovery 'basically a one-way street,' ' and thus concluded that 'in a proper case, the prosecution can call upon that same power for production of witness statements that facilitate 'full disclosure of all the (relevant) facts.' ' The rule, consistent with the reasoning in Nobles, is designed to place the disclosure of prior relevant statements of a defense witness in the possession of the defense on the same legal footing as is the disclosure of prior statements of prosecution witnesses in the hands of the government under the Jencks Act, 18 U.S.C. Sec. 3500 (which S. 1437 would replace with the rule set out therein). See United States v. Pulvirenti, 408 F.Supp. 12 (E.D.Mich. 1976), holding that under Nobles '(t)he obligation (of disclosure) placed on the defendant should be the reciprocal of that placed upon the government * * * (as) defined by the Jencks Act.' Several state courts have likewise concluded that witness statements in the hands of the defense at trial should be disclosed on the same basis that prosecution witness statements are disclosed, in order to promote the concept of the trail as a search for truth. See, e.g., People v. Sanders, 110 Ill.App.2d 85, 249 N.E.2d 124 (1969); State v. Montague, 55 N.J. 371, 262 A.2d 398 (1970); People v. Damon, 24 N.Y.2d 256, 299 N.Y.S.2d 830, 247 N.E.2d 651 (1959). The rule, with minor exceptions, makes the procedure identical for both prosecution and defense witnesses, including the provision directing the court, whenever a claim is made that disclosure would be improper because the statement contains irrelevant matter, to examine the statements in camera and excise such matter as should not be disclosed. This provision acts as a safeguard against abuse and will enable a defendant who believes that a demand is being improperly made to secure a swift and just resolution of the issue. The treatment as to defense witnesses of necessity differs slightly from the treatment as to prosecution witnesses in terms of the sanction for a refusal to comply with the court's disclosure order. Under the Jencks Act and the rule proposed in S. 1437, if the prosecution refuses to abide by the court's order, the court is required to strike the witness's testimony unless in its discretion it determines that the more serious sanction of a mistrial in favor of the accused is warranted. Under this rule, if a defendant refuses to comply with the court's disclosure order, the court's only alternative is to enter an order striking or precluding the testimony of the witness, as was done in Nobles. Under subdivision (a) of the rule, the motion for production may be made by 'a party who did not call the witness.' Thus, it also requires disclosure of statements in the possession of either party when the witness is called neither by the prosecution nor the defense but by the court pursuant to the Federal Rules of Evidence. Present law does not deal with this situation, which consistency requires be treated in an identical manner as the disclosure of statements of witnesses called by a party to the case. NOTES OF ADVISORY COMMITTEE ON RULES - 1987 AMENDMENT The amendments are technical. No substantive change is intended. EFFECTIVE DATE OF RULE This rule added by order of the United States Supreme Court of Apr. 30, 1979, effective Dec. 1, 1980, see section 1(1) of Pub. L. 96-42, July 31, 1979, 93 Stat. 326, set out as a note under section 3771 of this title. ------DocID 25167 Document 20 of 2652------ -CITE- 19 USC Sec. 26 to 28 -EXPCITE- TITLE 19 CHAPTER 1 -HEAD- Sec. 26 to 28. Repealed. Aug. 2, 1956, ch. 887, Sec. 4(a)(12)-(14), 70 Stat. 947 -MISC1- Section 26, R.S. Sec. 2611; act Feb. 8, 1875, ch. 36, Sec. 11, 18 Stat. 309; related to oath by special examiners of drugs. Functions formerly exercised by the special examiner of drugs are covered by section 381 of Title 21, Food and Drugs. Section 27, acts Feb. 8, 1875, ch. 36, Sec. 11, 18 Stat. 309; Mar. 2, 1895, ch. 177, Sec. 5, 28 Stat. 807; related to oaths by subordinate customs officers. Section 28, act Sept. 24, 1914, ch. 309, 38 Stat. 716, provided that headquarters of customs district of Florida should be at Tampa. Section 2 of this title vests authority in the President to change from time to time the location of headquarters of customs collection district and such authority was delegated to the Secretary of the Treasury by section 1 (a) of Executive Order 10289 of September 17, 1951, set out as a note under section 301 of Title 3, The President. ------DocID 26082 Document 21 of 2652------ -CITE- 20 USC Sec. 26 -EXPCITE- TITLE 20 CHAPTER 2 -HEAD- Sec. 26. Withholding allotments -STATUTE- The Department of Education may withhold the allotment of moneys to any State whenever it shall be determined that such moneys are not being expended for the purposes and under the conditions of this chapter. If any allotment is withheld from any State, the State board of such State may appeal to the Congress of the United States, and if the Congress shall not direct such sum to be paid it shall be covered into the Treasury. -SOURCE- (Feb. 23, 1917, ch. 114, Sec. 16, 39 Stat. 936; Ex. Ord. No. 6166, Sec. 15, June 10, 1933; 1939 Reorg. Plan No. I, Sec. 201, 204, eff. July 1, 1939, 4 F.R. 2728, 53 Stat. 1424; 1953 Reorg. Plan No. 1, Sec. 5, 8, eff. Apr. 11, 1953, 18 F.R. 2053, 67 Stat. 631; Oct. 17, 1979, Pub. L. 96-88, title III, Sec. 301, title V, Sec. 507, 93 Stat. 677, 692.) -REFTEXT- REFERENCES IN TEXT This chapter, referred to in text, was in the original 'this Act', meaning act Feb. 23, 1917, which was classified to sections 11 to 15 and 16 to 28 of this title. Other sections formerly contained in this chapter were based on other acts, and have been omitted or repealed. -TRANS- TRANSFER OF FUNCTIONS 'Department of Education' substituted in text for 'Department of Health, Education, and Welfare' pursuant to sections 301 and 507 of Pub. L. 96-88, which are classified to sections 3441 and 3507 of this title and which transferred functions and offices (relating to education) of Department of Health, Education, and Welfare to Department of Education. Functions of Federal Security Administrator transferred to Secretary of Health, Education, and Welfare and all agencies of Federal Security Agency transferred to Department of Health, Education, and Welfare by section 5 of Reorg. Plan No. 1 of 1953, set out in the Appendix to Title 5, Government Organization and Employees. Federal Security Agency and office of Administrator abolished by section 8 of Reorg. Plan No. 1 of 1953. Transfer of functions of Federal Board for Vocational Education to Department of the Interior under Ex. Ord. No. 6166, set out as a note under section 901 of Title 5, and from there to Federal Security Agency by Reorg. Plan No. I of 1939, and in 1946 abolishment of Board and its functions by Reorg. Plan No. 2 of 1946, see notes set out under section 11 of this title. ------DocID 26571 Document 22 of 2652------ -CITE- 20 USC CHAPTER 26 -EXPCITE- TITLE 20 CHAPTER 26 -HEAD- CHAPTER 26 - SUPPORT AND SCHOLARSHIP IN HUMANITIES AND ARTS; MUSEUM SERVICES -MISC1- SUBCHAPTER I - NATIONAL FOUNDATION ON THE ARTS AND THE HUMANITIES Sec. 951. Declaration of findings and purposes. 952. Definitions. 953. National Foundation on the Arts and the Humanities. (a) Establishment; composition. (b) Purpose. (c) Prohibition against Federal supervision over policy determination, personnel, or curriculum, or administration or operation of any school or other non-Federal body. 954. National Endowment for the Arts. (a) Establishment. (b) Chairperson of the Endowment; term of office; vacancies. (c) Program of contracts, grants-in-aid, or loans to groups and individuals for projects and productions; traditionally underrepresented recipients of financial assistance. (d) Application for payment; regulations and procedures. (e) Limitation on amount of grant to group; grants and contracts of the National Endowment for the Arts. (f) Eligibility for financial assistance. (g) Grants to States for projects and productions; applications; terms and conditions of State plans; minimum allotments; excess appropriations; cost limitations; grants to regional groups; non-Federal funding; definitions. (h) Suspension of grants for defaults, noncompliance with provisions and plans, and diversion of funds; repayment of funds. (i) Application for financial assistance; requirements. (j) Regulations for distribution of financial assistance in installments; implementation. (k) Reviews to ensure compliance with regulations. (l) Use of financial assistance for obscene project, production, etc.; repayment of assistance; exceptions. (m) Labor standards of professional performers and personnel; healthy and safe working conditions. (n) Labor standards of laborers and mechanics. (o) Correlation and development of endowment programs with other Federal and non-Federal programs; expenditure of appropriations. (p) Program of contracts or grants-in-aid to public agencies and private nonprofit organizations; limitation on payments; authority of Chairperson. (q) National information and data collection system on the arts, artists and art groups, and audiences; development and implementation plan; state of the arts reports. 954a. Access to the arts through support of education. (a) Purposes. (b) Program of contracts or grants. (c) Advisory council on arts education. 955. National Council on the Arts. (a) Inclusion within the National Endowment for the Arts. (b) Appointment and composition of Council. (c) Terms of office; vacancies. (d) Meetings of Council; quorum; written records. (e) Compensation of members. (f) Advisory functions; policies, programs, and procedures; recommendations; authority of Chairperson; action by Chairperson pursuant to delegation of authority. 955a. Omitted. 955b. National Medal of Arts. (a) Establishment. (b) Award of Medal; conditions; recipients; presentation ceremonies. (c) Availability of funds. 956. National Endowment for the Humanities. (a) Establishment. (b) Chairperson of the Endowment; appointment, term, reappointment; vacancy; expiration of term. (c) Functions of the Endowment; publications; traditionally underrepresented recipients of financial assistance. (d) Coordination and development of Endowment programs with other Federal and non-Federal programs. (e) Limitation on amount of grant for workshop activities for which an admission or other charge is made to the general public. (f) Grants-in-aid programs; designation of State administrative agency; matching funds; applications and plans; allotments; cost limitations; grants to regional groups; non-Federal funding; definitions; suspension of grants; single entity limitation. (g) Payment of performers and supporting personnel; standards, regulations, and procedures. (h) Program of contracts or grants-in-aid to public agencies and private nonprofit organizations; limitation on payments. (i) Interagency agreements. (j) Payment of wages at prevailing rates; authority of Secretary of Labor. (k) National information and data collection system on humanities, scholars, educational and cultural groups, and audiences; development and implementation plan; state of the humanities reports. (l) Eligibility of group for financial assistance. (m) Annual awards. 956a. National Capital arts and cultural affairs; grant programs. 957. National Council on the Humanities. (a) Establishment. (b) Composition; basis for selection of members; representation of interests; recommendations of national organizations. (c) Term of office; vacancies; reappointment. (d) Meetings; quorum. (e) Compensation and travel expenses. (f) Advisory functions: policies, programs, and procedures; review of applications for financial support; recommendations prerequisite to action of Chairperson; unilateral action by Chairperson pursuant to delegation of authority. 957a. Omitted. 958. Federal Council on the Arts and the Humanities. (a) Establishment. (b) Composition; presiding officer; changes in membership to meet changes in programs or executive branch organization. (c) Functions. 959. Administrative provisions. (a) General authority of Chairpersons. (b) Rules for distribution of donations, bequests, and devises; gifts with or without conditions; transfers for tax purposes. (c) Advisory panels; membership; procedures. (d) Endowment activities reports. (e) Council activities reports. (f) Post-award evaluation of assisted projects, productions, and programs; reports; extension of time for compliance; failure to satisfy purposes of assistance. 960. Authorization of appropriations. (a) Contracts, grants-in-aid, and loans to groups, individuals, public agencies, and private nonprofit organizations; availability of appropriations; guidelines. (b) Availability of appropriated unexpended funds; notice of availability of funds by advance appropriation. (c) Administrative appropriations. (d) Total amount of appropriations. (e) Prohibition of grants to production workshops using admission proceeds for unauthorized purposes. (f) Availability of appropriations for arts education. SUBCHAPTER II - MUSEUM SERVICES 961. Declaration of purpose. 962. Institute of Museum Services; establishment. 963. National Museum Service Board. (a) Appointment of voting and nonvoting members. (b) Term of office; vacancies; reappointment. (c) Designation of Chairperson; quorum. (d) Meetings of Board. (e) Compensation and travel expenses of members. (f) General policies. (g) Coordination with activities of Federal Government. 963a. Omitted. 964. Director of Institute. (a) Appointment and compensation; delegation of functions. (b) Coordination with Federal agencies and organizations. (c) Appointment and compensation of technical and professional employees. 965. Grants to museums to increase and improve services. (a) Authorized activities. (b) Contracts and cooperative agreements. (c) Cost limitation. (d) Review and evaluation procedures. 966. Contributions. 967. Authorization of appropriations. 968. Definitions. 969. Assessment of certain museums. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 2104 of this title. ------DocID 28264 Document 23 of 2652------ -CITE- 21 USC Sec. 26 -EXPCITE- TITLE 21 CHAPTER 1 SUBCHAPTER II -HEAD- Sec. 26. Omitted -COD- CODIFICATION Section, which was from the appropriation acts of Jan. 18, 1927, ch. 39, 44 Stat. 984; May 16, 1928, ch. 572, 45 Stat. 548; Feb. 16, 1929, ch. 227, 45 Stat. 1198; May 27, 1930, ch. 341, 46 Stat. 424, and subsequent Department of Agriculture Appropriation Acts to and including act June 28, 1944, ch. 296, Sec. 4, 58 Stat. 461, and related to inspection of food and other products, is covered by section 2256 of Title 7, Agriculture. ------DocID 29022 Document 24 of 2652------ -CITE- 22 USC Sec. 277d-26 -EXPCITE- TITLE 22 CHAPTER 7 SUBCHAPTER IV -HEAD- Sec. 277d-26. Lower Colorado River emergency flood control works; agreements with Mexico for joint construction, operation and maintenance -STATUTE- The Secretary of State, acting through the United States Commissioner, International Boundary and Water Commission, United States and Mexico, is authorized to conclude, with the appropriate official or officials of the Government of Mexico, agreements for emergency flood control measures of international character in the reaches of the lower Colorado River between Imperial Dam and the Gulf of California, in both the United States and Mexico, such agreements to provide: (a) for the joint clearing and maintaining free of trees and brush the bed and banks of the channel; for removing sediment deposits from the river channel; and (b) for corrective actions to guard against sedimentation and consequent aggradation of the river channel incident to desilting operations at diversion dams in the two countries: Provided, That, prior approval of the Secretary of the Interior is required of any proposed agreement with Mexico under clause (b) of this section which would involve construction and/or operation of works on the Colorado River in the United States under the jurisdiction of the Secretary. The measures contemplated herein are for the purpose of controlling floods on the lower Colorado River in accordance with article 13 of the 1944 Water Treaty with Mexico, and accomplishment thereof by the International Boundary and Water Commission, United States Section, would be in accord with the Memorandum of Understanding 'as to Functions and Jurisdiction of Agencies of the United States in Relation to the Colorado and Tijuana Rivers and the Rio Grande Below Fort Quitman, Texas, Under Water Treaty Signed at Washington, February 3, 1944,' between the Department of State and the United States Section, International Boundary and Water Commission and the Department of the Interior dated February 14, 1945. -SOURCE- (Pub. L. 88-411, Sec. 1, Aug. 10, 1964, 78 Stat. 386.) -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 277d-27, 277d-28 of this title. ------DocID 30000 Document 25 of 2652------ -CITE- 22 USC CHAPTER 26 -EXPCITE- TITLE 22 CHAPTER 26 -HEAD- CHAPTER 26 - ARMED FORCES PARTICIPATION IN INTERNATIONAL AMATEUR SPORTS COMPETITIONS ------DocID 31506 Document 26 of 2652------ -CITE- 24 USC Sec. 26 to 28 -EXPCITE- TITLE 24 CHAPTER 1 -HEAD- Sec. 26 to 28. Repealed. July 1, 1944, ch. 373, title XIII, Sec. 1313, 58 Stat. 714 -MISC1- Section 26, acts Mar. 3, 1919, ch. 98, Sec. 1, 40 Stat. 1302; Aug. 9, 1921, ch. 57, Sec. 7, 42 Stat. 149; July 3, 1930, ch. 863, Sec. 1, 46 Stat. 1016, provided for additional hospital and sanatorium facilities. See sections 249, 251, and 253 of Title 42, The Public Health and Welfare, and section 763c of Title 33, Navigation and Navigable Waters. Section 26a, R.S. Sec. 4803; acts June 26, 1884, ch. 121, Sec. 15, 23 Stat. 57; Mar. 3, 1905, ch. 1484, Sec. 1, 33 Stat. 1217; Aug. 14, 1912, ch. 288, Sec. 1, 37 Stat. 309; 1939 Reorg. Plan No. I, Sec. 201, 205(b), eff. July 1, 1939, 4 F.R. 2728, 2729, 53 Stat. 1424, 1425, provided for use of certain funds for the relief of sick and disabled seamen. See section 249 of Title 42, The Public Health and Welfare. Section 27, act Mar. 3, 1919, ch. 98, Sec. 2, 40 Stat. 1302, provided for transfer of hospitals to Treasury Department for the Public Health Service. See section 248 of Title 42. Section 28, acts Mar. 3, 1919, ch. 98, Sec. 3, 40 Stat. 1303; Mar. 4, 1921, ch. 156, 41 Stat. 1365, provided for transfer of property and equipment by Secretary of War to the Treasury Department for use of the Public Health Service. RENUMBERING OF REPEALING ACT For renumbering of act July 1, 1944, which repealed these sections, see note set out under sections 1, 2 of this title. ------DocID 31701 Document 27 of 2652------ -CITE- 25 USC Sec. 26 -EXPCITE- TITLE 25 CHAPTER 2 -HEAD- Sec. 26. Repealed. Pub. L. 89-554, Sec. 8(a), Sept. 6, 1966, 80 Stat. 632 -MISC1- Section, R.S. Sec. 2052, provided for appointment of Indian Agents by the President. ------DocID 32426 Document 28 of 2652------ -CITE- 25 USC Sec. 640d-26 -EXPCITE- TITLE 25 CHAPTER 14 SUBCHAPTER XXII -HEAD- Sec. 640d-26. Implementation requirements -STATUTE- (a) Environmental impact provisions No action taken pursuant to, in furtherance of, or as authorized by this subchapter, shall be deemed a major Federal action for purposes of the National Environmental Policy Act of 1969, as amended (42 U.S.C. 4321 et seq.). (b) Transfer of public lands Any transfer of public lands pursuant to this subchapter shall be made notwithstanding the provisions of sections 1782 and 1752(g) of title 43. -SOURCE- (Pub. L. 93-531, Sec. 28, as added Pub. L. 96-305, Sec. 11, July 8, 1980, 94 Stat. 933.) -REFTEXT- REFERENCES IN TEXT National Environmental Policy Act of 1969, as amended, referred to in subsec. (a), is Pub. L. 91-190, Jan. 1, 1970, 83 Stat. 852, as amended, which is classified generally to chapter 55 (Sec. 4321 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 4321 of Title 42 and Tables. ------DocID 33360 Document 29 of 2652------ -CITE- 25 USC CHAPTER 26 -EXPCITE- TITLE 25 CHAPTER 26 -HEAD- CHAPTER 26 - INDIAN ALCOHOL AND SUBSTANCE ABUSE PREVENTION AND TREATMENT -MISC1- SUBCHAPTER I - GENERAL PROVISIONS Sec. 2401. Congressional findings. 2402. Purpose. 2403. Definitions. SUBCHAPTER II - COORDINATION OF RESOURCES AND PROGRAMS 2411. Inter-departmental Memorandum of Agreement. (a) In general. (b) Character of activities. (c) Consultation. (d) Publication. 2412. Tribal Action Plans. (a) In general. (b) Cooperation. (c) Provisions. (d) Grants. (e) Federal action. 2413. Departmental responsibility. (a) Implementation. (b) Office of Alcohol and Substance Abuse. (c) Indian Youth Programs Officer. 2414. Congressional intent in construction of laws. 2415. Federal facilities, property, and equipment; leasing of tribal property. (a) Facility availability. (b) Costs. (c) Leases. 2416. Newsletter. (a) In general. (b) Authorization of appropriations. SUBCHAPTER III - INDIAN YOUTH PROGRAMS 2431. Review of programs. (a) Review. (b) Publication. 2432. Indian education programs. (a) Pilot programs. (b) Use of funds. 2433. Emergency shelters. (a) In general. (b) Referrals. (c) Direction to States. (d) Standards. (e) Authorization. 2434. Social services reports. (a) Data. (b) Referral of data. (c) Confidentiality. SUBCHAPTER IV - LAW ENFORCEMENT AND JUDICIAL SERVICES 2441. Review of programs. (a) Law enforcement and judicial services. (b) Dissemination of review. 2442. Illegal narcotics traffic on Tohono O'odham and St. Regis Reservations; source eradication. (a) Investigation and control. (b) Marijuana eradication. SUBCHAPTER V - BUREAU OF INDIAN AFFAIRS LAW ENFORCEMENT 2451. Bureau of Indian Affairs law enforcement and judicial training. (a) In general. (b) Authorization. 2452. Medical assessment and treatment of juvenile offenders. (a) Development and implementation of procedures. (b) Treatment of certain committed youth. 2453. Juvenile detention centers. (a) Plan. (b) Authorization. 2454. Model Indian Juvenile Code. 2455. Law enforcement and judicial report. (a) Compilation of law enforcement data. (b) Referral of data. (c) Confidentiality. SUBCHAPTER VI - INDIAN ALCOHOL AND SUBSTANCE ABUSE TREATMENT AND REHABILITATION 2471. Review of programs. (a) In general. (b) Dissemination. 2472. Indian Health Service responsibilities. 2473. Indian Health Service program. 2474. Indian Health Service youth program. (a) Detoxification and rehabilitation. (b) Treatment centers or facilities. (c) Federally owned structures. (d) Rehabilitation and follow-up services. (e) Inclusion of family in youth treatment program. 2475. Training and community education. (a) Community education. (b) Training. (c) Results of demonstration project. (d) Authorization. 2476. Navajo alcohol rehabilitation demonstration program. (a) Demonstration program. (b) Evaluation and report. (c) Authorization. 2477. Indian Health Service reports. (a) Compilation of data. (b) Referral of data. (c) Comprehensive report. 2478. Urban Indian program. (a) Grants. (b) Goals of grant. (c) Criteria. (d) Treatment of moneys received by urban Indian organizations. (e) Authorization for grant program. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in section 1621h of this title; title 20 section 3231. ------DocID 6933 Document 30 of 2652------ -CITE- 2 USC Sec. 26 -EXPCITE- TITLE 2 CHAPTER 2 -HEAD- Sec. 26. Roll of Representatives-elect -STATUTE- Before the first meeting of each Congress the Clerk of the next preceding House of Representatives shall make a roll of the Representatives-elect, and place thereon the names of those persons, and of such persons only, whose credentials show that they were regularly elected in accordance with the laws of their States respectively, or the laws of the United States. In case of a vacancy in the office of Clerk of the House of Representatives, or of the absence or inability of the Clerk to discharge the duties imposed on him by law or custom relative to the preparation of the roll of Representatives or the organization of the House, those duties shall devolve on the Sergeant at Arms of the next preceding House of Representatives. In case of vacancies in the offices of both the Clerk and the Sergeant at Arms, or of the absence or inability of both to act, the duties of the Clerk relative to the preparation of the roll of the House of Representatives or the organization of the House shall be performed by the Doorkeeper of the next preceding House of Representatives. -SOURCE- (R.S. Sec. 31-33.) -COD- CODIFICATION R.S. Sec. 31 derived from acts Feb. 21, 1867, ch. 56, Sec. 1, 14 Stat. 397 and Mar. 3, 1863, ch. 108, 12 Stat. 804. R.S. Sec. 32 and 33 derived from act Feb. 21, 1867, ch. 56, Sec. 2, 14 Stat. 397. R.S. Sec. 31 constitutes first sentence; R.S. Sec. 32 constitutes second sentence, and R.S. Sec. 33 constitutes the third sentence. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 34 of this title. ------DocID 33516 Document 31 of 2652------ -CITE- 26 USC Subtitle A -EXPCITE- TITLE 26 Subtitle A -HEAD- Subtitle A - Income Taxes -MISC1- Chapter 1. Normal taxes and surtaxes. 2. Tax on self-employment income. 3. Withholding of tax on nonresident aliens and foreign corporations. (4. Repealed.) 5. Tax on transfers to avoid income tax. 6. Consolidated returns. AMENDMENTS 1990 - Pub. L. 101-508, title XI, Sec. 11801(b)(11), Nov. 5, 1990, 104 Stat. 1388-522, struck out item for chapter 4 'Rules applicable to recovery of excessive profits on government contracts'. 1984 - Pub. L. 98-369, div. A, title IV, Sec. 474(r)(29)(D), July 18, 1984, 98 Stat. 844, struck out 'and tax-free covenant bonds' at end of item for chapter 3. -SECREF- SUBTITLE REFERRED TO IN OTHER SECTIONS This subtitle is referred to in sections 810, 2056A, 2107, 3402, 3502, 3507, 3508, 4911, 4980, 4999, 5041, 5881, 6011, 6012, 6013, 6038A, 6075, 6111, 6164, 6201, 6211, 6212, 6213, 6214, 6229, 6231, 6315, 6401, 6404, 6420, 6421, 6427, 6501, 6601, 6621, 6682, 6694, 6695, 6696, 6702, 6871, 6901, 6905, 7001, 7463, 7701, 7851, 7852, 7872, 7873 of this title; title 22 sections 1627, 5510; title 25 sections 1729, 1754; title 31 section 3105; title 42 sections 411, 11371; title 45 section 231m; title 48 section 1421i; title 50 App. section 2017e. ------DocID 33517 Document 32 of 2652------ -CITE- 26 USC CHAPTER 1 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 -HEAD- CHAPTER 1 - NORMAL TAXES AND SURTAXES -MISC1- Subchapter Sec. (FOOTNOTE 1) A. Determination of tax liability 1 (FOOTNOTE 1) Section numbers editorially supplied. B. Computation of taxable income 61 C. Corporate distributions and adjustments 301 D. Deferred compensation, etc. 401 E. Accounting periods and methods of accounting 441 F. Exempt organizations 501 G. Corporations used to avoid income tax on shareholders 531 H. Banking institutions 581 I. Natural resources 611 J. Estates, trusts, beneficiaries, and decedents 641 K. Partners and partnerships 701 L. Insurance companies 801 M. Regulated investment companies and real estate investment trusts 851 N. Tax based on income from sources within or without the United States 861 O. Gain or loss on disposition of property 1001 P. Capital gains and losses 1201 Q. Readjustment of tax between years and special limitations 1301 (R. Repealed.) S. Tax treatment of S corporations and their shareholders 1361 T. Cooperatives and their patrons 1381 (U. Repealed.) V. Title 11 cases 1398 AMENDMENTS 1986 - Pub. L. 99-514, title XIII, Sec. 1303(c)(1), Oct. 22, 1986, 100 Stat. 2658, struck out subchapter U 'General stock ownership plans'. 1982 - Pub. L. 97-354, Sec. 5(b), Oct. 19, 1982, 96 Stat. 1697, substituted in subchapter S 'Tax treatment of S corporations and their shareholders' for 'Election of certain small business corporations as to taxable status'. 1980 - Pub. L. 96-589, Sec. 3(a)(2), Dec. 24, 1980, 94 Stat. 3400, added subchapter V. 1978 - Pub. L. 95-600, title VI, Sec. 601(c)(1), Nov. 6, 1978, 92 Stat. 2897, added subchapter U. 1966 - Pub. L. 89-389, Sec. 4(b)(2), Apr. 14, 1966, 80 Stat. 116, struck out subchapter R effective January 1, 1969. 1962 - Pub. L. 87-834, Sec. 17(b)(4), Oct. 16, 1962, 76 Stat. 1051, added subchapter T. 1960 - Pub. L. 86-779, Sec. 10(c), Sept. 14, 1960, 74 Stat. 1009, added to subchapter M heading 'and real estate investment trusts'. 1958 - Pub. L. 85-866, title I, Sec. 64(d)(1), Sept. 2, 1958, 72 Stat. 1656, added subchapter S. -SECREF- CHAPTER REFERRED TO IN OTHER SECTIONS This chapter is referred to in sections 408, 1501, 3402, 3406, 4977, 4980, 4980A, 4990, 4994, 6012, 6013, 6039C, 6039E, 6050E, 6096, 6103, 6161, 6166, 6166A, 6167, 6201, 6211, 6404, 6651, 6654, 6655, 6662, 6664, 6683, 6713, 7216, 7518, 7611, 7654, 7701, 9510 of this title; title 2 sections 632, 633, 642; title 7 sections 1926, 1929a; title 12 section 3018; title 22 section 277d-23; title 25 section 1486; title 30 section 1141; title 42 sections 291j-7, 300e-7, 300q-2, 409, 411, 1382, 1440, 5308, 5919, 8833; title 45 section 602; title 46 App. sections 1177, 1279c; title 48 section 1574b. ------DocID 33518 Document 33 of 2652------ -CITE- 26 USC Subchapter A -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A -HEAD- Subchapter A - Determination of Tax Liability -MISC1- Part I. Tax on individuals. II. Tax on corporations. III. Changes in rates during a taxable year. IV. Credits against tax. (V. Repealed.) VI. Minimum tax for tax preferences. VII. Environmental tax. (VIII. Repealed.) AMENDMENTS 1989 - Pub. L. 101-234, title I, Sec. 102(a), Dec. 13, 1989, 103 Stat. 1980, repealed Pub. L. 100-360, Sec. 111, and provided that the provisions of law amended by such section are restored or revived as if such section had not been enacted, see 1988 Amendment note below. 1988 - Pub. L. 100-360, title I, Sec. 111(c), July 1, 1988, 102 Stat. 697, added part VIII 'Supplemental medicare premium'. 1986 - Pub. L. 99-499, title V, Sec. 516(b)(5), Oct. 17, 1986, 100 Stat. 1771, added part VII. 1976 - Pub. L. 94-455, title XIX, Sec. 1901(b)(2), Oct. 4, 1976, 90 Stat. 1792, struck out part V 'Tax surcharge'. 1969 - Pub. L. 91-172, title III, Sec. 301(b)(1), Dec. 30, 1969, 83 Stat. 585, added part VI. 1968 - Pub. L. 90-364, title I, Sec. 102(d), June 28, 1968, 82 Stat. 259, added part V. ------DocID 33519 Document 34 of 2652------ -CITE- 26 USC PART I -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- PART I - TAX ON INDIVIDUALS -MISC1- Sec. 1. Tax imposed. 2. Definitions and special rules. 3. Tax tables for individuals having taxable income of less than $20,000. (FOOTNOTE 1) (FOOTNOTE 1) Section catchline amended by Pub. L. 95-30 without corresponding amendment of analysis. (4. Repealed.) 5. Cross references relating to tax on individuals. AMENDMENTS 1976 - Pub. L. 94-455, title V, Sec. 501(c)(1), Oct. 4, 1976, 90 Stat. 1559, substituted 'Tax tables for individuals having taxable income of less than $20,000' for 'Optional tax tables for individuals' in item 3 and struck out item 4 relating to rules for optional tax. 1969 - Pub. L. 91-172, title VIII, Sec. 803(d)(9), Dec. 30, 1969, 83 Stat. 685, substituted 'Definitions and special rules' and 'Optional tax tables for individuals' for 'Tax in case of joint return or return of surviving spouse' and 'Optional tax if adjusted gross income is less than $5,000' in items 2 and 3, respectively. ------DocID 33520 Document 35 of 2652------ -CITE- 26 USC Sec. 1 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- Sec. 1. Tax imposed -STATUTE- (a) Married individuals filing joint returns and surviving spouses There is hereby imposed on the taxable income of - (1) every married individual (as defined in section 7703) who makes a single return jointly with his spouse under section 6013, and (2) every surviving spouse (as defined in section 2(a)), a tax determined in accordance with the following table: --------------------------------------------------------------------- --------------------------------------------------------------------- If taxable income is: The tax is: Not over $32,450 15% of taxable income. Over $32,450 but not over $78,400 $4,867.50, plus 28% of the excess over $32,450. Over $78,400 $17,733.50, plus 31% of the excess over $78,400. ------------------------------- (b) Heads of households There is hereby imposed on the taxable income of every head of a household (as defined in section 2(b)) a tax determined in accordance with the following table: --------------------------------------------------------------------- --------------------------------------------------------------------- If taxable income is: The tax is: Not over $26,050 15% of taxable income. Over $26,050 but not over $67,200 $3,907.50, plus 28% of the excess over $26,500. Over $67,200 $15,429.50, plus 31% of the excess over $67,200. ------------------------------- (c) Unmarried individuals (other than surviving spouses and heads of households) There is hereby imposed on the taxable income of every individual (other than a surviving spouse as defined in section 2(a) or the head of a household as defined in section 2(b)) who is not a married individual (as defined in section 7703) a tax determined in accordance with the following table: --------------------------------------------------------------------- --------------------------------------------------------------------- If taxable income is: The tax is: Not over $19,450 15% of taxable income. Over $19,450 but not over $47,050 $2,917.50, plus 28% of the excess over $19,450. Over $47,050 $10,645.50, plus 31% of the excess over $47,050. ------------------------------- (d) Married individuals filing separate returns There is hereby imposed on the taxable income of every married individual (as defined in section 7703) who does not make a single return jointly with his spouse under section 6013, a tax determined in accordance with the following table: --------------------------------------------------------------------- --------------------------------------------------------------------- If taxable income is: The tax is: Not over $16,225 15% of taxable income. Over $16,225 but not over $39,200 $2,433.75, plus 28% of the excess over $16,225. Over $39,200 $8,866.75, plus 31% of the excess over $39,200. ------------------------------- (e) Estates and trusts There is hereby imposed on the taxable income of - (1) every estate, and (2) every trust, taxable under this subsection a tax determined in accordance with the following table: --------------------------------------------------------------------- --------------------------------------------------------------------- If taxable income is: The tax is: Not over $3,300 15% of taxable income. Over $3,300 but not over $9,900 $495, plus 28% of the excess over $3,300. Over $9,900 $2,343, plus 31% of the excess over $9,900. ------------------------------- (f) Adjustments in tax tables so that inflation will not result in tax increases (1) In general Not later than December 15 of 1990, and each subsequent calendar year, the Secretary shall prescribe tables which shall apply in lieu of the tables contained in subsections (a), (b), (c), (d), and (e) with respect to taxable years beginning in the succeeding calendar year. (2) Method of prescribing tables The table which under paragraph (1) is to apply in lieu of the table contained in subsection (a), (b), (c), (d), or (e), as the case may be, with respect to taxable years beginning in any calendar year shall be prescribed - (A) by increasing the minimum and maximum dollar amounts for each rate bracket for which a tax is imposed under such table by the cost-of-living adjustment for such calendar year, (B) by not changing the rate applicable to any rate bracket as adjusted under subparagraph (A), and (C) by adjusting the amounts setting forth the tax to the extent necessary to reflect the adjustments in the rate brackets. (3) Cost-of-living adjustment For purposes of paragraph (2), the cost-of-living adjustment for any calendar year is the percentage (if any) by which - (A) the CPI for the preceding calendar year, exceeds (B) the CPI for the calendar year 1989. (4) CPI for any calendar year For purposes of paragraph (3), the CPI for any calendar year is the average of the Consumer Price Index as of the close of the 12-month period ending on August 31 of such calendar year. (5) Consumer Price Index For purposes of paragraph (4), the term 'Consumer Price Index' means the last Consumer Price Index for all-urban consumers published by the Department of Labor. For purposes of the preceding sentence, the revision of the Consumer Price Index which is most consistent with the Consumer Price Index for calendar year 1986 shall be used. (6) Rounding (A) In general If any increase determined under paragraph (2)(A), section 63(c)(4), section 68(b)(2) or section 151(d)(4) is not a multiple of $50, such increase shall be rounded to the next lowest multiple of $50. (B) Table for married individuals filing separately In the case of a married individual filing a separate return, subparagraph (A) (other than with respect to subsection (c)(4) of section 63 (as it applies to subsections (c)(5)(A) and (f) of such section) and section 151(d)(4)(A)) shall be applied by substituting '$25' for '$50' each place it appears. (g) Certain unearned income of minor children taxed as if parent's income (1) In general In the case of any child to whom this subsection applies, the tax imposed by this section shall be equal to the greater of - (A) the tax imposed by this section without regard to this subsection, or (B) the sum of - (i) the tax which would be imposed by this section if the taxable income of such child for the taxable year were reduced by the net unearned income of such child, plus (ii) such child's share of the allocable parental tax. (2) Child to whom subsection applies This subsection shall apply to any child for any taxable year if - (A) such child has not attained age 14 before the close of the taxable year, and (B) either parent of such child is alive at the close of the taxable year. (3) Allocable parental tax For purposes of this subsection - (A) In general The term 'allocable parental tax' means the excess of - (i) the tax which would be imposed by this section on the parent's taxable income if such income included the net unearned income of all children of the parent to whom this subsection applies, over (ii) the tax imposed by this section on the parent without regard to this subsection. For purposes of clause (i), net unearned income of all children of the parent shall not be taken into account in computing any exclusion, deduction, or credit of the parent. (B) Child's share A child's share of any allocable parental tax of a parent shall be equal to an amount which bears the same ratio to the total allocable parental tax as the child's net unearned income bears to the aggregate net unearned income of all children of such parent to whom this subsection applies. (C) Coordination with section 644 If tax is imposed under section 644(a)(1) with respect to the sale or exchange of any property of which the parent was the transferor, for purposes of applying subparagraph (A) to the taxable year of the parent in which such sale or exchange occurs - (i) taxable income of the parent shall be increased by the amount treated as included in gross income under section 644(a)(2)(A)(i), and (ii) the amount described in subparagraph (A)(ii) shall be increased by the amount of the excess referred to in section 644(a)(2)(A). (D) Special rule where parent has different taxable year Except as provided in regulations, if the parent does not have the same taxable year as the child, the allocable parental tax shall be determined on the basis of the taxable year of the parent ending in the child's taxable year. (4) Net unearned income For purposes of this subsection - (A) In general The term 'net unearned income' means the excess of - (i) the portion of the adjusted gross income for the taxable year which is not attributable to earned income (as defined in section 911(d)(2)), over (ii) the sum of - (I) the amount in effect for the taxable year under section 63(c)(5)(A) (relating to limitation on standard deduction in the case of certain dependents), plus (II) the greater of the amount described in subclause (I) or, if the child itemizes his deductions for the taxable year, the amount of the itemized deductions allowed by this chapter for the taxable year which are directly connected with the production of the portion of adjusted gross income referred to in clause (i). (B) Limitation based on taxable income The amount of the net unearned income for any taxable year shall not exceed the individual's taxable income for such taxable year. (5) Special rules for determining parent to whom subsection applies For purposes of this subsection, the parent whose taxable income shall be taken into account shall be - (A) in the case of parents who are not married (within the meaning of section 7703), the custodial parent (within the meaning of section 152(e)) of the child, and (B) in the case of married individuals filing separately, the individual with the greater taxable income. (6) Providing of parent's TIN The parent of any child to whom this subsection applies for any taxable year shall provide the TIN of such parent to such child and such child shall include such TIN on the child's return of tax imposed by this section for such taxable year. (7) Election to claim certain unearned income of child on parent's return (A) In general If - (i) any child to whom this subsection applies has gross income for the taxable year only from interest and dividends (including Alaska Permanent Fund dividends), (ii) such gross income is more than $500 and less than $5,000, (iii) no estimated tax payments for such year are made in the name and TIN of such child, and no amount has been deducted and withheld under section 3406, and (iv) the parent of such child (as determined under paragraph (5)) elects the application of subparagraph (B), such child shall be treated (other than for purposes of this paragraph) as having no gross income for such year and shall not be required to file a return under section 6012. (B) Income included on parent's return In the case of a parent making the election under this paragraph - (i) the gross income of each child to whom such election applies (to the extent the gross income of such child exceeds $1,000) shall be included in such parent's gross income for the taxable year, (ii) the tax imposed by this section for such year with respect to such parent shall be the amount equal to the sum of - (I) the amount determined under this section after the application of clause (i), plus (II) for each such child, the lesser of $75 or 15 percent of the excess of the gross income of such child over $500, and (iii) any interest which is an item of tax preference under section 57(a)(5) of the child shall be treated as an item of tax preference of such parent (and not of such child). (C) Regulations The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this paragraph. (h) Maximum capital gains rate If a taxpayer has a net capital gain for any taxable year, then the tax imposed by this section shall not exceed the sum of - (1) a tax computed at the rates and in the same manner as if this subsection had not been enacted on the greater of - (A) taxable income reduced by the amount of the net capital gain, or (B) the amount of taxable income taxed at a rate below 28 percent, plus (2) a tax of 28 percent of the amount of taxable income in excess of the amount determined under paragraph (1). -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 5; Feb. 26, 1964, Pub. L. 88-272, title I, Sec. 111, 78 Stat. 19; Nov. 13, 1966, Pub. L. 89-809, title I, Sec. 103(a)(2), 80 Stat. 1550; Dec. 30, 1969, Pub. L. 91-172, title VIII, Sec. 803(a), 83 Stat. 678; May 23, 1977, Pub. L. 95-30, title I, Sec. 101(a), 91 Stat. 127; Nov. 6, 1978, Pub. L. 95-600, title I, Sec. 101(a), 92 Stat. 2767; Aug. 13, 1981, Pub. L. 97-34, title I, Sec. 101(a), 104(a), 95 Stat. 176, 188; Jan. 12, 1983, Pub. L. 97-448, title I, Sec. 101(a)(3), 96 Stat. 2366; Oct. 22, 1986, Pub. L. 99-514, title I, Sec. 101(a), title III, Sec. 302(a), title XIV, Sec. 1411(a), 100 Stat. 2096, 2218, 2714; Nov. 10, 1988, Pub. L. 100-647, title I, Sec. 1001(a)(3), 1014(e)(1)-(3), (6), (7), title VI, Sec. 6006(a), 102 Stat. 3349, 3561, 3562, 3686; Dec. 19, 1989, Pub. L. 101-239, title VII, Sec. 7811(j)(1), 7816(b), 7831(a), 103 Stat. 2411, 2420, 2425; Nov. 5, 1990, Pub. L. 101-508, title XI, Sec. 11101(a)-(c), (d)(1)(A), (2), 11103(c), 11104(b), 104 Stat. 1388-403 to 1388-406, 1388-408.) -STATAMEND- TAX TABLES FOR TAXABLE YEARS BEGINNING IN 1991 Revenue Procedure 90-64 provided: Section 1. Purpose This revenue procedure sets forth the following inflation adjusted items for taxable years beginning in 1991: 1. the tax rate tables for individuals and for estates and trusts; 2. the basic standard deduction amounts for different filing statuses, the limitation on the standard deduction in the case of certain dependents, and the additional standard deductions for the aged and blind; 3. the personal exemption; 4. the earned income credit; 5. the amounts allowed against unearned income in computing the 'kiddie tax,' which taxes a minor child's net unearned income at the marginal rate that applies to the income of the child's parent; and 6. the limitations on the exclusion of income from the redemption of United States savings bonds for taxpayers who pay qualified higher education expenses. Sec. 2. 1991 Tax rate tables The following adjusted tax rate tables are prescribed in lieu of the tables in subsections (a), (b), (c), (d), and (e) of section 1 of the Code with respect to taxable years beginning in 1991. -MISC1- Table 1 - Section 1(a). - Married Individuals Filing Joint Returns and Surviving Spouses --------------------------------------------------------------------- --------------------------------------------------------------------- If Taxable Income Is: The Tax Is: Not Over $34,000 15% of the taxable income Over $34,000, but not over $82,150 $5,100 plus 28% of the excess over $34,000 Over $82,150 $18,582 plus 31% of the excess over $82,150 ------------------------------- Table 2 - Section 1(b). - Heads of Households --------------------------------------------------------------------- --------------------------------------------------------------------- If Taxable Income Is: The Tax Is: Not Over $27,300 15% of the taxable income Over $27,300 but not over $70,450 $4,095 plus 28% of the excess over $27,300 Over $70,450 $16,177 plus 31% of the excess over $70,450 ------------------------------- Table 3 - Section 1(c). - Unmarried Individuals (Other Than Surviving Spouses and Heads of Households) --------------------------------------------------------------------- --------------------------------------------------------------------- If Taxable Income Is: The Tax Is: Not Over $20,350 15% of the taxable income Over $20,350 but not over $49,300 $3,052.50 plus 28% of the excess over $20,350 Over $49,300 $11,158.50 plus 31% of the excess over $49,300 ------------------------------- Table 4 - Section 1(d). - Married Individuals Filing Separate Returns --------------------------------------------------------------------- --------------------------------------------------------------------- If Taxable Income Is: The Tax Is: Not Over $17,000 15% of the taxable income Over $17,000 but not over $41,075 $2,550 plus 28% of the excess over $17,000 Over $41,075 $9,291 plus 31% of the excess over $41,075 ------------------------------- Table 5 - Section 1(e). - Estates and Trusts --------------------------------------------------------------------- --------------------------------------------------------------------- If Taxable Income Is: The Tax Is: Not Over $3,450 15% of the taxable income Over $3,450 but not over $10,350 $517.50 plus 28% of the excess over $3,450 Over $10,350 $2,449.50 plus 31% of the excess over $10,350 ------------------------------- Sec. 3. 1991 Standard deduction .01 The following adjusted standard deduction amounts are prescribed in lieu of the amounts set forth in section 63(c)(2) of the Code with respect to taxable years beginning in 1991. --------------------------------------------------------------------- --------------------------------------------------------------------- Standard Filing Status Deduction Married Individuals Filing Joint $5,700 Returns and Surviving Spouses Heads of Households $5,000 Unmarried Individuals (Other Than $3,400 Surviving Spouses and Heads of Households) Married Individual Filing a $2,850 Separate Return ------------------------------- .02 Under section 63(c)(5) of the Code, the standard deduction for an individual who may be claimed as a dependent by another taxpayer for a taxable year beginning in the calendar year in which the individual's taxable year begins, cannot exceed the greater of (A) $550 or (B) the amount of the individual's earned income. .03 The additional standard deduction amount for the aged and blind allowed under section 63(f) of the Code for taxable years beginning in 1991 is $650. That amount is increased to $850 if the individual is also unmarried and not a surviving spouse. Sec. 4. 1991 Personal exemption .01 Section 151(b) of the Code generally allows a taxpayer an exemption for himself or herself. Section 151(c) generally allows a taxpayer additional exemptions for dependents as defined in section 152. The personal exemption for tax years beginning in 1991 is $2,150. .02 Section 151(d) of the Code provides for the phaseout of the tax benefit of the personal exemptions allowed by section 151. For 1991 the threshold amounts at which that phaseout begins are as follows: Section 1(a) $150,000 Section 1(b) $125,000 Section 1(c) $100,000 Section 1(d) $75,000 Section 1(e) . . . . . The dollar amount at which this phaseout is completed varies according to the number of exemptions claimed. Under section 151(d)(4) of the Code, these threshold amounts will be adjusted for inflation for taxable years beginning in 1992 and thereafter. Sec. 5. 1991 Earned income credit .01 Section 32 of the Code provides a 'basic earned income credit' which for 1991 is allowed at a rate of 16.7 percent for a taxpayer with one qualifying child and 17.3 percent for a taxpayer with two or more qualifying children. This credit may be increased by a 'supplemental young child credit' which is allowed at a rate of 5 percent for a taxpayer with a qualifying child who has not attained age 1 as of the close of the calendar year. In addition, a 'health insurance credit' is allowed at a rate of 6 percent for certain health insurance expenses. .02 For calendar years beginning in 1991, these credits will be allowed on the first $7,140 of earned income. These credits will be phased out if the taxpayer's adjusted gross income (or, if greater, earned income) exceeds $11,250. .03 For calendar years beginning in 1991, the maximum basic earned income credit will be $1,192 (.167 X $7,140) for a taxpayer with one qualifying child and $1,235 (.173 X $7,140) for a taxpayer with two or more qualifying children. The credit phases out at a rate of 11.93 percent for a taxpayer with one qualifying child and 12.36 percent for a taxpayer with two or more qualifying children and will phase out completely at $21,242 of adjusted gross income, or earned income, as the case may be. .04 For calendar years beginning in 1991, the maximum supplemental young child credit will be $357 (.05 X $7,140). The credit phases out at a rate of 3.57 percent and will phase out completely at $21,244 of adjusted gross income, or earned income, as the case may be. .05 For calendar years beginning in 1991, the maximum health insurance credit will be $428 (.06 X $7,140). The credit phases out at a rate of 4.285 percent and will phase out completely at $21,248 of adjusted gross income, or earned income, as the case may be. Sec. 6. Unearned income of minor children taxed as if parent's income (the 'kiddie tax') .01 Section 1(i) of the Code provides that the tax on the net unearned income of a child under the age of 14 is computed at the marginal rate of the child's parent. Under section 1(i)(4)(A)(ii) net unearned income generally equals unearned income less the sum of (I) the amount in effect for the taxable year under section 63(c)(5)(A), plus (II) the greater of the amount described in (I) or certain itemized deductions. .02 The amount in effect for 1991 under section 63(c)(5)(A) is $550. See section 3.02. Accordingly, for tax years beginning in 1991 net unearned income will generally equal unearned income less the greater of $1,100 or $550 plus certain itemized deductions. Sec. 7. Income from United States savings bonds for taxpayer's who pay qualified higher education expenses .01 Section 135 of the Code provides an exclusion for income from the redemption of United States savings bonds for taxpayers who pay qualified higher education expenses. The exclusion is phased out under section 135(b)(2) if the taxpayer's modified adjusted gross income exceeds $40,000 ($60,000 in the case of a joint return). The amount of a reduction is calculated by multiplying the amount otherwise excludable by a fraction. The numerator of the fraction is the excess of the modified adjusted gross income over the threshold amount and the denominator is $15,000 ($30,000 in the case of a joint return). For tax years beginning in 1991, the exclusion phases out if a taxpayer's modified adjusted gross income exceeds $41,950 ($62,900 in the case of a joint return) and the denominator of the fraction is $15,750 ($31,450 in the case of a joint return). Sec. 8. Computation of inflation adjustments .01 Section 1(f)(1) of the Code provides that not later than December 15 of each calendar year, the Secretary shall prescribe inflation-adjusted tax rate tables that apply in lieu of the tax rate tables in section 1 with respect to taxable years beginning in the succeeding calendar year. Under section 1(f)(3) of the Code, the inflation adjustment for a calendar year is the percentage (if any) by which the Consumer Price Index (CPI) for the preceding calendar year exceeds the CPI for the calendar year 1989. For purposes of computing the inflation adjustment, section 1(f)(4) defines the CPI as the average of the 12 monthly CPIs for the 12-month period ending on August 31 of such calendar year. Under section 1(f)(5), the CPI is that for all-urban consumers published by the Department of Labor. Section 1(f)(2)(A) of the Code provides that the inflation adjustment is reflected in the tax rate tables by increasing the minimum and maximum amounts subject to the 15%, 28%, and 31% tax brackets. Under section 1(f)(6), an adjusted bracket amount is 'rounded down' to the nearest multiple of $50 ($25 in the case of married individuals filing separately). .02 Under section 63(c)(4) of the Code, the standard deduction amounts (including the limitation for certain dependents and the additional standard deduction for the aged or blind) are adjusted for inflation under the method described in section 1(f)(3), except that the preceding calendar year's CPI is compared with the CPI for the calendar year 1987. Under section 1(f)(6) an adjusted amount is 'rounded down' to the nearest multiple of $50 ($25 in the case of married individuals filing separately). .03 Section 151(d)(3) of the Code provides that the personal exemption amount is adjusted for inflation under the method described in section 1(f)(3) except that the preceding calendar year's CPI is compared with the CPI for the calendar year 1988. The adjusted exemption is 'rounded down' to the nearest multiple of $50 under section 1(f)(6). .04 Section 32(i) of the Code provides that the dollar amounts of the limitations applicable to the earned income credit are adjusted for inflation under the method described in section 1(f)(3), except that the preceding calendar year's CPI is compared with the CPI for the calendar year 1984. Under section 32(i)(3), an adjusted amount is rounded to the nearest multiple of $10 (or, if the adjusted amount is a multiple of $5, it is increased to the next highest multiple of $10). .05 Section 135(b)(2)(B) of the Code provides that the limitation on the exclusion of income from the redemption of United States savings bonds for taxpayers who pay qualified higher education expenses is adjusted for inflation under the method described in section 1(f)(3). The preceding calendar year's CPI is compared with the CPI for the calendar year 1989. The adjusted limitation is rounded to the nearest multiple of $50 (if the adjusted figure is a multiple of $25, it is increased to the next highest multiple of $50) under section 135(b)(2)(C). Sec. 9. Inflation adjustment factors .01 Tax rate tables and qualified higher education expense exclusion - The CPI for 1990 is 128.0583333333 and the CPI for 1989 is 122.1500000000. Based on these figures, the inflation adjustment factor for the tax rate tables and the qualified higher education expense exclusion for taxable years beginning in 1991 is 1.0483694911. .02 Standard deduction - The CPI for 1990 is 128.0583333333 and the CPI for 1987 is 111.9833333333. Based on these figures, the inflation adjustment factor for the standard deductions for taxable years beginning in 1991 is 1.1435481470. .03 Personal exemption - The CPI for 1990 is 128.0583333333 and the CPI for 1988 is 116.6166666667. Based on these figures, the inflation adjustment for the personal exemption for taxable years beginning in 1991 is 1.0981134772. .04 Earned income credit - The CPI for 1990 is 128.0583333333 and the CPI for 1984 is 102.4916666667. Based on these figures, the inflation adjustment for the earned income credit for taxable years beginning in 1991 is 1.2494511749. Sec. 10. Effective date This revenue procedure is applicable for all taxable years beginning in 1991. Sec. 11. Drafting information (Omitted. Section related to obtaining further information regarding this revenue procedure.) TAX TABLES FOR CERTAIN TAXABLE YEARS Revenue Procedure 90-7 provided the income tax inflation adjustment (indexing) factors as determined pursuant to the various provisions of this title for taxable years beginning in 1991, and set forth the application of the factors to the following: the tax rate tables for individuals and for estates and trusts; the basic standard deduction amounts for different filing statuses; the limitation on the standard deduction in the case of certain dependents; the additional standard deductions for the aged and blind; the earned income credit; and the personal exemption. Revenue Procedure 88-56 provided the income tax inflation adjustment (indexing) factors as determined pursuant to various provisions of this title for taxable years beginning in 1989, and set forth the application of the factors to the following: the tax rate tables for individuals and for estates and trusts; the basic standard deduction amounts for different filing statuses; the additional standard deductions for the aged and blind; the limitation on the standard deduction under certain circumstances; and the earned income credit. Revenue Procedure 84-79 and Revenue Procedure 85-55, with respect to taxable years beginning in 1985 and 1986, respectively, prescribed adjusted tax tables in lieu of the tables contained in paragraph (3) of former subsections (a), (b), (c), (d), and (e) of this section, to provide the income tax cost-of-living adjustment (indexing) factor as determined pursuant to former subsection (f)(3) of this section. AMENDMENTS 1990 - Subsecs. (a) to (e). Pub. L. 101-508, Sec. 11101(a), amended subsecs. (a) to (e) generally, substituting three-tiered tax tables for all categories applicable to tax years after Dec. 31, 1990, for prior two-tiered tax tables. Subsec. (f)(1). Pub. L. 101-508, Sec. 11101(d)(1)(A)(i), substituted '1990' for '1988'. Subsec. (f)(3)(B). Pub. L. 101-508, Sec. 11101(d)(1)(A)(ii), substituted '1989' for '1987'. Subsec. (f)(6)(A). Pub. L. 101-508, Sec. 11104(b)(1), substituted 'section 151(d)(4)' for 'section 151(d)(3)'. Pub. L. 101-508, Sec. 11103(c), inserted reference to section 68(b)(2). Pub. L. 101-508, Sec. 11101(b)(2), struck out 'subsection (g)(4),' after 'paragraph (2)(A),'. Subsec. (f)(6)(B). Pub. L. 101-508, Sec. 11104(b)(2), substituted 'section 151(d)(4)(A)' for 'section 151(d)(3)'. Subsec. (g). Pub. L. 101-508, Sec. 11101(d)(2), redesignated subsec. (i) as (g). Pub. L. 101-508, Sec. 11101(b)(1), struck out subsec. (g) which provided for phaseout of 15-percent rate and personal exemptions. Subsec. (h). Pub. L. 101-508, Sec. 11101(d)(2), redesignated subsec. (j) as (h) and struck out former subsec. (h) which provided tax schedules for taxable years beginning in 1987. Subsec. (i). Pub. L. 101-508, Sec. 11101(d)(2), redesignated subsec. (i) as (g). Subsec. (j). Pub. L. 101-508, Sec. 11101(d)(2), redesignated subsec. (j) as (h). Pub. L. 101-508, Sec. 11101(c), amended subsec. (j) generally. Prior to amendment, subsec. (j) read as follows: '(1) In general. - If a taxpayer has a net capital gain for any taxable year to which this subsection applies, then the tax imposed by this section shall not exceed the sum of - '(A) a tax computed at the rates and in the same manner as if this subsection had not been enacted on the greater of - '(i) the taxable income reduced by the amount of net capital gain, or '(ii) the amount of taxable income taxed at a rate below 28 percent, plus '(B) a tax of 28 percent of the amount of taxable income in excess of the amount determined under subparagraph (A), plus '(C) the amount of increase determined under subsection (g). '(2) Years to which subsection applies. - This subsection shall apply to - '(A) any taxable year beginning in 1987, and '(B) any taxable year beginning after 1987 if the highest rate of tax set forth in subsection (a), (b), (c), (d), or (e) (whichever applies) for such taxable year exceeds 28 percent.' 1989 - Subsec. (f)(6)(B). Pub. L. 101-239, Sec. 7831(a), substituted 'subsection (c)(4) of section 63 (as it applies to subsections (c)(5)(A) and (f) of such section) and section 151(d)(3)' for 'section 63(c)(4)'. Subsec. (i)(3)(C), (D). Pub. L. 101-239, Sec. 7811(j)(1), redesignated subpar. (C), relating to special rule where parent has different taxable year, as (D). Subsec. (i)(7)(A). Pub. L. 101-239, Sec. 7816(b), inserted '(other than for purposes of this paragraph)' after 'shall be treated' in concluding provisions. 1988 - Subsec. (g)(2). Pub. L. 100-647, Sec. 1001(a)(3), inserted provision relating to application of subpar. (B) at end of last sentence. Subsec. (i)(3)(A). Pub. L. 100-647, Sec. 1014(e)(2), substituted 'any exclusion, deduction, or credit' for 'any deduction or credit'. Subsec. (i)(3)(C). Pub. L. 100-647, Sec. 1014(e)(7), added subpar. (C) relating to special rule where parent has different taxable year. Pub. L. 100-647, Sec. 1014(e)(1), added subpar. (C) relating to coordination with section 644. Subsec. (i)(4)(A)(i). Pub. L. 100-647, Sec. 1014(e)(3)(A), substituted 'adjusted gross income' for 'gross income' and inserted 'attributable to' after 'which is not'. Subsec. (i)(4)(A)(ii)(II). Pub. L. 100-647, Sec. 1014(e)(3)(B)-(D), substituted 'his deductions' for 'his deduction', 'the itemized deductions allowed' for 'the deductions allowed', and 'adjusted gross income' for 'gross income'. Subsec. (i)(5)(A). Pub. L. 100-647, Sec. 1014(e)(6), substituted 'custodial parent (within the meaning of section 152(e))' for 'custodial parent'. Subsec. (i)(7). Pub. L. 100-647, Sec. 6006(a), added par. (7). 1986 - Subsecs. (a) to (e). Pub. L. 99-514, Sec. 101(a), in amending subsecs. (a) to (e) generally, substituted a general tax table for tax tables (1), (2), and (3) in each subsec. applicable to taxable years beginning in 1982, 1983, and after 1983, respectively. Subsec. (f). Pub. L. 99-514, Sec. 101(a), in amending subsec. (f) generally, in par. (1) substituted '1988,' for '1984' and struck out 'paragraph (3) of' before 'subsections', in par. (2) struck out 'paragraph (3) of' before 'subsection' in introductory provisions, substituted subpars. (A) to (C) for former subpars. (A) to (C) which read as follows: '(A) by increasing - '(i) the maximum dollar amount on which no tax is imposed under such table, and '(ii) the minimum and maximum dollar amounts for each rate bracket for which a tax is imposed under such table, by the cost-of-living adjustment for such calendar year, '(B) by not changing the rate applicable to any rate bracket as adjusted under subparagraph (A)(ii), and '(C) by adjusting the amounts setting forth the tax to the extent necessary to reflect the adjustments in the rate brackets.', and struck out concluding provisions which read as follows: 'If any increase determined under subparagraph (A) is not a multiple of $10, such increase shall be rounded to the nearest multiple of $10 (or if such increase is a multiple of $5, such increase shall be increased to the next highest multiple of $10).', in par. (3)(B) substituted '1987' for '1983', in par. (4) substituted 'August 31' for 'September 30', in par. (5) inserted requirement that the Consumer Price Index most consistent with such Index for calendar year 1986 be used, and added par. (6). Subsecs. (g), (h). Pub. L. 99-514, Sec. 101(a), in amending section generally, added subsecs. (g) and (h). Subsec. (i). Pub. L. 99-514, Sec. 1411(a), added subsec. (i). Subsec. (j). Pub. L. 99-514, Sec. 302(a), added subsec. (j). 1982 - Subsecs. (d), (e). Pub. L. 97-448, Sec. 101(a)(3), set out as a note below, provided for amendment of the tables applying to married individuals filing separately or to estates and trusts so as to correct any figure differing by not more than 50 cents from the correct amount under the formula used in constructing such table. Corrections to the tables in subsecs. (d) and (e) appeared in Announcement 83-50 contained in Internal Revenue Bulletin No. 1983-12 of Mar. 21, 1983. 1981 - Subsecs. (a) to (e). Pub. L. 97-34, Sec. 101(a), generally revised tax tables downward providing for cumulative across-the-board reductions of 23 percent on a three phase schedule under which different new rates were set for taxable years beginning in 1982, for taxable years beginning in 1983, and for taxable years beginning after 1983. Subsec. (f). Pub. L. 97-34, Sec. 104(a), added subsec. (f). 1978 - Subsec. (a). Pub. L. 95-600 generally made a downward revision of tax table for married individuals filing joint returns and surviving spouses resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $3,400 or less was substituted for a bottom bracket imposing no tax on taxable income of $3,200 or less. Subsec. (b). Pub. L. 95-600 generally made a downward revision of tax table for heads of household resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $2,300 or less was substituted for a bottom bracket imposing no tax on taxable income of $2,200 or less. Subsec. (c). Pub. L. 95-600 generally made a downward revision of tax table for unmarried individuals other than surviving spouses and heads of households resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $2,300 or less was substituted for a bottom bracket imposing no tax on taxable income of $2,200 or less. Subsec. (d). Pub. L. 95-600 generally made a downward revision of tax tables for married individuals filing separate returns resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $1,700 or less was substituted for a bottom bracket imposing no tax on taxable income of $1,600 or less. Subsec. (e). Pub. L. 95-600 generally made a downward revision of tax tables for estates and trusts resulting in a table under which, among other changes, a bottom bracket under which a tax of 14% is imposed on taxable income of $1,050 for a bottom bracket under which a tax of 14% was imposed on taxable income of $500 or less. 1977 - Subsec. (a). Pub. L. 95-30 generally made a downward revision of tax table for married individuals filing joint returns and surviving spouses resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $3,200 or less was substituted for a bottom bracket under which a tax of 14% had been imposed on a taxable income of $1,000 or less. Subsec. (b). Pub. L. 95-30 generally made a downward revision of tax table for heads of households resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $2,200 or less was substituted for a bottom bracket under which a tax of 14% had been imposed on a taxable income of $1,000 or less. Subsec. (c). Pub. L. 95-30 generally made a downward revision of tax table for unmarried individuals other than surviving spouses and heads of households resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $2,200 or less was substituted for a bottom bracket under which a tax of 14% had been imposed on a taxable income of $500 or less. Subsec. (d). Pub. L. 95-30 generally made a downward revision of tax table for married individuals filing separate returns resulting in a table under which, among other changes, a bottom bracket imposing no tax on taxable income of $1,600 or less was substituted for a bottom bracket under which a tax of 14% had been imposed on a taxable income of $500 or less. Provisions making table applicable to estates and trusts were struck out. See subsec. (e). Subsec. (e). Pub. L. 95-30 added subsec. (e) consisting of table formerly contained in subsec. (d) but without any downward revision and limited so as to apply only to estates and trusts. 1969 - Subsec. (a). Pub. L. 91-172 substituted a table of rates of tax for married individuals filing joint returns and surviving spouses for the tables of rates of tax on individuals. For rates of taxes on unmarried individuals and married persons filing separate returns, see subsecs. (c) and (d) of this section. Subsec. (b). Pub. L. 91-172 generally revised rates of tax of heads of household downwards and struck out provisions defining head of household, determination of status, and limitations. For definition of head of household, determination of status, and limitations, see section 2(b) of this title. Subsec. (c). Pub. L. 91-172 substituted rates of tax on unmarried individuals (other than surviving spouses and heads of household) for special rules explaining the rates of tax imposed under former subsecs. (a) and (b)(1) and prescribing a maximum limit of 87 percent of the taxable year. Subsec. (d). Pub. L. 91-172 substituted a table of rates of tax for married individuals filing separate returns for provision prescribing the applicability of the rates to non-resident aliens. For applicability of rates of tax to non-resident aliens, see section 2(d) of this title. Subsec. (e). Pub. L. 91-172 struck out cross reference to section 63. See section 2(e) of this title. 1966 - Subsecs. (d), (e). Pub. L. 89-809 added subsec. (d) and redesignated former subsec. (d) as (e). 1964 - Pub. L. 88-272 amended section generally by splitting the former first bracket which started at $2,000 into four new brackets, the 14 percent bracket representing a 30 percent reduction, the 15 percent bracket a 25 percent cut, and the 16 percent bracket a 20 percent cut, and reducing all other brackets by cuts averaging about 20 percent and effectuated these cuts in two steps, one in 1964, and one in 1965. EFFECTIVE DATE OF 1990 AMENDMENT Section 11101(e) of Pub. L. 101-508 provided that: 'The amendments made by this section (amending this section, sections 32, 41, 59, 63, 135, 151, 513, 691, 904, 6103, and 7518 of this title, and section 1177 of Title 46, Appendix, Shipping) shall apply to taxable years beginning after December 31, 1990.' Section 11103(e) of Pub. L. 101-508 provided that: 'The amendments made by this section (enacting section 68 of this title and amending this section and section 56 of this title) shall apply to taxable years beginning after December 31, 1990.' Section 11104(c) of Pub. L. 101-508 provided that: 'The amendments made by this section (amending this section and section 151 of this title) shall apply to taxable years beginning after December 31, 1990.' EFFECTIVE DATE OF 1989 AMENDMENT Section 7817 of Pub. L. 101-239 provided that: 'Except as otherwise provided in this part (part I (Sec. 7811-7817) of subtitle H of title VII of Pub. L. 101-239, see Tables for classification), any amendment made by this part shall take effect as if included in the provision of the 1988 Act (Pub. L. 100-647) to which such amendment relates.' Section 7831(g) of Pub. L. 101-239 provided that: 'Any amendment made by this section (amending this section and sections 42, 406, 407, and 1250 of this title and provisions set out as notes under sections 141 and 263A of this title) shall take effect as if included in the provision of the Tax Reform Act of 1986 (Pub. L. 99-514) to which such amendment relates.' EFFECTIVE DATE OF 1988 AMENDMENT Section 1019 of title I of Pub. L. 100-647 provided that: '(a) General Rule. - Except as otherwise provided in this title, any amendment made by this title (see Tables for classification), shall take effect as if included in the provision of the Reform Act (Pub. L. 99-514) to which such amendment relates. '(b) Waiver of Estimated Tax Penalties. - No addition to tax shall be made under section 6654 or 6655 of the 1986 Code for any period before April 16, 1989 (March 16, 1989 in the case of a taxpayer subject to section 6655 of the 1986 Code) with respect to any underpayment to the extent such underpayment was created or increased by any provision of this title or title II (see Tables for classification).' Section 6006(b) of Pub. L. 100-647 provided that: 'The amendment made by this section (amending this section) shall apply to taxable years beginning after December 31, 1988.' EFFECTIVE DATE OF 1986 AMENDMENT Section 151 of title I of Pub. L. 99-514 provided that: '(a) General Rule. - Except as otherwise provided in this section, the amendments made by this title (enacting section 67 of this title, amending this seciton, sections 3, 5, 15, 21, 32, 62, 63, 74, 85, 86, 102, 108, 117, 129, 151, 152, 164, 170, 172, 183, 213, 265, 274, 280A, 402, 441, 443, 527, 541, 613A, 642, 667, 861, 862, 901, 904, 1398, 1441, 2032A, 3121, 3231, 3306, 3401, 3402, 3507, 4941, 4945, 6012 to 6014, 6212, 6504, 6511, and 7871 of this title, and section 409 of Title 42, The Public Health and Welfare, renumbering section 223 of this title as section 220 of this title, repealing sections 24, 221, 222, and 1301 to 1305 of this title, and enacting provisions set out as a note under section 32 of this title) shall apply to taxable years beginning after December 31, 1986. '(b) Unemployment Compensation. - The amendment made by section 121 (amending section 85 of this title) shall apply to amounts received after December 31, 1986, in taxable years ending after such date. '(c) Prizes and Awards. - The amendments made by section 122 (amending sections 74, 102, 274, 3121, 3231, 3306, 3401, 4941, and 4945 of this title and section 409 of Title 42, The Public Health and Welfare) shall apply to prizes and awards granted after December 31, 1986. '(d) Scholarships. - The amendments made by section 123 (amending sections 74, 117, 1441, and 7871 of this title) shall apply to taxable years beginning after December 31, 1986, but only in the case of scholarships and fellowships granted after August 16, 1986. '(e) Parsonage and Military Housing Allowances. - The amendment made by section 144 (amending section 265 of this title) shall apply to taxable years beginning before, on, or after, December 31, 1986.' Section 302(b) of Pub. L. 99-514 provided that: 'The amendment made by this section (amending this section) shall apply to taxable years beginning after December 31, 1986.' Section 1411(c) of Pub. L. 99-514 provided that: 'The amendments made by this section (amending this section and section 6103 of this title) shall apply to taxable years beginning after December 31, 1986.' EFFECTIVE DATE OF 1983 AMENDMENT Section 109 of title I of Pub. L. 97-448 provided that: 'Except as otherwise provided in this title, any amendment made by this title (see Tables for classification) shall take effect as if it had been included in the provision of the Economic Recovery Tax Act of 1981 (Pub. L. 97-34, Aug. 13, 1981, 95 Stat. 172) to which such amendment relates.' EFFECTIVE DATE OF 1981 AMENDMENT Section 101(f)(1) of Pub. L. 97-34, as amended by Pub. L. 97-448, title I, Sec. 101(a)(1), Jan. 12, 1983, 96 Stat. 2365, provided that: 'The amendments made by subsections (a), (c), and (d) (amending this section and sections 3, 21, 55, 541, and 1304 of this title and repealing section 1348 of this title) shall apply to taxable years beginning after December 31, 1981; except that the amendment made by paragraph (3) of subsection (d) (amending section 21 of this title) shall apply to taxable years ending after December 31, 1981.' Section 104(e) of Pub. L. 97-34 provided that: 'The amendments made by this section (amending this section and sections 63, 151, 6012, and 6013 of this title) shall apply to taxable years beginning after December 31, 1984.' EFFECTIVE DATE OF 1978 AMENDMENT Section 101(f)(1) of Pub. L. 95-600 provided that: 'The amendments made by subsections (a), (b), (c), and (d) (amending sections 63, 402, 1302, and 6012 of this title) shall apply to taxable years beginning after December 31, 1978.' EFFECTIVE DATE OF 1977 AMENDMENT Section 106(a) of Pub. L. 95-30 provided that: 'The amendments made by sections 101, 102, and 104 (amending this section and sections 3, 21, 42, 57, 63, 143, 161, 172, 211, 402, 441, 443, 511, 584, 613A, 641, 642, 667, 703, 861, 862, 873, 904, 911, 931, 1034, 1211, 1302, 6012, 6014, 6212, 6504, and 6654 of this title and repealing sections 36, 141, 142, 144, and 145 of this title) shall apply to taxable years beginning after December 31, 1976.' EFFECTIVE DATE OF 1969 AMENDMENT Section 803(f) of Pub. L. 91-172, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'The amendments made by subsections (a) (amending this section), (b) (amending section 2 of this title), and (d) (other than paragraphs (1) and (8)) (amending sections 5, 511, 632, 641, 1347, and 6015 of this title) shall apply to taxable years beginning after December 31, 1970, except that section 2(c) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (section 2(c) of this title), as amended by subsection (b), shall also apply to taxable years beginning after December 31, 1969. The amendments made by subsections (c) (amending section 3 of this title), (d)(1) (amending section 6014 of this title), and (d)(8) (amending section 1304 of this title) shall apply to taxable years beginning after December 31, 1969'. EFFECTIVE DATE OF 1966 AMENDMENT Section 103(n) of Pub. L. 89-809 provided that: '(1) The amendments made by this section (other than the amendments made by subsections (h), (i), and (k)) (enacting section 877 of this title, amending this section and sections 116, 154, 871, 872, 873, 874, 875, 932, 6015, and 7701 of this title, renumbering section 877 as 878, and repealing section 1493 of this title) shall apply with respect to taxable years beginning after December 31, 1966. '(2) The amendments made by subsection (h) (amending section 1441 of this title) shall apply with respect to payments made in taxable years of recipients beginning after December 31, 1966. '(3) The amendments made by subsection (i) (amending section 1461 of this title) shall apply with respect to payments occurring after December 31, 1966. '(4) The amendments made by subsection (k) (amending section 3401 of this title) shall apply with respect to remuneration paid after December 31, 1966.' EFFECTIVE DATE OF 1964 AMENDMENT Section 131 of Pub. L. 88-272, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'Except for purposes of section 21 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (relating to effect of changes in rates during a taxable year), the amendments made by parts I and II of this title (amending this section and sections 2, 11, 37, 141, 144, 242, 821, 871, 963, 6016, 6074, 6154, 6212, 6504, and 6655 of this title) shall apply with respect to taxable years beginning after December 31, 1963.' SHORT TITLE OF 1990 AMENDMENT Section 11001(a) of title XI of Pub. L. 101-508 provided that: 'This title (see Tables for classification) may be cited as the 'Revenue Reconciliation Act of 1990'.' SHORT TITLE OF 1989 AMENDMENT Section 7001(a) of title VII of Pub. L. 101-239 provided that: 'This title (see Tables for classification) may be cited as the 'Revenue Reconciliation Act of 1989'.' Section 7701 of title VII of Pub. L. 101-239 provided that: 'This subtitle (subtitle G (Sec. 7701-7743) of title VII of Pub. L. 101-239, see Tables for classification) may be cited as the 'Improved Penalty Administration and Compliance Tax Act'.' SHORT TITLE OF 1988 AMENDMENT Section 1(a) of Pub. L. 100-647 provided that: 'This Act (see Tables for classification) may be cited as the 'Technical and Miscellaneous Revenue Act of 1988'.' Section 6226 of Pub. L. 100-647 provided that: 'This subtitle (subtitle J (Sec. 6226-6247) of title VI of Pub. L. 100-647, enacting sections 6159, 6326, 6712, 7430, 7432, 7433, 7520, 7521, and 7811 of this title, amending sections 6213, 6214, 6331, 6332, 6334, 6335, 6343, 6404, 6512, 6601, 6673, 6863, 7216, 7429, 7481, 7482, 7802, and 7805 of this title and section 504 of Title 5, Government Organization and Employees, renumbering section 6326 as 6327, 7432 as 7433, and 7433 as 7434 of this title, and enacting provisions set out as notes under this section and sections 6159, 6213, 6214, 6326, 6331, 6404, 6512, 6673, 6712, 6863, 7429, 7430, 7432, 7520, 7521, 7605, 7801 to 7803, 7805, and 7811 of this title) may be cited as the 'Omnibus Taxpayer Bill of Rights'.' SHORT TITLE OF 1987 AMENDMENTS Pub. L. 100-223, title IV, Sec. 401, Dec. 30, 1987, 101 Stat. 1532, provided that: 'This title (enacting section 4283 of this title, amending sections 4041, 4261, 4271, 6427, and 9502 of this title, and enacting provisions set out as notes under sections 4041 and 4261 of this title) may be cited as the 'Airport and Airway Revenue Act of 1987'.' Pub. L. 100-203, title IX, Sec. 9302(a), Dec. 22, 1987, 101 Stat. 1330-333, provided that: 'This part (part II (Sec. 9302-9346) of subtitle D of part II of Pub. L. 100-203, enacting sections 1085b and 1371 of Title 29, Labor, amending sections 401, 404, 411, 412, 414, and 4971 of this title and sections 1021, 1023, 1024, 1054, 1082 to 1084, 1085a, 1086, 1103, 1107, 1113, 1132, 1201, 1301, 1305 to 1307, 1322, 1341, 1342, 1344, 1349, 1362, 1364, 1367, and 1368 of Title 29, repealing section 1349 of Title 29, and enacting provisions set out as notes under sections 401, 404, 412, and 4971 of this title and sections 1054, 1107, 1132, 1301, 1305, 1322, and 1344 of Title 29) may be cited as the 'Pension Protection Act'.' Pub. L. 100-203, title X, Sec. 10000(a), Dec. 22, 1987, 101 Stat. 1330-382, provided that: 'This title (see Tables for classification) may be cited as the 'Revenue Act of 1987'.' Pub. L. 100-17, title V, Sec. 501, Apr. 2, 1987, 101 Stat. 256, provided that: 'This title (amending sections 4041, 4051, 4052, 4071, 4081, 4221, 4481, 4482, 4483, 6156, 6412, 6420, 6421, 6427, and 9503 of this title and section 460l-11 of Title 16, Conservation, and enacting provisions set out as notes under sections 4052 and 4481 of this title) may be cited as the 'Highway Revenue Act of 1987'.' SHORT TITLE OF 1986 AMENDMENTS Pub. L. 99-662, title XIV, Sec. 1401, Nov. 17, 1986, 100 Stat. 4266, provided that: 'This title (enacting sections 4461, 4462, 9505, and 9506 of this title and section 988a of Title 33, Navigation and Navigable Waters, amending section 4042 of this title and sections 984 and 1804 of Title 33, repealing sections 1801 and 1802 of Title 33, and enacting provisions set out as notes under sections 4042, 4461, 9505, and 9506 of this title and sections 984 and 988 of Title 33) may be cited as the 'Harbor Maintenance Revenue Act of 1986'.' Section 1(a) of Pub. L. 99-514 provided that: 'This Act (see Tables for classification) may be cited as the 'Tax Reform Act of 1986'.' Pub. L. 99-499, title V, Sec. 501, Oct. 17, 1986, 100 Stat. 1760, provided that: 'This title (enacting sections 59A, 4671, 4672, 9507, and 9508 of this title, amending sections 26, 164, 275, 936, 1561, 4041, 4042, 4081, 4221, 4611, 4612, 4661, 4662, 6154, 6416, 6420, 6421, 6425, 6427, 6655, 9502, 9503, and 9506 of this title and section 9601 of Title 42, The Public Health and Welfare, repealing sections 4681 and 4682 of this title and sections 9631 to 9633, 9641, and 9653 of Title 42, and enacting provisions set out as notes under this section and sections 26, 4041, 4611, 4661, 4671, 4681, 9507, and 9508 of this title) may be cited as the 'Superfund Revenue Act of 1986'.' SHORT TITLE OF 1984 AMENDMENT Pub. L. 98-369, Sec. 1(a), July 18, 1984, 98 Stat. 494, provided that: 'This Act (see Tables for classification) may be cited as the 'Deficit Reduction Act of 1984'.' Pub. L. 98-369, div. A (Sec. 5-1082), Sec. 5(a), July 18, 1984, 98 Stat. 494, provided that: 'This division (see Tables for classification) may be cited as the 'Tax Reform Act of 1984'.' SHORT TITLE OF 1983 AMENDMENTS Pub. L. 98-76, title II, Sec. 201, Aug. 12, 1983, 97 Stat. 419, provided that: 'This title (enacting sections 3321 to 3323 and 6050G of this title, amending sections 72, 86, 105, 3201, 3202, 3211, 3221, 3231, 6157, 6201, 6317, 6513, and 6601 of this title and section 430 of Title 42, The Public Health and Welfare, and enacting provisions set out as notes under sections 72, 105, 3201, 3321, and 6302 of this title and section 231n of Title 45, Railroads) may be cited as the 'Railroad Retirement Revenue Act of 1983'.' Pub. L. 98-67, title I, Sec. 101(a), Aug. 5, 1983, 97 Stat. 369, provided that: 'This title (enacting sections 3406 and 6705 of this title, amending sections 31, 274, 275, 643, 661, 3402, 3403, 3502, 3507, 6011, 6013, 6015, 6042, 6044, 6049, 6051, 6365, 6401, 6413, 6652, 6653, 6654, 6676, 6678, 6682, 7205, 7215, 7431, 7654, and 7701 of this title, repealing sections 3451 to 3456 of this title, enacting provisions set out as notes under sections 31, 3451, and 6011 of this title, and repealing provisions set out as a note under section 3451 of this title) may be cited as the 'Interest and Dividend Tax Compliance Act of 1983'.' Pub. L. 97-473, title II, Sec. 201, Jan. 14, 1983, 96 Stat. 2607, provided that: 'This title (enacting section 7871 of this title, amending sections 41, 103, 164, 170, 2055, 2106, 2522, 4227, 4484, 6420, 6421, 6424, 6427, and 7701 of this title, and enacting provisions set out as a note under section 7871 of this title) may be cited as the 'Indian Tribal Governmental Tax Status Act of 1982'.' Section 1(a) of Pub. L. 97-448 provided that: 'This Act (see Tables for classification) may be cited as the 'Technical Corrections Act of 1982'.' Pub. L. 97-424, title V, Sec. 501(a), Jan. 6, 1983, 96 Stat. 2168, provided that: 'This title (see Tables for classification) may be cited as the 'Highway Revenue Act of 1982'.' SHORT TITLE OF 1982 AMENDMENTS Pub. L. 97-362, Sec. 1(a), Oct. 25, 1982, 96 Stat. 1726, provided that: 'This Act (amending sections 8509 and 8521 of Title 5, Government Organization and Employees, sections 48, 172, 4401, 4411, 6051, 7447, 7448, 7456, 7459, and 7463 of this title, and section 601 of former Title 46, Shipping, enacting provisions set out as notes under sections 8509 and 8521 of Title 5 and sections 48, 172, 336, 4401, 4411, 6051, 7448, and 7463 of this title, and amending provisions set out as notes under section 2291 of Title 19, Customs Duties, and section 3306 of this title) may be cited as the 'Miscellaneous Revenue Act of 1982'.' Pub. L. 97-354, Sec. 1(a), Oct. 19, 1982, 96 Stat. 1669, provided that: 'This Act (enacting sections 1361 to 1363, 1366 to 1368, 1371 to 1375, 1377 to 1379, and 6241 to 6245 of this title, amending sections 29, 31, 40, 41, 46, 48, 50A, 50B, 52, 53, 55, 57, 58, 62, 108, 163, 168, 170, 172, 179, 183, 189, 194, 267, 280, 280A, 291, 447, 464, 465, 613A, 992, 1016, 1101, 1212, 1251, 1254, 1256, 3453, 3454, 4992, 4996, 6037, 6042, 6362, and 6661 of this title and section 1108 of Title 29, Labor, omitting section 1376 of this title, and enacting provisions set out as a note under section 1361 of this title) may be cited as the 'Subchapter S Revision Act of 1982'.' Pub. L. 97-248, Sec. 1(a), Sept. 3, 1982, 96 Stat. 324, provided that: 'This Act (see Tables for classification) may be cited as the 'Tax Equity and Fiscal Responsibility Act of 1982'.' Section 401 of title IV of Pub. L. 97-248 provided that: 'This title (enacting sections 6046A and 6221 to 6232 of this title and section 1508 of Title 28, Judiciary and Judicial Procedure, amending sections 702, 6031, 6213, 6216, 6422, 6501, 6504, 6511, 6512, 6515, 6679, 7422, 7451, 7456, 7459, 7482, and 7485 of this title and section 1346 of Title 28, and enacting provisions set out as notes under sections 6031, 6046A, 6221, and 6231 of this title) may be cited as the 'Tax Treatment of Partnership Items Act of 1982'.' SHORT TITLE OF 1981 AMENDMENTS Pub. L. 97-119, title I, Sec. 101(a), Dec. 29, 1981, 95 Stat. 1635, provided that: 'This subtitle (subtitle A (Sec. 101-104) of title I of Pub. L. 97-119, enacting sections 9500, 9501, 9601, and 9602 of this title, amending sections 501 and 4121 of this title and sections 902, 925, 932, and 934 of Title 30, Mineral Lands and Mining, repealing section 934a of Title 30, and enacting provisions set out as notes under sections 4121 and 9501 of this title and section 934 of Title 30) may be cited as the 'Black Lung Benefits Revenue Act of 1981'.' Section 1(a) of Pub. L. 97-34 provided that: 'This Act (see Tables for classification) may be cited as the 'Economic Recovery Tax Act of 1981'.' SHORT TITLE OF 1980 AMENDMENTS Pub. L. 96-605, Sec. 1(a), Dec. 28, 1980, 94 Stat. 3521, provided that: 'This Act (enacting sections 66 and 195 of this title, amending sections 48, 105, 125, 274, 401, 408, 409A, 410, 414, 415, 501, 513, 514, 528, 861, 871, and 2055 of this title, and enacting provisions set out as notes under sections 48, 66, 119, 125, 195, 274, 401, 409A, 414, 415, 501, 513, 514, 528, 861, 871, 2055, 3121, and 7701 of this title) may be cited as the 'Miscellaneous Revenue Act of 1980'.' Pub. L. 96-589, Sec. 1(a), Dec. 24, 1980, 94 Stat. 3389, provided that: 'This Act (enacting sections 370, 1398, 1399, 6658, and 7464 of this title, redesignating former section 7464 of this title as 7465, amending sections 108, 111, 118, 128, 302, 312, 337, 351, 354, 355, 357, 368, 381, 382, 422, 443, 542, 703, 1017, 1023, 1371, 3302, 6012, 6036, 6103, 6155, 6161, 6212, 6213, 6216, 6326, 6404, 6503, 6512, 6532, 6871, 6872, 6873, 7430, and 7508 of this title, repealing section 1018 of this title, and enacting provisions set out as a note under section 108 of this title) may be cited as the 'Bankruptcy Tax Act of 1980'.' Pub. L. 96-510, title II, Sec. 201(a), Dec. 11, 1980, 94 Stat. 2796, provided that: 'This title (enacting chapter 38 of this title, sections 9631 to 9641 of Title 42, The Public Health and Welfare, and provisions set out as a note under section 4611 of this title) may be cited as the 'Hazardous Substance Response Revenue Act of 1980'.' Pub. L. 96-499, title XI, Sec. 1100, Dec. 5, 1980, 94 Stat. 2660, provided: 'This title (enacting sections 103A, 280D, 897, 6039C, and 6429 of this title, amending sections 103, 861, 871, 882, 3121, 3306, 4251, 6652, and 6655 of this title and section 409 of Title 42, The Public Health and Welfare, and enacting provisions set out as notes under sections 1, 103A, 280D, 897, 3121, and 6655 of this title) may be cited as the 'Revenue Adjustments Act of 1980'.' Pub. L. 96-499, title XI, subtitle A (Sec. 1101-1104), Sec. 1101, Dec. 5, 1980, 94 Stat. 2660, provided: 'This subtitle (enacting section 103A of this title, amending section 103 of this title, and enacting provisions set out as a note under section 103A of this title) may be cited as the 'Mortgage Subsidy Bond Tax Act of 1980'.' Pub. L. 96-499, title XI, Sec. 1121, Dec. 5, 1980, 94 Stat. 2682, provided: 'This subtitle (subtitle C (Sec. 1121-1125) of title XI of Pub. L. 96-499, enacting sections 897 and 6039C of this title, amending sections 861, 871, 882, and 6652 of this title, and enacting provisions set out as notes under section 897 of this title) may be cited as the 'Foreign Investment in Real Property Tax Act of 1980'.' Pub. L. 96-471, Sec. 1(a), Oct. 19, 1980, 94 Stat. 2247, provided: 'This Act (enacting sections 453 to 453B of this title, amending sections 311, 336, 337, 381, former section 453, sections 453B, 481, 644, 691, 1038, 1239, and 1255 of this title, and enacting provisions set out as notes under sections 453, 691, and 1038 of this title) may be cited as the 'Installment Sales Revision Act of 1980'.' Pub. L. 96-283, title IV, Sec. 401, June 28, 1980, 94 Stat. 582, provided that: 'This title (enacting sections 4495 to 4498 of this title and sections 1472, 1473 of Title 30, Mineral Lands and Mining, and enacting provision set out as a note under section 4495 of this title) may be cited as the 'Deep Seabed Hard Mineral Removal Tax Act of 1979'.' Pub. L. 96-223, Sec. 1(a) Apr. 2, 1980, 94 Stat. 229, provided that: 'This Act (see Tables for classification) may be cited as the 'Crude Oil Windfall Profit Tax Act of 1980'.' Pub. L. 96-222, Sec. 1(a), Apr. 1, 1980, 94 Stat. 194, provided that: 'This Act (see Tables for classification) may be cited as the 'Technical Corrections Act of 1979'.' SHORT TITLE OF 1979 AMENDMENT Pub. L. 96-39, title VIII, Sec. 801(a), July 26, 1979, 93 Stat. 273, provided that: 'This subtitle (subtitle A (Sec. 801-810) of title VIII of Pub. L. 96-39, amending sections 5001, 5002 to 5008, 5043, 5061, 5064, 5066, 5116, 5171 to 5173, 5175 to 5178, 5180, 5181, 5201 to 5205, 5207, 5211 to 5215, 5221 to 5223, 5231, 5232, 5235, 5241, 5273, 5291, 5301, 5352, 5361 to 5363, 5365, 5381, 5391, 5551, 5601, 5604, 5610, 5612, 5615, 5663, 5681, 5682, and 5691 of this title, repealing sections 5009, 5021 to 5026, 5081 to 5084, 5174, 5233, 5234, 5251, 5252, 5364, and 5521 to 5523 of this title, and enacting provisions set out as notes under sections 5001, 5061, 5171, and 5173 of this title) may be cited as the 'Distilled Spirits Tax Revision Act of 1979'.' SHORT TITLE OF 1978 AMENDMENTS Section 1(a) of Pub. L. 95-618, Nov. 9, 1978, 92 Stat. 3174, provided that: 'This Act (enacting sections 44C, 124, and 4064 of this title, amending sections 39, 46 to 48, 56, 57, 167, 263, 465, 613, 613A, 614, 751, 1016, 1254, 4041, 4063, 4081, 4092, 4093, 4217, 4221, 4222, 4293, 4483, 6096, 6401, 6412, 6416, 6421, 6424, 6427, 6504, and 6675 of this title, redesignating section 124 of this title as section 125, enacting provisions set out as notes under sections 39, 44C, 48, 124, 167, 263, 613, 613A, 4041, 4063, 4064, 4081, 4093, and 4221 of this title, and amending provisions set out as notes under section 57 of this title and section 120 of Title 23, Highways) may be cited as the 'Energy Tax Act of 1978'.' Pub. L. 95-615, Sec. 1, Nov. 8, 1978, 92 Stat. 3097, provided that: 'This Act (probably meaning sections 1 to 8 of Pub. L. 95-615, amending section 167 of this title, enacting provisions set out as notes under sections 61, 62, and 911 of this title, and amending provisions set out as notes under sections 117, 167, 382, 401, and 911 of this title) may be cited as the 'Tax Treatment Extension Act of 1977'.' Pub. L. 95-615, Sec. 201(a), Nov. 8, 1978, 92 Stat. 3098, provided that: 'This Act (probably meaning sections 201 to 210 of Pub. L. 95-615, enacting section 913 of this title, amending sections 43, 62, 119, 217, 911, 1034, 1302, 1304, 1402, 3401, 6011, 6012, and 6091 of this title, and enacting provisions set out as notes under sections 61, 401, and 911 of this title) may be cited as the 'Foreign Earned Income Act of 1978'.' Section 1(a) of Pub. L. 95-600 provided that: 'This Act (see Tables for classification) may be cited as the 'Revenue Act of 1978'.' Pub. L. 95-502, title II, Sec. 201, Oct. 21, 1978, 92 Stat. 1696, provided that: 'This title (enacting section 4042 of this title and sections 1801 to 1804 of Title 33, Navigation and Navigable Waters, amending section 4293 of this title, and enacting provisions set out as notes under section 4042 of this title) may be cited as the 'Inland Waterways Revenue Act of 1978'.' Pub. L. 95-227, Sec. 1, Feb. 10, 1978, 92 Stat. 11, provided that: 'This Act (enacting sections 192, 4121, and 4951 to 4953 of this title and section 934a of Title 30, Mineral Lands and Mining, amended sections 501, 4218, 4221, 4293, 4946, 6104, 6213, 6405, 6416, 6501, 6503, and 7454 of this title and section 934 of Title 30 and enacted provisions set out as notes under sections 192 and 4121 of this title and section 934 of Title 30) may be cited as the 'Black Lung Benefits Revenue Act of 1977'.' SHORT TITLE OF 1977 AMENDMENTS Section 1(a) of Pub. L. 95-30 provided that: 'This Act (see Tables for classification) may be cited as the 'Tax Reduction and Simplification Act of 1977'.' Pub. L. 95-19, Sec. 1, Apr. 12, 1977, 91 Stat. 39, provided that: 'This Act (amending section 3304 of this title, enacting provisions set out as notes under sections 3302, 3304, and 3309 of this title, and amending provisions set out as notes under sections 3302, 3304, and 3309 of this title and sections 359 and 360 of Title 2, The Congress) may be cited as the 'Emergency Unemployment Compensation Extension Act of 1977'.' SHORT TITLE OF 1976 AMENDMENTS Pub. L. 94-455, title I, Sec. 101, Oct. 4, 1976, 90 Stat. 1525, provided that: 'This Act (see Tables for classification) may be cited as the 'Tax Reform Act of 1976'.' Section 1 of Pub. L. 94-452 provided that: 'This Act (enacting section 6158 of this title, amending sections 311, 1101, 1102, 1103, 6151, 6503, and 6601 of this title, and enacting provisions set out as notes under sections 311, 1101, and 6158 of this title) may be cited as the 'Bank Holding Company Tax Act of 1976'.' SHORT TITLE OF 1975 AMENDMENTS Pub. L. 94-164, Sec. 1, Dec. 23, 1975, 89 Stat. 970, provided that: 'This Act (amending sections 11, 21, 42, 43, 103, 141, 883, 962, 1561, 3402, 6012, 6153, and 6154 of this title and provisions set out as notes under sections 42, 43, and 3402 of this title, and enacting provisions set out as notes under this section and sections 3, 11, 43, 103, and 883 of this title) may be cited as the 'Revenue Adjustment Act of 1975'.' Pub. L. 94-12, Sec. 1(a), Mar. 29, 1975, 89 Stat. 26, provided that: 'This Act (enacting sections, 42, 43, 44, 613A, 907, 955, and 6428 of this title, amending sections 3, 11, 12, 21, 46, 47, 48, 50A, 50B, 56, 141, 214, 535, 613, 703, 851, 901, 902, 951, 954, 962, 993, 1034, 1561, 3304 note, 3402, 6012, 6096, 6201, and 6401 of this title, repealing sections 955 and 963 of this title, and enacting provisions set out as notes under sections 3, 11, 43, 44, 46, 48, 50A, 214, 410, 535, 613A, 907, 955, 993, 3304, 3402, 6428, and 6611 of this title and section 402 of Title 42, The Public Health and Welfare) may be cited as the 'Tax Reduction Act of 1975'.' SHORT TITLE OF 1973 AMENDMENTS Pub. L. 93-69, title I, Sec. 110, July 10, 1973, 87 Stat. 166, provided that: 'This title (amending sections 3201, 3202, 3211, and 3221 of this title and sections 228b, 228c, and 228e of Title 45, Railroads, enacting provisions set out as notes under section 3201 of this title and sections 228b, 228c, 228f, and 228o of Title 45, and amending provisions set out as notes under section 228c of Title 45) may be cited as the 'Railroad Retirement Amendments of 1973'.' For short title of Pub. L. 93-17 as the 'Interest Equalization Tax Extension Act of 1973', see section 1(a) of Pub. L. 93-17, set out as a note under section 2104 of this title. SHORT TITLE OF 1972 AMENDMENT Pub. L. 92-512, title II, Sec. 201, Oct. 20, 1972, 86 Stat. 936, provided that: 'this title (enacting sections 6361 to 6363 of this title, amending sections 6405 and 7463 of this title, and enacting provisions set out as a note under section 7463 of this title) may be cited as the 'Federal-State Tax Collection Act of 1972'.' SHORT TITLE OF 1971 AMENDMENTS Pub. L. 92-178, Sec. 1(a), Dec. 10, 1971, 85 Stat. 497, provided that: 'This Act (see Tables for classification) may be cited as the 'Revenue Act of 1971'.' For short title of Pub. L. 92-9 as the 'Interest Equalization Tax Extension Act of 1971', see section 1(a) of Pub. L. 92-9, set out as a note under section 861 of this title. SHORT TITLE OF 1970 AMENDMENT For short title of Pub. L. 91-614 as the 'Excise, Estate, and Gift Tax Adjustment Act of 1970', see section 1 of Pub. L. 91-614, set out as a Short Title note under section 2001 of this title. SHORT TITLE OF 1969 AMENDMENTS Pub. L. 91-172, Sec. 1(a), Dec. 30, 1969, 83 Stat. 487, provided that: 'This Act (see Tables for classification) may be cited as the 'Tax Reform Act of 1969'.' For short title of Pub. L. 91-128 as the 'Interest Equalization Tax Extension Act of 1969', see section 1(a) of Pub. L. 91-128, set out as a note under section 4182 of this title. SHORT TITLE OF 1968 AMENDMENT Pub. L. 90-364, Sec. 1(a), June 28, 1968, 82 Stat. 251, provided that: 'This Act (enacting sections 51 and 6425 of this title, amending sections 103, 243, 276, 501, 963, 3402, 4061, 4251, 6020, 6154, 6412, 6651, 6655, 7203, 7502, and 7701 of this title and sections 603, 607, and 1396b of Title 42, The Public Health and Welfare, repealing sections 6016, 6074, and 4251 to 4254 of this title, enacting provisions set out as notes under sections 51, 103, 276, 501, 4061, 6154, and 7502 of this title, section 3101 of Title 5, Government Organization and Employees, sections 11 and 757b of former Title 31, Money and Finance, and section 1396b of Title 42, and amending notes under section 1396b of Title 42,) may be cited as the 'Revenue and Expenditure Control Act of 1968'.' SHORT TITLE OF 1967 AMENDMENT For short title of Pub. L. 90-59 as the 'Interest Equalization Tax Extension Act of 1967', see section 1(a) of Pub. L. 90-59, set out as a note under section 6011 of this title. SHORT TITLE OF 1966 AMENDMENTS For short title of title I of Pub. L. 89-809 as the 'Foreign Investors Tax Act of 1966', see section 101 of Pub. L. 89-809, set out as a note under section 861 of this title. For short title of title III of Pub. L. 89-809 as the 'Presidential Election Campaign Fund Act of 1966', see section 301 of Pub. L. 89-809, set out as a Short Title note under section 6096 of this title. For short title of Pub. L. 89-719 as the 'Federal Tax Lien Act of 1966', see section 1(a) of Pub. L. 89-719, set out as a Short Title note under section 6321 of this title. SHORT TITLE OF 1965 AMENDMENT Pub. L. 89-44, Sec. 1(a), June 21, 1965, 79 Stat. 136, provided that: 'This Act (see Tables for classification) may be cited as the 'Excise Tax Reduction Act of 1965'.' SHORT TITLE OF 1964 AMENDMENTS Section 1 of Pub. L. 88-348 provided: 'That this Act (amending sections 165, 4061, 4251, 4261, 5001, 5022, 5041, 5051, 5063, 5701, 5707, and 6412 of this title, and provisions set out as notes under sections 165, 4261, and 5701 of this title) may be cited as the 'Excise-Tax Rate Extension Act of 1964'.' Pub. L. 88-272, Sec. 2(a), Feb. 26, 1964, 78 Stat 19, provided that: 'This Act (see Tables for classification) may be cited as the 'Revenue Act of 1964'.' SHORT TITLE OF 1963 AMENDMENT Pub. L. 88-52, Sec. 1, June 29, 1963, 77 Stat. 72, provided: 'That this Act (amending sections 11, 821, 4061, 4251, 4261, 5001, 5022, 5041, 5051, 5063, 5701, 5707, 6412 of this title and provisions set out as notes under sections 4261 and 5701 of this title) may be cited as the 'Tax Rate Extension Act of 1963'.' SHORT TITLE OF 1962 AMENDMENTS Pub. L. 87-834, Sec. 1(a), Oct. 16, 1962, 76 Stat. 960, provided that: 'This Act (see Tables for classification) may be cited as the 'Revenue Act of 1962'.' For short title of Pub. L. 87-792 as the 'Self-Employed Individuals Tax Retirement Act of 1962', see section 1 of Pub. L. 87-792, set out as a note under section 401 of this title. Pub. L. 87-508, Sec. 1, June 28, 1962, 76 Stat. 114, provided: 'That this Act (amending sections 11, 821, 4061, 4251 to 4253, 4261 to 4264, 5001, 5002, 5041, 5051, 5063, 5701, 6707, 6412, 6416, and 6421 of this title, enacting provisions set out as notes under section 4261, 6416, and 6421 of this title, and amending provisions set out as a note under section 5701 of this title) may be cited as the 'Tax Rate Extension Act of 1962'.' SHORT TITLE OF 1961 AMENDMENT Pub. L. 87-72, Sec. 1, June 30, 1961, 75 Stat. 193, provided: 'That this Act (amending sections 11, 821, 4061, 4251, 4261, 5001, 5022, 5041, 5051, 5063, 5701, 5707, and 6412 of this title and provisions set out as a note under section 5701 of this title) may be cited as the 'Tax Rate Extension Act of 1961'.' SHORT TITLE OF 1959 AMENDMENTS Pub. L. 86-75, Sec. 1, June 30, 1959, 73 Stat. 157, provided: 'That this Act (amending sections 11, 821, 4061, 4251, 4261, 5001, 5022, 5041, 5051, 5063, 5701, 5707 and 6412 of this title and provisions set out as a note under section 5701 of this title) may be cited as the 'Tax Rate Extension Act of 1959'.' Section 1 of Pub. L. 86-69 provided that: 'This Act (amending former part I of subchapter L of this chapter and sections 116, 381, 841, 842, 891, 1016, 1201, 1232, 1504, 4371, and 6501 of this title and enacting provisions set out as notes under sections 801, 6072, and 6655 of this title) may be cited as the 'Life Insurance Company Income Tax Act of 1959'.' SHORT TITLE OF 1958 AMENDMENTS Pub. L. 85-866, Sec. 1(a), Sept. 2, 1958, 72 Stat. 1606, provided that: 'This title (see Tables for classification) may be cited as the 'Technical Amendments Act of 1958'.' Pub. L. 85-866, Sec. 201, Sept. 2, 1958, 72 Stat. 1676, provided that: 'This title (amending sections 165, 172, 179, 535, 1244, 1551, 6161, 6166, 6503, and 6601 of this title and enacting provisions set out as notes under sections 172, 179, 535, 6161 of this title) may be cited as the 'Small Business Tax Revision Act of 1958'.' For short title of Pub. L. 85-859 as the 'Excise Tax Technical Changes Act of 1958', see section 1(a) of Pub. L. 85-859, set out as a Short Title note under section 5001 of this title. Pub. L. 85-475, Sec. 1, June 30, 1958, 72 Stat. 259, provided: 'That this Act (amending sections 11, 821, 4061, 4292, 5001, 5022, 5041, 5051, 5063, 5134, 5701, 5707, 6412, 6415, 6416, 7012, and 7272 of this title and repealing sections 4271 to 4273 and 4281 to 4283 of this title) may be cited as the 'Tax Rate Extension Act of 1958'.' SHORT TITLE OF 1957 AMENDMENT Section 1 of Pub. L. 85-12 provided: 'That this Act (amending sections 11, 821, 4061, 5001, 5022, 5041, 5051, 5063, 5134, 5701, 5707, and 6412 of this title) may be cited as the 'Tax Rate Extension Act of 1957'.' SHORT TITLE OF 1956 AMENDMENTS For short title of title II of act June 29, 1956 as the 'Highway Revenue Act of 1956', see section 201(a) of act June 29, 1956, set out as a note under section 4041 of this title. For short title of act Mar. 29, 1956 as the 'Tax Rate Extension Act of 1956', see section 1 of act Mar. 29, 1956, set out as a note under section 4041 of this title. For short title of act Mar. 13, 1956 as the 'Life Insurance Company Tax Act for 1955', see section 1 of act Mar. 13, 1956, set out as a Short Title note under section 821 of this title. Section 1 of act Mar. 13, 1956, provided: 'That this Act (enacting section 843 of this title and amending sections 316, 501, 594, 801 to 805, 811 to 813, 816 to 818, 821, 822, 832, 841, 842, 891, 1201, 1504, and 4371 of this title) be cited as the 'Life Insurance Company Tax Act for 1955'.' SHORT TITLE OF 1955 AMENDMENT For short title of act Mar. 30, 1955 as the 'Tax Rate Extension Act of 1955', see section 1 of act Mar. 30, 1955, set out as a note under section 4041 of this title. COORDINATION OF SUBTITLE G OF TITLE XI OF PUB. L. 101-508 WITH OTHER SUBTITLES OF TITLE XI Section 11700 of Pub. L. 101-508 provided that: 'For purposes of applying the amendments made by any subtitle (subtitles A to F (Sec. 11101-11622) and H and I (Sec. 11801-11901) of title XI of Pub. L. 101-508, see Tables for classification) of this title other than this subtitle (subtitle G (Sec. 11700-11704) of title XI of Pub. L. 101-508, see Tables for classification), the provisions of this subtitle shall be treated as having been enacted immediately before the provisions of such other subtitles.' COORDINATION OF SUBTITLE H OF TITLE VII OF PUB. L. 101-239 WITH OTHER SUBTITLES OF TITLE VII Section 7801(b) of Pub. L. 101-239 provided that: 'For purposes of applying the amendments made by any subtitle (subtitles A to G (Sec. 7101-7743) of title VII of Pub. L. 101-239, see Tables for classification) of this title other than this subtitle (subtitle H (Sec. 7801-7894) of title VII of Pub. L. 101-239, see Tables for classification), the provisions of this subtitle shall be treated as having been enacted immediately before the provisions of such other subtitles.' TRANSITIONAL RULE FOR MAXIMUM CAPITAL GAINS RATE Section 302(c) of Pub. L. 99-514 which related to long-term capital gain on rights to royalties paid under particular leases and assignments, was repealed by Pub. L. 100-647, title I, Sec. 1003(b)(1), Nov. 10, 1988, 102 Stat. 3382. COORDINATION OF TITLE XVIII OF PUB. L. 99-514 WITH OTHER TITLES OF PUB. L. 99-514 Section 1800 of title XVIII of Pub. L. 99-514 provided that: 'For purposes of applying the amendments made by any title of this Act other than this title, the provisions of this title (see Tables for classification) shall be treated as having been enacted immediately before the provisions of such other titles.' COORDINATION WITH OTHER PROVISIONS Pub. L. 99-509, title VIII, Sec. 8081, Oct. 21, 1986, 100 Stat. 1965, provided that: 'Nothing in any provision of this Act (see Tables for classifications) (other than this title) shall be construed as - '(1) imposing any tax (or exempting any person or property from any tax), '(2) establishing any trust fund, or '(3) authorizing amounts to be expended from any trust fund.' (S.Con.Res. 174, agreed to Oct. 18, 1986, provided: 'That, in the enrollment of the bill (H.R. 5300) to provide for reconciliation pursuant to section 2 of the concurrent resolution on the budget for fiscal year 1987, the Clerk of the House of Representatives shall insert at the end of section 8081 of the bill the following: Paragraph (3) shall not apply to any authorization made by title IX of this Act.' As a result of clerical error, the sentence was inserted at the end of section 8101 of the bill, and appears at the end of section 8101 of Pub. L. 99-509, 100 Stat. 1967.) Pub. L. 99-499, title V, Sec. 531, Oct. 17, 1986, 100 Stat. 1782, provided that: 'Notwithstanding any provision of this Act (see Tables for classifications) not contained in this title (see Short Title of 1986 Amendment note above), any provision of this Act (not contained in this title) which - '(1) imposes any tax, premium, or fee, '(2) establishes any trust fund, or '(3) authorizes amounts to be expended from any trust fund, shall have no force or effect.' ELIMINATION OF 50-CENT ROUNDING ERRORS Section 101(a)(3) of Pub. L. 97-448, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'If any figure in any table - '(A) which is set forth in section 1 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as amended by section 101 of the Economic Recovery Tax Act of 1981 (Pub. L. 97-34, title I, Sec. 101, Aug. 13, 1981, 95 Stat. 176), and '(B) which applies to married individuals filing separately or to estates and trusts, differs by not more than 50 cents from the correct amount under the formula used in constructing such table, such figure is hereby corrected to the correct amount.' (See 1982 Amendment note above.) POLICY WITH RESPECT TO ADDITIONAL TAX REDUCTIONS Section 3 of Pub. L. 95-600 provided that: 'As a matter of national policy the rate of growth in Federal outlays, adjusted for inflation, should not exceed 1 percent per year between fiscal year 1979 and fiscal year 1983; Federal outlays as a percentage of gross national product should decline to below 21 percent in fiscal year 1980, 20.5 percent in fiscal year 1981, 20 percent in fiscal year 1982 and 19.5 percent in fiscal year 1983; and the Federal budget should be balanced in fiscal years 1982 and 1983. If these conditions are met, it is the intention that the tax-writing committees of Congress will report legislation providing significant tax reductions for individuals to the extent that these tax reductions are justified in the light of prevailing and expected economic conditions.' EFFECTIVE DATE OF CERTAIN DEFINITIONS AND DESIGNATIONS Pub. L. 94-455, title XIX, Sec. 1908, Oct. 4, 1976, 90 Stat. 1836, provided that: 'For purposes of any amendment made by any provision of this Act (see Tables for classification) (other than this title) - '(1) which contains a term the meaning of which is defined in or modified by any provision of this title, and '(2) which has an effective date earlier than the effective date of the provision of this title defining or modifying such term, that definition or modification shall be considered to take effect as of such earlier effective date.' CONGRESSIONAL DECLARATION RELATING TO 1975 AMENDMENT Pub. L. 94-164, Sec. 1A, Dec. 23, 1975, 89 Stat. 970, provided that: '(a) Congress is determined to continue the tax reduction for the first 6 months of 1976 in order to assure continued economic recovery. '(b) Congress is also determined to continue to control spending levels in order to reduce the national deficit. '(c) Congress reaffirms its commitments to the procedures established by the Congressional Budget and Impoundment Control Act of 1974 (see Tables for classification of Pub. L. 93-344, July 12, 1974, 88 Stat. 297) under which it has already established a binding spending ceiling for the fiscal year 1976. '(d) If the Congress adopts a continuation of the tax reduction provided by this Act (see Short Title of 1975 Amendment note above) beyond June 30, 1976, and if economic conditions warrant doing so, Congress shall provide, through the procedures in the Budget Act (Pub. L. 93-344), for reductions in the level of spending in the fiscal year 1977 below what would otherwise occur, equal to any additional reduction in taxes (from the 1974 tax rate levels) provided for the fiscal year 1977: Provided, however, That nothing shall preclude the right of the Congress to pass a budget resolution containing a higher or lower expenditure figure if the Congress concludes that this is warranted by economic conditions or unforeseen circumstances.' CONGRESSIONAL DECLARATION RELATING TO 1964 AMENDMENT Pub. L. 88-272, Sec. 1, Feb. 26, 1964, 78 Stat. 19, provided that: 'It is the sense of Congress that the tax reduction provided by this Act (see Short Title of 1964 Amendment note above) through stimulation of the economy, will, after a brief transitional period, raise (rather than lower) revenues and that such revenue increases should first be used to eliminate the deficits in the administrative budgets and then to reduce the public debt. To further the objective of obtaining balanced budgets in the near future, Congress by this action, recognizes the importance of taking all reasonable means to restrain Government spending and urges the President to declare his accord with this objective.' -CROSS- CROSS REFERENCES Deductions for individuals, Additional itemized allowable, see section 211 et seq. of this title. Itemized deductions, see section 161 et seq. of this title. Personal exemptions, see section 151 et seq. of this title. Dependent defined, see section 152 of this title. Effect of change of rate of tax, see section 15 of this title. Imposition of net income taxes by State on income derived from interstate commerce, see section 381 et seq. of Title 15, Commerce and Trade. Income exempt under treaty, see section 894 of this title. Income tax collected at source, see section 3402 of this title. Nonresident aliens, see section 871 et seq. of this title. Partners subject to income tax in individual capacities, see section 701 of this title. Rate of tax under Federal Insurance Contributions Act, see section 3101 of this title. Treaty obligations observed, see section 7852 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 2, 3, 15, 32, 41, 42, 59, 63, 68, 135, 402, 453A, 460, 468B, 511, 513, 641, 691, 871, 876, 877, 891, 904, 962, 1291, 1398, 1446, 6014, 6103, 6652, 6655, 6867, 7518, 7519 of this title; title 46 App. section 1177. ------DocID 33521 Document 36 of 2652------ -CITE- 26 USC Sec. 2 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- Sec. 2. Definitions and special rules -STATUTE- (a) Definition of surviving spouse (1) In general For purposes of section 1, the term 'surviving spouse' means a taxpayer - (A) whose spouse died during either of his two taxable years immediately preceding the taxable year, and (B) who maintains as his home a household which constitutes for the taxable year the principal place of abode (as a member of such household) of a dependent (i) who (within the meaning of section 152) is a son, stepson, daughter, or stepdaughter of the taxpayer, and (ii) with respect to whom the taxpayer is entitled to a deduction for the taxable year under section 151. For purposes of this paragraph, an individual shall be considered as maintaining a household only if over half of the cost of maintaining the household during the taxable year is furnished by such individual. (2) Limitations Notwithstanding paragraph (1), for purposes of section 1 a taxpayer shall not be considered to be a surviving spouse - (A) if the taxpayer has remarried at any time before the close of the taxable year, or (B) unless, for the taxpayer's taxable year during which his spouse died, a joint return could have been made under the provisions of section 6013 (without regard to subsection (a)(3) thereof). (3) Special rule where deceased spouse was in missing status If an individual was in a missing status (within the meaning of section 6013(f)(3)) as a result of service in a combat zone (as determined for purposes of section 112) and if such individual remains in such status until the date referred to in subparagraph (A) or (B), then, for purposes of paragraph (1)(A), the date on which such individual died shall be treated as the earlier of the date determined under subparagraph (A) or the date determined under subparagraph (B): (A) the date on which the determination is made under section 556 of title 37 of the United States Code or under section 5566 of title 5 of such Code (whichever is applicable) that such individual died while in such missing status, or (B) except in the case of the combat zone designated for purposes of the Vietnam conflict, the date which is 2 years after the date designated under section 112 as the date of termination of combatant activities in that zone. (b) Definition of head of household (1) In general For purposes of this subtitle, an individual shall be considered a head of a household if, and only if, such individual is not married at the close of his taxable year, is not a surviving spouse (as defined in subsection (a)), and either - (A) maintains as his home a household which constitutes for more than one-half of such taxable year the principal place of abode, as a member of such household, of - (i) a son, stepson, daughter, or stepdaughter of the taxpayer, or a descendant of a son or daughter of the taxpayer, but if such son, stepson, daughter, stepdaughter, or descendant is married at the close of the taxpayer's taxable year, only if the taxpayer is entitled to a deduction for the taxable year for such person under section 151 (or would be so entitled but for paragraph (2) or (4) of section 152(e)), or (ii) any other person who is a dependent of the taxpayer, if the taxpayer is entitled to a deduction for the taxable year for such person under section 151, or (B) maintains a household which constitutes for such taxable year the principal place of abode of the father or mother of the taxpayer, if the taxpayer is entitled to a deduction for the taxable year for such father or mother under section 151. For purposes of this paragraph, an individual shall be considered as maintaining a household only if over half of the cost of maintaining the household during the taxable year is furnished by such individual. (2) Determination of status For purposes of this subsection - (A) a legally adopted child of a person shall be considered a child of such person by blood; (B) an individual who is legally separated from his spouse under a decree of divorce or of separate maintenance shall not be considered as married; (C) a taxpayer shall be considered as not married at the close of his taxable year if at any time during the taxable year his spouse is a nonresident alien; and (D) a taxpayer shall be considered as married at the close of his taxable year if his spouse (other than a spouse described in subparagraph (C)) died during the taxable year. (3) Limitations Notwithstanding paragraph (1), for purposes of this subtitle a taxpayer shall not be considered to be a head of a household - (A) if at any time during the taxable year he is a nonresident alien; or (B) by reason of an individual who would not be a dependent for the taxable year but for - (i) paragraph (9) of section 152(a), or (ii) subsection (c) of section 152. (c) Certain married individuals living apart For purposes of this part, an individual shall be treated as not married at the close of the taxable year if such individual is so treated under the provisions of section 7703(b). (d) Nonresident aliens In the case of a nonresident alien individual, the taxes imposed by sections 1 and 55 shall apply only as provided by section 871 or 877. (e) Cross reference For definition of taxable income, see section 63. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 8; Feb. 26, 1964, Pub. L. 88-272, title I, Sec. 112(b), 78 Stat. 24; Dec. 30, 1969, Pub. L. 91-172, title VIII, Sec. 803(b), 83 Stat. 682; Jan. 2, 1975, Pub. L. 93-597, Sec. 3(b), 88 Stat. 1951; Oct. 4, 1976, Pub. L. 94-455, title XIX, Sec. 1901(a)(1), (b)(9), 90 Stat. 1764, 1795; Oct. 20, 1976, Pub. L. 94-569, Sec. 3(a), 90 Stat. 2699; Jan. 12, 1983, Pub. L. 97-448, title III, Sec. 307(a), 96 Stat. 2407; July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 423(c)(2), 98 Stat. 801; Oct. 22, 1986, Pub. L. 99-514, title XIII, Sec. 1301(j)(10), title XVII, Sec. 1708(a)(1), 100 Stat. 2658, 2782; Nov. 10, 1988, Pub. L. 100-647, title I, Sec. 1007(g)(13)(A), 102 Stat. 3436.) -MISC1- AMENDMENTS 1988 - Subsec. (d). Pub. L. 100-647 substituted 'the taxes imposed by sections 1 and 55' for 'the tax imposed by section 1'. 1986 - Subsec. (a)(3)(B). Pub. L. 99-514, Sec. 1708(a)(1), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'the date which is - '(i) December 31, 1982, in the case of service in the combat zone designated for purposes of the Vietnam conflict, or '(ii) 2 years after the date designated under section 112 as the date of termination of combatant activities in that zone, in the case of any combat zone other than that referred to in clause (i).' Subsec. (c). Pub. L. 99-514, Sec. 1301(j)(10), substituted 'section 7703(b)' for 'section 143(b)'. 1984 - Subsec. (b)(1)(A). Pub. L. 98-369, Sec. 423(c)(2)(A), substituted 'which constitutes for more than one-half of such taxable year' for 'which constitutes for such taxable year'. Subsec. (b)(1)(A)(i). Pub. L. 98-369, Sec. 423(c)(2)(B), inserted '(or would be so entitled but for paragraph (2) or (4) of section 152(e))'. 1983 - Subsec. (a)(3)(B)(i). Pub. L. 97-448 substituted 'December 31, 1982' for 'January 2, 1978'. 1976 - Subsec. (a)(3)(B). Pub. L. 94-569 substituted 'the date which is' for 'the date which is 2 years after' in provisions preceding cl. (i), substituted 'January 2, 1978' for 'the date of the enactment of this paragraph' in cl. (i), and substituted '2 years after the date' for 'the date' in cl. (ii). Subsec. (b)(3)(B)(ii). Pub. L. 94-455, Sec. 1901(b)(9), redesignated cl. (iii) as (ii) and struck out former cl. (ii) which provided that an individual who was a dependent solely by reason of par. (10) of section 152(a) would not be considered as a head of a household. Subsec. (c). Pub. L. 94-455, Sec. 1901(a)(1), substituted 'shall be treated as not married at the close of the taxable year' for 'shall not be considered as married'. 1975 - Subsec. (a)(3). Pub. L. 93-597 added par. (3). 1969 - Subsec. (a). Pub. L. 91-172 redesignated subsec. (b) as (a). See sec. 1(a) of this title. Subsec. (b). Pub. L. 91-172 redesignated provisions of former section 1(b)(2) to (4) of this title as subsec. (b). Former subsec. (b) redesignated (a), with minor changes. Subsec. (c). Pub. L. 91-172 added subsec. (c). Subsec. (d). Pub. L. 91-172 redesignated as subsec. (d) provisions of former section 1(d) with minor changes. Subsec. (e). Pub. L. 91-172 redesignated as subsec. (e) provisions of former section 1(e). 1964 - Subsec. (a). Pub. L. 88-272 inserted reference to section 141. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 1301(j)(10) of Pub. L. 99-514 applicable to bonds issued after Aug. 15, 1986, except as otherwise provided, see setions 1311 to 1318 of Pub. L. 99-514, set out as an Effective Date; Transitional Rules note under section 141 of this title. Section 1708(b) of Pub. L. 99-514 provided that: 'The amendments made by this section (amending this section and sections 692, 6013, and 7508 of this title) shall apply to taxable years beginning after December 31, 1982.' EFFECTIVE DATE OF 1984 AMENDMENT Section 423(d) of Pub. L. 98-369 provided that: 'The amendments made by this section (amending this section and sections 43, 44A, 105, 143, 152, and 213 of this title) shall apply to taxable years beginning after December 31, 1984.' EFFECTIVE DATE OF 1976 AMENDMENT Section 1901(d) of Pub. L. 94-455 provided that: 'Except as otherwise expressly provided in this section, the amendments made by this section (see Tables for classification) shall apply with respect to taxable years beginning after December 31, 1976. The amendments made by subsections (a)(29) and (b)(10) shall apply with respect to taxable years ending after the date of the enactment of this Act (Oct. 4, 1976).' EFFECTIVE DATE OF 1975 AMENDMENT Amendment by Pub. L. 93-597 applicable to taxable years ending on or after Feb. 28, 1961, see section 3(c) of Pub. L. 93-597, set out as a note under section 6013 of this title. EFFECTIVE DATE OF 1969 AMENDMENT Amendment by Pub. L. 91-172 applicable to taxable years beginning after Dec. 31, 1970, except that subsec. (c) is applicable to taxable years beginning after Dec. 31, 1969, see section 803(f) of Pub. L. 91-172, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88-272, except for purposes of section 21 of this title, effective with respect to taxable years beginning after Dec. 31, 1963, see section 131 of Pub. L. 88-272, set out as a note under section 1 of this title. -CROSS- CROSS REFERENCES Joint returns of income tax by husband and wife, see section 6013 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 1, 32, 55, 63, 151, 3402, 6012, 6013 of this title; title 20 sections 1070a-1, 1070a-3, 1070a-4, 1070a-6, 1087nn, 1087oo, 1087qq; title 38 section 503. ------DocID 33522 Document 37 of 2652------ -CITE- 26 USC Sec. 3 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- Sec. 3. Tax tables for individuals -STATUTE- (a) Imposition of tax table tax (1) In general In lieu of the tax imposed by section 1, there is hereby imposed for each taxable year on the taxable income of every individual - (A) who does not itemize his deductions for the taxable year, and (B) whose taxable income for such taxable year does not exceed the ceiling amount, a tax determined under tables, applicable to such taxable year, which shall be prescribed by the Secretary and which shall be in such form as he determines appropriate. In the table so prescribed, the amounts of the tax shall be computed on the basis of the rates prescribed by section 1. (2) Ceiling amount defined For purposes of paragraph (1), the term 'ceiling amount' means, with respect to any taxpayer, the amount (not less than $20,000) determined by the Secretary for the tax rate category in which such taxpayer falls. (3) Authority to prescribe tables for taxpayers who itemize deductions The Secretary may provide that this section shall apply also for any taxable year to individuals who itemize their deductions. Any tables prescribed under the preceding sentence shall be on the basis of taxable income. (b) Section inapplicable to certain individuals This section shall not apply to - (1) an individual making a return under section 443(a)(1) for a period of less than 12 months on account of a change in annual accounting period, and (2) an estate or trust. (c) Tax treated as imposed by section 1 For purposes of this title, the tax imposed by this section shall be treated as tax imposed by section 1. (d) Taxable income Whenever it is necessary to determine the taxable income of an individual to whom this section applies, the taxable income shall be determined under section 63. (e) Cross reference For computation of tax by Secretary, see section 6014. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 8; Feb. 26, 1964, Pub. L. 88-272, title III, Sec. 301(a), 78 Stat. 129; Dec. 30, 1969, Pub. L. 91-172, title VIII, Sec. 803(c), 83 Stat. 684; Mar. 29, 1975, Pub. L. 94-12, title II, Sec. 201(c), 89 Stat. 29; Oct. 4, 1976, Pub. L. 94-455, title V, Sec. 501(a), 90 Stat. 1558; May 23, 1977, Pub. L. 95-30, title I, Sec. 101(b), 91 Stat. 131; Nov. 6, 1978, Pub. L. 95-600, title IV, Sec. 401(b)(1), 92 Stat. 2867; Pub. L. 95-600, title II, Sec. 202(g), as added Pub. L. 96-222, title I, Sec. 108(a)(1)(A), Apr. 1, 1980, 94 Stat. 223; Apr. 1, 1980, Pub. L. 96-222, title I, Sec. 108(a)(1)(E), 94 Stat. 225; Aug. 13, 1981, Pub. L. 97-34, title I, Sec. 101(b)(2)(B), (C), (c)(2)(A), 121(c)(3), 95 Stat. 183, 197; Oct. 22, 1986, Pub. L. 99-514, title I, Sec. 102(b), 141(b)(1), 100 Stat. 2102, 2117.) -MISC1- AMENDMENTS 1986 - Subsec. (a). Pub. L. 99-514, Sec. 102(b), substituted subsec. (a) for former subsec. (a) which read as follows: '(1) In general. - In lieu of the tax imposed by section 1, there is hereby imposed for each taxable year on the tax table income of every individual whose tax table income for such year does not exceed the ceiling amount, a tax determined under tables, applicable to such taxable year, which shall be prescribed by the Secretary and which shall be in such form as he determines appropriate. In the tables so prescribed, the amounts of tax shall be computed on the basis of the rates prescribed by section 1. '(2) Ceiling amount defined. - For purposes of paragraph (1), the term 'ceiling amount' means, with respect to any taxpayer, the amount (not less than $20,000) determined by the Secretary for the tax rate category in which such taxpayer falls. '(3) Certain taxpayers with large number of exemptions. - The Secretary may exclude from the application of this section taxpayers in any tax rate category having more than the number of exemptions for that category determined by the Secretary. '(4) Tax table income defined. - For purposes of this section, the term 'tax table income' means adjusted gross income - '(A) reduced by the sum of - '(i) the excess itemized deductions, and '(ii) the direct charitable deduction, and '(B) increased (in the case of an individual to whom section 63(e) applies) by the unused zero bracket amount. '(5) Section may be applied on the basis of taxable income. - The Secretary may provide that this section shall be applied for any taxable year on the basis of taxable income in lieu of tax table income.' Subsec. (b). Pub. L. 99-514, Sec. 141(b)(1), struck out par. (1) which read: 'an individual to whom section 1301 (relating to income averaging) applies for the taxable year,' and redesignated pars. (2) and (3) as (1) and (2), respectively. 1981 - Subsec. (a)(1). Pub. L. 97-34, Sec. 101(b)(2)(B), inserted 'and which shall be in such form as he determines appropriate' after 'Secretary'. Subsec. (a)(4)(A). Pub. L. 97-34, Sec. 121(c)(3), substituted 'reduced by the sum of (i) the excess itemized deductions, and (ii) the direct charitable deduction' for 'reduced by the excess itemized deductions'. Subsec. (a)(5). Pub. L. 97-34, Sec. 101(b)(2)(C), added par. (5). Subsec. (b)(1). Pub. L. 97-34, Sec. 101(c)(2)(A), substituted 'an individual to whom section 1301 (relating to income averaging) applies for the taxable year' for 'an individual to whom (A) section 1301 (relating to income averaging), or (B) section 1348 (relating to maximum rate on personal service income), applies for the taxable year'. 1980 - Subsec. (b)(1). Pub. L. 96-222 redesignated subpars. (B) and (C) as (A) and (B), respectively, and struck out former subpar. (A) which made reference to section 911 (relating to earned income from sources without the United States). 1978 - Subsec. (b)(1). Pub. L. 95-600 struck out subpar. (B) which related to the alternative capital gains tax under section 1201 of this title, and redesignated subpars. (C) and (D) as (B) and (C), respectively. 1977 - Pub. L. 95-30 struck out 'having taxable income of less than $20,000' after 'individuals' in section catchline. Subsec. (a). Pub. L. 95-30 designated existing provisions as par. (1), substituted 'tax table income' for 'taxable income' and 'does not exceed the ceiling amount' for 'does not exceed $20,000', and added pars. (2) to (4). Subsecs. (b) to (e). Pub. L. 95-30 added subsec. (b), redesignated former subsec. (b) as (c), and added subsecs. (d) and (e). 1976 - Pub. L. 94-455 designated existing provisions as subsec. (a), substituted provision relating to taxable income for such year does not exceed $20,000 for provision relating to adjusted gross income for such year is less than $15,000 and who has elected for such year to pay the tax imposed by this section, struck out 'or his delegate' after 'Secretary', 'beginning after Dec. 31, 1969' after 'each taxable year', struck out provision requiring computation of taxable income by using standard deduction, and added subsec. (b). 1975 - Pub. L. 94-12 substituted '$15,000' for '$10,000'. 1969 - Pub. L. 91-172 raised the individual gross income limit of $5,000 to $10,000 for exercising the option and substituted provision that the tax has to be determined under tables to be prescribed by the Secretary or his delegate for tables of tax rates for single persons, heads of household, married persons filing joint returns, married persons filing separate returns with 10 per cent standard deduction and married persons filing separate returns with minimum standard deduction. 1964 - Pub. L. 88-272 substituted optional tax tables covering five categories for taxable years beginning on or after Jan. 1, 1964, and before Jan. 1, 1965, and for years beginning after Dec. 31, 1964, for a single general table. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by section 101(c)(2)(A) of Pub. L. 97-34 applicable to taxable years beginning after Dec. 31, 1981, see section 101(f)(1) of Pub. L. 97-34, set out as a note under section 1 of this title. Amendment by section 121(c)(3) of Pub. L. 97-34 applicable to contributions made after Dec. 31, 1981, in taxable years beginning after such date, see section 121(d) of Pub. L. 97-34, set out as a note under section 170 of this title. EFFECTIVE DATE OF 1980 AMENDMENT Section 108(a)(2) of Pub. L. 96-222 provided that: '(A) In general. - Except as provided in subparagraph (B), the amendments made by paragraph (1) (amending this section and sections 119, 911, and 913 of this title) shall take effect as if included in the Foreign Earned Income Act of 1978 (Pub. L. 95-615). '(B) Paragraph (1)(E). - The amendment made by paragraph (1)(E) (amending this section) shall apply to taxable years beginning after December 31, 1978.' EFFECTIVE DATE OF 1978 AMENDMENT Amendment by section 401(b)(1) of Pub. L. 95-600 applicable to taxable years beginning after Dec. 31, 1978, see section 401(c) of Pub. L. 95-600, set out as a note under section 1201 of this title. EFFECTIVE DATE OF 1977 AMENDMENT Amendment by Pub. L. 95-30 applicable to taxable years beginning after Dec. 31, 1976, see section 106(a) of Pub. L. 95-30, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1976 AMENDMENT Section 508 of Pub. L. 94-455 provided that: 'Except as otherwise provided, the amendments made by this title (enacting section 44A, amending this section and sections 36, 37, 41, 42, 46, 50A, 104, 144, 213, 217, 904, 1211, 1304, 3402, 6014, and 6096, enacting provisions set out as notes under sections 105, 8022, and repealing sections 4 and 214 of this title) shall apply to taxable years beginning after December 31, 1975.' EFFECTIVE AND TERMINATION DATES OF 1975 AMENDMENT Section 209(a) of Pub. L. 94-12, as amended by Pub. L. 94-164, Sec. 2(e), Dec. 23, 1975, 89 Stat. 972, provided that: 'The amendments made by sections 201, 202(a), and 203 (enacting section 42 of this title and amending this section and sections 56, 141, 6012, and 6096 of this title) shall apply to taxable years ending after December 31, 1974. The amendments made by sections 201(a) and 202(a) (amending section 141 of this title) shall cease to apply to taxable years ending after December 31, 1975; those made by sections 201(b), 201(c), and 203 (enacting section 42 of this title and amending sections 3, 56, 6012, and 6096 of this title) shall cease to apply to taxable years ending after December 31, 1976.' EFFECTIVE DATE OF 1969 AMENDMENT Amendment by Pub. L. 91-172 applicable to taxable years beginning after Dec. 31, 1969, see section 803(f) of Pub. L. 91-172, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Section 301(c) of Pub. L. 88-272, as amended by by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'Except for purposes of section 21 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (relating to effect of changes in rates during a taxable year), the amendments made by this section (amending this section and sections 4 and 6014 of this title) shall apply to taxable years beginning after December 31, 1963.' -CROSS- CROSS REFERENCES Income tax return, tax not computed by taxpayer, see section 6014 of this title. Personal exemptions, see section 151 et seq. of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in section 891 of this title. ------DocID 33523 Document 38 of 2652------ -CITE- 26 USC Sec. 4 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- (Sec. 4. Repealed. Pub. L. 94-455, title V, Sec. 501(b)(1), Oct. 4, 1976, 90 Stat. 1558) -MISC1- Section, acts Aug. 16, 1954, ch. 736, 68A Stat. 10; Feb. 26, 1964, Pub. L. 88-272, title II, Sec. 232(f)(1), title III, Sec. 301(b)(1), (3), 78 Stat. 111, 140; Dec. 30, 1969, Pub. L. 91-172, title VIII, Sec. 802(c)(1)-(3), 83 Stat. 677, 678; Dec. 10, 1971, Pub. L. 92-178, title III, Sec. 301(b), 85 Stat. 520, related to rules for optional tax. EFFECTIVE DATE OF REPEAL Repeal applicable to taxable years beginning after Dec. 31, 1975, see section 508 of Pub. L. 94-455, set out as an Effective Date of 1976 Amendment note under section 3 of this title. ------DocID 33524 Document 39 of 2652------ -CITE- 26 USC Sec. 5 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART I -HEAD- Sec. 5. Cross references relating to tax on individuals -STATUTE- (a) Other rates of tax on individuals, etc. (1) For rates of tax on nonresident aliens, see section 871. (2) For doubling of tax on citizens of certain foreign countries, see section 891. (3) For rate of withholding in the case of nonresident aliens, see section 1441. (4) For alternative minimum tax, see section 55. (b) Special limitations on tax (1) For limitation on tax in case of income of members of Armed Forces on death, see section 692. (2) For computation of tax where taxpayer restores substantial amount held under claim of right, see section 1341. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 10; Feb. 26, 1964, Pub. L. 88-272, title II, Sec. 232(f)(2), 78 Stat. 111; Dec. 30, 1969, Pub. L. 91-172, title III, Sec. 301(b)(2), title VIII, Sec. 803(d)(6), 83 Stat. 585, 684; Oct. 4, 1976, Pub. L. 94-455, title XIX, Sec. 1901(b)(22)(B), 1951(c)(3)(A), 90 Stat. 1798, 1841; Nov. 6, 1978, Pub. L. 95-600, title IV, Sec. 401(b)(2), 421(e)(1), 92 Stat. 2867, 2875; Apr. 1, 1980, Pub. L. 96-222, title I, Sec. 104(a)(4)(H)(vii), 94 Stat. 218; Sept. 3, 1982, Pub. L. 97-248, title II, Sec. 201(d)(4), formerly Sec. 201(c)(4), 96 Stat. 419, redesignated Jan. 12, 1983, Pub. L. 97-448, title III, Sec. 306(a)(1)(A)(i), 96 Stat. 2400; Oct. 22, 1986, Pub. L. 99-514, title I, Sec. 141(b)(2), title VII, Sec. 701(e)(4)(A), 100 Stat. 2117, 2343.) -MISC1- AMENDMENTS 1986 - Subsec. (a)(4). Pub. L. 99-514, Sec. 701(e)(4)(A), amended par. (4) generally, substituting 'alternative minimum tax' for 'minimum tax for taxpayers other than corporations'. Subsec. (b)(2), (3). Pub. L. 99-514, Sec. 141(b)(2), struck out par. (2) which read: 'For limitation on tax where an individual chooses the benefits of income averaging, see section 1301.' and redesignated former par. (3) as (2). 1982 - Subsec. (a)(4). Pub. L. 97-248, Sec. 201(d)(4), formerly Sec. 201(c)(4), substituted 'section 55' for 'sections 55 and 56'. 1980 - Subsec. (a)(4). Pub. L. 96-222 substituted 'sections 55 and 56' for 'section 55'. 1978 - Subsec. (a)(3). Pub. L. 95-600, Sec. 401(b)(2), redesignated par. (4) as (3). Former par. (3), relating to the alternative tax in the case of capital gains, was struck out. Subsec. (a)(4), (5). Pub. L. 95-600, Sec. 401(b)(2), 421(e)(1), redesignated par. (5) as (4) and substituted 'taxpayers other than corporations, see section 55' for 'preferences, see section 56'. Former par. (4) redesignated (3). 1976 - Subsec. (b). Pub. L. 94-455 redesignated pars. (2), (3), and (4), as (1), (2), (3), respectively, and struck out former par. (1) which referred to section 632 for limitation on tax attributable to sales of oil or gas properties and par. (5) which referred to section 1347 for limitation on tax attributable to claims against the U.S. involving acquisition of property. 1969 - Subsec. (a)(5). Pub. L. 91-172, Sec. 301(b)(2), added par. (5). Subsec. (b). Pub. L. 91-172, Sec. 803(d)(6), substituted 'tax' for 'surtax' in pars. (1) and (5). 1964 - Subsec. (b). Pub. L. 88-272 redesignated pars. (2), (3), (4), (7) and (8) as pars. (1) to (5), respectively, substituted 'where an individual chooses the benefits of income averaging' for 'with respect to compensation for longterm services' in par. (3), and struck out former pars. (1), (5) and (6) which referred to tax attributable to receipt of lump sum under annuity, endowment, or life insurance contract, to income from artistic work or inventions, and to back pay, respectively. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 141(b)(2) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a note under section 1 of this title. Amendment by section 701(e)(4)(A) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. EFFECTIVE DATE OF 1982 AMENDMENT Section 201(e)(1) of Pub. L. 97-248 provided that: 'The amendments made by this section (amending this section and sections 46, 53, 55, 56, 57, 58, 173, 174, 511, 616, 617, 897, 901, 936, 1016, 6015, 6362, 6654, and 7701 of this title) shall apply to taxable years beginning after December 31, 1982.' EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-222 effective, except as otherwise provided, as if it had been included in the provisions of the Revenue Act of 1978, Pub. L. 95-600, to which such amendment relates, see section 201 of Pub. L. 96-222, set out as a note under section 32 of this title. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by section 401(b)(2) of Pub. L. 95-600 applicable to taxable years beginning after Dec. 31, 1978, see section 401(c) of Pub. L. 95-600, set out as a note under section 1201 of this title. Section 421(g) of Pub. L. 95-600 provided that: 'The amendments made by this section (enacting section 55 of this title and amending this section and sections 57, 58, 443, 511, 666, 871, 877, 904, 6015, 6362, and 6654 of this title) shall apply to taxable years beginning after December 31, 1978, except that the amendment made by paragraph (1) of subsection (b) (amending section 57 of this title) shall apply to sales and exchanges made after July 26, 1978, in taxable years ending after such date.' EFFECTIVE DATE OF 1969 AMENDMENT Section 301(c) of Pub. L. 91-172, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'The amendments made by this section (enacting sections 56 to 58 of this title and amending this section and sections 12, 46, 51, 443, 453, 511, 901, 1373, 1375, 6015, and 6654 of this title) shall apply to taxable years ending after December 31, 1969. In the case of a taxable year beginning in 1969 and ending in 1970, the tax imposed by section 56 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as added by subsection (a)) shall be an amount equal to the tax imposed by such section (determined without regard to this sentence) multiplied by a fraction - '(1) the numerator of which is the number of days in the taxable year occurring after December 31, 1969, and '(2) the denominator of which is the number of days in the entire taxable year.' Amendment by section 803(d)(6) of Pub. L. 91-172 applicable to taxable years beginning after Dec. 31, 1970, see section 803(f) of Pub. L. 91-172, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Section 232(g) of Pub. L. 88-272, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) General rule. - Except as provided in paragraph (2), the amendments made by this section (enacting sections 1301 to 1305, amending this section and sections 4, 72, 144, 402, 403, 6511, and omitting former sections 1301 to 1307 of this title) shall apply with respect to taxable years beginning after December 31, 1963. '(2) Income from an employment. - If, in a taxable year beginning after December 31, 1963, an individual or partnership receives or accrues compensation from an employment (as defined by section 1301(b) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) as in effect immediately before the enactment of this Act (Feb. 26, 1964) and the employment began before February 6, 1963, the tax attributable to such compensation may, at the election of the taxpayer, be computed under the provisions of sections 1301 and 1307 of such Code as in effect immediately before the enactment of this Act. If a taxpayer so elects (at such time and in such manner as the Secretary of the Treasury or his delegate by regulations prescribes), he may not choose for such taxable year the benefits provided by part I of subchapter Q of chapter 1 of such Code (relating to income averaging) as amended by this Act and (if he elects to have subsection (e) of such section 1307 apply) section 170(b)(5) of such Code as amended by this Act shall not apply to charitable contributions paid in such taxable year.' APPLICABILITY OF CERTAIN AMENDMENTS BY PUB. L. 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by section 701(e)(4)(A) of Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, see section 1012(aa)(2) of Pub. L. 100-647, set out as a note under section 861 of this title. ------DocID 33525 Document 40 of 2652------ -CITE- 26 USC PART II -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART II -HEAD- PART II - TAX ON CORPORATIONS -MISC1- Sec. 11. Tax imposed. 12. Cross references relating to tax on corporations. ------DocID 33526 Document 41 of 2652------ -CITE- 26 USC Sec. 11 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART II -HEAD- Sec. 11. Tax imposed -STATUTE- (a) Corporations in general A tax is hereby imposed for each taxable year on the taxable income of every corporation. (b) Amount of tax (1) In general The amount of the tax imposed by subsection (a) shall be the sum of - (A) 15 percent of so much of the taxable income as does not exceed $50,000, (B) 25 percent of so much of the taxable income as exceeds $50,000 but does not exceed $75,000, and (C) 34 percent of so much of the taxable income as exceeds $75,000. In the case of a corporation which has taxable income in excess of $100,000 for any taxable year, the amount of tax determined under the preceding sentence for such taxable year shall be increased by the lesser of (i) 5 percent of such excess, or (ii) $11,750. (2) Certain personal service corporations not eligible for graduated rates Notwithstanding paragraph (1), the amount of the tax imposed by subsection (a) on the taxable income of a qualified personal service corporation (as defined in section 448(d)(2)) shall be equal to 34 percent of the taxable income. (c) Exceptions Subsection (a) shall not apply to a corporation subject to a tax imposed by - (1) section 594 (relating to mutual savings banks conducting life insurance business), (2) subchapter L (sec. 801 and following, relating to insurance companies), or (3) subchapter M (sec. 851 and following, relating to regulated investment companies and real estate investment trusts). (d) Foreign corporations In the case of a foreign corporation, the taxes imposed by subsection (a) and section 55 shall apply only as provided by section 882. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 11; Mar. 30, 1955, ch. 18, Sec. 2, 69 Stat. 14; Mar. 29, 1956, ch. 115, Sec. 2, 70 Stat. 66; Mar. 29, 1957, Pub. L. 85-12, Sec. 2, 71 Stat. 9; June 30, 1958, Pub. L. 85-475, Sec. 2, 72 Stat. 259; June 30, 1959, Pub. L. 86-75, Sec. 2, 73 Stat. 157; June 30, 1960, Pub. L. 86-564, title II, Sec. 201, 74 Stat. 290; Sept. 14, 1960, Pub. L. 86-779, Sec. 10(d), 74 Stat. 1009; June 30, 1961, Pub. L. 87-72, Sec. 2, 75 Stat. 193; June 28, 1962, Pub. L. 87-508, Sec. 2, 76 Stat. 114; June 29, 1963, Pub. L. 88-52, Sec. 2, 77 Stat. 72; Feb. 26, 1964, Pub. L. 88-272, title I, Sec. 121, 78 Stat. 25; Nov. 13, 1966, Pub. L. 89-809, title I, Sec. 104(b)(2), 80 Stat. 1557; Dec. 30, 1969, Pub. L. 91-172, title IV, Sec. 401(b)(2)(B), 83 Stat. 602; Mar. 29, 1975, Pub. L. 94-12, title III, Sec. 303(a), (b), 89 Stat. 44; Dec. 23, 1975, Pub. L. 94-164, Sec. 4(a)-(c), 89 Stat. 973, 974; Oct. 4, 1976, Pub. L. 94-455, title IX, Sec. 901(a), 90 Stat. 1606; May 23, 1977, Pub. L. 95-30, title II, Sec. 201(1), (2), 91 Stat. 141; Nov. 6, 1978, Pub. L. 95-600, title III, Sec. 301(a), 92 Stat. 2820; Aug. 13, 1981, Pub. L. 97-34, title II, Sec. 231(a), 95 Stat. 249; July 18, 1984, Pub. L. 98-369, div. A, title I, Sec. 66(a), 98 Stat. 585; Oct. 22, 1986, Pub. L. 99-514, title VI, Sec. 601(a), 100 Stat. 2249; Dec. 22, 1987, Pub. L. 100-203, title X, Sec. 10224(a), 101 Stat. 1330-412; Nov. 10, 1988, Pub. L. 100-647, title I, Sec. 1007(g)(13)(B), 102 Stat. 3436.) -MISC1- AMENDMENTS 1988 - Subsec. (d). Pub. L. 100-647 substituted 'the taxes imposed by subsection (a) and section 55' for 'the tax imposed by subsection (a)'. 1987 - Subsec. (b). Pub. L. 100-203 amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'The amount of the tax imposed by subsection (a) shall be the sum of - '(1) 15 percent of so much of the taxable income as does not exceed $50,000, '(2) 25 percent of so much of the taxable income as exceeds $50,000 but does not exceed $75,000, and '(3) 34 percent of so much of the taxable income as exceeds $75,000. In the case of a corporation which has taxable income in excess of $100,000 for any taxable year, the amount of tax determined under the preceding sentence for such taxable year shall be increased by the lesser of (A) 5 percent of such excess, or (B) $11,750.' 1986 - Subsec. (b). Pub. L. 99-514 amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'The amount of the tax imposed by subsection (a) shall be the sum of - '(1) 15 percent (16 percent for taxable years beginning in 1982) of so much of the taxable income as does not exceed $25,000; '(2) 18 percent (19 percent for taxable years beginning in 1982) of so much of the taxable income as exceeds $25,000 but does not exceed $50,000; '(3) 30 percent of so much of the taxable income as exceeds $50,000 but does not exceed $75,000; '(4) 40 percent of so much of the taxable income as exceeds $75,000 but does not exceed $100,000; plus '(5) 46 percent of so much of the taxable income as exceeds $100,000. In the case of a corporation with taxable income in excess of $1,000,000 for any taxable year, the amount of tax determined under the preceding sentence for such taxable year shall be increased by the lesser of (A) 5 percent of such excess, or (B) $20,250.' 1984 - Subsec. (b). Pub. L. 98-369 inserted 'In the case of a corporation with taxable income in excess of $1,000,000 for any taxable year, the amount of tax determined under the preceding sentence for such taxable year shall be increased by the lesser of (A) 5 percent of such excess, or (B) $20,250.' 1981 - Subsec. (b)(1). Pub. L. 97-34, Sec. 231(a)(1), substituted '15 percent (16 percent for taxable years beginning in 1982)' for '17 percent'. Subsec. (b)(2). Pub. L. 97-34, Sec. 231(a)(2), substituted '18 percent (19 percent for taxable years beginning in 1982)' for '20 percent'. 1978 - Pub. L. 95-600 reduced corporate tax rates by substituting provisions imposing a five-step tax rate structure on corporate taxable income for provisions using a normal tax and surtax approach to the taxation of corporate taxable income. 1977 - Subsec. (b)(1). Pub. L. 95-30, Sec. 201(1), substituted 'December 31, 1978' for 'December 31, 1977'. Subsec. (b)(2). Pub. L. 95-30, Sec. 201(1), substituted 'January 1, 1979' for 'January 1, 1978' in provisions preceding subpar. (A). Subsec. (d)(1). Pub. L. 95-30, Sec. 201(2), substituted 'December 31, 1978' for 'December 31, 1977'. Subsec. (d)(2). Pub. L. 95-30, Sec. 201(2), substituted 'January 1, 1979' for 'January 1, 1978'. 1976 - Subsec. (a). Pub. L. 94-455 reenacted subsec. (a) without change. Subsec. (b). Pub. L. 94-455, among other changes, substituted 'December 31, 1977, 22 percent' for 'December 31, 1976, 22 percent' and 'after December 31, 1974 and before January 1, 1978' for 'after December 31, 1974 and before January 1, 1977' and struck out provisions relating to the six-month application of the general rule. Subsec. (c). Pub. L. 94-455 struck out provisions relating to the special rule for 1976 for calendar year taxpayers. Subsec. (d). Pub. L. 94-455, among other changes, substituted provisions relating to surtax exemption of $25,000 for a taxable year ending Dec. 31, 1977, or $50,000 for a taxable year ending after Dec. 31, 1974, and before Jan. 1, 1978, for provisions relating to surtax exemption of $50,000 for any taxable year and struck out provisions relating to six-month application of the general rule. 1975 - Subsec. (b). Pub. L. 94-164 redesignated existing pars. (1) and (2) as pars. (1)(A) and (1)(B), and in par. (1)(A) as so redesignated substituted 'after December 31, 1976' for 'before January 1, 1975 or after December 31, 1975', and in par. (1)(B) as so redesignated substituted 'January 1, 1977' for 'January 1, 1976', and added par. (2). Pub. L. 94-12, Sec. 303(a), reduced the normal tax for a taxable year ending after Dec. 31, 1974, and before Jan. 1, 1976, to 20 percent of so much of the taxable income as does not exceed $25,000 plus 22 percent of so much of the taxable income as exceeds $25,000. Subsec. (c). Pub. L. 94-164 designated existing provisions as par. (1), struck out special percentages for taxable years beginning before Jan. 1, 1964, and after Dec. 31, 1963 and before Jan. 1, 1965, and added par. (2). Subsec. (d). Pub. L. 94-164 designated existing provisions as par. (1), substituted '$50,000' for '$25,000', inserted reference to section 1564 of this title, and added par. (2). Pub. L. 94-12, Sec. 303(b), substituted '$50,000' for '$25,000'. 1969 - Subsec. (d). Pub. L. 91-172 substituted 'section 1561 or 1564' for 'section 1561'. 1966 - Subsec. (e)(4). Pub. L. 89-809, Sec. 104(b)(2)(A), struck out par. (4) which made reference to section 881(a) (relating to foreign corporations not engaged in business in United States). Subsec. (f). Pub. L. 89-809, Sec. 104(b)(2)(B), added subsec. (f). 1964 - Subsec. (b). Pub. L. 88-272 applied the 30 percent tax to years beginning before Jan. 1, 1964 instead of July 1, 1964 in par. (1), and in par. (2), reduced the rate from 25 percent to 22 percent, and applied it to years beginning after Dec. 31, 1963, instead of June 30, 1964. Subsec. (c). Pub. L. 88-272 increased the percentage from 22 to 28 for taxable years beginning after Dec. 31, 1963, and before Jan. 1, 1965, and to 26 percent for taxable years beginning after Dec. 31, 1964. The surtax exemption previously carried in subsec. (c), is now stated in subsec. (d). Subsecs. (d), (e). Pub. L. 88-272 added subsec. (d) and redesignated former subsec. (d) as (e). 1963 - Subsec. (b). Pub. L. 88-52 substituted 'July 1, 1964' for 'July 1, 1963' and 'June 30, 1964' for 'June 30, 1963' wherever appearing. 1962 - Subsec. (b). Pub. L. 87-508 substituted 'July 1, 1963' for 'July 1, 1962' and 'June 30, 1963' for 'June 30, 1962' wherever appearing. 1961 - Subsec. (b). Pub. L. 87-72 substituted 'July 1, 1962' for 'July 1, 1961' and 'June 30, 1962' for 'June 30, 1961' wherever appearing. 1960 - Subsec. (b). Pub. L. 86-564 substituted 'July 1, 1961' for 'July 1, 1960' and 'June 30, 1961' for 'June 30, 1960' wherever appearing. Subsec. (d)(3). Pub. L. 86-779 inserted 'and real estate investment trusts' after 'regulated investment companies'. 1959 - Subsec. (b). Pub. L. 86-75 substituted 'July 1, 1960' for 'July 1, 1959' and 'June 30, 1960' for 'June 30, 1959' wherever appearing. 1958 - Subsec. (b). Pub. L. 85-475 substituted 'July 1, 1959' for 'July 1, 1958' and 'June 30, 1959' for 'June 30, 1958' wherever appearing. 1957 - Subsec. (b). Pub. L. 85-12 substituted 'July 1, 1958' for 'April 1, 1957' and 'June 30, 1958' for 'March 31, 1957' wherever appearing. 1956 - Subsec. (b). Act Mar. 29, 1956, substituted 'April 1, 1957' for 'April 1, 1956' and 'March 31, 1957' for 'March 31, 1956' wherever appearing. 1955 - Subsec. (b). Act Mar. 30, 1955, substituted 'April 1, 1956' for 'April 1, 1955' and 'March 31, 1956' for 'March 31, 1955' wherever appearing. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1987 AMENDMENT Section 10224(b) of Pub. L. 100-203 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1987.' EFFECTIVE DATE OF 1986 AMENDMENT Section 601(b) of Pub. L. 99-514 provided that: '(1) In general. - The amendment made by subsection (a) (amending this section) shall apply to taxable years beginning on or after July 1, 1987. '(2) Cross reference. - 'For treatment of taxable years which include July 1, 1987, see section 15 of the Internal Revenue Code of 1986.' EFFECTIVE DATE OF 1984 AMENDMENT Section 66(c) of Pub. L. 98-369, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - The amendments made by this section (amending this section and section 1561 of this title) shall apply to taxable years beginning after December 31, 1983. '(2) Amendments not treated as changed in rate of tax. - The amendments made by this subsection (probably should be 'section') shall not be treated as a change in a rate of tax for purposes of section 21 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954).' EFFECTIVE DATE OF 1981 AMENDMENT Section 231(c) of Pub. L. 97-34 provided that: 'The amendments made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1981.' EFFECTIVE DATE OF 1978 AMENDMENT Section 301(c) of Pub. L. 95-600 provided that: 'The amendments made by this section (amending this section and sections 12, 57, 244, 247, 511, 527, 528, 802, 821, 826, 852, 857, 882, 907, 922, 962, 1351, 1551, 1561, 6154, and 6655 of this title) shall apply to taxable years beginning after December 31, 1978.' EFFECTIVE DATE OF 1976 AMENDMENT Section 901(d) of Pub. L. 94-455 provided that: 'The amendment made by subsection (a) (amending this section) shall take effect on December 23, 1975. The amendments made by subsection (b) (amending section 821 of this title) shall apply to taxable years ending after December 31, 1974. The amendments made by subsection (c) (amending sections 21, 1561, and 6154 of this title) shall apply to taxable years ending after December 31, 1975.' EFFECTIVE AND TERMINATION DATES OF 1975 AMENDMENTS Section 4(e) of Pub. L. 94-164 provided that: 'The amendments made by subsections (b), (c), and (d) (amending this section and sections 21, 962, and 1561 of this title) apply to taxable years beginning after December 31, 1975. The amendment made by subsection (c) (amending this section) ceases to apply for taxable years beginning after December 31, 1976.' Section 305(b)(1) of Pub. L. 94-12 provided that: 'The amendments made by section 303 (amending this section and sections 12, 962, and 1561 of this title and enacting provisions set out as a note under this section) shall apply to taxable years ending after December 31, 1974. The amendments made by subsections (b) and (c) of such section (amending this section and sections 12, 962, and 1561 of this title and enacting provisions set out as a note under this section) shall cease to apply for taxable years ending after December 31, 1975.' EFFECTIVE DATE OF 1969 AMENDMENT Amendment by Pub. L. 91-172 applicable with respect to taxable years beginning after Dec. 31, 1969, see section 401(h)(2) of Pub. L. 91-172, set out as a note under section 1561 of this title. EFFECTIVE DATE OF 1966 AMENDMENT Section 104(n) of Pub. L. 89-809 provided that: 'The amendments made by this section (other than subsection (k)) (enacting section 6683 to this title and amending this section and sections 245, 301, 512, 542, 543, 545, 819, 821, 822, 831, 832, 841, 842, 881, 882, 884, 952, 953, 1249, 1442, and 6016 of this title) shall apply with respect to taxable years beginning after December 31, 1966. The amendment made by subsection (k) (amending section 1248(d)(4) of this title) shall apply with respect to sales or exchanges occurring after December 31, 1966.' EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88-272, except for purposes of section 21 of this title, effective with respect to taxable years beginning after Dec. 31, 1963, see section 131 of Pub. L. 88-272, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1960 AMENDMENT Amendment by Pub. L. 86-779 applicable with respect to taxable years of real estate investment trusts beginning after Dec. 31, 1960, see section 10(k) of Pub. L. 86-779, set out as an Effective Date note under section 856 of this title. ALLOCATION OF 1975 TAXABLE INCOME AMONG COMPONENT MEMBERS OF CONTROLLED GROUP OF CORPORATIONS Section 303(c)(1) of Pub. L. 94-12 provided in part that: 'In applying subsection (b)(2) of section 11 (subsec. (b)(2) of this section), the first $25,000 of taxable income and the second $25,000 of taxable income shall each be allocated among the component members of a controlled group of corporations in the same manner as the surtax exemption is allocated.' -CROSS- CROSS REFERENCES Computation of taxable income, see section 61 et seq. of this title. Corporate distributions and adjustments, see section 301 et seq. of this title. Deduction for dividends paid, see section 561 et seq. of this title. Definitions - Corporation, see section 7701 of this title. Taxable income, see section 63 of this title. Effect of change of rate of tax, see section 15 of this title. Exempt corporations, see section 501 of this title. Imposition of net income taxes by State on income derived from interstate commerce, see section 381 et seq. of Title 15, Commerce and Trade. Special deductions for corporations, see section 241 et seq. of this title. Tax on - Foreign corporations not engaged in business in United States, see section 881 of this title. Resident foreign corporations as provided in this section, see section 882 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 15, 59, 80, 244, 247, 280C, 453A, 460, 468A, 468B, 511, 527, 594, 801, 804, 831, 835, 847, 852, 857, 860E, 860G, 882, 891, 904, 907, 954, 962, 1201, 1291, 1293, 1351, 1374, 1375, 1381, 1446, 1551, 1561, 4942, 6425, 6655, 7518 of this title; title 46 App. section 1177. ------DocID 33527 Document 42 of 2652------ -CITE- 26 USC Sec. 12 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART II -HEAD- Sec. 12. Cross references relating to tax on corporations -STATUTE- (1) For tax on the unrelated business income of certain charitable and other corporations exempt from tax under this chapter, see section 511. (2) For accumulated earnings tax and personal holding company tax, see parts I and II of subchapter G (sec. 531 and following). (3) For doubling of tax on corporations of certain foreign countries, see section 891. (4) For alternative tax in case of capital gains, see section 1201(a). (5) For rate of withholding in case of foreign corporations, see section 1442. (6) For limitation on benefits of graduated rate schedule provided in section 11(b), see section 1551. (7) For alternative minimum tax, see section 55. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 11; Feb. 26, 1964, Pub. L. 88-272, title II, Sec. 234(b)(4), 78 Stat. 115; Dec. 30, 1969, Pub. L. 91-172, title III, Sec. 301(b)(3), 83 Stat. 585; Mar. 29, 1975, Pub. L. 94-12, title III, Sec. 303(c)(2), 89 Stat. 44; Nov. 6, 1978, Pub. L. 95-600, title III, Sec. 301(b)(1), 92 Stat. 2820; July 18, 1984, Pub. L. 98-369, div. A, title I, Sec. 474(r)(29)(E), 98 Stat. 844; Oct. 22, 1986, Pub. L. 99-514, title VII, Sec. 701(e)(4)(B), 100 Stat. 2343.) -MISC1- AMENDMENTS 1986 - Par. (7). Pub. L. 99-514 amended par. (7) generally, substituting 'alternative minimum tax' and '55' for 'minimum tax for tax preferences' and '56', respectively. 1984 - Pars. (6) to (8). Pub. L. 98-369 redesignated pars. (7) and (8) as (6) and (7), respectively. Former par. (6), which referred to section 1451 for withholding of tax on tax-free covenant bonds, was struck out. 1978 - Par. (7). Pub. L. 95-600 substituted 'benefits of graduated rate schedule provided in section 11(b)' for 'the $25,000 exemption from surtax provided in section 11(c)'. 1975 - Par. (7). Pub. L. 94-12 substituted '$50,000' for '$25,000' for a limited period. See Effective and Termination Dates of 1975 Amendment note set out below. 1969 - Par. (8). Pub. L. 91-172 added par. (8). 1964 - Par. (8). Pub. L. 88-272 struck out par. (8) which referred to section 1503 for additional tax for corporations filing consolidated returns. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 not applicable with respect to obligations issued before Jan. 1, 1984, see section 475(b) of Pub. L. 98-369, set out as a note under section 33 of this title. EFFECTIVE DATE OF 1978 AMENDMENT Amendment by Pub. L. 95-600 applicable to taxable years beginning after Dec. 31, 1978, see section 301(c) of Pub. L. 95-600, set out as a note under section 11 of this title. EFFECTIVE AND TERMINATION DATES OF 1975 AMENDMENT Amendment by Pub. L. 94-12 applicable to taxable years ending after Dec. 31, 1974, but to cease to apply for taxable years ending after Dec. 31, 1975, see section 305(b)(1) of Pub. L. 94-12, set out as a note under section 11 of this title. EFFECTIVE DATE OF 1969 AMENDMENT Amendment by Pub. L. 91-172 applicable to taxable years ending after Dec. 31, 1969, see section 301(c) of Pub. L. 91-172, set out as a note under section 5 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88-272 applicable to taxable years beginning after Dec. 31, 1963, see section 234(c) of Pub. L. 88-272, set out as a note under section 1503 of this title. APPLICABILITY OF CERTAIN AMENDMENTS BY PUBLIC LAW 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, see section 1012(aa)(2) of Pub. L. 100-647, set out as a note under section 861 of this title. ------DocID 33528 Document 43 of 2652------ -CITE- 26 USC PART III -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART III -HEAD- PART III - CHANGES IN RATES DURING A TAXABLE YEAR -MISC1- Sec. 15. Effect of changes. AMENDMENTS 1984 - Pub. L. 98-369, div. A, title IV, Sec. 474(b)(3), July 18, 1984, 98 Stat. 830, substituted '15. Effect of changes' for '21. Effect of changes'. ------DocID 33529 Document 44 of 2652------ -CITE- 26 USC Sec. 15 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART III -HEAD- Sec. 15. Effect of changes -STATUTE- (a) General rule If any rate of tax imposed by this chapter changes, and if the taxable year includes the effective date of the change (unless that date is the first day of the taxable year), then - (1) tentative taxes shall be computed by applying the rate for the period before the effective date of the change, and the rate for the period on and after such date, to the taxable income for the entire taxable year; and (2) the tax for such taxable year shall be the sum of that proportion of each tentative tax which the number of days in each period bears to the number of days in the entire taxable year. (b) Repeal of tax For purposes of subsection (a) - (1) if a tax is repealed, the repeal shall be considered a change of rate; and (2) the rate for the period after the repeal shall be zero. (c) Effective date of change For purposes of subsections (a) and (b) - (1) if the rate changes for taxable years 'beginning after' or 'ending after' a certain date, the following day shall be considered the effective date of the change; and (2) if a rate changes for taxable years 'beginning on or after' a certain date, that date shall be considered the effective date of the change. (d) Section not to apply to inflation adjustments This section shall not apply to any change in rates under subsection (f) of section 1 (relating to adjustments in tax tables so that inflation will not result in tax increases). (e) References to highest rate If the change referred to in subsection (a) involves a change in the highest rate of tax imposed by section 1 or 11(b), any reference in this chapter to such highest rate (other than in a provision imposing a tax by reference to such rate) shall be treated as a reference to the weighted average of the highest rates before and after the change determined on the basis of the respective portions of the taxable year before the date of the change and on or after the date of the change. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 12, Sec. 21; Feb. 26, 1964, Pub. L. 88-272, title I, Sec. 132, 78 Stat. 30; Dec. 30, 1969, Pub. L. 91-172, title VIII, Sec. 803(e), 83 Stat. 685; Dec. 10, 1971, Pub. L. 92-178, title II, Sec. 205, 85 Stat. 511; Mar. 29, 1975, Pub. L. 94-12, title III, Sec. 305(b)(2), 89 Stat. 45; Dec. 23, 1975, Pub. L. 94-164, Sec. 4(d)(2), 89 Stat. 975; Oct. 4, 1976, Pub. L. 94-455, title IX, Sec. 901(c)(2), 90 Stat. 1607; May 23, 1977, Pub. L. 95-30, title I, Sec. 101(d)(2), 91 Stat. 133; Nov. 6, 1978, Pub. L. 95-600, title I, Sec. 106, 92 Stat. 2776; Aug. 13, 1981, Pub. L. 97-34, title I, Sec. 101(d)(3), 95 Stat. 184; renumbered Sec. 15, July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 474(b)(1), 98 Stat. 830; Oct. 22, 1986, Pub. L. 99-514, title I, Sec. 101(b), 100 Stat. 2099; Nov. 10, 1988, Pub. L. 100-647, title I, Sec. 1006(a), 102 Stat. 3393.) -MISC1- AMENDMENTS 1988 - Subsec. (e). Pub. L. 100-647 added subsec. (e). 1986 - Subsec. (d). Pub. L. 99-514 amended subsec. (d) generally, substituting 'apply to inflation adjustments' for 'apply to section 1 rate changes made by Economic Recovery Tax Act of 1981' in heading and struck out 'section 1 attributable to the amendments made by section 101 of the Economic Tax Act of 1981 or' before 'subsection (f)' in text. 1984 - Pub. L. 98-369 renumbered section 21 of this title as this section. 1981 - Subsec. (d). Pub. L. 97-34 substituted provisions that this section shall not apply to any change in rates under section 1 attributable to the amendments made by section 101 of the Economic Recovery Tax Act of 1981 or subsec. (f) of section 1 for provisions that had related to the changes made by section 303(b) of the Tax Reduction Act of 1975 in the surtax exemption. Subsecs. (e), (f). Pub. L. 97-34 struck out subsecs. (e) and (f) which had related, respectively, to changes made by the Tax Reduction and Simplification Act of 1977 and to changes made by Revenue Act of 1978. 1978 - Subsec. (f). Pub. L. 95-600 added subsec. (f). 1977 - Subsec. (d). Pub. L. 95-30, Sec. 101(d)(2)(A), (B), redesignated subsec. (f) as (d). Former subsec. (d), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Tax Reform Act of 1969 in part I or in the application of part IV or V of subchapter B for purposes of the determination of taxable income should be treated as a change in a rate of tax, was struck out. Subsec. (e). Pub. L. 95-30, Sec. 101(d)(2)(A), (C), added subsec. (e). Former subsec. (e), which directed that, in applying subsec. (a) to a taxable year of an individual which was not a calendar year, each change made by the Revenue Act of 1971 in section 141 (relating to the standard deduction) and section 151 (relating to personal exemptions) should be treated as a change in a rate of tax, was struck out. Subsec. (f). Pub. L. 95-30, Sec. 101(d)(2)(B), redesignated subsec. (f) as (d). 1976 - Subsec. (f). Pub. L. 94-455 substituted 'in the surtax exemption and any change under section 11(d) in the surtax exemption' for 'and the change made by section 3(c) of the Revenue Adjustment Act of 1975 in section 11(d) (relating to corporate surtax exemption)'. 1975 - Subsec. (f). Pub. L. 94-164 inserted reference to change made by section 3(c) of the Revenue Adjustment Act of 1975. Pub. L. 94-12 added subsec. (f). 1971 - Subsec. (e). Pub. L. 92-178 added subsec. (e). 1969 - Subsec. (d). Pub. L. 91-172 substituted provisions covering changes made by the Tax Reform Act of 1969 in case of individuals for provisions covering changes made by Revenue Act of 1964. 1964 - Subsec. (d). Pub. L. 88-272 amended subsection generally by substituting provisions relating to changes made by the Revenue Act of 1964, for provisions relating to taxable years beginning before Jan. 1, 1954, and ending after Dec. 31, 1953. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97-34 applicable to taxable years beginning after Dec. 31, 1981, see section 101(f)(1) of Pub. L. 97-34, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1977 AMENDMENT Amendment by Pub. L. 95-30 applicable to taxable years beginning after Dec. 31, 1976, see section 106(a) of Pub. L. 95-30, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1976 AMENDMENT Amendment by Pub. L. 94-455 applicable with respect to taxable years ending after Dec. 31, 1975, see section 901(d) of Pub. L. 94-455, set out as a note under section 11 of this title. EFFECTIVE DATE OF 1975 AMENDMENT Amendment by Pub. L. 94-164 applicable to taxable years beginning after Dec. 31, 1975, see section 4(e) of Pub. L. 94-164, set out as an Effective and Termination Dates of 1975 Amendments note under section 11 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Section 132 of Pub. L. 88-272 provided that the amendment made by that section is effective with respect to taxable years ending after Dec. 31, 1963. COORDINATION OF 1990 AMENDMENT WITH SECTION 15 Pub. L. 101-508, title XI, Sec. 11001(c), Nov. 5, 1990, 104 Stat. 1388-400, provided that: 'Except as otherwise expressly provided in this title, no amendment made by this title (see Tables for classification) shall be treated as a change in a rate of tax for purposes of section 15 of the Internal Revenue Code of 1986.' COORDINATION OF 1987 AMENDMENT WITH SECTION 15 Pub. L. 100-203, title X, Sec. 10000(c), Dec. 22, 1987, 101 Stat. 1330-382, provided that: 'No amendment made by this title (see Tables for classification) shall be treated as a change in a rate of tax for purposes (of) section 15 of the Internal Revenue Code of 1986.' COORDINATION OF 1986 AMENDMENT WITH SECTION 15 Section 3(b) of Pub. L. 99-514 provided that: '(1) In general. - Except as provided in paragraph (2), for purposes of section 15 of the Internal Revenue Code of 1986, no amendment or repeal made by this Act (see Tables for classification) shall be treated as a change in the rate of a tax imposed by chapter 1 of such Code. '(2) Exception. - Paragraph (1) shall not apply to the amendment made by section 601 (amending section 11 of this title) (relating to corporate rate reductions).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 59A, 441, 6013 of this title. ------DocID 33530 Document 45 of 2652------ -CITE- 26 USC PART IV -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV -HEAD- PART IV - CREDITS AGAINST TAX -MISC1- Subpart A. Nonrefundable personal credits. B. Foreign tax credit, etc. C. Refundable credits. D. Business-related credits. E. Rules for computing investment credit. F. Rules for computing targeted jobs credit. G. Credit against regular tax for prior year minimum tax liability. (FOOTNOTE 1) (FOOTNOTE 1) Editorially supplied. Subpart G of part IV added by Pub. L. 99-514 without corresponding amendment of part analysis. AMENDMENTS 1990 - Pub. L. 101-508, title XI, Sec. 11813(b)(26), Nov. 5, 1990, 104 Stat. 1388-555, substituted 'Rules for computing investment credit' for 'Rules for computing credit for investment in certain depreciable property' in item for subpart E. 1984 - Pub. L. 98-369, div. A, title IV, Sec. 471(a), 474(n)(3), July 18, 1984, 98 Stat. 825, 834, substituted 'Nonrefundable personal credits' for 'Credits allowable' in item for subpart A, 'Foreign tax credit, etc' for 'Rules for computing credit for investment in certain depreciable property' in item for subpart B, 'Refundable credits' for 'Rules for computing credit for expense of work incentive programs' in item for subpart C, and 'Business-related credits' for 'Rules for computing credit for employment of certain new employees' in item for subpart D, and added items for subparts E and F. 1977 - Pub. L. 95-30, title II, Sec. 202(d)(1)(B), May 23, 1977, 91 Stat. 147, added subpart D. 1971 - Pub. L. 92-178, title VI, Sec. 601(c)(1), Dec. 10, 1971, 85 Stat. 557, added subpart C. -SECREF- PART REFERRED TO IN OTHER SECTIONS This part is referred to in sections 665, 1374, 1375, 1398, 1503, 6096, 6425, 6654, 6655, 6682 of this title. ------DocID 33531 Document 46 of 2652------ -CITE- 26 USC Subpart A -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- Subpart A - Nonrefundable Personal Credits -MISC1- Sec. 21. Expenses for household and dependent care services necessary for gainful employment. 22. Credit for the elderly and the permanently and totally disabled. (23, 24. Repealed.) 25. Interest on certain home mortgages. 26. Limitation based on tax liability; definition of tax liability. AMENDMENTS 1990 - Pub. L. 101-508, title XI, Sec. 11801(b)(1), Nov. 5, 1990, 104 Stat. 1388-522, struck out item 23 'Residential energy credit'. 1986 - Pub. L. 99-514, title I, Sec. 112(b)(5), Oct. 22, 1986, 100 Stat. 2109, struck out item 24 'Contributions to candidates for public office'. 1984 - Pub. L. 98-369, div. A, title IV, Sec. 471(b), 612(f), July 18, 1984, 98 Stat. 826, 913, substituted 'Nonrefundable Personal Credits' for 'Credits Allowable' as subpart A heading, struck out analysis of sections 31 through 45 formerly comprising subpart A, and inserted a new analysis of sections consisting of items 21 (formerly 44A), 22 (formerly 37), 23 (formerly 44C), 24 (formerly 41), and 25 and 26 (newly enacted). 1983 - Pub. L. 98-67 repealed amendments made by Pub. L. 97-248. See 1982 Amendment note below. Pub. L. 98-21, title I, Sec. 122(c)(7), Apr. 20, 1983, 97 Stat. 87, inserted 'and the permanently and totally disabled' to item 37. Pub. L. 97-424, title V, Sec. 515(b)(6)(D), Jan. 6, 1983, 96 Stat. 2181, substituted 'and special fuels' for ', special fuels, and lubricating oil' after 'gasoline' in item 39. Pub. L. 97-414, Sec. 4(c)(1), Jan. 4, 1983, 96 Stat. 2056, added item 44H. 1982 - Pub. L. 97-248, title III, Sec. 307(b)(3), 308(a), Sept. 3, 1982, 96 Stat. 590, 591, provided that, applicable to payments of interest, dividends, and partonage dividends paid or credited after June 30, 1983, item 31 is amended to read 'Tax withheld on wages, interest, dividends, and patronage dividends'. Section 102(a), (b) of Pub. L. 98-67, title I, Aug. 5, 1983, 97 Stat. 369, repealed subtitle A (Sec. 301-308) of title III of Pub. L. 97-248 as of the close of June 30, 1983, and provided that the Internal Revenue Code of 1954 (now 1986) (this title) shall be applied and administered (subject to certain exceptions) as if such subtitle A (and the amendments made by such subtitle A) had not been enacted. 1981 - Pub. L. 97-34, title II, Sec. 221(c)(2), title III, Sec. 331(e)(2), Aug. 13, 1981, 95 Stat. 247, 295, added items 44F and 44G. 1980 - Pub. L. 96-223, title II, Sec. 231(b)(1), 232(b)(3)(B), Apr. 2, 1980, 94 Stat. 272, 276, added items 44D and 44E. 1978 - Pub. L. 95-618, title I, Sec. 101(b)(1), Nov. 9, 1978, 92 Stat. 3179, added item 44C. 1977 - Pub. L. 95-30, title I, Sec. 101(e)(1), title II, Sec. 202(d)(1)(A), May 23, 1977, 91 Stat. 134, 147, added item 44B and struck out item 36 'Credit not allowed to individuals taking standard deduction'. 1976 - Pub. L. 94-455, title IV, Sec. 401(a)(2)(D), title V, Sec. 501(c)(2), 503(b)(5), 504(a)(2), title XIX, Sec. 1901(b)(1)(Z), Oct. 4, 1976, 90 Stat. 1555, 1559, 1562, 1565, 1792, substituted in item 42 'General tax credit' for 'Taxable income credit', struck out in item 36 'pay optional tax or', inserted in item 33 'possession tax credit', substituted in item 37 'Credit of the elderly' for 'Retirement income', added item 44A, and struck out item 35 'Partially tax-exempt interest received by individuals'. 1975 - Pub. L. 94-164, Sec. 3(a)(2), Dec. 23, 1975, 89 Stat. 973, substituted 'Taxable income credit' for 'Credit for personal exemptions' in item 42. Pub. L. 94-12, title II, Sec. 203(b)(1), 204(c), 208(d)(1), Mar. 29, 1975, 89 Stat. 30, 32, 35, renumbered item 42 as 45 and added item 42 applicable to taxable years ending after Dec. 31, 1974, but to cease to apply to taxable years ending after Dec. 31, 1975, item 43 applicable to taxable years beginning after Dec. 31, 1974, but before Jan. 1, 1976, and item 44. 1971 - Pub. L. 92-178, title VI, Sec. 601(c)(2), Dec. 10, 1971, 85 Stat. 557, added items 40 and 41, and redesignated former item 40 as 42. 1970 - Pub. L. 91-258, title II, Sec. 207(d)(10), May 21, 1970, 84 Stat. 249, inserted ', special fuels,' after 'gasoline' in item 39. 1965 - Pub. L. 89-44, title VIII, Sec. 809(d)(1), June 21, 1965, 79 Stat. 167, added item 39 and redesignated former item 39 as 40. 1964 - Pub. L. 88-272, title II, Sec. 201(d)(1), Feb. 26, 1964, 78 Stat. 32, struck out item 34. 1962 - Pub. L. 87-834, Sec. 2(g)(1), (2), Oct. 16, 1962, 76 Stat. 972, 973, added headings of subparts A and B and item 38, and redesignated former item 38 as 39. -SECREF- SUBPART REFERRED TO IN OTHER SECTIONS This subpart is referred to in sections 28, 29, 38, 42, 49, 50, 53, 904, 6401 of this title. ------DocID 33532 Document 47 of 2652------ -CITE- 26 USC Sec. 21 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- Sec. 21. Expenses for household and dependent care services necessary for gainful employment -STATUTE- (a) Allowance of credit (1) In general In the case of an individual who maintains a household which includes as a member one or more qualifying individuals (as defined in subsection (b)(1)), there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the applicable percentage of the employment-related expenses (as defined in subsection (b)(2)) paid by such individual during the taxable year. (2) Applicable percentage defined For purposes of paragraph (1), the term 'applicable percentage' means 30 percent reduced (but not below 20 percent) by 1 percentage point for each $2,000 (or fraction thereof) by which the taxpayer's adjusted gross income for the taxable year exceeds $10,000. (b) Definitions of qualifying individual and employment-related expenses For purposes of this section - (1) Qualifying individual The term 'qualifying individual' means - (A) a dependent of the taxpayer who is under the age of 13 and with respect to whom the taxpayer is entitled to a deduction under section 151(c), (B) a dependent of the taxpayer who is physically or mentally incapable of caring for himself, or (C) the spouse of the taxpayer, if he is physically or mentally incapable of caring for himself. (2) Employment-related expenses (A) In general The term 'employment-related expenses' means amounts paid for the following expenses, but only if such expenses are incurred to enable the taxpayer to be gainfully employed for any period for which there are 1 or more qualifying individuals with respect to the taxpayer: (i) expenses for household services, and (ii) expenses for the care of a qualifying individual. Such term shall not include any amount paid for services outside the taxpayer's household at a camp where the qualifying individual stays overnight. (B) Exception Employment-related expenses described in subparagraph (A) which are incurred for services outside the taxpayer's household shall be taken into account only if incurred for the care of - (i) a qualifying individual described in paragraph (1)(A), or (ii) a qualifying individual (not described in paragraph (1)(A)) who regularly spends at least 8 hours each day in the taxpayer's household. (C) Dependent care centers Employment-related expenses described in subparagraph (A) which are incurred for services provided outside the taxpayer's household by a dependent care center (as defined in subparagraph (D)) shall be taken into account only if - (i) such center complies with all applicable laws and regulations of a State or unit of local government, and (ii) the requirements of subparagraph (B) are met. (D) Dependent care center defined For purposes of this paragraph, the term 'dependent care center' means any facility which - (i) provides care for more than six individuals (other than individuals who reside at the facility), and (ii) receives a fee, payment, or grant for providing services for any of the individuals (regardless of whether such facility is operated for profit). (c) Dollar limit on amount creditable The amount of the employment-related expenses incurred during any taxable year which may be taken into account under subsection (a) shall not exceed - (1) $2,400 if there is 1 qualifying individual with respect to the taxpayer for such taxable year, or (2) $4,800 if there are 2 or more qualifying individuals with respect to the taxpayer for such taxable year. The amount determined under paragraph (1) or (2) (whichever is applicable) shall be reduced by the aggregate amount excludable from gross income under section 129 for the taxable year. (d) Earned income limitation (1) In general Except as otherwise provided in this subsection, the amount of the employment-related expenses incurred during any taxable year which may be taken into account under subsection (a) shall not exceed - (A) in the case of an individual who is not married at the close of such year, such individual's earned income for such year, or (B) in the case of an individual who is married at the close of such year, the lesser of such individual's earned income or the earned income of his spouse for such year. (2) Special rule for spouse who is a student or incapable of caring for himself In the case of a spouse who is a student or a qualifying individual described in subsection (b)(1)(C), for purposes of paragraph (1), such spouse shall be deemed for each month during which such spouse is a full-time student at an educational institution, or is such a qualifying individual, to be gainfully employed and to have earned income of not less than - (A) $200 if subsection (c)(1) applies for the taxable year, or (B) $400 if subsection (c)(2) applies for the taxable year. In the case of any husband and wife, this paragraph shall apply with respect to only one spouse for any one month. (e) Special rules For purposes of this section - (1) Maintaining household An individual shall be treated as maintaining a household for any period only if over half the cost of maintaining the household for such period is furnished by such individual (or, if such individual is married during such period, is furnished by such individual and his spouse). (2) Married couples must file joint return If the taxpayer is married at the close of the taxable year, the credit shall be allowed under subsection (a) only if the taxpayer and his spouse file a joint return for the taxable year. (3) Marital status An individual legally separated from his spouse under a decree of divorce or of separate maintenance shall not be considered as married. (4) Certain married individuals living apart If - (A) an individual who is married and who files a separate return - (i) maintains as his home a household which constitutes for more than one-half of the taxable year the principal place of abode of a qualifying individual, and (ii) furnishes over half of the cost of maintaining such household during the taxable year, and (B) during the last 6 months of such taxable year such individual's spouse is not a member of such household, such individual shall not be considered as married. (5) Special dependency test in case of divorced parents, etc. If - (A) paragraph (2) or (4) of section 152(e) applies to any child with respect to any calendar year, and (B) such child is under the age of 13 or is physically or mentally incapable of caring for himself, in the case of any taxable year beginning in such calendar year, such child shall be treated as a qualifying individual described in subparagraph (A) or (B) of subsection (b)(1) (whichever is appropriate) with respect to the custodial parent (within the meaning of section 152(e)(1)), and shall not be treated as a qualifying individual with respect to the noncustodial parent. (6) Payments to related individuals No credit shall be allowed under subsection (a) for any amount paid by the taxpayer to an individual - (A) with respect to whom, for the taxable year, a deduction under section 151(c) (relating to deduction for personal exemptions for dependents) is allowable either to the taxpayer or his spouse, or (B) who is a child of the taxpayer (within the meaning of section 151(c)(3)) who has not attained the age of 19 at the close of the taxable year. For purposes of this paragraph, the term 'taxable year' means the taxable year of the taxpayer in which the service is performed. (7) Student The term 'student' means an individual who during each of 5 calendar months during the taxable year is a full-time student at an educational organization. (8) Educational organization The term 'educational organization' means an educational organization described in section 170(b)(1)(A)(ii). (9) Identifying information required with respect to service provider No credit shall be allowed under subsection (a) for any amount paid to any person unless - (A) the name, address, and taxpayer identification number of such person are included on the return claiming the credit, or (B) if such person is an organization described in section 501(c)(3) and exempt from tax under section 501(a), the name and address of such person are included on the return claiming the credit. In the case of a failure to provide the information required under the preceding sentence, the preceding sentence shall not apply if it is shown that the taxpayer exercised due diligence in attempting to provide the information so required. (f) Regulations The Secretary shall prescribe such regulations as may be necessary to carry out the purposes of this section. -SOURCE- (Added Pub. L. 94-455, title V, Sec. 504(a)(1), Oct. 4, 1976, 90 Stat. 1563, Sec. 44A, and amended Pub. L. 95-600, title I, Sec. 121(a), Nov. 6, 1978, 92 Stat. 2779; Pub. L. 97-34, title I Sec. 124 (a)-(d), Aug. 13, 1981, 95 Stat. 197, 198; Pub. L. 98-21, title I, Sec. 122(c)(1), Apr. 20, 1983, 97 Stat. 87; renumbered Sec. 21 and amended Pub. L. 98-369, div. A, title IV, Sec. 423(c)(4), 471(c), 474(c), July 18, 1984, 98 Stat. 801, 826, 830; Pub. L. 99-514, title I, Sec. 104(b)(1), Oct. 22, 1986, 100 Stat. 2104; Pub. L. 100-203, title X, Sec. 10101(a), Dec. 22, 1987, 101 Stat. 1330-384; Pub. L. 100-485, title VII, Sec. 703(a)-(c)(1), Oct. 13, 1988, 102 Stat. 2426, 2427.) -MISC1- PRIOR PROVISIONS A prior section 21 was renumbered section 15 of this title. AMENDMENTS 1988 - Subsec. (b)(1)(A). Pub. L. 100-485, Sec. 703(a), substituted 'age of 13' for 'age of 15'. Subsec. (c). Pub. L. 100-485, Sec. 703(b), inserted at end: 'The amount determined under paragraph (1) or (2) (whichever is applicable) shall be reduced by the aggregate amount excludable from gross income under section 129 for the taxable year.' Subsec. (e)(5)(B). Pub. L. 100-485, Sec. 703(a), substituted 'age of 13' for 'age of 15'. Subsec. (e)(9). Pub. L. 100-485, Sec. 703(c)(1), added par. (9). 1987 - Subsec. (b)(2)(A). Pub. L. 100-203 inserted at end 'Such term shall not include any amount paid for services outside the taxpayer's household at a camp where the qualifying individual stays overnight.' 1986 - Subsecs. (b)(1)(A), (e)(6)(A). Pub. L. 99-514, Sec. 104(b)(1)(A), substituted 'section 151(c)' for 'section 151(e)'. Subsec. (e)(6)(B). Pub. L. 99-514, Sec. 104(b)(1)(B), substituted 'section 151(c)(3)' for 'section 151(e)(3)'. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 44A of this title as this section. Subsec. (a)(1). Pub. L. 98-369, Sec. 474(c)(2), (3), substituted 'subsection (b)(1)' for 'subsection (c)(1)' and 'subsection (b)(2)' for 'subsection (c)(2)'. Subsec. (b). Pub. L. 98-369, Sec. 474(c)(1), redesignated subsec. (c) as (b). Former subsec. (b), which provided that the credit allowed by subsec. (a) could not exceed the amount of the tax imposed by this chapter for the taxable year reduced by the sum of the credits allowable under sections 33, 37, 38, 40, 41, 42, and 44, was struck out. Subsec. (c). Pub. L. 98-369, Sec. 474(c)(1), redesignated subsec. (d) as (c). Former subsec. (c) redesignated (b). Subsec. (d). Pub. L. 98-369, Sec. 474(c)(1), redesignated subsec. (e) as (d). Former subsec. (d) redesignated (c). Subsec. (d)(2). Pub. L. 98-369, Sec. 474(c)(4), substituted 'subsection (b)(1)(C)' for 'subsection (c)(1)(C)' in introductory provisions. Subsec. (d)(2)(A). Pub. L. 98-369, Sec. 474(c)(5), substituted 'subsection (c)(1)' for 'subsection (d)(1)'. Subsec. (d)(2)(B). Pub. L. 98-369, Sec. 474(c)(6), substituted 'subsection (c)(2)' for 'subsection (d)(2). Subsec. (e). Pub. L. 98-369, Sec. 474(c)(1), redesignated subsec. (f) as (e). Former subsec. (e) redesignated (d). Subsec. (e)(5). Pub. L. 98-369, Sec. 474(c)(7), substituted 'subsection (b)(1)' for 'subsection (c)(1)' in provisions following subpar. (B). Pub. L. 98-369, Sec. 423(c)(4), amended par. (5) generally, substituting subpars. (A) and (B) reading: '(A) paragraph (2) or (4) of section 152(e) applies to any child with respect to any calendar year, and '(B) such child is under the age of 15 or is physically or mentally incapable of caring for himself,' for former provisions: '(A) a child (as defined in section 151(e)(3)) who is under the age of 15 or who is physically or mentally incapable of caring for himself receives over half of his support during the calendar year from his parents who are divorced or legally separated under a decree of divorce or separate maintenance or who are separated under a written separation agreement, and '(B) such child is in the custody of one or both of his parents for more than one-half of the calendar year.' and substituted in concluding text '(whichever is appropriate) with respect to the custodial parent (within the meaning of section 152(e)(1)), and shall not be treated as a qualifying individual with respect to the noncustodial parent' for ', as the case may be, with respect to that parent who has custody for a longer period during such calendar year than the other parent, and shall not be treated as being a qualifying individual with respect to such other parent.' Subsecs. (f), (g). Pub. L. 98-369, Sec. 474(c)(1), redesignated subsecs. (f) and (g) as (e) and (f), respectively. 1983 - Subsec. (b)(2). Pub. L. 98-21 substituted 'relating to credit for the elderly and the permanently and totally disabled' for 'relating to credit for the elderly'. 1981 - Subsec. (a). Pub. L. 97-34, Sec. 124(a), designated existing provisions as par. (1), substituted 'the applicable percentage' for '20 percent' in par. (1) as so designated, and added par. (2). Subsec. (c)(2)(B). Pub. L. 97-34, Sec. 124(c), designated existing provisions as cl. (i) and added cl. (ii). Subsec. (c)(2)(C), (D). Pub. L. 97-34, Sec. 124(d), added subpars. (C) and (D). Subsec. (d)(1). Pub. L. 97-34, Sec. 124(b)(1)(A), substituted '$2,400' for '$2,000'. Subsec. (d)(2). Pub. L. 97-34, Sec. 124(b)(1)(B), substituted '$4,800' for '$4,000'. Subsec. (e)(2)(A). Pub. L. 97-34, Sec. 124(b)(2)(A), substituted '$200' for '$166'. Subsec. (e)(2)(B). Pub. L. 97-34, Sec. 124(b)(2)(B), substituted '$400' for '$333'. 1978 - Subsec. (f)(6). Pub. L. 95-600 substituted provision disallowing a credit for any amount paid by a taxpayer to an individual with respect to whom, for the taxable year, a deduction under section 151(e) is allowable either to the taxpayer or his spouse or who is a child of the taxpayer who has not attained the age of 19 at the close of the taxpayer year and defining 'taxpayer year' for provision disallowing a credit for any amount paid by the taxpayer to an individual bearing a relationship described in section 152(a)(1) through (8), or a dependent described in section 152(a)(9), except that a credit was allowed for an amount paid by a taxpayer to an individual with respect to whom, for the taxable year of the taxpayer in which the service was performed, neither the taxpayer nor his spouse was entitled to a deduction under section 151(e), provided the service constituted employment within the meaning of section 3121(b). EFFECTIVE DATE OF 1988 AMENDMENT Section 703(d) of Pub. L. 100-485 provided that: 'The amendments made by this section (amending this section and sections 129 and 6109 of this title) shall apply to taxable years beginning after December 31, 1988.' EFFECTIVE DATE OF 1987 AMENDMENT Section 10101(b) of Pub. L. 100-203, as amended by Pub. L. 100-647, title II, Sec. 2004(a), Nov. 10, 1988, 102 Stat. 3598, provided that: '(1) In general. - The amendment made by subsection (a) (amending this section) shall apply to expenses paid in taxable years beginning after December 31, 1987. '(2) Special rule for cafeteria plans. - For purposes of section 125 of the Internal Revenue Code of 1986, a plan shall not be treated as failing to be a cafeteria plan solely because under the plan a participant elected before January 1, 1988, to receive reimbursement under the plan for dependent care assistance for periods after December 31, 1987, and such assistance included reimbursement for expenses at a camp where the dependent stays overnight.' EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 423(c)(4) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1984, see section 423(d) of Pub. L. 98-369, set out as a note under section 2 of this title. Section 475(a) of Pub. L. 98-369 provided that: 'The amendments made by this title (probably means subtitle F (Sec. 471-475) of title IV of Pub. L. 98-369, which enacted sections 25, 38, and 39 of this title, amended this section and sections 12, 15, 22 to 24, 27 to 35, 37, 39 to 41, 44A, 44C to 44H, 45 to 48, 51, 52, 55, 56, 86, 87, 103, 108, 129, 168, 196, 213, 280C, 381, 383, 401, 404, 409, 441, 527, 642, 691, 874, 882, 901, 904, 936, 1016, 1033, 1351, 1366, 1374, 1375, 1441, 1442, 1451, 3507, 6013, 6096, 6201, 6211, 6213, 6362, 6401, 6411, 6420, 6421, 6427, 6501, 6511, 7701, 7871, 9502, and 9503 of this title, repealed sections 38, 40, 44, 44B, 50A, 50B, and 53 of this title, and enacted provisions set out as notes under sections 30, 33, 46, and 48 of this title) shall apply to taxable years beginning after December 31, 1983, and to carrybacks from such years.' EFFECTIVE DATE OF 1983 AMENDMENT Amendment by Pub. L. 98-21 applicable to taxable years beginning after Dec. 31, 1983, except that if an individual's annuity starting date was deferred under section 105(d)(6) of this title as in effect on the day before Apr. 20, 1983, such deferral shall end on the first day of such individual's first taxable year beginning after Dec. 31, 1983, see section 122(d) of Pub. L. 98-21, set out as a note under section 22 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Section 124(f) of Pub. L. 97-34 provided that: '(1) Except as provided in paragraph (2), the amendments made by this section (amending this section and enacting section 129 of this title) shall apply to taxable years beginning after December 31, 1981. '(2) The amendments made by subsection (e)(2) (amending sections 3121, 3306, and 3401 of this title and section 409 of Title 42, The Public Health and Welfare) shall apply to remuneration paid after December 31, 1981.' EFFECTIVE DATE OF 1978 AMENDMENT Section 121(b) of Pub. L. 95-600 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1978.' EFFECTIVE DATE Section applicable to taxable years beginning after Dec. 31, 1975, see section 508 of Pub. L. 94-455, set out as an Effective Date of 1976 Amendment note under section 3 of this title. PROGRAM TO INCREASE PUBLIC AWARENESS Pub. L. 101-508, title XI, Sec. 11114, Nov. 5, 1990, 104 Stat. 1388-414, provided that: 'Not later than the first calendar year following the date of the enactment of this subtitle (Nov. 5, 1990), the Secretary of the Treasury, or the Secretary's delegate, shall establish a taxpayer awareness program to inform the taxpaying public of the availability of the credit for dependent care allowed under section 21 of the Internal Revenue Code of 1986 and the earned income credit and child health insurance under section 32 of such Code. Such public awareness program shall be designed to assure that individuals who may be eligible are informed of the availability of such credit and filing procedures. The Secretary shall use appropriate means of communication to carry out the provisions of this section.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 32, 129, 213 of this title; title 7 section 2015; title 42 section 602. ------DocID 33533 Document 48 of 2652------ -CITE- 26 USC Sec. 22 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- Sec. 22. Credit for the elderly and the permanently and totally disabled -STATUTE- (a) General rule In the case of a qualified individual, there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 15 percent of such individual's section 22 amount for such taxable year. (b) Qualified individual For purposes of this section, the term 'qualified individual' means any individual - (1) who has attained age 65 before the close of the taxable year, or (2) who retired on disability before the close of the taxable year and who, when he retired, was permanently and totally disabled. (c) Section 22 amount For purposes of subsection (a) - (1) In general An individual's section 22 amount for the taxable year shall be the applicable initial amount determined under paragraph (2), reduced as provided in paragraph (3) and in subsection (d). (2) Initial amount (A) In general Except as provided in subparagraph (B), the initial amount shall be - (i) $5,000 in the case of a single individual, or a joint return where only one spouse is a qualified individual, (ii) $7,500 in the case of a joint return where both spouses are qualified individuals, or (iii) $3,750 in the case of a married individual filing a separate return. (B) Limitation in case of individuals who have not attained age 65 (i) In general In the case of a qualified individual who has not attained age 65 before the close of the taxable year, except as provided in clause (ii), the initial amount shall not exceed the disability income for the taxable year. (ii) Special rules in case of joint return In the case of a joint return where both spouses are qualified individuals and at least one spouse has not attained age 65 before the close of the taxable year - (I) if both spouses have not attained age 65 before the close of the taxable year, the initial amount shall not exceed the sum of such spouses' disability income, or (II) if one spouse has attained age 65 before the close of the taxable year, the initial amount shall not exceed the sum of $5,000 plus the disability income for the taxable year of the spouse who has not attained age 65 before the close of the taxable year. (iii) Disability income For purposes of this subparagraph, the term 'disability income' means the aggregate amount includable in the gross income of the individual for the taxable year under section 72 or 105(a) to the extent such amount constitutes wages (or payments in lieu of wages) for the period during which the individual is absent from work on account of permanent and total disability. (3) Reduction (A) In general The reduction under this paragraph is an amount equal to the sum of the amounts received by the individual (or, in the case of a joint return, by either spouse) as a pension or annuity or as a disability benefit - (i) which is excluded from gross income and payable under - (I) title II of the Social Security Act, (II) the Railroad Retirement Act of 1974, or (III) a law administered by the Veterans' Administration, or (ii) which is excluded from gross income under any provision of law not contained in this title. No reduction shall be made under clause (i)(III) for any amount described in section 104(a)(4). (B) Treatment of certain workmen's compensation benefits For purposes of subparagraph (A), any amount treated as a social security benefit under section 86(d)(3) shall be treated as a disability benefit received under title II of the Social Security Act. (d) Adjusted gross income limitation If the adjusted gross income of the taxpayer exceeds - (1) $7,500 in the case of a single individual, (2) $10,000 in the case of a joint return, or (3) $5,000 in the case of a married individual filing a separate return, the section 22 amount shall be reduced by one-half of the excess of the adjusted gross income over $7,500, $10,000, or $5,000, as the case may be. (e) Definitions and special rules For purposes of this section - (1) Married couple must file joint return Except in the case of a husband and wife who live apart at all times during the taxable year, if the taxpayer is married at the close of the taxable year, the credit provided by this section shall be allowed only if the taxpayer and his spouse file a joint return for the taxable year. (2) Marital status Marital status shall be determined under section 7703. (3) Permanent and total disability defined An individual is permanently and totally disabled if he is unable to engage in any substantial gainful activity by reason of any medically determinable physical or mental impairment which can be expected to result in death or which has lasted or can be expected to last for a continuous period of not less than 12 months. An individual shall not be considered to be permanently and totally disabled unless he furnishes proof of the existence thereof in such form and manner, and at such times, as the Secretary may require. (f) Nonresident alien ineligible for credit No credit shall be allowed under this section to any nonresident alien. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 15, Sec. 37; Aug. 9, 1955, ch. 659, Sec. 1, 69 Stat. 591; Jan. 28, 1956, ch. 17, Sec. 1, 70 Stat. 8; Oct. 10, 1962, Pub. L. 87-792, Sec. 7(a), 76 Stat. 828; Oct. 24, 1962, Pub. L. 87-876, Sec. 1, 76 Stat. 1199; Feb. 26, 1964, Pub. L. 88-272, title I, Sec. 113(a), title II, Sec. 201(d)(3), 202(a), 78 Stat. 24, 32, 33; Sept. 2, 1974, Pub. L. 93-406, title II, Sec. 2002(g)(1), 88 Stat. 968; Oct. 4, 1976, Pub. L. 94-455, title V, Sec. 503(a), title XIX, Sec. 1901(c)(1), 90 Stat. 1559, 1803; Nov. 6, 1978, Pub. L. 95-600, title VII, Sec. 701(a)(1)-(3), 703(j)(11), 92 Stat. 2897, 2942; Apr. 1, 1980, Pub. L. 96-222, title I, Sec. 107(a)(1)(E)(i), 94 Stat. 222; Aug. 13, 1981, Pub. L. 97-34, title I, Sec. 111(b)(4), 95 Stat. 194; Apr. 20, 1983, Pub. L. 98-21, title I, Sec. 122(a), 97 Stat. 85; renumbered Sec. 22 and amended July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(d), 98 Stat. 826, 830; Oct. 22, 1986, Pub. L. 99-514, title XIII, Sec. 1301(j)(8), 100 Stat. 2658.) -REFTEXT- REFERENCES IN TEXT The Social Security Act, referred to in subsec. (c)(3)(A)(i)(I), (B), is act Aug. 14, 1935, ch. 531, 49 Stat. 620, as amended. Title II of the Social Security Act is classified generally to subchapter II (Sec. 401 et seq.) of chapter 7 of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see section 1305 of Title 42 and Tables. The Railroad Retirement Act of 1974, referred to in subsec. (c)(3)(A)(i)(II), is title I of Pub. L. 93-444, Oct. 16, 1974, 88 Stat. 1305, as amended, which is classified generally to subchapter IV (Sec. 231 et seq.) of chapter 9 of Title 45, Railroads. For complete classification of this Act to the Code, see section 231t of Title 45 and Tables. -MISC2- AMENDMENTS 1986 - Subsec. (e)(2). Pub. L. 99-514 substituted 'section 7703' for 'section 143'. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 37 of this title as this section. Subsec. (a). Pub. L. 98-369, Sec. 474(d)(1), substituted 'section 22 amount' for 'section 37 amount'. Subsec. (c). Pub. L. 98-369, Sec. 474(d)(2), substituted 'Section 22 amount' for 'Section 37 amount' in heading. Subsec. (c)(1). Pub. L. 98-369, Sec. 474(d)(1), substituted 'section 22 amount' for 'section 37 amount'. Subsec. (d). Pub. L. 98-369, Sec. 474(d)(3), amended subsec. (d) generally, striking out heading 'Limitations' and designation '(1)' before 'Adjusted gross income limitation' thereby making existing par. (1) the entire subsec. (d), redesignating existing subpars. (A), (B), and (C) as pars. (1), (2), and (3), respectively, and striking out provisions, formerly comprising par. (2), which had limited the amount of the credit allowed by this section for the taxable year to the amount of the tax imposed by this chapter for such taxable year. 1983 - Pub. L. 98-21 inserted reference to permanently and totally disabled in section catchline. Subsec. (a). Pub. L. 98-21 amended subsec. (a) generally, substituting reference to a qualified individual for reference to an individual who has attained the age of 65 before the close of the taxable year. Subsec. (b). Pub. L. 98-21 in amending section generally added subsec. (b). Former subsec. (b) redesignated (c). Subsec. (c). Pub. L. 98-21 in amending section generally, redesignated former subsec. (b) as (c) and, in (c) as so redesignated, added par. (2) and struck out former (2), which had provided that the initial amount was $2,500 in the case of a single individual, $2,500 in the case of a joint return where only one spouse was eligible for the credit under subsection (a), $3,750 in the case of a joint return where both spouses were eligible for the credit under subsection (a), or $1,875 in the case of a married individual filing a separate return, redesignated existing provisions as par. (3)(A), inserted 'benefit' after 'disability' therein, struck out former subpars. (A) to (C), which had specified sources of amounts received under title II of the Social Security Act, under the Railroad Retirement Act of 1935 or 1937, or otherwise excluded from gross income, added cls. (i) and (ii), substituted provision that no reduction would be made under cl. (i)(III) for any amount described in section 104(a)(4) for provision that no reduction would be made under former par. (3) for any amount excluded from gross income under section 72 (relating to annuities), 101 (relating to life insurance proceeds), 104 (relating to compensation for injuries or sickness), 105 (relating to amounts received under accident and health plans), 120 (relating to amounts received under qualified group legal services plans), 402 (relating to taxability of beneficiary of employees' trust), 403 (relating to taxation of employee annuities), or 405 (relating to qualified bond purchase plans), and added subpar. (B). Former subsec. (c) redesignated (d). Subsec. (d). Pub. L. 98-21 in amending section generally redesignated former subsec. (c) as (d). Former subsec. (d) redesignated (e). Subsec. (e). Pub. L. 98-21 in amending section generally, redesignated former subsec. (d) as (e) and struck out provision that 'joint return' meant the joint return of a husband and wife made under section 6013 and inserted provisions defining permanent and total disability. Former subsec. (e), which provided for an election of prior law with respect to public retirement system income, was struck out. Subsec. (f). Pub. L. 98-21 reenacted subsec. (f) without change. 1981 - Subsec. (e)(9)(B). Pub. L. 97-34 substituted 'section 911(d)(2)' for 'section 911(b)'. 1978 - Subsec. (e)(2). Pub. L. 95-600, Sec. 701(a)(1), inserted '(and whose gross income includes income described in paragraph (4)(B))' after 'who has not attained age 65 before the close of the taxable year'. Subsec. (e)(4)(B). Pub. L. 95-600, Sec. 701(a)(2), (3)(B), as amended by Pub. L. 96-222, Sec. 107(a)(1)(E)(i), inserted 'and who performed the services giving rise to the pension or annuity (or is the spouse of the individual who performed the services)' after 'before the close of the taxable year' and substituted reference to paragraph (9)(A) for reference to paragraph (8)(A). Subsec. (e)(5)(B). Pub. L. 95-600, Sec. 701(a)(3)(C), as amended by Pub. L. 96-222, Sec. 107(a)(1)(E)(i), substituted reference to paragraph (9)(A) for reference to paragraph (8)(A). Subsec. (e)(8), (9). Pub. L. 95-600, Sec. 701(a)(3)(A), as amended by Pub. L. 96-222, Sec. 107(a)(1)(E)(i), added par. (8) and redesignated former par. (8) as (9). 1976 - Pub. L. 94-455, Sec. 503(a), among other changes, substituted 'Credits for the elderly' for 'Retirement income' in section catchline and in text substituted provisions permitting taxpayers who have all types of income to be eligible for the tax credit for provisions permitting taxpayers who have only retirement income to be eligible for the tax credit, eliminated provisions requiring taxpayers to earn $600 for the previous ten years for tax credit eligibility and provisions relating variations in treatment of married couples, and inserted provisions broadening coverage of the tax credit relief to low and middle income taxpayers. Pub. L. 94-455, Sec. 1901(c)(1), purported to amend subsec. (f) of this section by striking out 'a Territory'. The amendment could not be executed in view of the prior general amendment of this section by section 503(a) of Pub. L. 94-455. Section 1901(c)(1) was repealed by section 703(j)(11) of Pub. L. 95-600. 1974 - Subsec. (c)(1)(E), (F). Pub. L. 93-406 inserted reference in subpar. (E) to retirement bonds described in section 409 and added subpar. (F). 1964 - Subsec. (a). Pub. L. 88-272, Sec. 113(a), 201(d)(3), substituted 'an amount equal to 17 percent, in the case of a taxable year beginning in 1964, or 15 percent, in the case of a taxable year beginning after December 31, 1964, of the amount received by such individual as retirement income (as defined in subsection (c) and as limited by subsection (d));' for 'an amount equal to the amount received by such individual as retirement income (as defined in subsection (c) and as limited by subsection (d)), multiplied by the rate provided in section 1 for the first $2,000 of taxable income;', and struck out 'section 34 (relating to credit for dividends received by individuals)', before 'and section 35'. Subsecs. (i), (j). Pub. L. 88-272, Sec. 202(a), added subsec. (i) and redesignated former subsec. (i) as (j). 1962 - Subsec. (c)(1). Pub. L. 87-792 inserted provisions in subpar. (A) requiring inclusion, in the case of an individual who is, or has been, an employee within the meaning of section 401(c)(1), distributions by a trust described in section 401(a) which is exempt from tax under section 501(a), and added subpar. (E). Subsec. (d). Pub. L. 87-876 increased the limit on retirement income from $1,200 to $1,524, lowered the age requirement in par. (2)(A) from 65 to 62, and substituted provisions in par. (2)(B) which reduce the amount of retirement income for individuals who reach age 62, by one-half the amount of earned income in excess of $1,200 but not in excess of $1,700, and by the amount received over $1,700, for provisions which reduced such income by the amount earned over $1,200 by persons having reached age 65, and which defined income as in subsec. (g) of this section. 1956 - Subsec. (d)(2). Act Jan. 28, 1956, reduced from 75 to 72 the age at which there will be no limitation on earned income and increased from $900 to $1,200 the amount that an individual over 65 can earn without reducing the $1,200 on which the retirement credit is computed. 1955 - Subsec. (f). Act Aug. 9, 1955, extended the retirement income tax credit to members of the Armed Forces. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99-514 applicable to bonds issued after Aug. 15, 1986, except as otherwise provided, see sections 1311 to 1318 of Pub. L. 99-514, set out as an Effective Date; Transitional Rules note under section 141 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 474(d) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. EFFECTIVE DATE OF 1983 AMENDMENT Section 122(d) of Pub. L. 98-21, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - The amendments made by this section (amending sections 37 (now 22), 41 (now 24), 44A (now 21), 46, 53, 85, 105, 128, 403, 415, 904, and 7871 of this title) shall apply to taxable years beginning after December 31, 1983. '(2) Transitional rule. - If an individual's annuity starting date was deferred under section 105(d)(6) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as in effect on the day before the date of the enactment of this section (Apr. 20, 1983)), such deferral shall end on the first day of such individual's first taxable year beginning after December 31, 1983.' EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97-34 applicable with respect to taxable years beginning after Dec. 31, 1981, see section 115 of Pub. L. 97-34, set out as a note under section 911 of this title. EFFECTIVE DATE OF 1978 AMENDMENT Section 701(a)(4) of Pub. L. 95-600 provided that: '(A) The amendments made by paragraphs (1) and (2) (amending this section) shall apply to taxable years beginning after December 31, 1975. '(B) The amendments made by paragraph (3) (amending this section) shall apply to taxable years beginning after December 31, 1977.' EFFECTIVE DATE OF 1976 AMENDMENT Amendment by Pub. L. 94-455 applicable with respect to taxable years beginning after Dec. 31, 1975, see section 508 of Pub. L. 94-455, set out as a note under section 3 of this title. EFFECTIVE DATE OF 1974 AMENDMENT Amendment by Pub. L. 93-406 effective Jan. 1, 1974, see section 2002(i)(2) of Pub. L. 93-406, set out as an Effective Date note under section 4973 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Amendment by section 113(a) of Pub. L. 88-272, except for purposes of section 21 (now 15) of this title, effective with respect to taxable years beginning after Dec. 31, 1963, see section 131 of Pub. L. 88-272, set out as a note under section 1 of this title. Section 201(e) of Pub. L. 88-272 provided that: 'The amendments made by subsection (a) (amending section 34 of this title) shall apply with respect to taxable years ending after December 31, 1963. The amendment made by subsection (b) (repealing section 34 of this title) shall apply with respect to taxable years ending after December 31, 1964. The amendment made by subsection (c) (amending section 116 of this title) shall apply with respect to taxable years beginning after December 31, 1963. The amendments made by subsection (d) (amending sections 35, 37 (now 22), 46, 116, 584, 642, 702, 854, 857, 871, 1375, and 6014 of this title) shall apply with respect to dividends received after December 31, 1964, in taxable years ending after such date'. Section 202(b) of Pub. L. 88-272 provided that: 'The amendments made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1963.' EFFECTIVE DATE OF 1962 AMENDMENTS Section 2 of Pub. L. 87-876 provided that: 'The amendment made by the first section of this Act (amending this section) shall apply only to taxable years ending after the date of the enactment of this Act (Oct. 24, 1962).' Section 8 of Pub. L. 87-792 provided that: 'The amendments made by this Act (enacting sections 405 and 6047 of this title and amending sections 37 (now 22), 62, 72, 101, 104, 105, 172, 401 to 404, 503, 805, 1361, 2039, 2517, 3306, 3401 and 7207 of this title) shall apply to taxable years beginning after December 31, 1962.' EFFECTIVE DATE OF 1956 AMENDMENT Section 2 of act Jan. 28, 1956, provided that: 'The amendment made by the first section of this Act (amending this section) shall apply only with respect to taxable years beginning after December 31, 1955.' EFFECTIVE DATE OF 1955 AMENDMENT Section 2 of act Aug. 9, 1955, provided that: 'The amendment made by this Act (amending this section) shall be applicable to taxable years beginning after December 31, 1954.' DETERMINATION OF RETIREMENT INCOME CREDIT UNDER PROVISIONS AS THEY EXISTED PRIOR TO AMENDMENT BY PUB. L. 94-455 ELECTION Pub. L. 95-30, title IV, Sec. 403, May 23, 1977, 91 Stat. 155, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'A taxpayer may elect (at such time and in such manner as the Secretary of the Treasury or his delegate shall prescribe) to determine the amount of his credit under section 37 (now 22) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) for his first taxable year beginning in 1976 under the provisions of such section as they existed before the amendment made by section 503 of the Tax Reform Act of 1976 (Pub. L. 94-455).' -CROSS- CROSS REFERENCES Dividends received credit not allowed on distributions of electing small business corporations, see section 1375 of this title. Disallowance of credit where tax is computed by Secretary or his delegate, see section 6014 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 32, 86, 151, 415 of this title. ------DocID 33534 Document 49 of 2652------ -CITE- 26 USC Sec. 23 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- (Sec. 23. Repealed. Pub. L. 101-508, title XI, Sec. 11801(a)(1), Nov. 5, 1990, 104 Stat. 1388-520) -MISC1- Section, added Pub. L. 95-618, title I, Sec. 101(a), Nov. 9, 1978, 92 Stat. 3175, Sec. 44C; amended Pub. L. 96-223, title II, Sec. 201, 202(a)-(d), 203(a), Apr. 2, 1980, 94 Stat. 256, 258; renumbered Sec. 23 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(e), title VI, Sec. 612(e)(2), July 18, 1984, 98 Stat. 826, 831, 912, related to residential energy credit. ------DocID 33535 Document 50 of 2652------ -CITE- 26 USC Sec. 24 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- (Sec. 24. Repealed. Pub. L. 99-514, title I, Sec. 112(a), Oct. 22, 1986, 100 Stat. 2108) -MISC1- Section, added Pub. L. 92-178, title VII, Sec. 701(a), Dec. 10, 1971, 85 Stat. 560, Sec. 41, and amended Pub. L. 93-625, Sec. 11(a)-(c), (e), 12(a), Jan. 3, 1975, 88 Stat. 2119, 2120; Pub. L. 94-455, title V, Sec. 503(b)(4), title XIX, Sec. 1901(b)(1)(B), (H)(ii), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1562, 1790, 1791, 1834; Pub. L. 95-600, title I, Sec. 113(c), Nov. 6, 1978, 92 Stat. 2778; Pub. L. 97-473, title II, Sec. 202(b)(1), Jan. 14, 1983, 96 Stat. 2609; Pub. L. 98-21, title I, Sec. 122(c)(1), Apr. 20, 1983, 97 Stat. 87; renumbered Sec. 24 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(f), July 18, 1984, 98 Stat. 826, 831, related to contributions to candidates for public office. EFFECTIVE DATE OF REPEAL Repeal applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as an Effective Date of 1986 Amendment note under section 1 of this title. ------DocID 33536 Document 51 of 2652------ -CITE- 26 USC Sec. 25 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart A -HEAD- Sec. 25. Interest on certain home mortgages -STATUTE- (a) Allowance of credit (1) In general There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the product of - (A) the certificate credit rate, and (B) the interest paid or accrued by the taxpayer during the taxable year on the remaining principal of the certified indebtedness amount. (2) Limitation where credit rate exceeds 20 percent (A) In general If the certificate credit rate exceeds 20 percent, the amount of the credit allowed to the taxpayer under paragraph (1) for any taxable year shall not exceed $2,000. (B) Special rule where 2 or more persons hold interests in residence If 2 or more persons hold interests in any residence, the limitation of subparagraph (A) shall be allocated among such persons in proportion to their respective interests in the residence. (b) Certificate credit rate; certified indebtedness amount For purposes of this section - (1) Certificate credit rate The term 'certificate credit rate' means the rate of the credit allowable by this section which is specified in the mortgage credit certificate. (2) Certified indebtedness amount The term 'certified indebtedness amount' means the amount of indebtedness which is - (A) incurred by the taxpayer - (i) to acquire the principal residence of the taxpayer, (ii) as a qualified home improvement loan (as defined in section 143(k)(4)) with respect to such residence, or (iii) as a qualified rehabilitation loan (as defined in section 143(k)(5)) with respect to such residence, and (B) specified in the mortgage credit certificate. (c) Mortgage credit certificate; qualified mortgage credit certificate program For purposes of this section - (1) Mortgage credit certificate The term 'mortgage credit certificate' means any certificate which - (A) is issued under a qualified mortgage credit certificate program by the State or political subdivision having the authority to issue a qualified mortgage bond to provide financing on the principal residence of the taxpayer, (B) is issued to the taxpayer in connection with the acquisition, qualified rehabilitation, or qualified home improvement of the taxpayer's principal residence, (C) specifies - (i) the certificate credit rate, and (ii) the certified indebtedness amount, and (D) is in such form as the Secretary may prescribe. (2) Qualified mortgage credit certificate program (A) In general The term 'qualified mortgage credit certificate program' means any program - (i) which is established by a State or political subdivision thereof for any calendar year for which it is authorized to issue qualified mortgage bonds, (ii) under which the issuing authority elects (in such manner and form as the Secretary may prescribe) not to issue an amount of private activity bonds which it may otherwise issue during such calendar year under section 146, (iii) under which the indebtedness certified by mortgage credit certificates meets the requirements of the following subsections of section 143 (as modified by subparagraph (B) of this paragraph): (I) subsection (c) (relating to residence requirements), (II) subsection (d) (relating to 3-year requirement), (III) subsection (e) (relating to purchase price requirement), (IV) subsection (f) (relating to income requirements), (V) subsection (h) (relating to portion of loans required to be placed in targeted areas), and (VI) paragraph (1) of subsection (i) (relating to other requirements), (iv) under which no mortgage credit certificate may be issued with respect to any residence any of the financing of which is provided from the proceeds of a qualified mortgage bond or a qualified veterans' mortgage bond, (v) except to the extent provided in regulations, which is not limited to indebtedness incurred from particular lenders, (vi) except to the extent provided in regulations, which provides that a mortgage credit certificate is not transferrable, and (vii) if the issuing authority allocates a block of mortgage credit certificates for use in connection with a particular development, which requires the developer to furnish to the issuing authority and the homebuyer a certificate that the price for the residence is no higher than it would be without the use of a mortgage credit certificate. Under regulations, rules similar to the rules of subparagraphs (B) and (C) of section 143(a)(2) shall apply to the requirements of this subparagraph. (B) Modifications of section 143 Under regulations prescribed by the Secretary, in applying section 143 for purposes of subclauses (II), (IV), and (V) of subparagraph (A)(iii) - (i) each qualified mortgage certificate credit program shall be treated as a separate issue, (ii) the product determined by multiplying - (I) the certified indebtedness amount of each mortgage credit certificate issued under such program, by (II) the certificate credit rate specified in such certificate, shall be treated as proceeds of such issue and the sum of such products shall be treated as the total proceeds of such issue, and (iii) paragraph (1) of section 143(d) shall be applied by substituting '100 percent' for '95 percent or more'. Clause (iii) shall not apply if the issuing authority submits a plan to the Secretary for administering the 95-percent requirement of section 143(d)(1) and the Secretary is satisfied that such requirement will be met under such plan. (d) Determination of certificate credit rate For purposes of this section - (1) In general The certificate credit rate specified in any mortgage credit certificate shall not be less than 10 percent or more than 50 percent. (2) Aggregate limit on certificate credit rates (A) In general In the case of each qualified mortgage credit certificate program, the sum of the products determined by multiplying - (i) the certified indebtedness amount of each mortgage credit certificate issued under such program, by (ii) the certificate credit rate with respect to such certificate, shall not exceed 25 percent of the nonissued bond amount. (B) Nonissued bond amount For purposes of subparagraph (A), the term 'nonissued bond amount' means, with respect to any qualified mortgage credit certificate program, the amount of qualified mortgage bonds which the issuing authority is otherwise authorized to issue and elects not to issue under subsection (c)(2)(A)(ii). (e) Special rules and definitions For purposes of this section - (1) Carryforward of unused credit (A) In general If the credit allowable under subsection (a) for any taxable year exceeds the applicable tax limit for such taxable year, such excess shall be a carryover to each of the 3 succeeding taxable years and, subject to the limitations of subparagraph (B), shall be added to the credit allowable by subsection (a) for such succeeding taxable year. (B) Limitation The amount of the unused credit which may be taken into account under subparagraph (A) for any taxable year shall not exceed the amount (if any) by which the applicable tax limit for such taxable year exceeds the sum of - (i) the credit allowable under subsection (a) for such taxable year determined without regard to this paragraph, and (ii) the amounts which, by reason of this paragraph, are carried to such taxable year and are attributable to taxable years before the unused credit year. (C) Applicable tax limit For purposes of this paragraph, the term 'applicable tax limit' means the limitation imposed by section 26(a) for the taxable year reduced by the sum of the credits allowable under this subpart (other than this section). (2) Indebtedness not treated as certified where certain requirements not in fact met Subsection (a) shall not apply to any indebtedness if all the requirements of subsection (c)(1), (d), (e), (f), and (i) of section 143 and clauses (iv), (v), and (vii) of subsection (c)(2)(A), were not in fact met with respect to such indebtedness. Except to the extent provided in regulations, the requirements described in the preceding sentence shall be treated as met if there is a certification, under penalty of perjury, that such requirements are met. (3) Period for which certificate in effect (A) In general Except as provided in subparagraph (B), a mortgage credit certificate shall be treated as in effect with respect to interest attributable to the period - (i) beginning on the date such certificate is issued, and (ii) ending on the earlier of the date on which - (I) the certificate is revoked by the issuing authority, or (II) the residence to which such certificate relates ceases to be the principal residence of the individual to whom the certificate relates. (B) Certificate invalid unless indebtedness incurred within certain period A certificate shall not apply to any indebtedness which is incurred after the close of the second calendar year following the calendar year for which the issuing authority made the applicable election under subsection (c)(2)(A)(ii). (C) Notice to Secretary when certificate revoked Any issuing authority which revokes any mortgage credit certificate shall notify the Secretary of such revocation at such time and in such manner as the Secretary shall prescribe by regulations. (4) Reissuance of mortgage credit certificates The Secretary may prescribe regulations which allow the administrator of a mortgage credit certificate program to reissue a mortgage credit certificate specifying a certified mortgage indebtedness that replaces the outstanding balance of the certified mortgage indebtedness specified on the original certificate to any taxpayer to whom the original certificate was issued, under such terms and conditions as the Secretary determines are necessary to ensure that the amount of the credit allowable under subsection (a) with respect to such reissued certificate is equal to or less than the amount of credit which would be allowable under subsection (a) with respect to the original certificate for any taxable year ending after such reissuance. (5) Public notice that certificates will be issued At least 90 days before any mortgage credit certificate is to be issued after a qualified mortgage credit certificate program, the issuing authority shall provide reasonable public notice of - (A) the eligibility requirements for such certificate, (B) the methods by which such certificates are to be issued, and (C) such other information as the Secretary may require. (6) Interest paid or accrued to related persons No credit shall be allowed under subsection (a) for any interest paid or accrued to a person who is a related person to the taxpayer (within the meaning of section 144(a)(3)(A)). (7) Principal residence The term 'principal residence' has the same meaning as when used in section 1034. (8) Qualified rehabilitation and home improvement (A) Qualified rehabilitation The term 'qualified rehabilitation' has the meaning given such term by section 143(k)(5)(B). (B) Qualified home improvement The term 'qualified home improvement' means an alteration, repair, or improvement described in section 143(k)(4). (9) Qualified mortgage bond The term 'qualified mortgage bond' has the meaning given such term by section 143(a)(1). (10) Manufactured housing For purposes of this section, the term 'single family residence' includes any manufactured home which has a minimum of 400 square feet of living space and a minimum width in excess of 102 inches and which is of a kind customarily used at a fixed location. Nothing in the preceding sentence shall be construed as providing that such a home will be taken into account in making determinations under section 143. (f) Reduction in aggregate amount of qualified mortgage bonds which may be issued where certain requirements not met (1) In general If for any calendar year any mortgage credit certificate program which satisfies procedural requirements with respect to volume limitations prescribed by the Secretary fails to meet the requirements of paragraph (2) of subsection (d), such requirements shall be treated as satisfied with respect to any certified indebtedness of such program, but the applicable State ceiling under subsection (d) of section 146 for the State in which such program operates shall be reduced by 1.25 times the correction amount with respect to such failure. Such reduction shall be applied to such State ceiling for the calendar year following the calendar year in which the Secretary determines the correction amount with respect to such failure. (2) Correction amount (A) In general For purposes of paragraph (1), the term 'correction amount' means an amount equal to the excess credit amount divided by 0.25. (B) Excess credit amount (i) In general For purposes of subparagraph (A)(ii), the term 'excess credit amount' means the excess of - (I) the credit amount for any mortgage credit certificate program, over (II) the amount which would have been the credit amount for such program had such program met the requirements of paragraph (2) of subsection (d). (ii) Credit amount For purposes of clause (i), the term 'credit amount' means the sum of the products determined under clauses (i) and (ii) of subsection (d)(2)(A). (3) Special rule for States having constitutional home rule cities In the case of a State having one or more constitutional home rule cities (within the meaning of section 146(d)(3)(C)), the reduction in the State ceiling by reason of paragraph (1) shall be allocated to the constitutional home rule city, or to the portion of the State not within such city, whichever caused the reduction. (4) Exception where certification program The provisions of this subsection shall not apply in any case in which there is a certification program which is designed to ensure that the requirements of this section are met and which meets such requirements as the Secretary may by regulations prescribe. (5) Waiver The Secretary may waive the application of paragraph (1) in any case in which he determines that the failure is due to reasonable cause. (g) Reporting requirements Each person who makes a loan which is a certified indebtedness amount under any mortgage credit certificate shall file a report with the Secretary containing - (1) the name, address, and social security account number of the individual to which the certificate was issued, (2) the certificate's issuer, date of issue, certified indebtedness amount, and certificate credit rate, and (3) such other information as the Secretary may require by regulations. Each person who issues a mortgage credit certificate shall file a report showing such information as the Secretary shall by regulations prescribe. Any such report shall be filed at such time and in such manner as the Secretary may require by regulations. (h) Termination No election may be made under subsection (c)(2)(A)(ii) for any period after December 31, 1991. (i) Regulations; contracts (1) Regulations The Secretary shall prescribe such regulations as may be necessary to carry out the purposes of this section, including regulations which may require recipients of mortgage credit certificates to pay a reasonable processing fee to defray the expenses incurred in administering the program. (2) Contracts The Secretary is authorized to enter into contracts with any person to provide services in connection with the administration of this section. (j) Recapture of portion of Federal subsidy from use of mortgage credit certificates For provisions increasing the tax imposed by this chapter to recapture a portion of the Federal subsidy from the use of mortgage credit certificates, see section 143(m). -SOURCE- (Added Pub. L. 98-369, div. A, title VI, Sec. 612(a), July 18, 1984, 98 Stat. 905, and amended Pub. L. 99-514, title XIII, Sec. 1301(f), title XVIII, Sec. 1862(a)-(d)(1), 1899A(1), Oct. 22, 1986, 100 Stat. 2655, 2883, 2884, 2958; Pub. L. 100-647, title I, Sec. 1013(a)(25), (26), title IV, Sec. 4005(a)(2), (g)(7), Nov. 10, 1988, 102 Stat. 3543, 3645, 3651; Pub. L. 101-239, title VII, Sec. 7104(b), Dec. 19, 1989, 103 Stat. 2305; Pub. L. 101-508, title XI, Sec. 11408(b), Nov. 5, 1990, 104 Stat. 1388-477.) -MISC1- PRIOR PROVISIONS A prior section 25 was renumbered section 26 of this title. AMENDMENTS 1990 - Subsec. (h). Pub. L. 101-508 substituted 'December 31, 1991' for 'September 30, 1990'. 1989 - Subsec. (h). Pub. L. 101-239 substituted 'for any period after September 30, 1990' for 'for any calendar year after 1989'. 1988 - Subsec. (c)(2)(A)(ii). Pub. L. 100-647, Sec. 1013(a)(25), amended Pub. L. 99-514, Sec. 1301(f)(2)(C)(ii), see 1986 Amendment note below. Subsec. (h). Pub. L. 100-647, Sec. 4005(a)(2), substituted '1989' for '1988'. Pub. L. 100-647, Sec. 1013(a)(26), substituted '1988' for '1987'. Subsec. (j). Pub. L. 100-647, Sec. 4005(g)(7), added subsec. (j). 1986 - Subsec. (a)(1)(B). Pub. L. 99-514, Sec. 1862(d)(1), substituted 'paid or accrued' for 'paid or incurred'. Subsec. (b)(2)(A)(ii). Pub. L. 99-514, Sec. 1301(f)(2)(A), substituted 'section 143(k)(4)' for 'section 103A(l)(6)'. Subsec. (b)(2)(A)(iii). Pub. L. 99-514, Sec. 1301(f)(2)(B), substituted 'section 143(k)(5)' for 'section 103A(l)(7)'. Subsec. (c)(2)(A). Pub. L. 99-514, Sec. 1301(f)(2)(E), substituted 'section 143(a)(2)' for 'section 103A(c)(2)' in provision following cl. (vii). Pub. L. 99-514, Sec. 1862(b), inserted 'Under regulations, rules similar to the rules of subparagraphs (B) and (C) of section 103A(c)(2) shall apply to the requirements of this subparagraph.' Subsec. (c)(2)(A)(ii). Pub. L. 99-514, Sec. 1301(f)(2)(C)(ii), as amended by Pub. L. 100-647, Sec. 1013(a)(25), substituted 'private activity bonds which it may otherwise issue during such calendar year under section 146' for 'qualified mortgage bonds which it may otherwise issue during such calendar year under section 103A'. Subsec. (c)(2)(A)(iii). Pub. L. 99-514, Sec. 1301(f)(2)(C)(i), substituted 'section 143' for 'section 103A' in introductory provisions, added subcls. (I) to (VI), and struck out former subcls. (I) to (V) which read as follows: '(I) subsection (d) (relating to residence requirements), '(II) subsection (e) (relating to 3-year requirement), '(III) subsection (f) (relating to purchase price requirement), '(IV) subsection (h) (relating to portion of loans required to be placed in targeted areas), and '(V) subsection (j), other than paragraph (2) thereof (relating to other requirements),'. Subsec. (c)(2)(A)(iii)(V). Pub. L. 99-514, Sec. 1862(a), substituted 'subsection (j), other than paragraph (2) thereof' for 'paragraph (1) of subsection (j)'. Subsec. (c)(2)(B). Pub. L. 99-514, Sec. 1301(f)(2)(C)(i), substituted in heading and introductory provisions 'section 143' for 'section 103A'. Pub. L. 99-514, Sec. 1301(f)(2)(F), inserted in introductory provisions reference to subcl. (V), added cl. (iii) and closing provisions, and struck out former cl. (iii) and closing provisions which read as follows: '(iii) paragraph (1) of section 103A(e) shall be applied by substituting '100 percent' for '90 percent or more'. Clause (iii) shall not apply if the issuing authority submits a plan to the Secretary for administering the 90-percent requirement of section 103A(e)(1) and the Secretary is satisfied that such requirement will be met under such plan.' Subsec. (d)(2)(A). Pub. L. 99-514, Sec. 1301(f)(1)(A), substituted '25 percent' for '20 percent' in concluding provisions. Subsec. (d)(3). Pub. L. 99-514, Sec. 1301(f)(2)(G), struck out par. (3) 'Additional limit in certain cases' which read as follows: 'In the case of a qualified mortgage credit certificate program in a State which - '(A) has a State ceiling (as defined in section 103A(g)(4)) for the year an election is made that exceeds 20 percent of the average annual aggregate principal amount of mortgages executed during the immediately preceding 3 calendar years for single family owner-occupied residences located within the jurisdiction of such State, or '(B) issued qualified mortgage bonds in an aggregate amount less than $150,000,000 for calendar year 1983, the certificate credit rate for any mortgage credit certificate shall not exceed 20 percent unless the issuing authority submits a plan to the Secretary to ensure that the weighted average of the certificate credit rates in such mortgage credit certificate program does not exceed 20 percent and the Secretary approves such plan.' Subsec. (e)(1)(B). Pub. L. 99-514, Sec. 1862(c), amended subpar. (B) generally. Prior to amendment, subpar. (B) 'Limitations' read as follows: 'The amount of the unused credit which may be taken into account under subparagraph (A) for any taxable year shall not exceed the amount by which the applicable tax limit for such taxable year exceeds the sum of the amounts which, by reason of this paragraph, are carried to such taxable year and are attributable to taxable years before the unused credit year.' Subsec. (e)(2). Pub. L. 99-514, Sec. 1301(f)(2)(H), substituted 'subsections (c)(1), (d), (e), (f), and (i) of section 143' for 'subsection (d)(1), (e), (f), and (j) of section 103A'. Subsec. (e)(6). Pub. L. 99-514, Sec. 1301(f)(2)(I), substituted 'section 144(a)(3)(A)' for 'section 103(b)(6)(C)(i)'. Subsec. (e)(8)(A). Pub. L. 99-514, Sec. 1301(f)(2)(J), substituted 'section 143(k)(5)(B)' for 'section 103A(l)(7)(B)'. Subsec. (e)(8)(B). Pub. L. 99-514, Sec. 1301(f)(2)(K), substituted 'section 143(k)(4)' for 'section 103A(l)(6)'. Subsec. (e)(9). Pub. L. 99-514, Sec. 1301(f)(2)(L), substituted 'section 143(a)(1)' for 'section 103A(c)(1)'. Subsec. (e)(10). Pub. L. 99-514, Sec. 1301(f)(2)(M), substituted 'section 143' for 'section 103A'. Subsec. (f)(1). Pub. L. 99-514, Sec. 1301(f)(2)(N), substituted 'subsection (d) of section 146' for 'paragraph (4) of section 103A(g)'. Subsec. (f)(2)(A). Pub. L. 99-514, Sec. 1301(f)(1)(B), substituted '0.25' for '0.20'. Subsec. (f)(3). Pub. L. 99-514, Sec. 1301(f)(2)(O), substituted 'section 146(d)(3)(C)' for 'section 103A(g)(5)(C)'. Subsec. (f)(4). Pub. L. 99-514, Sec. 1899A(1), substituted 'ensure' for 'insure'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by Pub. L. 101-508 applicable to elections for periods after Sept. 30, 1990, see section 11408(d)(2) of Pub. L. 101-508, set out as a note under section 143 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by section 1013(a)(25), (26) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. Amendment by section 4005(a)(2) of Pub. L. 100-647 applicable to bonds issued, and nonissued bond amounts elected, after Dec. 31, 1988, see section 4005(h)(1) of Pub. L. 100-647, set out as a note under section 143 of this title. Amendment by section 4005(g)(7) of Pub. L. 100-647 applicable to financing provided, and mortgage credit certificates issued, after Dec. 31, 1990, with certain exceptions, see section 4005(h)(3) of Pub. L. 100-647, set out as a note under section 143 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 1301(f)(1) of Pub. L. 99-514 applicable to nonissued bond amounts elected after Aug. 15, 1986, and amendment by section 1301(f)(2) of Pub. L. 99-514 applicable to certificates issued with respect to nonissued bond amounts elected after Aug. 15, 1986, see section 1311(b) of Pub. L. 99-514, as amended, set out as an Effective Date; Transitional Rules note under section 141 of this title. Amendment by section 1862(a)-(d)(1) of Pub. L. 99-514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment relates, see section 1881 of Pub. L. 99-514, set out as a note under section 48 of this title. EFFECTIVE DATE Section 612(g) of Pub. L. 98-369, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - Except as otherwise provided in this subsection, the amendments made by this section (enacting this section and section 6708 of this title, redesignating former section 25 as 26, and amending sections 23, 28 to 30, 38, 55, 103A, 163, 168, and 901 of this title) shall apply to interest paid or accrued after December 31, 1984, on indebtedness incurred after December 31, 1984. '(2) Elections. - The amendments made by this section shall apply to elections under section 25(c)(2)(A)(ii) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as added by this section) for calendar years after 1983.' PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 143, 146, 163, 6708 of this title. ------DocID 8979 Document 52 of 2652------ -CITE- 5 USC APPENDIX - REORGANIZATION PLAN NO. 26 OF 1950 -EXPCITE- TITLE 5 APPENDIX REORGANIZATION PLANS REORGANIZATION PLAN NO -HEAD- REORGANIZATION PLAN NO. 26 OF 1950 -MISC1- EFF. JULY 31, 1950, 15 F.R. 4935, 64 STAT. 1280, AS AMENDED MAY 18, 1972, PUB. L. 92-302, SEC. 1(D), 86 STAT. 149; SEPT. 13, 1982, PUB. L. 97-258, SEC. 5(B), 96 STAT. 1068, 1085 Prepared by the President and transmitted to the Senate and the House of Representatives in Congress assembled, May 31, 1950, pursuant to the provisions of the Reorganization Act of 1949, approved June 20, 1949 (see 5 U.S.C. 901 et seq.). DEPARTMENT OF THE TREASURY SECTION 1. TRANSFER OF FUNCTIONS TO THE SECRETARY (Repealed. Pub. L. 97-258, Sec. 5(b), Sept. 13, 1982, 96 Stat. 1068, 1085. Section transferred to the Secretary of the Treasury all functions of all other officers of the Department and all functions of all agencies and employees of the Department, excluded from transfer functions vested by the Administrative Procedure Act in hearing examiners and functions vested by law in the Comptroller of the Currency, and provided that the Coast Guard would operate as part of the Navy in time of war or when directed by the President. See 31 U.S.C. 321 and 49 U.S.C. 108.) SEC. 2. PERFORMANCE OF FUNCTIONS OF SECRETARY (Repealed. Pub. L. 97-258, Sec. 5(b), Sept. 13, 1982, 96 Stat. 1068, 1085. Section authorized the Secretary of the Treasury to delegate functions vested in him to any agency, officer, or employee of the Department. See 31 U.S.C. 321.) SEC. 3. ADMINISTRATIVE ASSISTANT SECRETARY (Repealed. Pub. L. 92-302, Sec. 1(d), May 18, 1972, 86 Stat. 149. Section provided for an Administrative Assistant Secretary of the Treasury, his duties and compensation. See 31 U.S.C. 301.) SEC. 4. INCIDENTAL TRANSFERS (Repealed. Pub. L. 97-258, Sec. 5(b), Sept. 13, 1982, 96 Stat. 1068, 1085. Section authorized the Secretary of the Treasury to effect transfers within the Department of records, property, personnel, and unexpended balances etc., necessary to carry out this reorganization plan. See 31 U.S.C. 321.) MESSAGE OF THE PRESIDENT To the Congress of the United States: I transmit herewith Reorganization Plan No. 26 of 1950, prepared in accordance with the Reorganization Act of 1949 and effecting reorganizations in the Department of the Treasury. The reorganizations included in this plan are identical with those contained in Reorganization Plan No. 1 of 1950, except that the functions of the Comptroller of the Currency are unaffected by Reorganization Plan No. 26 of 1950. In transmitting Reorganization Plan No. 1 of 1950 on March 13, I stated that the reorganizations contained therein were essential to clarification of the lines of authority and responsibility in the executive branch. I further emphasized that those reorganizations would put into effect in the Department of the Treasury the principal remaining recommendations of the Commission on Organization of the Executive Branch of the Government affecting the location of management responsibility. I urged the Congress to add its approval to my acceptance of these recommendations of the Commission on Organization. On May 11 the Senate disapproved Reorganization Plan No. 1 of 1950. The reason for the disapproval was the inclusion of the functions of the Comptroller of the Currency among the responsibilities proposed to be transferred to the Secretary of the Treasury. Accordingly, in order to meet the objection which led to such disapproval and to preserve the major benefits of the disapproved plan, Reorganization Plan No. 26 of 1950 is transmitted herewith. After investigation I have found and hereby declare that each reorganization included in Reorganization Plan No. 26 of 1950 is necessary to accomplish one or more of the purposes set forth in section 2(a) of the Reorganization Act of 1949. I have found and hereby declare that it is necessary to include in the accompanying reorganization plan, by reason of reorganizations made thereby, provisions for the appointment and compensation of an Administrative Assistant Secretary of the Treasury. The rate of compensation fixed for this officer is that which I have found to prevail in respect of comparable officers in the executive branch of the Government. The taking effect of the reorganizations included in this plan may not in itself result in substantial immediate savings. However, many benefits in improved operations are probable during the next years which will result in a reduction in expenditures as compared with those that would be otherwise necessary. An itemization of these reductions in advance of actual experience under this plan is not practicable. Harry S. Truman. The White House, May 31, 1950. APPLICABILITY OF 1950 REORG. PLAN NO. 26 TO REVENUE ACT OF 1951 Section 616 of the Revenue Act of 1951 act, Oct. 20, 1951, ch. 521, title VI, 65 Stat. 569, provided that the provisions of 1950 Reorg. Plan No. 26 should be applicable to all functions vested by such act in any officer, employee, or agency of the Department of the Treasury. ------DocID 33538 Document 53 of 2652------ -CITE- 26 USC Subpart B -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart B -HEAD- Subpart B - Foreign Tax Credit, Etc. -MISC1- Sec. 27. Taxes of foreign countries and possessions of the United States; possession tax credit. 28. Clinical testing expenses for certain drugs for rare diseases or conditions. 29. Credit for producing fuel from a nonconventional source. (30. Renumbered.) AMENDMENTS 1986 - Pub. L. 99-514, title II, Sec. 231(d)(3)(J), Oct. 22, 1986, 100 Stat. 2180, struck out item 30 'Credit for increasing research activities'. 1984 - Pub. L. 98-369, div. A, title IV, Sec. 471(b), July 18, 1984, 98 Stat. 826, added subpart B heading and analysis of sections for subpart B consisting of items 27 (formerly 33), 28 (formerly 44H), 29 (formerly 44D), and 30 (formerly 44F). Former subpart B was redesignated E. -SECREF- SUBPART REFERRED TO IN OTHER SECTIONS This subpart is referred to in sections 38, 42, 49, 50, 53, 469, 6401 of this title. ------DocID 33539 Document 54 of 2652------ -CITE- 26 USC Sec. 27 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart B -HEAD- Sec. 27. Taxes of foreign countries and possessions of the United States; possession tax credit -STATUTE- (a) Foreign tax credit The amount of taxes imposed by foreign countries and possessions of the United States shall be allowed as a credit against the tax imposed by this chapter to the extent provided in section 901. (b) Section 936 credit In the case of a domestic corporation, the amount provided by section 936 (relating to Puerto Rico and possession tax credit) shall be allowed as a credit against the tax imposed by this chapter. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 13, Sec. 33; Oct. 4, 1976, Pub. L. 94-455, title X, Sec. 1051(a), 90 Stat. 1643; renumbered Sec. 27, July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 471(c), 98 Stat. 826.) -MISC1- AMENDMENTS 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 33 of this title as this section. 1976 - Pub. L. 94-455 designated existing provisions as subsec. (a) and added subsec. (b). EFFECTIVE DATE OF 1976 AMENDMENT Section 1051(i) of Pub. L. 94-455, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) Except as provided by paragraph (2), the amendments made by this section (enacting section 936 of this title and amending sections 33 (now 27), 48, 116, 243, 246, 861, 901, 904, 931, 1504, and 6091 of this title) shall apply to taxable years beginning after December 31, 1975, except that 'qualified possession source investment income' as defined in section 936(d)(2) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) shall include income from any source outside the United States if the taxpayer establishes to the satisfaction of the Secretary of the Treasury or his delegate that the income from such sources was earned before October 1, 1976. '(2) The amendment made by subsection (d)(2) (amending section 901 of this title) shall not apply to any tax imposed by a possession of the United States with respect to the complete liquidation occurring before January 1, 1979, of a corporation to the extent that such tax is attributable to earnings and profits accumulated by such corporation during periods ending before January 1, 1976.' -CROSS- CROSS REFERENCES Foreign tax credit, see section 901 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 28, 29, 55, 59, 108, 469, 691, 921, 1351 of this title. ------DocID 33540 Document 55 of 2652------ -CITE- 26 USC Sec. 28 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart B -HEAD- Sec. 28. Clinical testing expenses for certain drugs for rare diseases or conditions -STATUTE- (a) General rule There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 50 percent of the qualified clinical testing expenses for the taxable year. (b) Qualified clinical testing expenses For purposes of this section - (1) Qualified clinical testing expenses (A) In general Except as otherwise provided in this paragraph, the term 'qualified clinical testing expenses' means the amounts which are paid or incurred by the taxpayer during the taxable year which would be described in subsection (b) of section 41 if such subsection were applied with the modifications set forth in subparagraph (B). (B) Modifications For purposes of subparagraph (A), subsection (b) of section 41 shall be applied - (i) by substituting 'clinical testing' for 'qualified research' each place it appears in paragraphs (2) and (3) of such subsection, and (ii) by substituting '100 percent' for '65 percent' in paragraph (3)(A) of such subsection. (C) Exclusion for amounts funded by grants, etc. The term 'qualified clinical testing expenses' shall not include any amount to the extent such amount is funded by any grant, contract, or otherwise by another person (or any governmental entity). (D) Special rule For purposes of this paragraph, section 41 shall be deemed to remain in effect for periods after December 31, 1991. (2) Clinical testing (A) In general The term 'clinical testing' means any human clinical testing - (i) which is carried out under an exemption for a drug being tested for a rare disease or condition under section 505(i) of the Federal Food, Drug, and Cosmetic Act (or regulations issued under such section), (ii) which occurs - (I) after the date such drug is designated under section 526 of such Act, and (II) before the date on which an application with respect to such drug is approved under section 505(b) or 507 of such Act or, if the drug is a biological product, before the date on which a license for such drug is issued under section 351 of the Public Health Service Act; (FOOTNOTE 1) and (FOOTNOTE 1) So in original. The semicolon probably should be a comma. (iii) which is conducted by or on behalf of the taxpayer to whom the designation under such section 526 applies. (B) Testing must be related to use for rare disease or condition Human clinical testing shall be taken into account under subparagraph (A) only to the extent such testing is related to the use of a drug for the rare disease or condition for which it was designated under section 526 of the Federal Food, Drug, and Cosmetic Act. (c) Coordination with credit for increasing research expenditures (1) In general Except as provided in paragraph (2), any qualified clinical testing expenses for a taxable year to which an election under this section applies shall not be taken into account for purposes of determining the credit allowable under section 41 for such taxable year. (2) Expenses included in determining base period research expenses Any qualified clinical testing expenses for any taxable year which are qualified research expenses (within the meaning of section 41(b)) shall be taken into account in determining base period research expenses for purposes of applying section 41 to subsequent taxable years. (d) Definition and special rules (1) Rare disease or condition For purposes of this section, the term 'rare disease or condition' means any disease or condition which - (A) affects less than 200,000 persons in the United States, or (B) affects more than 200,000 persons in the United States but for which there is no reasonable expectation that the cost of developing and making available in the United States a drug for such disease or condition will be recovered from sales in the United States of such drug. Determinations under the preceding sentence with respect to any drug shall be made on the basis of the facts and circumstances as of the date such drug is designated under section 526 of the Federal Food, Drug, and Cosmetic Act. (2) Limitation based on amount of tax The credit allowed by this section for any taxable year shall not exceed the excess (if any) of - (A) the regular tax (reduced by the sum of the credits allowable under subpart A and section 27), over (B) the tentative minimum tax for the taxable year. (3) Special limitations on foreign testing (A) In general No credit shall be allowed under this section with respect to any clinical testing conducted outside the United States unless - (i) such testing is conducted outside the United States because there is an insufficient testing population in the United States, and (ii) such testing is conducted by a United States person or by any other person who is not related to the taxpayer to whom the designation under section 526 of the Federal Food, Drug, and Cosmetic Act applies. (B) Special limitation for corporations to which section 936 applies No credit shall be allowed under this section with respect to any clinical testing conducted by a corporation to which an election under section 936 applies. (4) Certain rules made applicable Rules similar to the rules of paragraphs (1) and (2) of section 41(f) shall apply for purposes of this section. (5) Election This section shall apply to any taxpayer for any taxable year only if such taxpayer elects (at such time and in such manner as the Secretary may by regulations prescribe) to have this section apply for such taxable year. (e) Termination This section shall not apply to any amount paid or incurred after December 31, 1991. -SOURCE- (Added Pub. L. 97-414, Sec. 4(a), Jan. 4, 1983, 96 Stat. 2053, Sec. 44H, and renumbered Sec. 28 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(g), title VI, Sec. 612(e)(1), July 18, 1984, 98 Stat. 826, 831, 912; Pub. L. 99-514, title II, Sec. 231(d)(3)(A), 232, title VII, Sec. 701(c)(2), title XII, Sec. 1275(c)(4), title XVIII, Sec. 1879(b)(1), (2), Oct. 22, 1986, 100 Stat. 2178, 2180, 2340, 2599, 2905; Pub. L. 100-647, title I, Sec. 1018(q)(1), title IV, Sec. 4008(c)(1), Nov. 10, 1988, 102 Stat. 3585, 3653; Pub. L. 101-239, title VII, Sec. 7110(a)(3), Dec. 19, 1989, 103 Stat. 2323; Pub. L. 101-508, title XI, Sec. 11402(b)(2), 11411, Nov. 5, 1990, 104 Stat. 1388-473, 1388-479.) -REFTEXT- REFERENCES IN TEXT Sections 505(b), (i), 507, and 526 of the Federal Food, Drug, and Cosmetic Act, referred to in subsecs. (b)(2)(A) and (d)(1), (3)(A)(ii), are classified to sections 355(b), (i), 357, and 360bb, respectively, of Title 21, Food and Drugs. Section 351 of the Public Health Service Act, referred to in subsec. (b)(2)(A)(ii)(II), is classified to section 262 of Title 42, The Public Health and Welfare. -MISC2- AMENDMENTS 1990 - Subsec. (b)(1)(D). Pub. L. 101-508, Sec. 11402(b)(2), substituted 'December 31, 1991' for 'December 31, 1990'. Subsec. (e). Pub. L. 101-508, Sec. 11411, substituted 'December 31, 1991' for 'December 31, 1990'. 1989 - Subsec. (b)(1)(D). Pub. L. 101-239 substituted '1990' for '1989'. 1988 - Subsec. (b)(1)(D). Pub. L. 100-647, Sec. 4008(c)(1), substituted '1989' for '1988'. Subsec. (b)(2)(A)(ii)(II). Pub. L. 100-647, Sec. 1018(q)(1), amended subcl. (II) generally. Prior to amendment, subcl. (II) read as follows: 'before the date on which an application with respect to such drug is approved under section 505(b) of such Act or, if the drug is a biological product, before the date on which a license for such drug is issued under section 351 of the Public Health Services Act, and'. 1986 - Subsec. (b)(1). Pub. L. 99-514, Sec. 231(d)(3)(A)(i), (iv), substituted '41' for '30' in subpars. (A), (B), and (D), and substituted '1988' for '1985' in subpar. (D). Subsec. (b)(2)(A)(ii)(I). Pub. L. 99-514, Sec. 1879(b)(1)(A), substituted 'the date such drug' for 'the date of such drug'. Subsec. (b)(2)(A)(ii)(II). Pub. L. 99-514, Sec. 1879(b)(1)(B), inserted 'or, if the drug is a biological product, before the date on which a license for such drug is issued under section 351 of the Public Health Services Act'. Subsec. (c). Pub. L. 99-514, Sec. 231(d)(3)(A)(i), (ii), substituted '41' for '30' in pars. (1) and (2) and '41(b)' for '30(b)' in par. (2). Subsec. (d)(1). Pub. L. 99-514, Sec. 1879(b)(2), amended par. (1) generally. Prior to amendment, par. (1) read as follows: 'For purposes of this section, the term 'rare disease or condition' means any disease or condition which occurs so infrequently in the United States that there is no reasonable expectation that the cost of developing and making available in the United States a drug for such disease or condition will be recovered from sales in the United States of such drug. Determinations under the preceding sentence with respect to any drug shall be made on the basis of the facts and circumstances as of the date such drug is designated under section 526 of the Federal Food, Drug, and Cosmetic Act.' Subsec. (d)(2). Pub. L. 99-514, Sec. 701(c)(2), amended par. (2) generally. Prior to amendment, par. (2) read as follows: 'The credit allowed by this section for any taxable year shall not exceed the taxpayer's tax liability for the taxable year (as defined in section 26(b)), reduced by the sum of the credits allowable under subpart A and section 27.' Subsec. (d)(3)(B). Pub. L. 99-514, Sec. 1275(c)(4), struck out '934(b) or' before '936' in heading and amended text generally. Prior to amendment, text read as follows: 'No credit shall be allowed under this section with respect to any clinical testing conducted by a corporation to which section 934(b) applies or to which an election under section 936 applies.' Subsec. (d)(4). Pub. L. 99-514, Sec. 231(d)(3)(A)(iii), substituted 'section 41(f)' for 'section 30(f)'. Subsec. (e). Pub. L. 99-514, Sec. 232, substituted '1990' for '1987'. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 44H of this title as this section. Subsec. (b)(1)(A), (B), (D). Pub. L. 98-369, Sec. 474(g)(1)(A), substituted 'section 30' for 'section 44F'. Subsec. (c)(1). Pub. L. 98-369, Sec. 474(g)(1)(A), substituted 'section 30' for 'section 44F'. Subsec. (c)(2). Pub. L. 98-369, Sec. 474(g)(1)(A), (B), substituted 'section 30' for 'section 44F' and 'section 30(b)' for 'section 44F(b)'. Subsec. (d)(2). Pub. L. 98-369, Sec. 612(e)(1), substituted 'section 26(b)' for 'section 25(b)'. Pub. L. 98-369, Sec. 474(g)(2), amended par. (2) generally, substituting 'shall not exceed the taxpayer's tax liability for the taxable year (as defined in section 25(b), reduced by the sum of the credits allowable under subpart A and section 27' for 'shall not exceed the amount of the tax imposed by this chapter for the taxable year reduced by the sum of the credits allowable under a section of this subpart having a lower number or letter designation than this section, other than the credits allowable by sections 31, 39, and 43. For purposes of the preceding sentence, the term 'tax imposed by this chapter' shall not include any tax treated as not imposed by this chapter under the last sentence of section 53(a)'. Subsec. (d)(4). Pub. L. 98-369, Sec. 474(g)(1)(C), substituted 'section 30(f)' for 'section 44F(f)'. EFFECTIVE DATE OF 1990 AMENDMENT Section 11402(c) of Pub. L. 101-508 provided that: 'The amendments made by this section (amending this section and section 41 of this title and repealing provisions set out as a note under section 41 of this title) shall apply to taxable years beginning after December 31, 1989.' EFFECTIVE DATE OF 1988 AMENDMENT Amendment by section 1018(q)(1) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. Amendment by section 4008(c)(1) of Pub. L. 100-647 applicable to taxable years beginning after Dec. 31, 1988, see section 4008(d) of Pub. L. 100-647, set out as a note under section 41 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 231(d)(3)(A) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1985, see section 231(g) of Pub. L. 99-514, set out as a note under section 41 of this title. Amendment by section 701(c)(2) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. Amendment by section 1275(c)(4) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 1277 of Pub. L. 99-514, set out as a note under section 931 of this title. Section 1879(b)(3) of Pub. L. 99-514 provided that: 'The amendments made by this subsection (amending this section) shall apply to amounts paid or incurred after December 31, 1982, in taxable years ending after such date.' EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 474(g) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. Amendment by section 612(e)(1) of Pub. L. 98-369, applicable to interest paid or accrued after December 31, 1984, on indebtedness incurred after December 31, 1984, see section 612(g) of Pub. L. 98-369, set out as an Effective Date note under section 25 of this title. EFFECTIVE DATE Section 4(d) of Pub. L. 97-414 provided that: 'The amendments made by this section (enacting this section and amending sections 280C and 6096 of this title) shall apply to amounts paid or incurred after December 31, 1982, in taxable years ending after such date.' APPLICABILITY OF CERTAIN AMENDMENTS BY PUBLIC LAW 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by section 701(c)(2) of Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, with provision that for such purposes any amendment by title I of Pub. L. 100-647 be treated as if it had been included in the provision of Pub. L. 99-514 to which such amendment relates, see section 1012(aa)(2), (4) of Pub. L. 100-647, set out as a note under section 861 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 29, 53, 55, 280C of this title; title 42 section 236. ------DocID 33541 Document 56 of 2652------ -CITE- 26 USC Sec. 29 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart B -HEAD- Sec. 29. Credit for producing fuel from a nonconventional source -STATUTE- (a) Allowance of credit There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to - (1) $3, multiplied by (2) the barrel-of-oil equivalent of qualified fuels - (A) sold by the taxpayer to an unrelated person during the taxable year, and (B) the production of which is attributable to the taxpayer. (b) Limitations and adjustments (1) Phaseout of credit The amount of the credit allowable under subsection (a) shall be reduced by an amount which bears the same ratio to the amount of the credit (determined without regard to this paragraph) as - (A) the amount by which the reference price for the calendar year in which the sale occurs exceeds $23.50, bears to (B) $6. (2) Credit and phaseout adjustment based on inflation The $3 amount in subsection (a) and the $23.50 and $6 amounts in paragraph (1) shall each be adjusted by multiplying such amount by the inflation adjustment factor for the calendar year in which the sale occurs. In the case of gas from a tight formation, the $3 amount in subsection (a) shall not be adjusted. (3) Credit reduced for grants, tax-exempt bonds, and subsidized energy financing (A) In general The amount of the credit allowable under subsection (a) with respect to any project for any taxable year (determined after the application of paragraphs (1) and (2)) shall be reduced by the amount which is the product of the amount so determined for such year and a fraction - (i) the numerator of which is the sum, for the taxable year and all prior taxable years, of - (I) grants provided by the United States, a State, or a political subdivision of a State for use in connection with the project, (II) proceeds of any issue of State or local government obligations used to provide financing for the project the interest on which is exempt from tax under section 103, and (III) the aggregate amount of subsidized energy financing (within the meaning of section 48(a)(4)(C)) provided in connection with the project, and (ii) the denominator of which is the aggregate amount of additions to the capital account for the project for the taxable year and all prior taxable years. (B) Amounts determined at close of year The amounts under subparagraph (A) for any taxable year shall be determined as of the close of the taxable year. (4) Credit reduced for energy credit The amount allowable as a credit under subsection (a) with respect to any project for any taxable year (determined after the application of paragraphs (1), (2), and (3)) shall be reduced by the excess of - (A) the aggregate amount allowed under section 38 for the taxable year or any prior taxable year by reason of the energy percentage with respect to property used in the project, over (B) the aggregate amount recaptured with respect to the amount described in subparagraph (A) - (i) under section 49(b) or 50(a) for the taxable year or any prior taxable year, or (ii) under this paragraph for any prior taxable year. The amount recaptured under section 49(b) or 50(a) with respect to any property shall be appropriately reduced to take into account any reduction in the credit allowed by this section by reason of the preceding sentence. (5) Credit reduced for enhanced oil recovery credit The amount allowable as a credit under subsection (a) with respect to any project for any taxable year (determined after application of paragraphs (1), (2), (3), and (4)) shall be reduced by the excess (if any) of - (A) the aggregate amount allowed under section 38 for the taxable year and any prior taxable year by reason of any enhanced oil recovery credit determined under section 43 with respect to such project, over (B) the aggregate amount recaptured with respect to the amount described in subparagraph (A) under this paragraph for any prior taxable year. (6) Application with other credits The credit allowed by subsection (a) for any taxable year shall not exceed the excess (if any) of - (A) the regular tax for the taxable year reduced by the sum of the credits allowable under subpart A and sections 27 and 28, over (B) the tentative minimum tax for the taxable year. (c) Definition of qualified fuels For purposes of this section - (1) In general The term 'qualified fuels' means - (A) oil produced from shale and tar sands, (B) gas produced from - (i) geopressured brine, Devonian shale, coal seams, or a tight formation, or (ii) biomass, and (C) liquid, gaseous, or solid synthetic fuels produced from coal (including lignite), including such fuels when used as feedstocks. (2) Gas from geopressured brine, etc. (A) In general Except as provided in subparagraph (B), the determination of whether any gas is produced from geopressured brine, Devonian shale, coal seams, or a tight formation shall be made in accordance with section 503 of the Natural Gas Policy Act of 1978. (B) Special rules for gas from tight formations The term 'gas produced from a tight formation' shall only include gas from a tight formation - (i) which, as of April 20, 1977, was committed or dedicated to interstate commerce (as defined in section 2(18) of the Natural Gas Policy Act of 1978, as in effect on the date of the enactment of this clause), or (ii) which is produced from a well drilled after such date of enactment. (3) Biomass The term 'biomass' means any organic material other than - (A) oil and natural gas (or any product thereof), and (B) coal (including lignite) or any product thereof. (d) Other definitions and special rules For purposes of this section - (1) Only production within the United States taken into account Sales shall be taken into account under this section only with respect to qualified fuels the production of which is within - (A) the United States (within the meaning of section 638(1)), or (B) a possession of the United States (within the meaning of section 638(2)). (2) Computation of inflation adjustment factor and reference price (A) In general The Secretary shall, not later than April 1 of each calendar year, determine and publish in the Federal Register the inflation adjustment factor and the reference price for the preceding calendar year in accordance with this paragraph. (B) Inflation adjustment factor The term 'inflation adjustment factor' means, with respect to a calendar year, a fraction the numerator of which is the GNP implicit price deflator for the calendar year and the denominator of which is the GNP implicit price deflator for calendar year 1979. The term 'GNP implicit price deflator' means the first revision of the implicit price deflator for the gross national product as computed and published by the Department of Commerce. (C) Reference price The term 'reference price' means with respect to a calendar year the Secretary's estimate of the annual average wellhead price per barrel for all domestic crude oil the price of which is not subject to regulation by the United States. (3) Production attributable to the taxpayer In the case of a property or facility in which more than 1 person has an interest, except to the extent provided in regulations prescribed by the Secretary, production from the property or facility (as the case may be) shall be allocated among such persons in proportion to their respective interests in the gross sales from such property or facility. (4) Gas from geopressured brine, Devonian shale, coal seams, or a tight formation The amount of the credit allowable under subsection (a) shall be determined without regard to any production attributable to a property from which gas from Devonian shale, coal seams, geopressured brine, or a tight formation was produced in marketable quantities before January 1, 1980. (5) Barrel-of-oil equivalent The term 'barrel-of-oil equivalent' with respect to any fuel means that amount of such fuel which has a Btu content of 5.8 million; except that in the case of qualified fuels described in subparagraph (C) of subsection (c)(1), the Btu content shall be determined without regard to any material from a source not described in such subparagraph. (6) Barrel defined The term 'barrel' means 42 United States gallons. (7) Related persons Persons shall be treated as related to each other if such persons would be treated as a single employer under the regulations prescribed under section 52(b). In the case of a corporation which is a member of an affiliated group of corporations filing a consolidated return, such corporation shall be treated as selling qualified fuels to an unrelated person if such fuels are sold to such a person by another member of such group. (8) Pass-thru in the case of estates and trusts Under regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply. (e) Application with the Natural Gas Policy Act of 1978 (1) No credit if section 107 of the Natural Gas Policy Act of 1978 is utilized Subsection (a) shall apply with respect to any natural gas described in subsection (c)(1)(B)(i) which is sold during the taxable year only if such natural gas is sold at a lawful price which is determined without regard to the provisions of section 107 of the Natural Gas Policy Act of 1978 and subtitle B of title I of such Act. (2) Treatment of this section For purposes of section 107(d) of the Natural Gas Policy Act of 1978, this section shall not be treated as allowing any credit, exemption, deduction, or comparable adjustment applicable to the computation of any Federal tax. (f) Application of section This section shall apply with respect to qualified fuels - (1) which are - (A) produced from a well drilled after December 31, 1979, and before January 1, 1993, or (B) produced in a facility placed in service after December 31, 1979, and before January 1, 1993, and (2) which are sold before January 1, 2003. -SOURCE- (Added Pub. L. 96-223, title II, Sec. 231(a), Apr. 2, 1980, 94 Stat. 268, Sec. 44D, and amended Pub. L. 97-34, title VI Sec. 611(a), Aug. 13, 1981, 95 Stat. 339; Pub. L. 97-354, Sec. 5(a)(1), Oct. 19, 1982, 96 Stat. 1692; Pub. L. 97-448, title II, Sec. 202(a), Jan. 12, 1983, 96 Stat. 2396; renumbered Sec. 29 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(h), title VI, Sec. 612(e)(1), title VII, Sec. 722(d)(1), (2), July 18, 1984, 98 Stat. 826, 831, 912, 973; Pub. L. 99-514, title VII, Sec. 701(c)(3), title XVIII, Sec. 1879(c)(1), Oct. 22, 1986, 100 Stat. 2340, 2906; Pub. L. 100-647, title VI, Sec. 6302, Nov. 10, 1988, 102 Stat. 3755; Pub. L. 101-508, title XI, Sec. 11501(a), (b)(1), (c)(1), 11813(b)(1), 11816, Nov. 5, 1990, 104 Stat. 1388-479, 1388-550, 1388-558.) -REFTEXT- REFERENCES IN TEXT The Natural Gas Policy Act of 1978, referred to in subsecs. (c)(2)(A), (B)(i) and (e), is Pub. L. 95-621, Nov. 9, 1978, 92 Stat. 3350, as amended, which is classified generally to chapter 60 (Sec. 3301 et seq.) of Title 15, Commerce and Trade. Subtitle B of title I of the Act is classified generally to part B of subchapter I (Sec. 3331 et seq.) of chapter 60 of Title 15. Sections 2(18), 107, and 503 of the Act are classified to sections 3301(18), 3317, and 3413 of Title 15, respectively. For complete classification of this Act to the Code, see Short Title note set out under section 3301 of Title 15 and Tables. The date of the enactment of this clause, and such date of enactment, referred to in subsec. (c)(2)(B), probably mean the date of enactment of Pub. L. 101-508, which amended subsec. (c)(2)(B) of this section generally, and which was approved Nov. 5, 1990. -MISC2- AMENDMENTS 1990 - Subsec. (b)(3)(A)(i)(III). Pub. L. 101-508, Sec. 11813(b)(1)(A), substituted 'section 48(a)(4)(C)' for 'section 48(l)(11)(C)'. Subsec. (b)(4). Pub. L. 101-508, Sec. 11813(b)(1)(B), substituted 'section 49(b) or 50(a)' for 'section 47' in two places. Subsec. (b)(5), (6). Pub. L. 101-508, Sec. 11501(c)(1), added par. (5) and redesignated former par. (5) as (6). Subsec. (c)(1)(B) to (E). Pub. L. 101-508, Sec. 11816(a), inserted 'and' at end of subpar. (B), substituted a period for a comma at end of subpar. (C), and struck out subpar. (D) which related to qualifying processed wood fuels, and subpar. (E) which related to steam produced from solid agricultural byproducts (not including timber byproducts). Subsec. (c)(2)(B). Pub. L. 101-508, Sec. 11501(b)(1), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'The term 'gas produced from a tight formation' shall only include - '(i) gas the price of which is regulated by the United States, and '(ii) gas for which the maximum lawful price applicable under the Natural Gas Policy Act of 1978 is at least 150 percent of the then applicable price under section 103 of such Act.' Subsec. (c)(3). Pub. L. 101-508, Sec. 11813(b)(1)(C), amended par. (3) generally. Prior to amendment, par. (3) read as follows: 'The term 'biomass' means any organic material which is an alternate substance (as defined in section 48(l)(3)(B)) other than coal (including lignite) or any product of such coal.' Subsec. (c)(4). Pub. L. 101-508, Sec. 11816(b)(1), struck out par. (4) 'Qualifying processed wood fuel' which read as follows: '(A) In general. - The term 'qualifying processed wood fuel' means any processed solid wood fuel (other than charcoal, fireplace products, or a product used for ornamental or recreational purposes) which has a Btu content per unit of volume or weight, determined without regard to any nonwood elements, which is at least 40 percent greater per unit of volume or weight than the Btu content of the wood from which it is produced (determined immediately before the processing). '(B) Election. - A taxpayer shall elect, at such time and in such manner as the Secretary by regulations may prescribe, as to whether Btu content per unit shall be determined for purposes of this paragraph on a volume or weight basis. Any such election - '(i) shall apply to all production from a facility; and '(ii) shall be effective for the taxable year with respect to which it is made and for all subsequent taxable years and, once made, may be revoked only with the consent of the Secretary.' Subsec. (c)(5). Pub. L. 101-508, Sec. 11816(b)(1), struck out par. (5) 'Agricultural byproduct steam' which read as follows: 'Steam produced from solid agricultural byproducts which is used by the taxpayer in his trade or business shall be treated as having been sold by the taxpayer to an unrelated person on the date on which it is used.' Subsec. (d)(4). Pub. L. 101-508, Sec. 11816(b)(2), amended par. (4) generally, striking out 'Special rules applicable to' before 'Gas' in heading, redesignating former subpar. (A) as par. (4), striking out subpar. (B) which related to the reference price and application of phaseout for Devonian shale, and making minor changes in phraseology. Subsec. (d)(5), (6). Pub. L. 101-508, Sec. 11816(b)(3), (4), redesignated par. (6) as (5), substituted 'subparagraph (C)' for 'subparagraph (C), (D), or (E)', and struck out former par. (5) which read as follows: 'In the case of a facility for the production of - '(A) qualifying processed wood fuel, or '(B) steam from solid agricultural byproducts, paragraph (1) of subsection (b) shall not apply with respect to the amount of the credit allowable under subsection (a) for fuels sold during the 3-year period beginning on the date the facility is placed in service.' Subsec. (d)(7) to (9). Pub. L. 101-508, Sec. 11816(b)(3), redesignated pars. (7) to (9) as (6) to (8), respectively. Subsec. (f). Pub. L. 101-508, Sec. 11816(b)(5), amended subsec. (f) generally, redesignating former par. (1) as subsec. (f), making minor changes in phraseology, substituting par. (2) for former par. (1)(B) which read as follows: 'which are sold after December 31, 1979, and before January 1, 2003.', and striking out former par. (2) which related to special rules applicable to qualified processed wood and solid agricultural byproduct steam. Subsec. (f)(1)(A)(i), (ii). Pub. L. 101-508, Sec. 11501(a)(1), substituted '1993' for '1991'. Subsec. (f)(1)(B). Pub. L. 101-508, Sec. 11501(a)(2), substituted '2003' for '2001'. 1988 - Subsec. (f)(1)(A)(i), (ii). Pub. L. 100-647 substituted '1991' for '1990'. 1986 - Subsec. (b)(5). Pub. L. 99-514, Sec. 701(c)(3), amended par. (5) generally. Prior to amendment, par. (5) read as follows: 'The credit allowed by subsection (a) for a taxable year shall not exceed the taxpayer's tax liability for the taxable year (as defined in section 26(b)), reduced by the sum of the credits allowable under subpart A and sections 27 and 28.' Subsec. (d)(8). Pub. L. 99-514, Sec. 1879(c)(1), inserted provision directing that a corporation which is a member of an affiliated group of corporations filing a consolidated return shall be treated as selling qualified fuels to an unrelated person if such fuels are sold to such person by another member of such group. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 44D of this title as this section. Subsec. (b)(1)(A). Pub. L. 98-369, Sec. 722(d)(1), substituted 'in which the sale occurs' for 'in which the taxable year begins'. Subsec. (b)(2). Pub. L. 98-369, Sec. 722(d)(2), substituted 'in which the sale occurs' for 'in which a taxable year begins'. Subsec. (b)(5). Pub. L. 98-369, Sec. 612(e)(1), substituted 'section 26(b)' for 'section 25(b)'. Pub. L. 98-369, Sec. 474(h), amended par. (5) generally, substituting 'shall not exceed the taxpayer's tax liability for the taxable year (as defined in section 25(b)), reduced by the sum of the credits allowable under subpart A and sections 27 and 28' for 'shall not exceed the tax imposed by this chapter for such taxable year, reduced by the sum of the credits allowable under a section of this subpart having a lower number or letter designation than this section, other than the credits allowable by sections 31, 39, and 43. For purposes of the preceding sentence, the term 'tax imposed by this chapter' shall not include any tax treated as not imposed by this chapter under the last sentence of section 53(a)'. 1983 - Subsec. (f)(1)(B), (2)(A)(i). Pub. L. 97-448 substituted 'December 31, 1979' for 'December 3, 1979'. 1982 - Subsec. (d)(9). Pub. L. 97-354 substituted 'Pass-thru in the case of estates and trusts' for 'Pass-through in the case of subchapter S corporations, etc.' in par. heading, and substituted provisions relating to the applicability of rules similar to rules of subsec. (d) of section 52 for provisions relating to the applicability of rules similar to rules of subsecs. (d) and (e) of section 52. 1981 - Subsec. (e). Pub. L. 97-34 substituted provisions respecting application with the Natural Gas Policy Act of 1978 for prior provision reading 'If the taxpayer makes an election under section 107(d) of the Natural Gas Policy Act of 1978 to have subsections (a) and (b) of section 107 of that Act, and subtitle B of title I of that Act, apply with respect to gas described in subsection (c)(1)(B)(i) produced from any well on a property, then the credit allowable by subsection (a) shall not be allowed with respect to any gas produced on that property.' EFFECTIVE DATE OF 1990 AMENDMENT Section 11501(b)(2) of Pub. L. 101-508 provided that: 'The amendment made by paragraph (1) (amending this section) shall apply to gas produced after December 31, 1990.' Section 11501(c)(2) of Pub. L. 101-508 provided that: 'The amendment made by paragraph (1) (amending this section) shall apply to taxable years beginning after December 31, 1990.' Section 11813(c) of Pub. L. 101-508 provided that: '(1) In general. - Except as provided in paragraph (2), the amendments made by this section (enacting section 50 of this title and amending this section and sections 38, 42, 46 to 49, 52, 55, 108, 145, 147, 168, 170, 179, 196, 280F, 312, 465, 469, 861, 865, 1016, 1033, 1245, 1274A, 1371, 1388 and 1503 of this title) shall apply to property placed in service after December 31, 1990. '(2) Exceptions. - The amendments made by this section shall not apply to - '(A) any transition property (as defined in section 49(e) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of this Act (Nov. 5, 1990)), '(B) any property with respect to which qualified progress expenditures were previously taken into account under section 46(d) of such Code (as so in effect), and '(C) any property described in section 46(b)(2)(C) of such Code (as so in effect).' Section 11821(a) of Pub. L. 101-508 provided that: 'Except as otherwise provided in this part, the amendments made by this part (part I (Sec. 11801-11821) of subtitle H of title XI of Pub. L. 101-508, see Tables for classification) shall take effect on the date of the enactment of this Act (Nov. 5, 1990).' EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 701(c)(3) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. Section 1879(c)(2) of Pub. L. 99-514 provided that: 'The amendment made by paragraph (1) (amending this section) shall take effect as if included in the amendments made by section 231 of Public Law 96-223 (see Effective Date note below).' EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 474(h) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. Amendment by section 612(e)(1) of Pub. L. 98-369 applicable to interest paid or accrued after Dec. 31, 1984, on indebtedness incurred after Dec. 31, 1984, see setion 612(g) of Pub. L. 98-369, set out as an Effective Date note under section 25 of this title. Section 722(d)(3) of Pub. L. 98-369 provided that: 'The amendments made by this subsection (amending this section) shall apply to taxable years ending after December 31, 1979.' EFFECTIVE DATE OF 1983 AMENDMENT Amendment by Pub. L. 97-448 effective, except as otherwise provided, as if it had been included in the provision of the Crude Oil Windfall Profit Tax Act of 1980, Pub. L. 96-223 to which such amendment relates, see section 203(a) of Pub. L. 97-448, set out as a note under section 6652 of this title. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97-354 applicable to taxable years beginning after Dec. 31, 1982, see section 6(a) of Pub. L. 97-354, set out as an Effective Date note under section 1361 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Section 611(b) of Pub. L. 97-34 provided that: 'The amendment made by this section (amending this section) shall apply to taxable years ending after December 31, 1979.' EFFECTIVE DATE Section 231(c) of Pub. L. 96-223 provided that: 'The amendments made by this section (enacting this section and amending section 6096 of this title) shall apply to taxable years ending after December 31, 1979.' SAVINGS PROVISION Section 11821(b) of Pub. L. 101-508 provided that: 'If - '(1) any provision amended or repealed by this part (part I (Sec. 11801-11821) of subtitle H of title XI of Pub. L. 101-508, see Tables for classification) applied to - '(A) any transaction occurring before the date of the enactment of this Act (Nov. 5, 1990), '(B) any property acquired before such date of enactment, or '(C) any item of income, loss, deduction, or credit taken into account before such date of enactment, and '(2) the treatment of such transaction, property, or item under such provision would (without regard to the amendments made by this part) affect liability for tax for periods ending after such date of enactment, nothing in the amendments made by this part shall be construed to affect the treatment of such transaction, property, or item for purposes of determining liability for tax for periods ending after such date of enactment.' APPLICABILITY OF CERTAIN AMENDMENTS BY PUB. L. 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by section 701(c)(3) of Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, with provision that for such purposes any amendment by title I of Pub. L. 100-647 be treated as if it had been included in the provision of Pub. L. 99-514 to which such amendment relates, see section 1012(aa)(2), (4) of Pub. L. 100-647, set out as a note under section 861 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 43, 53, 55, 56, 613A of this title. ------DocID 33542 Document 57 of 2652------ -CITE- 26 USC Sec. 30 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart B -HEAD- (Sec. 30. Renumbered Sec. 41) ------DocID 33543 Document 58 of 2652------ -CITE- 26 USC Subpart C -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Subpart C - Refundable Credits -MISC1- Sec. 31. Tax withheld on wages. 32. Earned income. 33. Tax withheld at source on nonresident aliens and foreign corporations. 34. Certain uses of gasoline and special fuels. 35. Overpayments of tax. AMENDMENTS 1984 - Pub. L. 98-369, div. A, title IV, Sec. 471(b), July 18, 1984, 98 Stat. 826, added subpart C heading and analysis of sections for subpart C consisting of items 31, 32 (formerly 43), 33 (formerly 32), 34 (formerly 39), and 35 (formerly 45). Former subpart C, setting out the rules for computing credit for expenses of work incentive programs, was repealed. -SECREF- SUBPART REFERRED TO IN OTHER SECTIONS This subpart is referred to in sections 6096, 6401 of this title. ------DocID 33544 Document 59 of 2652------ -CITE- 26 USC Sec. 31 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Sec. 31. Tax withheld on wages -STATUTE- (a) Wage withholding for income tax purposes (1) In general The amount withheld as tax under chapter 24 shall be allowed to the recipient of the income as a credit against the tax imposed by this subtitle. (2) Year of credit The amount so withheld during any calendar year shall be allowed as a credit for the taxable year beginning in such calendar year. If more than one taxable year begins in a calendar year, such amount shall be allowed as a credit for the last taxable year so beginning. (b) Credit for special refunds of social security tax (1) In general The Secretary may prescribe regulations providing for the crediting against the tax imposed by this subtitle of the amount determined by the taxpayer or the Secretary to be allowable under section 6413(c) as a special refund of tax imposed on wages. The amount allowed as a credit under such regulations shall, for purposes of this subtitle, be considered an amount withheld at source as tax under section 3402. (2) Year of credit Any amount to which paragraph (1) applies shall be allowed as a credit for the taxable year beginning in the calendar year during which the wages were received. If more than one taxable year begins in the calendar year, such amount shall be allowed as a credit for the last taxable year so beginning. (c) Special rule for backup withholding Any credit allowed by subsection (a) for any amount withheld under section 3406 shall be allowed for the taxable year of the recipient of the income in which the income is received. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 12; Oct. 4, 1976, Pub. L. 94-455, title XIX, Sec. 1906(b)(13)(D), 90 Stat. 1834; Sept. 3, 1982, Pub. L. 97-248, title III, Sec. 302(a), 308(a), 96 Stat. 585, 591; Oct. 19, 1982, Pub. L. 97-354, Sec. 3(i)(4), 96 Stat. 1691; Jan. 12, 1983, Pub. L. 97-448, title III, Sec. 306(b)(1), 96 Stat. 2405; Aug. 5, 1983, Pub. L. 98-67, title I, Sec. 102(a), 104(d)(2), 97 Stat. 369, 379; July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 471(c), title VII, Sec. 714(j)(2), 98 Stat. 826, 962.) -MISC1- AMENDMENTS 1984 - Subsec. (a)(1). Pub. L. 98-369, Sec. 714(j)(2), substituted 'as tax under chapter 24' for 'under section 3402 as tax on the wages of any individual'. 1983 - Pub. L. 98-67 added subsec. (c) and repealed amendments made by Pub. L. 97-248. See 1982 Amendment note below. Pub. L. 97-448 amended subsec. (d) generally. See 1982 Amendment note below. 1982 - Pub. L. 97-248, as amended by Pub. L. 97-354 and Pub. L. 97-448, amended section generally, applicable to payments of interest, dividends, and patronage dividends paid or credited after June 30, 1983. Section 102(a), (b) of Pub. L. 98-67, title I, Aug. 5, 1983, 97 Stat. 369, repealed subtitle A (Sec. 301-308) of title III of Pub. L. 97-248 as of the close of June 30, 1983, and provided that the Internal Revenue Code of 1954 (now 1986) (this title) shall be applied and administered (subject to certain exceptions) as if such subtitle A (and the amendments made by such subtitle A) had not been enacted. 1976 - Subsec. (b)(1). Pub. L. 94-455 struck out 'or his delegate' after 'The Secretary' and '(or his delegate)' after 'taxpayer or the Secretary'. EFFECTIVE DATE OF 1984 AMENDMENT Section 715 of Pub. L. 98-369 provided that: 'Any amendment made by this subtitle (subtitle A (Sec. 711-715) of title VII of Pub. L. 98-369, see Tables for classification) shall take effect as if included in the provision of the Tax Equity and Fiscal Responsibility Act of 1982 (Pub. L. 97-248) to which such amendment relates.' EFFECTIVE DATE OF 1983 AMENDMENTS Section 110 of title I of Pub. L. 98-67 provided that: '(a) General Rule. - Except as otherwise provided in this section, the amendments made by this title (enacting sections 3406 and 6705 of this title, amending this section and sections 274, 275, 643, 661, 3402, 3403, 3502, 3507, 6011, 6013, 6015, 6042, 6044, 6049, 6051, 6365, 6401, 6413, 6652, 6653, 6654, 6676, 6678, 6682, 7205, 7215, 7431, 7654, and 7701 of this title, repealing sections 3451 to 3456 of this title, enacting provisions set out as notes under sections 1, 3451, and 6011 of this title, and repealing provisions set out as a note under section 3451 of this title) shall apply with respect to payments made after December 31, 1983. '(b) Section 102. - The amendments made by section 102 (amending this section and sections 274, 275, 643, 661, 3403, 3502, 3507, 6013, 6015, 6042, 6044, 6049, 6051, 6365, 6401, 6413, 6654, 6682, 7205, 7215, 7654, and 7701 of this title, repealing sections 3451 to 3456 of this title, enacting provisions set out as a note under section 3451 of this title, and repealing provisions set out as a note under section 3451 of this title) shall take effect as of the close of June 30, 1983. '(c) Sections 104(b) and 107. - The amendments made by sections 104(b) and 107 (amending sections 6682, 7205, and 7431 of this title) shall take effect on the date of the enactment of this Act (Aug. 5, 1983).' Section 311(d) of Pub. L. 97-448 provided that: 'The amendments made by section 306 (amending this section and sections 48, 55, 263, 291, 312, 338, 401, 501, 1232, 6038A, 6226, 6228, 6679, and 7701 of this title, enacting provisions set out as notes under sections 338 and 1232 of this title, and amending provisions set out as notes under sections 56, 72, 101, 103, 168, 302, 311, 338, 415, 907, and 5701 of this title) shall take effect as if included in the provisions of the Tax Equity and Fiscal Responsibility Act of 1982 (Pub. L. 97-248) to which such amendments relate.' CONSTRUCTION OF AMENDMENT BY TITLE VII OF DIVISION A OF PUB. L. 98-369 Section 701 of title VII of div. A of Pub. L. 98-369 provided that: 'For purposes of applying the amendments made by any title of this Act (see Tables for classification) other than this title, the provisions of this title shall be treated as having been enacted immediately before the provisions of such other titles.' -CROSS- CROSS REFERENCES Amount allowable as credit under this section exceeding taxes imposed by chapter 1 considered as overpayment, see section 6401 of this title. Time tax collected at source deemed paid, see section 6513 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 643, 874, 995, 3406, 6211, 6413, 6513, 6654 of this title. ------DocID 33545 Document 60 of 2652------ -CITE- 26 USC Sec. 32 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Sec. 32. Earned income -STATUTE- (a) Allowance of credit In the case of an eligible individual, there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the sum of - (1) the basic earned income credit, and (2) the health insurance credit. (b) Computation of credit For purposes of this section - (1) Basic earned income credit (A) In general The term 'basic earned income credit' means an amount equal to the credit percentage of so much of the taxpayer's earned income for the taxable year as does not exceed $5,714. (B) Limitation The amount of the basic earned income credit allowable to a taxpayer for any taxable year shall not exceed the excess (if any) of - (i) the credit percentage of $5,714, over (ii) the phaseout percentage of so much of the adjusted gross income (or, if greater the earned income) of the taxpayer for the taxable year as exceeds $9,000. (C) Percentages For purposes of this paragraph - (i) In general Except as provided in clause (ii), the percentages shall be determined as follows: --------------------------------------------------------------------- In the case of an The credit percentage The phaseout eligible individual is: percentage is: with: --------------------------------------------------------------------- 1 qualifying child 23 16.43 2 or more qualifying 25 17.86 children ------------------------------- (ii) Transition percentages (I) For taxable years beginning in 1991, the percentages are: --------------------------------------------------------------------- In the case of an The credit percentage The phaseout eligible individual is: percentage is: with: --------------------------------------------------------------------- 1 qualifying child 16.7 11.93 2 or more qualifying 17.3 12.36 children ------------------------------- (II) For taxable years beginning in 1992, the percentages are: --------------------------------------------------------------------- In the case of an The credit percentage The phaseout eligible individual is: percentage is: with: --------------------------------------------------------------------- 1 qualifying child 17.6 12.57 2 or more qualifying 18.4 13.14 children ------------------------------- (III) For taxable years beginning in 1993, the percentages are: --------------------------------------------------------------------- In the case of an The credit percentage The phaseout eligible individual is: percentage is: with: --------------------------------------------------------------------- 1 qualifying child 18.5 13.21 2 or more qualifying 19.5 13.93 children ------------------------------- (D) Supplemental young child credit In the case of a taxpayer with a qualifying child who has not attained age 1 as of the close of the calendar year in which or with which the taxable year of the taxpayer ends - (i) the credit percentage shall be increased by 5 percentage points, and (ii) the phaseout percentage shall be increased by 3.57 percentage points. If the taxpayer elects to take a child into account under this subparagraph, such child shall not be treated as a qualifying individual under section 21. (2) Health insurance credit (A) In general The term 'health insurance credit' means an amount determined in the same manner as the basic earned income credit except that - (i) the credit percentage shall be equal to 6 percent, and (ii) the phaseout percentage shall be equal to 4.285 percent. (B) Limitation based on health insurance costs The amount of the health insurance credit determined under subparagraph (A) for any taxable year shall not exceed the amounts paid by the taxpayer during the taxable year for insurance coverage - (i) which constitutes medical care (within the meaning of section 213(d)(1)(C)), and (ii) which includes at least 1 qualifying child. For purposes of this subparagraph, the rules of section 213(d)(6) shall apply. (C) Subsidized expenses A taxpayer may not take into account under subparagraph (B) any amount to the extent that - (i) such amount is paid, reimbursed, or subsidized by the Federal Government, a State or local government, or any agency or instrumentality thereof; and (ii) the payment, reimbursement, or subsidy of such amount is not includible in the gross income of the recipient. (c) Definitions and special rules For purposes of this section - (1) Eligible individual (A) In general The term 'eligible individual' means any individual who has a qualifying child for the taxable year. (B) Qualifying child ineligible If an individual is the qualifying child of a taxpayer for any taxable year of such taxpayer beginning in a calendar year, such individual shall not be treated as an eligible individual for any taxable year of such individual beginning in such calendar year. (C) 2 or more eligible individuals If 2 or more individuals would (but for this subparagraph and after application of subparagraph (B)) be treated as eligible individuals with respect to the same qualifying child for taxable years beginning in the same calendar year, only the individual with the highest adjusted gross income for such taxable years shall be treated as an eligible individual with respect to such qualifying child. (D) Exception for individual claiming benefits under section 911 The term 'eligible individual' does not include any individual who claims the benefits of section 911 (relating to citizens or residents living abroad) for the taxable year. (2) Earned income (A) The term 'earned income' means - (i) wages, salaries, tips, and other employee compensation, plus (ii) the amount of the taxpayer's net earnings from self-employment for the taxable year (within the meaning of section 1402(a)), but such net earnings shall be determined with regard to the deduction allowed to the taxpayer by section 164(f). (B) For purposes of subparagraph (A) - (i) the earned income of an individual shall be computed without regard to any community property laws, (ii) no amount received as a pension or annuity shall be taken into account, and (iii) no amount to which section 871(a) applies (relating to income of nonresident alien individuals not connected with United States business) shall be taken into account. (3) Qualifying child (A) In general The term 'qualifying child' means, with respect to any taxpayer for any taxable year, an individual - (i) who bears a relationship to the taxpayer described in subparagraph (B), (ii) except as provided in subparagraph (B)(iii), who has the same principal place of abode as the taxpayer for more than one-half of such taxable year, (iii) who meets the age requirements of subparagraph (C), and (iv) with respect to whom the taxpayer meets the identification requirements of subparagraph (D). (B) Relationship test (i) In general An individual bears a relationship to the taxpayer described in this subparagraph if such individual is - (I) a son or daughter of the taxpayer, or a descendant of either, (II) a stepson or stepdaughter of the taxpayer, or (III) an eligible foster child of the taxpayer. (ii) Married children Clause (i) shall not apply to any individual who is married as of the close of the taxpayer's taxable year unless the taxpayer is entitled to a deduction under section 151 for such taxable year with respect to such individual (or would be so entitled but for paragraph (2) or (4) of section 152(e)). (iii) Eligible foster child For purposes of clause (i)(III), the term 'eligible foster child' means an individual not described in clause (i)(I) or (II) who - (I) the taxpayer cares for as the taxpayer's own child, and (II) has the same principal place of abode as the taxpayer for the taxpayer's entire taxable year. (iv) Adoption For purposes of this subparagraph, a child who is legally adopted, or who is placed with the taxpayer by an authorized placement agency for adoption by the taxpayer, shall be treated as a child by blood. (C) Age requirements An individual meets the requirements of this subparagraph if such individual - (i) has not attained the age of 19 as of the close of the calendar year in which the taxable year of the taxpayer begins, (ii) is a student (as defined in section 151(c)(4)) who has not attained the age of 24 as of the close of such calendar year, or (iii) is permanently and totally disabled (as defined in section 22(e)(3)) at any time during the taxable year. (D) Identification requirements (i) In general The requirements of this subparagraph are met if - (I) the taxpayer includes the name and age of each qualifying child (without regard to this subparagraph) on the return of tax for the taxable year, and (II) in the case of an individual who has attained the age of 1 year before the close of the taxpayer's taxable year, the taxpayer includes the taxpayer identification number of such individual on such return of tax for such taxable year. (ii) Insurance policy number In the case of any taxpayer with respect to which the health insurance credit is allowed under subsection (a)(2), the Secretary may require a taxpayer to include an insurance policy number or other adequate evidence of insurance in addition to any information required to be included in clause (i). (iii) Other methods The Secretary may prescribe other methods for providing the information described in clause (i) or (ii). (E) Abode must be in the United States The requirements of subparagraphs (A)(ii) and (B)(iii)(II) shall be met only if the principal place of abode is in the United States. (d) Married individuals In the case of an individual who is married (within the meaning of section 7703), this section shall apply only if a joint return is filed for the taxable year under section 6013. (e) Taxable year must be full taxable year Except in the case of a taxable year closed by reason of the death of the taxpayer, no credit shall be allowable under this section in the case of a taxable year covering a period of less than 12 months. (f) Amount of credit to be determined under tables (1) In general The amount of the credit allowed by this section shall be determined under tables prescribed by the Secretary. (2) Requirements for tables The tables prescribed under paragraph (1) shall reflect the provisions of subsections (a) and (b) and shall have income brackets of not greater than $50 each - (A) for earned income between $0 and the amount of earned income at which the credit is phased out under subsection (b), and (B) for adjusted gross income between the dollar amount at which the phaseout begins under subsection (b) and the amount of adjusted gross income at which the credit is phased out under subsection (b). (g) Coordination with advance payments of earned income credit (1) Recapture of excess advance payments If any payment is made to the individual by an employer under section 3507 during any calendar year, then the tax imposed by this chapter for the individual's last taxable year beginning in such calendar year shall be increased by the aggregate amount of such payments. (2) Reconciliation of payments advanced and credit allowed Any increase in tax under paragraph (1) shall not be treated as tax imposed by this chapter for purposes of determining the amount of any credit (other than the credit allowed by subsection (a)) allowable under this subpart. (h) Reduction of credit to taxpayers subject to alternative minimum tax The credit allowed under this section for the taxable year shall be reduced by the amount of tax imposed by section 55 (relating to alternative minimum tax) with respect to such taxpayer for such taxable year. (i) Inflation adjustments (1) In general In the case of any taxable year beginning after the applicable calendar year, each dollar amount referred to in paragraph (2)(B) shall be increased by an amount equal to - (A) such dollar amount, multiplied by (B) the cost-of-living adjustment determined under section 1(f)(3), for the calendar year in which the taxable year begins, by substituting 'calendar year 1984' for 'calendar year 1989' in subparagraph (B) thereof. (2) Definitions, etc. For purposes of paragraph (1) - (A) Applicable calendar year The term 'applicable calendar year' means - (i) 1986 in the case of the dollar amounts referred to in clause (i) of subparagraph (B), and (ii) 1987 in the case of the dollar amount referred to in clause (ii) of subparagraph (B). (B) Dollar amounts The dollar amounts referred to in this subparagraph are - (i) the $5,714 dollar amounts contained in subsection (b)(1), and (ii) the $9,000 amount contained in subsection (b)(1)(B)(ii). (3) Rounding If any dollar amount after being increased under paragraph (1) is not a multiple of $10, such dollar amount shall be rounded to the nearest multiple of $10 (or, if such dollar amount is a multiple of $5, such dollar amount shall be increased to the next higher multiple of $10). (j) Coordination with certain means-tested programs For purposes of - (1) the United States Housing Act of 1937, (2) title V of the Housing Act of 1949, (3) section 101 of the Housing and Urban Development Act of 1965, (4) sections 221(d)(3), 235, and 236 of the National Housing Act, and (5) the Food Stamp Act of 1977, any refund made to an individual (or the spouse of an individual) by reason of this section, and any payment made to such individual (or such spouse) by an employer under section 3507, shall not be treated as income (and shall not be taken into account in determining resources for the month of its receipt and the following month). -SOURCE- (Added Pub. L. 94-12, title II, Sec. 204(a), Mar. 29, 1975, 89 Stat. 30, Sec. 43, and amended Pub. L. 94-164, Sec. 2(c), Dec. 23, 1975, 89 Stat. 971; Pub. L. 94-455, title IV, Sec. 401(c)(1)(B), (2), Oct. 4, 1976, 90 Stat. 1557; Pub. L. 95-600, title I, Sec. 104(a)-(e), 105(a), Nov. 6, 1978, 92 Stat. 2772, 2773; Pub. L. 95-615, Sec. 202(g)(5), formerly Sec. 202(f)(5), Nov. 8, 1978, 92 Stat. 3100, redesignated and amended Pub. L. 96-222, title I, Sec. 101(a)(1), (2)(E), 108(a)(1)(A), Apr. 1, 1980, 94 Stat. 194, 195, 223; Pub. L. 97-34, title I, Sec. 111(b)(2), 112(b)(3), Aug. 13, 1981, 95 Stat. 194, 195; Pub. L. 98-21, title I, Sec. 124(c)(4)(B), Apr. 20, 1983, 97 Stat. 91; renumbered Sec. 32 and amended Pub. L. 98-369, div. A, title IV, Sec. 423(c)(3), 471(c), title X, Sec. 1042(a)-(d)(2), July 18, 1984, 98 Stat. 801, 826, 1043; Pub. L. 99-514, title I, Sec. 104(b)(1)(B), 111(a)-(d)(1), title XII, Sec. 1272(d)(4), title XIII, Sec. 1301(j)(8), Oct. 22, 1986, 100 Stat. 2104, 2107, 2594, 2658; Pub. L. 100-647, title I, Sec. 1001(c), 1007(g)(12), Nov. 10, 1988, 102 Stat. 3350, 3436; Pub. L. 101-508, title XI, Sec. 11101(d)(1)(B), 11111(a), (b), (e), Nov. 5, 1990, 104 Stat. 1388-405, 1388-408, 1388-412, 1388-413.) -STATAMEND- EARNED INCOME CREDIT ADJUSTMENT FOR TAXABLE YEARS BEGINNING IN 1991 For adjustment of earned income credit under this section for taxable years beginning in 1991, see section 5 of Revenue Procedure 90-64, set out as a note under section 1 of this title. -REFTEXT- REFERENCES IN TEXT The United States Housing Act of 1937, referred to in subsec. (j)(1), is act Sept. 1, 1937, ch. 896, as revised generally by Pub. L. 93-383, title II, Sec. 201(a), Aug. 22, 1974, 88 Stat. 653, which is classified generally to chapter 8 (Sec. 1437 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note under section 1437 of Title 42 and Tables. The Housing Act of 1949, referred to in subsec. (j)(2), is act July 15, 1949, ch. 338, 63 Stat. 413, as amended. Title V of the Act is classified generally to subchapter III (Sec. 1471 et seq.) of chapter 8A of Title 42. For complete classification of this Act to the Code, see Short Title note set out under section 1441 of Title 42 and Tables. Section 101 of the Housing and Urban Development Act of 1965, referred to in subsec. (j)(3), is section 101 of Pub. L. 89-117, title I, Aug. 10, 1965, 79 Stat. 451, which enacted section 1701s of Title 12, Banks and Banking, and amended sections 1451 and 1465 of Title 42. Sections 221(d)(3), 235, and 236 of the National Housing Act, referred to in subsec. (j)(4), are classified to sections 1715l(d)(3), 1715z, and 1715z-1, respectively, of Title 12. The Food Stamp Act of 1977, referred to in subsec. (j)(5), is Pub. L. 88-525, Aug. 31, 1964, 78 Stat. 703, as amended, which is classified generally to chapter 51 (Sec. 2011 et seq.) of Title 7, Agriculture. For complete classification of this Act to the Code, see Short Title note set out under section 2011 of Title 7 and Tables. -MISC2- PRIOR PROVISIONS A prior section 32 was renumbered section 33 of this title. AMENDMENTS 1990 - Subsec. (a). Pub. L. 101-508, Sec. 11111(a), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'In the case of an eligible individual, there is allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to 14 percent of so much of the earned income for the taxable year as does not exceed $5,714.' Subsec. (b). Pub. L. 101-508, Sec. 11111(a), substituted heading for one which read 'Limitation' and amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'The amount of the credit allowable to a taxpayer under subsection (a) for any taxable year shall not exceed the excess (if any) of - '(1) the maximum credit allowable under subsection (a) to any taxpayer, over '(2) 10 percent of so much of the adjusted gross income (or, if greater, the earned income) of the taxpayer for the taxable year as exceeds $9,000. In the case of any taxable year beginning in 1987, paragraph (2) shall be applied by substituting '$6,500' for '$9,000'.' Subsec. (c). Pub. L. 101-508, Sec. 11111(a), amended subsec. (c) generally, inserting 'and special rules' in heading and substituting present provisions for provisions defining 'eligible individual' and 'earned income'. Subsec. (i)(1)(B). Pub. L. 101-508, Sec. 11101(d)(1)(B), substituted '1989' for '1987'. Subsec. (i)(2)(A). Pub. L. 101-508, Sec. 11111(e)(1), (2), substituted 'clause (i) of subparagraph (B)' for 'clause (i) or (ii) of subparagraph (B)' in cl. (i) and 'clause (ii)' for 'clause (iii)' in cl. (ii). Subsec. (i)(2)(B). Pub. L. 101-508, Sec. 11111(e)(3), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'The dollar amounts referred to in this subparagraph are - '(i) the $5,714 amount contained in subsection (a), '(ii) the $6,500 amount contained in the last sentence of subsection (b), and '(iii) the $9,000 amount contained in subsection (b)(2).' Subsec. (j). Pub. L. 101-508, Sec. 11111(b), added subsec. (j). 1988 - Subsec. (h). Pub. L. 100-647, Sec. 1007(g)(12), struck out 'for taxpayers other than corporations' after 'alternative minimum tax'. Subsec. (i)(3). Pub. L. 100-647, Sec. 1001(c), amended par. (3) generally. Prior to amendment, par. (3) read as follows: 'If any increase determined under paragraph (1) is not a multiple of $10, such increase shall be rounded to the nearest multiple of $10 (or, if such increase is a multiple of $5, such increase shall be increased to the next higher multiple of $10).' 1986 - Subsec. (a). Pub. L. 99-514, Sec. 111(a), substituted '14 percent' for '11 percent' and '$5,714' for '$5,000'. Subsec. (b). Pub. L. 99-514, Sec. 111(b), amended subsec. (b) generally. Prior to amendment, subsec. (b) read as follows: 'The amount of the credit allowable to a taxpayer under subsection (a) for any taxable year shall not exceed the excess (if any) of - '(1) $550, over '(2) 12 2/9 percent of so much of the adjusted gross income (or, if greater, the earned income) of the taxpayer for the taxable year as exceeds $6,500.' Subsec. (c)(1)(A)(i). Pub. L. 99-514, Sec. 1301(j)(8), substituted 'section 7703' for 'section 143'. Pub. L. 99-514, Sec. 104(b)(1)(B), substituted 'section 151(c)(3)' for 'section 151(e)(3)'. Subsec. (c)(1)(C). Pub. L. 99-514, Sec. 1272(d)(4), struck out 'or 931' after '911' in heading, and amended text generally. Prior to amendment, text read as follows: 'The term 'eligible individual' does not include an individual who, for the taxable year, claims the benefits of - '(i) section 911 (relating to citizens or residents of the United States living abroad), '(ii) section 931 (relating to income from sources within possessions of the United States).' Subsec. (d). Pub. L. 99-514, Sec. 1301(j)(8), substituted 'section 7703' for 'section 143'. Subsec. (f)(2)(A), (B). Pub. L. 99-514, Sec. 111(d)(1), added subpars. (A) and (B) and struck out former subpars. (A) and (B) which read as follows: '(A) for earned income between $0 and $11,000, and '(B) for adjusted gross income between $6,500 and $11,000.' Subsec. (i). Pub. L. 99-514, Sec. 111(c), added subsec. (i). 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 43 of this title as this section. Subsec. (a). Pub. L. 98-369, Sec. 1042(a), substituted '11 percent' for '10 percent'. Subsec. (b)(1). Pub. L. 98-369, Sec. 1042(d)(1), substituted '$550' for '$500'. Subsec. (b)(2). Pub. L. 98-369, Sec. 1042(b), substituted '12 2/9 percent' for '12.5 percent' and '$6,500' for '$6,000'. Subsec. (c)(1)(A)(i). Pub. L. 98-369, Sec. 423(c)(3)(A), inserted 'or would be so entitled but for paragraph (2) or (4) of section 152(e)'. Subsec. (c)(1)(B). Pub. L. 98-369, Sec. 423(c)(3)(B), substituted 'as the individual for more than one-half of the taxable year' for 'as the individual'. Subsec. (f)(2)(A). Pub. L. 98-369, Sec. 1042(d)(2), substituted 'between $0 and $11,000' for 'between $0 and $10,000'. Subsec. (f)(2)(B). Pub. L. 98-369, Sec. 1042(d)(2), substituted 'between $6,500 and $11,000' for 'between $6,000 and $10,000'. Subsec. (h). Pub. L. 98-369, Sec. 1042(c), added subsec. (h). 1983 - Subsec. (c)(2)(A)(ii). Pub. L. 98-21 inserted before period at end ', but such net earnings shall be determined with regard to the deduction allowed to the taxpayer by section 164(f)'. 1981 - Subsec. (c)(1)(C). Pub. L. 97-34 struck out reference to section 913 in heading, substituted 'relating to citizens or residents of the United States living abroad' for 'relating to income earned by individuals in certain camps outside the United States' in cl. (i), struck out cl. (ii) which made reference to section 913, and redesignated cl. (iii) as (ii). 1980 - Subsec. (c)(1)(C). Pub. L. 96-222, Sec. 101(a)(1), in heading substituted 'who claims benefit of section 911, 913, or 931' for 'entitled to exclude income under section 911' and in text substituted 'claims the benefits of' for 'is entitled to exclude any amounts from gross income under' and inserted reference to section 913 (relating to deduction for certain expenses of living abroad). Subsecs. (g), (h). Pub. L. 96-222, Sec. 101(a)(2)(E), redesignated subsec. (h) as (g). 1978 - Subsec. (a). Pub. L. 95-600, Sec. 104(a), substituted 'subtitle' for 'chapter' and '$5,000' for '$4,000'. Subsec. (b). Pub. L. 95-600, Sec. 104(b), substituted provision limiting the allowable credit to an amount not to exceed the excess of $500 over 12.5 percent of so much of the adjusted gross income for the taxable year as exceeds $6,000 for provision limiting the allowable credit to an amount reduced by 10 percent of so much of the adjusted gross income for the taxable year as exceeds $4,000. Subsec. (c)(1). Pub. L. 95-600, Sec. 104(e), amended par. (1) generally, substituting in definition of eligible individual one who is married and is entitled to a deduction under section 151 for a child, provided the child has the same principal abode as the individual and the abode is in the United States, is a surviving spouse, or is a head of household, provided the household is in the United States for one who maintains a household in the United States which is the principal abode of that individual and a child of that individual who meets the requirements of section 151(e)(1)(B) or a child of that individual who is disabled within the meaning of section 72(m)(7) and to whom the individual is entitled to claim a deduction under section 151. Subsec. (c)(1)(C). Pub. L. 95-615, Sec. 202(f)(5), which directed the amendment of subsec. (c)(1)(B) by substituting '(relating to income earned by employees in certain camps)' for '(relating to earned income from sources without the United States)', was executed to subsec. (c)(1)(C) to reflect the probable intent of Congress and the general amendment of subsec. (c)(1) by Pub. L. 95-600 which enacted provisions formerly contained in subsec. (c)(1)(B) in subsec. (c)(1)(C). Subsec. (c)(2)(B). Pub. L. 95-600, Sec. 104(d), redesignated cls. (ii) to (iv) as (i) to (iii), respectively. Former cl. (i), which provided that amounts be taken into account only if includible in the gross income of the taxpayer for the taxable year, was struck out. Subsec. (f). Pub. L. 95-600, Sec. 104(c), added subsec. (f). Subsec. (h). Pub. L. 95-600, Sec. 105(a), added subsec. (h). 1976 - Subsec. (a). Pub. L. 94-455, Sec. 401(c)(1)(B), substituted 'is allowed' for 'shall be allowed' and struck out provisions relating to the application of the six-month rule. Subsec. (b). Pub. L. 94-455, Sec. 401(c)(1)(B), struck out provisions relating to the application of the six-month rule. Subsec. (c)(1)(A). Pub. L. 94-455, Sec. 401(c)(2), among other changes, substituted 'section 44A(f)(1)' for 'section 214(b)(3)' and 'if such child meets the requirements of section 151(e)(1)(B)' for 'with respect to whom he is entitled to claim a deduction under section 151(e)(1)(B)' and inserted reference to a child of that individual who is disabled (within the meaning of section 72(m)(7)) and with respect to whom that individual is entitled to claim a deduction under section 151. 1975 - Subsec. (a). Pub. L. 94-164 designated existing provisions as par. (1) and added par. (2). Subsec. (b). Pub. L. 94-164 designated existing provisions as par. (1) and added par. (2). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 11101(d)(1)(B) of Pub. L. 101-508 applicable to taxable years beginning after Dec. 31, 1990, see section 11101(e) of Pub. L. 101-508, set out as a note under section 1 of this title. Section 11111(f) of Pub. L. 101-508 provided that: 'The amendments made by this section (amending this section and sections 162, 213, and 3507 of this title) shall apply to taxable years beginning after December 31, 1990.' EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by sections 104(b)(1)(B) and 111(a)-(d)(1) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, see section 151(a) of Pub. L. 99-514, set out as a note under section 1 of this title. Amendment by section 1272(d)(4) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 1277 of Pub. L. 99-514, set out as a note under section 931 of this title. Amendment by section 1301(j)(8) of Pub. L. 99-514 applicable to bonds issued after Aug. 15, 1986, except as otherwise provided, see sections 1311 to 1318 of Pub. L. 99-514, set out as an Effective Date; Transitional Rules note under section 141 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 423(c)(3) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1984, see section 423(d) of Pub. L. 98-369, set out as a note under section 2 of this title. Section 1042(e) of Pub. L. 98-369 provided that: 'The amendments made by this section (amending sections 32 and 3507 of this title) shall apply to taxable years beginning after December 31, 1984.' EFFECTIVE DATE OF 1983 AMENDMENT Amendment by Pub. L. 98-21 applicable to taxable years beginning after Dec. 31, 1989, see section 124(d)(2) of Pub. L. 98-21, set out as a note under section 1401 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97-34 applicable with respect to taxable years beginning after Dec. 31, 1981, see section 115 of Pub. L. 97-34, set out as a note under section 911 of this title. EFFECTIVE DATE OF 1980 AMENDMENT Section 101(b)(1)(A) of Pub. L. 96-222 provided that: 'The amendment made by subsection (a)(1) (amending this section) shall apply to taxable years beginning after December 31, 1977.' Section 201 of Pub. L. 96-222 provided that: 'Except as otherwise provided in title I, any amendment made by title I (see Tables for classification) shall take effect as if it had been included in the provision of the Revenue Act of 1978 (Pub. L. 95-600, see Tables for classification) to which such amendment relates.' EFFECTIVE DATE OF 1978 AMENDMENT Section 104(f) of Pub. L. 95-600 provided that: 'The amendments made by this section (amending this section) shall apply to taxable years beginning after December 31, 1978.' Section 105(g)(1) of Pub. L. 95-600 provided that: 'The amendments made by subsections (a) and (d) (amending this section and section 6012 of this title) shall apply to taxable years beginning after December 31, 1978.' EFFECTIVE DATE OF 1978 AMENDMENT; ELECTION OF PRIOR LAW Amendment by Pub. L. 95-615 applicable to taxable years beginning after Dec. 31, 1977, with provision for election of prior law, see section 209 of Pub. L. 95-615, set out as a note under section 911 of this title. EFFECTIVE AND TERMINATION DATES OF 1976 AMENDMENT Section 401(e) of Pub. L. 94-455, as amended by Pub. L. 95-30, title I, Sec. 103(c), May 23, 1977, 91 Stat. 139; Pub. L. 95-600, title I, Sec. 103(b), Nov. 6, 1978, 92 Stat. 2771, provided that: 'The amendments made by subsection (a) (amending sections 43 (now 32) and 6096 of this title) shall apply to taxable years ending after December 31, 1975, and shall cease to apply to taxable years ending after December 31, 1978. The amendments made by subsection (c) (amending this section) shall apply to taxable years ending after December 31, 1975. The amendments made by subsection (b) (amending sections 141 and 6012 of this title) shall apply to taxable years ending after December 31, 1975. The amendments made by subsection (d) (amending section 3402 of this title) shall apply to wages paid after September 14, 1976.' EFFECTIVE AND TERMINATION DATES OF 1975 AMENDMENTS Section 2(g) of Pub. L. 94-164, as amended by Pub. L. 94-455, Sec. 402(b), provided that: 'The amendments made by this section (amending sections 43 (now 32), 141, 3402, and 6012 of this title and provisions set out as notes under sections 42 and 43 (now 32) of this title) (other than by subsection (d) (enacting provisions set out as a note under this section)) apply to taxable years ending after December 31, 1975, and before January 1, 1978. Subsection (d) applies to taxable years ending after December 31, 1975.' Section 209(b) of Pub. L. 94-12, as amended by Pub. L. 94-164, Sec. 2(f), Dec. 23, 1975, 89 Stat. 972; Pub. L. 94-455, title IV, Sec. 401(c)(1)(A), Oct. 4, 1976, 90 Stat. 1557; Pub. L. 95-30, title I, Sec. 103(b), May 23, 1977, 91 Stat. 139; Pub. L. 95-600, title I, Sec. 103(a), Nov. 6, 1978, 92 Stat. 2771, provided that: 'The amendments made by section 204 (enacting this section and amending sections 6201 and 6401 of this title) shall apply to taxable years beginning after December 31, 1974.' PROGRAM TO INCREASE PUBLIC AWARENESS Secretary of the Treasury, or Secretary's delegate, to establish taxpayer awareness program to inform taxpaying public of availability of earned income credit and child health insurance under this section, see section 11114 of Pub. L. 101-508, set out as a note under section 21 of this title. EMPLOYEE NOTIFICATION Section 111(e) of Pub. L. 99-514 provided that: 'The Secretary of the Treasury is directed to require, under regulations, employers to notify any employee who has not had any tax withheld from wages (other than an employee whose wages are exempt from withholding pursuant to section 3402(n) of the Internal Revenue Code of 1986) that such employee may be eligible for a refund because of the earned income credit.' DISREGARD OF REFUND FOR DETERMINATION OF ELIGIBILITY FOR FEDERAL BENEFITS OR ASSISTANCE Section 2(d) of Pub. L. 94-164, as amended by Pub. L. 94-455, title IV, Sec. 402(a), Oct. 4, 1976, 90 Stat. 1558; Pub. L. 95-600, title I, Sec. 105(f), Nov. 6, 1978, 92 Stat. 2776; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'Any refund of Federal income taxes made to any individual by reason of section 43 (now 32) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (relating to earned income credit), and any payment made by an employer under section 3507 of such Code (relating to advance payment of earned income credit) shall not be taken into account in any year ending before 1980 as income or receipts for purposes of determining the eligibility, for the month in which such refund is made or any month thereafter of such individual or any other individual for benefits or assistance, or the amount or extent of benefits or assistance, under any Federal program or under any State or local program financed in whole or in part with Federal funds, but only if such individual (or the family unit of which he is a member) is a recipient of benefits or assistance under such a program for the month before the month in which such refund is made.' (Section 105(g)(3) of Pub. L. 95-600 provided that: 'Subsection (f) (amending section 2(d) of Pub. L. 94-164, set out above) shall take effect on the date of enactment of this Act (Nov. 6, 1978).') -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 86, 129, 162, 213, 995, 3507, 6211 of this title; title 2 section 905; title 42 sections 602, 1382a, 1382b, 1383. ------DocID 33546 Document 61 of 2652------ -CITE- 26 USC Sec. 33 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Sec. 33. Tax withheld at source on nonresident aliens and foreign corporations -STATUTE- There shall be allowed as a credit against the tax imposed by this subtitle the amount of tax withheld at source under subchapter A of chapter 3 (relating to withholding of tax on nonresident aliens and on foreign corporations). -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 13, Sec. 32, renumbered Sec. 33 and amended July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(j), 98 Stat. 826, 832.) -MISC1- PRIOR PROVISIONS A prior section 33 was renumbered section 27 of this title. AMENDMENTS 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 32 of this title as this section. Pub. L. 98-369, Sec. 474(j), amended section generally, striking out 'and on tax-free covenant bonds' after 'foreign corporations' in section catchline, and, in text, substituting 'as a credit against the tax imposed by this subtitle' for 'as credits against the tax imposed by this chapter', and striking out designation '(1)' before 'the amount of tax withheld', and ', and (2) the amount of tax withheld at source under subchapter B of chapter 3 (relating to interest on tax-free covenant bonds)' after 'on foreign corporations)'. EFFECTIVE DATE OF 1984 AMENDMENT Section 475(b) of Pub. L. 98-369 provided that: 'The amendments made by subsections (j) and (r)(29) (amending this section and sections 12, 164, 1441, 1442, 6049, and 7701 of this title and repealing section 1451 of this title) shall not apply with respect to obligations issued before January 1, 1984.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 874, 882, 921, 1446, 6211, 6401 of this title. ------DocID 33547 Document 62 of 2652------ -CITE- 26 USC Sec. 34 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Sec. 34. Certain uses of gasoline and special fuels -STATUTE- (a) General rule There shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the sum of the amounts payable to the taxpayer - (1) under section 6420 with respect to gasoline used during the taxable year on a farm for farming purposes (determined without regard to section 6420(g)), (2) under section 6421 with respect to gasoline used during the taxable year (A) otherwise than as a fuel in a highway vehicle or (B) in vehicles while engaged in furnishing certain public passenger land transportation service (determined without regard to section 6421(i)), and (3) under section 6427 - (A) with respect to fuels used for nontaxable purposes or resold, or (B) with respect to any qualified diesel-powered highway vehicle purchased (or deemed purchased under section 6427(g)(6)), during the taxable year (determined without regard to section 6427(k)). (b) Exception Credit shall not be allowed under subsection (a) for any amount payable under section 6421 or 6427, if a claim for such amount is timely filed and, under section 6421(j) or 6427(k), is payable under such section. -SOURCE- (Added Pub. L. 89-44, title VIII, 809(c), June 21, 1965, 79 Stat. 167, Sec. 39, and amended Pub. L. 91-258, title II, Sec. 207(c), May 21, 1970, 84 Stat. 248; Pub. L. 94-455, title XIX, Sec. 1901(a)(3), 1906(b)(8), (9), Oct. 4, 1976, 90 Stat. 1764, 1834; Pub. L. 94-530, Sec. 1(c)(1), Oct. 17, 1976, 90 Stat. 2487; Pub. L. 95-599, title V, Sec. 505(c)(1), Nov. 6, 1978, 92 Stat. 2760; Pub. L. 95-618, title II, Sec. 233(b)(2)(C), Nov. 9, 1978, 92 Stat. 3191; Pub. L. 96-223, title II, Sec. 232(d)(4)(A), Apr. 2, 1980, 94 Stat. 278; Pub. L. 97-424, title V, Sec. 515(b)(6)(A)-(C), Jan. 6, 1983, 96 Stat. 2181; renumbered Sec. 34 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), title IX, Sec. 911(d)(2)(A), July 18, 1984, 98 Stat. 826, 1006; Pub. L. 99-514, title XVII, Sec. 1703(e)(2)(F), title XVIII, Sec. 1877(a), Oct. 22, 1986, 100 Stat. 2778, 2902; Pub. L. 100-647, title I, Sec. 1017(c)(2), Nov. 10, 1988, 102 Stat. 3576.) -MISC1- PRIOR PROVISIONS A prior section 34, acts Aug. 16, 1954, ch. 736, 68A Stat. 13; June 25, 1959, Pub. L. 86-69, Sec. 3(a)(1), 73 Stat. 139; Sept. 14, 1960, Pub. L. 86-779, Sec. 10(e), 74 Stat. 1009; Feb. 26, 1964, Pub. L. 88-272, title II, Sec. 201(a), 78 Stat. 31, relating to dividends received by individuals, was repealed by Pub. L. 88-272, title II, Sec. 201(b), Feb. 26, 1964, 78 Stat. 31, effective with respect to dividends received after Dec. 31, 1964. AMENDMENTS 1988 - Subsec. (b). Pub. L. 100-647 substituted 'section 6421(j) or 6427(k)' for 'section 6421(i) or 6427(j)'. 1986 - Subsec. (a)(3). Pub. L. 99-514, Sec. 1877(a), amended par. (3) generally. Prior to amendment, par. (3) read as follows: 'under section 6427 with respect to fuels used for nontaxable purposes or resold during the taxable year (determined without regard to section 6427(j)).' Pub. L. 99-514, Sec. 1703(e)(2)(F), substituted '6427(k)' for '6427(j)'. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 39 of this title as this section. Subsec. (a)(3). Pub. L. 98-369, Sec. 911(d)(2)(A), which directed the amendment of par. (4) by substituting '6427(j)' for '6427(i)' was executed to par. (3) to reflect the probable intent of Congress and the redesignation of par. (4) as (3) by Pub. L. 97-424. Subsec. (b). Pub. L. 98-369, Sec. 911(d)(2)(A), substituted '6427(j)' for '6427(i)'. 1983 - Pub. L. 97-424, Sec. 515(b)(6)(C), substituted 'and special fuels' for ', special fuels, and lubricating oil' after 'gasoline' in section catchline. Subsec. (a)(2) to (4). Pub. L. 97-424, Sec. 515(b)(6)(A), inserted 'and' at end of par. (2), redesignated par. (4) as (3), and struck out former (3) which referred to amounts payable to the taxpayer under section 6424 with respect to lubricating oil used during the taxable year for certain nontaxable purposes (determined without regard to section 6424(f)). Subsec. (b). Pub. L. 97-424, Sec. 515(b)(6)(B)(i), substituted '6421 or 6427' for '6421, 6424, or 6427' after 'amount payable under'. Pub. L. 97-424, Sec. 515(b)(6)(B)(ii), substituted '6421(i) or 6427(i)' for '6421(i), 6424(f), or 6427(i)' after 'and, under'. 1980 - Subsec. (a)(4). Pub. L. 96-223 substituted '6427(i)' for '6427(h)'. Subsec. (b). Pub. L. 96-223 substituted '6427(i)' for '6427(h)'. 1978 - Subsec. (a)(3). Pub. L. 95-618 substituted 'for certain nontaxable purposes' for 'otherwise than in a highway motor vehicle'. Subsec. (a)(4). Pub. L. 95-599 substituted '6427(h)' for '6427(g)'. Subsec. (b). Pub. L. 95-599 substituted '6427(h)' for '6427(g)'. 1976 - Subsec. (a)(1). Pub. L. 94-455, Sec. 1906(b)(8), substituted '6420(g)' for '6420(h)'. Subsec. (a)(3). Pub. L. 94-455, Sec. 1906(b)(9), substituted '6424(f)' for '6424(g)'. Subsec. (a)(4). Pub. L. 94-530 substituted '6427(g)' for '6427(f)'. Subsec. (b). Pub. L. 94-530, which directed the amendment of subsec. (c) by substituting '6427(g)' for '6427(f)', was executed to subsec. (b) to reflect the probable intent of Congress and the redesignation of subsec. (c) as (b) by Pub. L. 94-455. Pub. L. 94-455, Sec. 1901(a)(3), redesignated subsec. (c) as (b) and substituted 'section 6421(i), 6424(f), or 6427(f), is payable' for 'section 6421(i), 6424(g) or 6427(f) is payable'. Former subsec. (b), relating to determination of taxpayers first taxable year with respect to tax credit for certain uses of gasoline and lubricating oil, was struck out. Subsec. (c). Pub. L. 94-455, Sec. 1901(a)(3), redesignated subsec. (c) as (b). 1970 - Pub. L. 91-258, Sec. 207(c)(1), inserted reference to special fuels in section catchline. Subsec. (a)(4). Pub. L. 91-258, Sec. 207(c)(2), added par. (4). Subsec. (c). Pub. L. 91-258, Sec. 207(c)(3), (4), inserted references to sections 6427 and 6427(f), respectively. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 1703(e)(2)(F) of Pub. L. 99-514 applicable to gasoline removed (as defined in section 4082 of this title as amended by section 1703 of Pub. L. 99-514) after Dec. 31, 1987, see section 1703(h) of Pub. L. 99-514 set out as a note under section 4081 of this title. Amendment by section 1877(a) of Pub. L. 99-514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment relates, see section 1881 of Pub. L. 99-514, set out as a note under section 48 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 911(d)(2)(A) of Pub. L. 98-369 effective Aug. 1, 1984, see section 911(e) of Pub. L. 98-369, set out as a note under section 6427 of this title. EFFECTIVE DATE OF 1983 AMENDMENT Section 515(c) of Pub. L. 97-424 provided that: 'The amendments made by this section (amending sections 39 (now 34), 874, 882, 4101, 4102, 4221, 4222, 6201, 6206, 6416, 6421, 6504, 6675, 7210, 7603 to 7605, 7609, and 7610 of this title and repealing sections 4091 to 4094 and 6424 of this title) shall apply with respect to articles sold after the date of the enactment of this Act (Jan. 6, 1983).' EFFECTIVE DATE OF 1980 AMENDMENT Amendment by Pub. L. 96-223 effective on Jan. 1, 1979, see section 232(h)(2) of Pub. L. 96-223, set out as a note under section 6427 of this title. EFFECTIVE DATE OF 1978 AMENDMENTS Section 233(d) of Pub. L. 95-618 provided that: 'The amendments made by this section (amending sections 39 (now 34), 4041, 4221, 4483, 6416, 6421, 6424, 6427, 6504, and 6675 of this title and amending a provision set out as a note under section 120 of Title 23, Highways) shall take effect on the first day of the first calendar month which begins more than 10 days after the date of the enactment of this Act (Nov. 9, 1978).' Amendment by Pub. L. 95-599 effective Jan. 1, 1979, see section 505(d) of Pub. L. 95-599, set out as a note under section 6427 of this title. EFFECTIVE DATE OF 1976 AMENDMENTS Amendment by Pub. L. 94-530 effective on Oct. 1, 1976, see section 1(d) of Pub. L. 94-530, set out as a note under section 4041 of this title. Amendment by section 1901(a)(3) of Pub. L. 94-455 applicable with respect to taxable years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L. 94-455, set out as a note under section 2 of this title. Amendment by section 1906(b)(8), (9) of Pub. L. 94-455, to take effect on Feb. 1, 1977, see section 1906(d) of Pub. L. 94-455, set out as a note under section 6013 of this title. EFFECTIVE DATE OF 1970 AMENDMENT Amendment by Pub. L. 91-258 applicable with respect to taxable years ending after June 30, 1970, see section 211(b) of Pub. L. 91-258, set out as a note under section 4041 of this title. EFFECTIVE DATE Section applicable to taxable years beginning on or after July 1, 1965, see section 809(f) of Pub. L. 89-44, set out as an Effective Date of 1965 Amendment note under section 6420 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 874, 882, 921, 995, 1366, 1374, 1375, 1503, 4682, 6211, 6213, 6420, 6421, 6427, 9502, 9503, 9508 of this title. ------DocID 33548 Document 63 of 2652------ -CITE- 26 USC Sec. 35 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- Sec. 35. Overpayments of tax -STATUTE- For credit against the tax imposed by this subtitle for overpayments of tax, see section 6401. -SOURCE- (Aug. 16, 1954, ch. 736, 68A Stat. 16, Sec. 38; renumbered Sec. 39, Oct. 16, 1962, Pub. L. 87-834, Sec. 2(a), 76 Stat. 962; renumbered Sec. 40, June 21, 1965, Pub. L. 89-44, title VIII, Sec. 809(c), 79 Stat. 167; renumbered Sec. 42, Dec. 10, 1971, Pub. L. 92-178, title VI, Sec. 601(a), 85 Stat. 553; renumbered Sec. 43, Mar. 29, 1975, Pub. L. 94-12, title II, Sec. 203(a), 89 Stat. 29; renumbered Sec. 44, Mar. 29, 1975, Pub. L. 94-12, title II, Sec. 204(a), 89 Stat. 30; renumbered Sec. 45, Mar. 29, 1975, Pub. L. 94-12, title II, Sec. 208(a), 89 Stat. 32; renumbered Sec. 35, July 18, 1984, Pub. L. 98-369, div. A, title IV, Sec. 471(c), 98 Stat. 826.) -MISC1- PRIOR PROVISIONS A prior section 35, acts Aug. 16, 1954, ch. 736, 68A Stat. 14; Sept. 2, 1958, Pub. L. 85-866, title I, Sec. 41(b), 72 Stat. 1639; Feb. 26, 1964, Pub. L. 88-272, title II, Sec. 201(d)(2), 78 Stat. 32, relating to partially tax-exempt interest received by individuals, was repealed by Pub. L. 94-455, title XIX, Sec. 1901(a)(2), Oct. 4, 1976, 90 Stat. 1764, effective with respect to taxable years beginning after Dec. 31, 1976. ------DocID 33549 Document 64 of 2652------ -CITE- 26 USC Sec. 36 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart C -HEAD- (Sec. 36. Repealed. Pub. L. 95-30, title I, Sec. 101(d)(3), May 23, 1977, 91 Stat. 133) -MISC1- Section, acts Aug. 16, 1954, ch. 736, 68A Stat. 15; Oct. 4, 1976, Pub. L. 94-455, title V, Sec. 501(b)(2), title X, Sec. 1011(c), title XIX, Sec. 1901(b)(1)(A), 90 Stat. 1558, 1611, 1790, directed that credits provided by section 32 not be allowed if an individual elects under section 144 to take standard deduction. EFFECTIVE DATE OF REPEAL Repeal applicable to taxable years beginning after Dec. 31, 1976, see section 106(a) of Pub. L. 95-30, set out as an Effective Date of 1977 Amendment note under section 1 of this title. ------DocID 33550 Document 65 of 2652------ -CITE- 26 USC Subpart D -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Subpart D - Business Related Credits -MISC1- Sec. 38. General business credit. 39. Carryback and carryforward of unused credits. 40. Alcohol used as fuel. 41. Credit for increasing research activities. 41. (FOOTNOTE 1) Employee stock ownership credit. (FOOTNOTE 1) Section 41 repealed by Pub. L. 99-514 without corresponding amendment of subpart analysis. 42. Low-income housing credit. 43. Enhanced oil recovery credit. 44. Expenditures to provide access to disabled individuals. AMENDMENTS 1990 - Pub. L. 101-508, title XI, Sec. 11511(c)(1), 11611(d), Nov. 5, 1990, 104 Stat. 1388-485, 1388-503, added items 43 and 44. 1986 - Pub. L. 99-514, title II, Sec. 231(d)(3)(K), 252(d), Oct. 22, 1986, 100 Stat. 2180, 2205, added item 41 relating to credit for increasing research activities and item 42. 1984 - Pub. L. 98-369, div. A, title IV, Sec. 471(b), July 18, 1984, 98 Stat. 826, added subpart D heading and analysis of sections for subpart D, consisting of items 38 (new), 39 (new), 40 (formerly 44E), and 41 (formerly 44G). Former subpart D was redesignated F. -SECREF- SUBPART REFERRED TO IN OTHER SECTIONS This subpart is referred to in sections 42, 49, 50, 53, 469, 6401 of this title. ------DocID 33551 Document 66 of 2652------ -CITE- 26 USC Sec. 38 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Sec. 38. General business credit -STATUTE- (a) Allowance of credit There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the sum of - (1) the business credit carryforwards carried to such taxable year, (2) the amount of the current year business credit, plus (3) the business credit carrybacks carried to such taxable year. (b) Current year business credit For purposes of this subpart, the amount of the current year business credit is the sum of the following credits determined for the taxable year: (1) the investment credit determined under section 46, (2) the targeted jobs credit determined under section 51(a), (3) the alcohol fuels credit determined under section 40(a), (4) the research credit determined under section 41(a), (5) the low-income housing credit determined under section 42(a), (6) the enhanced oil recovery credit under section 43(a), plus (7) in the case of an eligible small business (as defined in section 44(b)), the disabled access credit determined under section 44(a). (c) Limitation based on amount of tax (1) In general The credit allowed under subsection (a) for any taxable year shall not exceed the excess (if any) of the taxpayer's net income tax over the greater of - (A) the tentative minimum tax for the taxable year, or (B) 25 percent of so much of the taxpayer's net regular tax liability as exceeds $25,000. For purposes of the preceding sentence, the term 'net income tax' means the sum of the regular tax liability and the tax imposed by section 55, reduced by the credits allowable under subparts A and B of this part, and the term 'net regular tax liability' means the regular tax liability reduced by the sum of the credits allowable under subparts A and B of this part. (2) Special rules (A) Married individuals In the case of a husband or wife who files a separate return, the amount specified under subparagraph (B) of paragraph (1) shall be $12,500 in lieu of $25,000. This subparagraph shall not apply if the spouse of the taxpayer has no business credit carryforward or carryback to, and has no current year business credit for, the taxable year of such spouse which ends within or with the taxpayer's taxable year. (B) Controlled groups In the case of a controlled group, the $25,000 amount specified under subparagraph (B) of paragraph (1) shall be reduced for each component member of such group by apportioning $25,000 among the component members of such group in such manner as the Secretary shall by regulations prescribe. For purposes of the preceding sentence, the term 'controlled group' has the meaning given to such term by section 1563(a). (C) Limitations with respect to certain persons In the case of a person described in subparagraph (A) or (B) of section 46(e)(1) (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990), the $25,000 amount specified under subparagraph (B) of paragraph (1) shall equal such person's ratable share (as determined under section 46(e)(2) (as so in effect) of such amount. (D) Estates and trusts In the case of an estate or trust, the $25,000 amount specified under subparagraph (B) of paragraph (1) shall be reduced to an amount which bears the same ratio to $25,000 as the portion of the income of the estate or trust which is not allocated to beneficiaries bears to the total income of the estate or trust. (d) Ordering rules For purposes of any provision of this title where it is necessary to ascertain the extent to which the credits determined under any section referred to in subsection (b) are used in a taxable year or as a carryback or carryforward - (1) In general The order in which such credits are used shall be determined on the basis of the order in which they are listed in subsection (b) as of the close of the taxable year in which the credit is used. (2) Components of investment credit The order in which the credits listed in section 46 are used shall be determined on the basis of the order in which such credits are listed in section 46 as of the close of the taxable year in which the credit is used. (3) Credits no longer listed For purposes of this subsection - (A) the credit allowable by section 40, as in effect on the day before the date of the enactment of the Tax Reform Act of 1984, (relating to expenses of work incentive programs) and the credit allowable by section 41(a), as in effect on the day before the date of the enactment of the Tax Reform Act of 1986, (relating to employee stock ownership credit) shall be treated as referred to in that order after the last paragraph of subsection (b), and (B) the credit determined under section 46 - (i) to the extent attributable to the employee plan percentage (as defined in section 46(a)(2)(E) as in effect on the day before the date of the enactment of the Tax Reform Act of 1984) shall be treated as a credit listed after paragraph (1) of section 46, and (ii) to the extent attributable to the regular percentage (as defined in section 46(b)(1) as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990) shall be treated as the first credit listed in section 46. -SOURCE- (Added and amended Pub. L. 98-369, div. A, title IV, Sec. 473, title VI, Sec. 612(e)(1), July 18, 1984, 98 Stat. 827, 912; Pub. L. 99-514, title II, Sec. 221(a), 231(d)(1), (3)(B), 252(b), title VII, Sec. 701(c)(4), title XI, Sec. 1171(b)(1), (2), Oct. 22, 1986, 100 Stat. 2173, 2178, 2179, 2205, 2341, 2513; Pub. L. 100-647, title I, Sec. 1002(e)(8)(A), 1007(g)(2), (8), Nov. 10, 1988, 102 Stat. 3368, 3434, 3435; Pub. L. 101-508, title XI, Sec. 11511(b)(1), 11611(b)(1), 11813(b)(2), Nov. 5, 1990, 104 Stat. 1388-485, 1388-503, 1388-551.) -REFTEXT- REFERENCES IN TEXT The date of the enactment of the Revenue Reconciliation Act of 1990, referred to in subsecs. (c)(2)(C) and (d)(3)(B)(ii), is the date of enactment of Pub. L. 101-508, which was approved Nov. 5, 1990. The date of the enactment of the Tax Reform Act of 1984, referred to in subsec. (d)(3)(A), (B)(i), is the date of enactment of Pub. L. 98-369, which was approved July 18, 1984. The date of the enactment of the Tax Reform Act of 1986, referred to in subsec. (d)(3)(A), is the date of enactment of Pub. L. 99-514, which was approved Oct. 22, 1986. -MISC2- PRIOR PROVISIONS A prior section 38, added Pub. L. 87-834, Sec. 2(a), Oct. 16, 1962, 76 Stat. 962, and amended Pub. L. 94-455, title XIX, Sec. 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834, which related to investment in certain depreciable property, was repealed by Pub. L. 98-369, div. A, title IV, Sec. 474(m)(1), July 18, 1984, 98 Stat. 833. Another prior section 38 was renumbered section 35 of this title. AMENDMENTS 1990 - Subsec. (b)(1). Pub. L. 101-508, Sec. 11813(b)(2)(A), substituted 'section 46' for 'section 46(a)'. Subsec. (b)(4). Pub. L. 101-508, Sec. 11511(b)(1), struck out 'plus' at end. Subsec. (b)(5). Pub. L. 101-508, Sec. 11611(b)(1), struck out 'plus' at end. Pub. L. 101-508, Sec. 11511(b)(1), substituted ', plus' for period at end. Subsec. (b)(6). Pub. L. 101-508, Sec. 11611(b)(1), substituted ', plus' for period at end. Pub. L. 101-508, Sec. 11511(b)(1), added par. (6). Subsec. (b)(7). Pub. L. 101-508, Sec. 11611(b)(1), added par. (7). Subsec. (c)(2). Pub. L. 101-508, Sec. 11813(b)(2)(B), redesignated par. (3) as (2) and struck out former par. (2) which permitted an offset of regular investment tax credit against 25 percent of minimum tax. Subsec. (c)(2)(C). Pub. L. 101-508, Sec. 11813(b)(2)(C), inserted '(as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)' after '46(e)(1)' and '(as so in effect)' after '46(e)(2)'. Subsec. (c)(3). Pub. L. 101-508, Sec. 11813(b)(2)(B), redesignated par. (3) as (2). Subsec. (d). Pub. L. 101-508, Sec. 11813(b)(2)(D)(i), substituted 'any provision' for 'sections 46(f), 47(a), 196(a), and any other provision' in introductory provisions. Subsec. (d)(2). Pub. L. 101-508, Sec. 11813(b)(2)(D)(ii), amended par. (2) generally. Prior to amendment, par. (2) read as follows: 'The order in which credits attributable to a percentage referred to in section 46(a) are used shall be determined on the basis of the order in which such percentages are listed in section 46(a) as of the close of the taxable year in which the credit is used.' Subsec. (d)(3)(B). Pub. L. 101-508, Sec. 11813(b)(2)(D)(iii), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'the employee plan percentage (as defined in section 46(a)(2)(E), as in effect on the day before the date of the enactment of the Tax Reform Act of 1984) shall be treated as referred to after section 46(a)(2).' 1988 - Subsec. (c). Pub. L. 100-647, Sec. 1007(g)(2), amended pars. (1) to (3) generally, substituting pars. (1) and (2) for former pars. (1) to (3), redesignating former par. (4) as (3), and substituting 'subparagraph (B) of paragraph (1)' for 'subparagraphs (A) and (B) of paragraph (1)' in subpars. (A), (B), (C), and (D). Pub. L. 100-647, Sec. 1007(g)(8), made technical correction to directory language of Pub. L. 99-514, Sec. 701(c)(4), see 1986 Amendment note below. Subsec. (d). Pub. L. 100-647, Sec. 1002(e)(8)(A), substituted 'Ordering rules' for 'Special rules for certain regulated companies' in heading and amended text generally. Prior to amendment, text read as follows: 'In the case of any taxpayer to which section 46(f) applies, for purposes of sections 46(f), 47(a), and 196(a) and any other provision of this title where it is necessary to ascertain the extent to which the credits determined under section 40(a), 41(a), 42(a), 46(a), or 51(a) are used in a taxable year or as a carryback or carryforward, the order in which such credits are used shall be determined on the basis of the order in which they are listed in subsection (b).' 1986 - Subsec. (b)(4). Pub. L. 99-514, Sec. 231(d)(1), added par. (4). Pub. L. 99-514, Sec. 1171(b)(1), struck out former par. (4) which read as follows: 'the employee stock ownership credit determined under section 41(a)'. Subsec. (b)(5). Pub. L. 99-514, Sec. 252(b)(1), added par. (5). Subsec. (c). Pub. L. 99-514, Sec. 701(c)(4), as amended by Pub. L. 100-647, Sec. 1007(g)(8), added pars. (1) to (3), redesignated former par. (3) as (4), and struck out former par. (1) 'In general' which provided: 'The credit allowed under subsection (a) for any taxable year shall not exceed the sum of - '(A) so much of the taxpayer's net tax liability for the taxable year as does not exceed $25,000, plus '(B) 75 percent of so much of the taxpayer's net tax liability for the taxable year as exceeds $25,000.' and former par. (2) 'Net tax liability', which provided: 'For purposes of paragraph (1), the term 'net tax liability' means the tax liability (as defined in section 26(b)), reduced by the sum of the credits allowable under subparts A and B of this part.' Subsec. (c)(1)(B). Pub. L. 99-514, Sec. 221(a), substituted '75 percent' for '85 percent'. Subsec. (d). Pub. L. 99-514, Sec. 252(b)(2), inserted '42(a),'. Pub. L. 99-514, Sec. 1171(b)(2), substituted 'and 196(a)' for '196(a), and 404(i)' and struck out '41(a),' after '40(a)'. Pub. L. 99-514, Sec. 231(d)(3)(B), inserted '41(a),' after '40(a),'. 1984 - Subsec. (c)(2). Pub. L. 98-369, Sec. 612(e)(1), substituted 'section 26(b)' for 'section 25(b)'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 11511(b)(1) of Pub. L. 101-508 applicable to costs paid or incurred in taxable years beginning after Dec. 31, 1990, see section 11511(d)(1) of Pub. L. 101-508, set out as an Effective Date note under section 43 of this title. Section 11611(e) of Pub. L. 101-508 provided that: '(1) In general. - Except as provided in paragraph (2), the amendments made by this section (enacting section 44 of this title and amending this section and sections 39 and 190 of this title) shall apply to expenditures paid or incurred after the date of the enactment of this Act (Nov. 5, 1990). '(2) Subsection (c). - The amendment made by subsection (c) (amending section 190 of this title) shall apply to taxable years beginning after the date of the enactment of this Act.' Amendment by section 11813(b)(2) of Pub. L. 101-508 applicable to property placed in service after Dec. 31, 1990, but not applicable to any transition property (as defined in section 49(e) of this title), any property with respect to which qualified progress expenditures were previously taken into account under section 46(d) of this title, and any property described in section 46(b)(2)(C) of this title, as such sections were in effect on Nov. 4, 1990, see section 11813(c) of Pub. L. 101-508, set out as a note under section 29 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Section 1002(e)(8)(C) of Pub. L. 100-647 provided that: 'The amendments made by this paragraph (amending this section and section 49 of this title) shall apply to taxable years beginning after December 31, 1983, and to carrybacks from such years.' Amendment by section 1007(g)(2), (8) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Section 221(b) of Pub. L. 99-514 provided that: 'The amendment made by subsection (a) (amending this section) shall apply to taxable years beginning after December 31, 1985.' Amendment by section 231(d)(1), (3)(B) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1985, see section 231(g) of Pub. L. 99-514, set out as a note under section 41 of this title. Amendment by section 252(b) of Pub. L. 99-514 applicable to buildings placed in service after Dec. 31, 1986, in taxable years ending after such date, see section 252(e) of Pub. L. 99-514, set out as an Effective Date note under section 42 of this title. Amendment by section 701(c)(4) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1986, with certain exceptions and qualifications, see section 701(f) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. Section 1171(c) of Pub. L. 99-514 provided that: '(1) In general. - Except as provided in paragraph (2), the amendments made by this section (amending this section and sections 56, 108, 401, and 404 of this title and repealing sections 41 and 6699 of this title) shall apply to compensation paid or accrued after December 31, 1986, in taxable years ending after such date. '(2) Sections 404(i) and 6699 to continue to apply to pre-1987 credits. - The provisions of sections 404(i) and 6699 of the Internal Revenue Code of 1986 shall continue to apply with respect to credits under section 41 of such Code attributable to compensation paid or accrued before January 1, 1987 (or under section 38 of such Code with respect to qualified investment before January 1, 1983).' EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98-369 applicable to interest paid or accrued after December 31, 1984, on indebtedness incurred after December 31, 1984, see section 612(g) of Pub. L. 98-369, set out as an Effective Date note under section 25 of this title. EFFECTIVE DATE Section applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as an Effective Date of 1984 Amendment note under section 21 of this title. SAVINGS PROVISION For provisions that nothing in amendment by section 11813(b)(2) of Pub. L. 101-508 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Nov. 5, 1990, for purposes of determining liability for tax for periods ending after Nov. 5, 1990, see section 11821(b) of Pub. L. 101-508, set out as a note under section 29 of this title. APPLICABILITY OF CERTAIN AMENDMENTS BY PUBLIC LAW 99-514 IN RELATION TO TREATY OBLIGATIONS OF UNITED STATES For applicability of amendment by section 701(c)(4) of Pub. L. 99-514 notwithstanding any treaty obligation of the United States in effect on Oct. 22, 1986, with provision that for such purposes any amendment by title I of Pub. L. 100-647 be treated as if it had been included in the provision of Pub. L. 99-514 to which such amendment relates, see section 1012(aa)(2), (4) of Pub. L. 100-647, set out as a note under section 861 of this title. EFFECTIVE 15-YEAR CARRYBACK OF EXISTING CARRYFORWARDS OF STEEL COMPANIES Section 212 of Pub. L. 99-514, as amended by Pub. L. 100-647, title I, Sec. 1002(f), Nov. 10, 1988, 102 Stat. 3369, provided that: '(a) General Rule. - If a qualified corporation makes an election under this section for its 1st taxable year beginning after December 31, 1986, with respect to any portion of its existing carryforwards, the amount determined under subsection (b) shall be treated as a payment against the tax imposed by chapter 1 of the Internal Revenue Code of 1986 made by such corporation on the last day prescribed by law (without regard to extensions) for filing its return of tax under chapter 1 of such Code for such 1st taxable year. '(b) Amount. - For purposes of subsection (a), the amount determined under this subsection shall be the lesser of - '(1) 50 percent of the portion of the corporation's existing carryforwards to which the election under subsection (a) applies, or '(2) the corporation's net tax liability for the carryback period. '(c) Corporation Making Election May Not Use Same Amounts Under Section 38. - In the case of a qualified corporation which makes an election under subsection (a), the portion of such corporation's existing carryforwards to which such an election applies shall not be taken into account under section 38 of the Internal Revenue Code of 1986 for any taxable year beginning after December 31, 1986. '(d) Net Tax Liability for Carryback Period. - For purposes of this section - '(1) In general. - A corporation's net tax liability for the carryback period is the aggregate of such corporation's net tax liability for taxable years in the carryback period. '(2) Net tax liability. - The term 'net tax liability' means, with respect to any taxable year, the amount of the tax imposed by chapter 1 of the Internal Revenue Code of 1954 (now 1986) for such taxable year, reduced by the sum of the credits allowable under part IV of subchapter A of such chapter 1 (other than section 34 thereof). For purposes of the preceding sentence, any tax treated as not imposed by chapter 1 of such Code under section 26(b)(2) of such Code shall not be treated as tax imposed by such chapter 1. '(3) Carryback period. - The term 'carryback period' means the period - '(A) which begins with the corporation's 15th taxable year preceding the 1st taxable year from which there is an unused credit included in such corporation's existing carryforwards (but in no event shall such period begin before the corporation's 1st taxable year ending after December 31, 1961), and '(B) which ends with the corporation's last taxable year beginning before January 1, 1986. '(e) No Recomputation of Minimum Tax, Etc. - Nothing in this section shall be construed to affect - '(1) the amount of the tax imposed by section 56 of the Internal Revenue Code of 1986, or '(2) the amount of any credit allowable under such Code, for any taxable year in the carryback period. '(f) Reinvestment Requirement. - '(1) In general. - Any amount determined under this section must be committed to reinvestment in, and modernization of the steel industry through investment in modern plant and equipment, research and development, and other appropriate projects, such as working capital for steel operations and programs for the retraining of steel workers. '(2) Special rule. - In the case of the LTV Corporation, in lieu of the requirements of paragraph (1) - '(A) such corporation shall place such refund in a separate account; and '(B) amounts in such separate account - '(i) shall only be used by the corporation - '(I) to purchase an insurance policy which provides that, in the event the corporation becomes involved in a title 11 or similar case (as defined in section 368(a)(3)(A) of the Internal Revenue Code of 1954 (now 1986)), the insurer will provide life and health insurance coverage during the 1-year period beginning on the date when the corporation receives the refund to any individual with respect to whom the corporation would (but for such involvement) have been obligated to provide such coverage the coverage provided by the insurer will be identical to the coverage which the corporation would (but for such involvement) have been obligated to provide, and provides that the payment of insurance premiums will not be required during such 1-year period to keep such policy in force, or '(II) directly in connection with the trade or business of the corporation in the manufacturer or production of steel; and '(ii) shall be used (or obligated) for purposes described in clause (i) not later than 3 months after the corporation receives the refund. '(3) In the case of a qualified corporation, no offset to any refund under this section may be made by reason of any tax imposed by section 4971 of the Internal Revenue Code of 1986 (or any interest or penalty attributable to any such tax), and the date on which any such refund is to be paid shall be determined without regard to such corporation's status under title 11, United States Code. '(g) Definitions. - For purposes of this section - '(1) Qualified corporation. - '(A) In general. - The term 'qualified corporation' means any corporation which is described in section 806(b) of the Steel Import Stabilization Act (19 U.S.C. 2253 note) and a company which was incorporated on February 11, 1983, in Michigan. '(B) Certain predecessors included. - In the case of any qualified corporation which has carryforward attributable to a predecessor corporation described in such section 806(b), the qualified corporation and the predecessor corporation shall be treated as 1 corporation for purposes of subsections (d) and (e). '(2) Existing carryforwards. - The term 'existing carryforward' means the aggregate of the amounts which - '(A) are unused business credit carryforwards to the taxpayer's 1st taxable year beginning after December 31, 1986 (determined without regard to the limitations of section 38(c) and any reduction under section 49 of the Internal Revenue Code of 1986), and '(B) are attributable to the amount of the regular investment credit determined for periods before January 1, 1986, under section 46(a)(1) of such Code (relating to regular percentage), or any corresponding provision of prior law, determined on the basis that the regular investment credit was used first. '(3) Special rule for restructuring. - In the case of any corporation, any restructuring shall not limit, increase, or otherwise affect the benefits which would have been available under this section but for such restructuring. '(h) Tentative Refunds. - Rules similar to the rules of section 6425 of the Internal Revenue Code of 1986 shall apply to any overpayment resulting from the application of this section.' EFFECTIVE 15-YEAR CARRYBACK OF EXISTING CARRYFORWARDS OF QUALIFIED FARMERS Section 213 of Pub. L. 99-514, as amended by Pub. L. 100-647, title I, Sec. 1002(g), Nov. 10, 1988, 102 Stat. 3369, provided that: '(a) General Rule. - If a taxpayer who is a qualified farmer makes an election under this section for its 1st taxable year beginning after December 31, 1986, with respect to any portion of its existing carryforwards, the amount determined under subsection (b) shall be treated as a payment against the tax imposed by chapter 1 of the Internal Revenue Code of 1986 made by such taxpayer on the last day prescribed by law (without regard to extensions) for filing its return of tax under chapter 1 of such Code for such 1st taxable year. '(b) Amount. - For purposes of subsection (a), the amount determined under this subsection shall be equal to the smallest of - '(1) 50 percent of the portion of the taxpayer's existing carryforwards to which the election under subsection (a) applies, '(2) the taxpayer's net tax liability for the carryback period (within the meaning of section 212(d) of this Act (set out as a note above)), or '(3) $750. '(c) Taxpayer Making Election May Not Use Same Amounts Under Section 38. - In the case of a qualified farmer who makes an election under subsection (a), the portion of such farmer's existing carryforwards to which such an election applies shall not be taken into account under section 38 of the Internal Revenue Code of 1986 for any taxable year beginning after December 31, 1986. '(d) No Recomputation of Minimum Tax, Etc. - Nothing in this section shall be construed to affect - '(1) the amount of the tax imposed by section 56 of the Internal Revenue Code of 1954 (now 1986), or '(2) the amount of any credit allowable under such Code, for any taxable year in the carryback period (within the meaning of section 212(d)(3) of this Act (set out as a note above)). '(e) Definitions and Special Rules. - For purposes of this section - '(1) Qualified farmer. - The term 'qualified farmer' means any taxpayer who, during the 3-taxable year period preceding the taxable year for which an election is made under subsection (a), derived 50 percent or more of the taxpayer's gross income from the trade or business of farming. '(2) Existing carryforward. - The term 'existing carryforward' means the aggregate of the amounts which - '(A) are unused business credit carryforwards to the taxpayer's 1st taxable year beginning after December 31, 1986 (determined without regard to the limitations of section 38(c) of the Internal Revenue Code of 1986), and '(B) are attributable to the amount of the investment credit determined for periods before January 1, 1986, under section 46(a) of such Code (or any corresponding provision of prior law) with respect to section 38 property which was used by the taxpayer in the trade or business of farming, determined on the basis that such credit was used first. '(3) Farming. - The term 'farming' has the meaning given such term by section 2032A(e)(4) and (5) of such Code.' TREATMENT OF INVESTMENT TAX CREDITS WITH RESPECT TO CERTAIN PUBLIC UTILITIES For provisions requiring different applications of subsec. (c) of this section to certain public utilities by making substitutions in the percentages of the tentative minimum tax referred to in subsec. (c)(3)(A)(ii), (B), under certain circumstances, see section 701(f)(6) of Pub. L. 99-514, set out as an Effective Date note under section 55 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. TRANSITION RULES Section 1177 of subtitle C (Sec. 1171-1177) of title XI of Pub. L. 99-514, as amended by Pub. L. 100-647, title I, Sec. 1011B(l)(1), (2), Nov. 10, 1988, 102 Stat. 3493, provided that: '(a) Section 1171. - The amendments made by section 1171 (amending this section and sections 56, 108, 401, and 404 of this title and repealing sections 41 and 6699 of this title) shall not apply in the case of a tax credit employee stock ownership plan if - '(1) such plan was favorably approved on September 23, 1983, by employees, and '(2) not later than January 11, 1984, the employer of such employees was 100 percent owned by such plan. '(b) Subtitle Not To Apply to Certain Newspaper. - The amendments made by section 1175 (amending section 401 of this title) shall not apply to any daily newspaper - '(1) which was first published on December 17, 1855, and which began publication under its current name in 1954, and '(2) which is published in a constitutional home rule city (within the meaning of section 146(d)(3)(C) of the Internal Revenue Code of 1986) which has a population of less than 2,500,000.' Section 1011B(l)(3) of Pub. L. 100-647 provided that: 'If any newspaper corporation described in section 1177(b) of the Reform Act (section 1177(b) of Pub. L. 99-514, set out above), as amended by this subsection, pays in cash a dividend within 60 days after the date of the enactment of this Act (Nov. 10, 1988) to the corporation's employee stock ownership plans and if a corporate resolution declaring such dividend was adopted before November 30, 1987, and such resolution specifies that such dividend shall be contingent upon passage by the Congress of technical corrections, then such dividend (to the extent the aggregate amount so paid does not exceed $3,500,000) shall be treated as if it had been declared and paid in 1987 for all purposes of the Internal Revenue Code of 1986.' ACCOUNTING FOR INVESTMENT CREDIT IN CERTAIN FINANCIAL REPORTS AND REPORTS TO FEDERAL AGENCIES Pub. L. 92-178, title I, Sec. 101(c), Dec. 10, 1971, 85 Stat. 499, as amended by Pub. L. 98-369, div. A, title IV, Sec. 450(a), July 18, 1984, 98 Stat. 818; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: '(1) In general. - It was the intent of Congress in enacting, in the Revenue Act of 1962 (see Short Title of 1962 Amendment note set out under section 1 of this title), the investment credit allowed by section 38 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954), and it is the intent of the Congress in restoring that credit in this Act (section 50 of this title), to provide an incentive for modernization and growth of private industry. Accordingly, notwithstanding any other provision of law, on and after the date of the enactment of this Act (Dec. 10, 1971) - '(A) no taxpayer shall be required to use, for purposes of financial reports subject to the jurisdiction of any Federal agency or reports made to any Federal agency, any particular method of accounting for the credit allowed by such section 38 (this section), and '(B) a taxpayer shall disclose, in any such report, the method of accounting for such credit used by him for purposes of such report. '(2) Exceptions. - Paragraph (1) shall not apply to taxpayers who are subject to the provisions of section 46(e) of the Internal Revenue Code of 1986 (as added by section 105(c) of this Act) or to section 203(e) of the Revenue Act of 1964 (as modified by section 105(e) of this Act) (set out as note below).' (Section 450(b) of Pub. L. 98-369 provided that: 'The amendments made by this section (amending this note) shall take effect as if included in the Revenue Act of 1971.') TREATMENT OF INVESTMENT CREDIT BY FEDERAL REGULATORY AGENCIES Pub. L. 88-272, title II, Sec. 203(e), Feb. 26, 1964, 78 Stat. 35, as amended by Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: 'It was the intent of the Congress in providing an investment credit under section 38 of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) and it is the intent of the Congress in repealing the reduction in basis required by section 48(g) of such Code to provide an incentive for modernization and growth of private industry (including that portion thereof which is regulated). Accordingly, Congress does not intend that any agency or instrumentality of the United States having jurisdiction with respect to a taxpayer shall, without the consent of the taxpayer, use - '(1) in the case of public utility property (as defined in section 46(c)(3)(B) of the Internal Revenue Code of 1986, more than a proportionate part (determined with reference to the average useful life of the property with respect to which the credit was allowed) of the credit against tax allowed for any taxable year by section 38 of such Code, or '(2) in the case of any other property, any credit against tax allowed by section 38 of such Code, to reduce such taxpayer's Federal income taxes for the purpose of establishing the cost of service of the taxpayer or to accomplish a similar result by any other method.' Section 203(e) of Pub. L. 88-272, not applicable to public utility property to which section 46(e) of this title applies, see section 105(e) of Pub. L. 92-178, set out as a note under section 46 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 29, 39, 40, 41, 42, 43, 44, 46, 49, 50, 51, 52, 55, 108, 179, 196, 381, 1274A, 1351 of this title; title 12 sections 3604, 3607, 3613. ------DocID 33552 Document 67 of 2652------ -CITE- 26 USC Sec. 39 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Sec. 39. Carryback and carryforward of unused credits -STATUTE- (a) In general (1) 3-year carryback and 15-year carryforward If the sum of the business credit carryforwards to the taxable year plus the amount of the current year business credit for the taxable year exceeds the amount of the limitation imposed by subsection (c) of section 38 for such taxable year (hereinafter in this section referred to as the 'unused credit year'), such excess (to the extent attributable to the amount of the current year business credit) shall be - (A) a business credit carryback to each of the 3 taxable years preceding the unused credit year, and (B) a business credit carryforward to each of the 15 taxable years following the unused credit year, and, subject to the limitations imposed by subsections (b) and (c), shall be taken into account under the provisions of section 38(a) in the manner provided in section 38(a). (2) Amount carried to each year (A) Entire amount carried to first year The entire amount of the unused credit for an unused credit year shall be carried to the earliest of the 18 taxable years to which (by reason of paragraph (1)) such credit may be carried. (B) Amount carried to other 17 years The amount of the unused credit for the unused credit year shall be carried to each of the other 17 taxable years to the extent that such unused credit may not be taken into account under section 38(a) for a prior taxable year because of the limitations of subsections (b) and (c). (b) Limitation on carrybacks The amount of the unused credit which may be taken into account under section 38(a)(3) for any preceding taxable year shall not exceed the amount by which the limitation imposed by section 38(c) for such taxable year exceeds the sum of - (1) the amounts determined under paragraphs (1) and (2) of section 38(a) for such taxable year, plus (2) the amounts which (by reason of this section) are carried back to such taxable year and are attributable to taxable years preceding the unused credit year. (c) Limitation on carryforwards The amount of the unused credit which may be taken into account under section 38(a)(1) for any succeeding taxable year shall not exceed the amount by which the limitation imposed by section 38(c) for such taxable year exceeds the sum of the amounts which, by reason of this section, are carried to such taxable year and are attributable to taxable years preceding the unused credit year. (d) Transitional rules ((1) to (4) Repealed. Pub. L. 101-508, title XI, Sec. 11801(a)(2), Nov. 5, 1990, 104 Stat. 1388-520) (5) (FOOTNOTE 1) No carryback of enhanced oil recovery credit before 1991 (FOOTNOTE 1) So in original. Two pars. (5) have been enacted. No portion of the unused business credit for any taxable year which is attributable to the credit determined under section 43(a) (relating to enhanced oil recovery credit) may be carried to a taxable year beginning before January 1, 1991. (5) (FOOTNOTE 1) No carryback of section 44 credit before enactment No portion of the unused business credit for any taxable year which is attributable to the disabled access credit determined under section 44 may be carried to a taxable year ending before the date of the enactment of section 44. -SOURCE- (Added Pub. L. 98-369, div. A, title IV, Sec. 473, July 18, 1984, 98 Stat. 828, and amended Pub. L. 99-514, title II, Sec. 231(d)(3)(C)(i), title XVIII, Sec. 1846, Oct. 22, 1986, 100 Stat. 2179, 2856; Pub. L. 100-647, title I, Sec. 1002(l)(26), Nov. 10, 1988, 102 Stat. 3381; Pub. L. 101-508, title XI, Sec. 11511(b)(2), 11611(b)(2), 11801(a)(2), Nov. 5, 1990, 104 Stat. 1388-485, 1388-503, 1388-520.) -REFTEXT- REFERENCES IN TEXT The date of the enactment of section 44, referred to in subsec. (d)(5), means the date of the enactment of Pub. L. 101-508, which was approved Nov. 5, 1990. -MISC2- PRIOR PROVISIONS A prior section 39 was renumbered section 34 of this title. Another prior section 39 was renumbered section 35 of this title. AMENDMENTS 1990 - Subsec. (d)(1) to (4). Pub. L. 101-508, Sec. 11801(a)(2), struck out par. (1) which related to carryforwards from an unused credit year which did not expire before first taxable year beginning after Dec. 31, 1983, par. (2) which related to carrybacks in determining amount allowable as credit including net tax liability, par. (3) which related to similar rules for research credit under section 30, and par. (4) which provided for no carryback of low-income housing credit before 1987. Subsec. (d)(5). Pub. L. 101-508, Sec. 11611(b)(2), added par. (5) relating to carryback of section 44 credit. Pub. L. 101-508, Sec. 11511(b)(2), added par. (5) relating to carryback of enhanced oil recovery credit. 1988 - Subsec. (d)(4). Pub. L. 100-647 added par. (4). 1986 - Subsec. (d)(1)(A). Pub. L. 99-514, Sec. 1846(1), inserted '(as in effect before the enactment of the Tax Reform Act of 1984)'. Subsec. (d)(2)(B). Pub. L. 99-514, Sec. 1846(2), substituted 'as defined in section 26(b)' for 'as so defined in section 25(b)'. Subsec. (d)(3). Pub. L. 99-514, Sec. 231(d)(3)(C)(i), added par. (3). EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 11511(b)(2) of Pub. L. 101-508 applicable to costs paid or incurred in taxable years beginning after Dec. 31, 1990, see section 11511(d)(1) of Pub. L. 101-508, set out as an Effective Date note under section 43 of this title. Amendment by section 11611(b)(2) of Pub. L. 101-508 applicable to expenditures paid or incurred after Nov. 5, 1990, see section 11611(e)(1) of Pub. L. 101-508, set out as a note under section 38 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by section 231(d)(3)(C)(i) of Pub. L. 99-514 applicable to taxable years beginning after Dec. 31, 1985, see section 231(g) of Pub. L. 99-514, set out as a note under section 41 of this title. Amendment by section 1846 of Pub. L. 99-514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment relates, see section 1881 of Pub. L. 99-514, set out as a note under section 48 of this title. EFFECTIVE DATE Section applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as an Effective Date of 1984 Amendment note under section 21 of this title. SAVINGS PROVISION For provisions that nothing in amendment by section 11801(a)(2) of Pub. L. 101-508 be construed to affect treatment of certain transactions occurring, property acquired, or items of income, loss, deduction, or credit taken into account prior to Nov. 5, 1990, for purposes of determining liability for tax for periods ending after Nov. 5, 1990, see section 11821(b) of Pub. L. 101-508, set out as a note under section 29 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 40, 41, 42, 48, 50, 196, 383, 1374, 6411, 6511 of this title. ------DocID 33553 Document 68 of 2652------ -CITE- 26 USC Sec. 40 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Sec. 40. Alcohol used as fuel -STATUTE- (a) General rule For purposes of section 38, the alcohol fuels credit determined under this section for the taxable year is an amount equal to the sum of - (1) the alcohol mixture credit, plus (2) the alcohol credit, plus (3) in the case of an eligible small ethanol producer, the small ethanol producer credit. (b) Definition of alcohol mixture credit, alcohol credit, and small ethanol producer credit For purposes of this section, and except as provided in subsection (h) - (1) Alcohol mixture credit (A) In general The alcohol mixture credit of any taxpayer for any taxable year is 60 cents for each gallon of alcohol used by the taxpayer in the production of a qualified mixture. (B) Qualified mixture The term 'qualified mixture' means a mixture of alcohol and gasoline or of alcohol and a special fuel which - (i) is sold by the taxpayer producing such mixture to any person for use as a fuel, or (ii) is used as a fuel by the taxpayer producing such mixture. (C) Sale or use must be in trade or business, etc. Alcohol used in the production of a qualified mixture shall be taken into account - (i) only if the sale or use described in subparagraph (B) is in a trade or business of the taxpayer, and (ii) for the taxable year in which such sale or use occurs. (D) Casual off-farm production not eligible No credit shall be allowed under this section with respect to any casual off-farm production of a qualified mixture. (2) Alcohol credit (A) In general The alcohol credit of any taxpayer for any taxable year is 60 cents for each gallon of alcohol which is not in a mixture with gasoline or a special fuel (other than any denaturant) and which during the taxable year - (i) is used by the taxpayer as a fuel in a trade or business, or (ii) is sold by the taxpayer at retail to a person and placed in the fuel tank of such person's vehicle. (B) User credit not to apply to alcohol sold at retail No credit shall be allowed under subparagraph (A)(i) with respect to any alcohol which was sold in a retail sale described in subparagraph (A)(ii). (3) Smaller credit for lower proof alcohol In the case of any alcohol with a proof which is at least 150 but less than 190, paragraphs (1)(A) and (2)(A) shall be applied by substituting '45 cents' for '60 cents'. (4) Small ethanol producer credit (A) In general The small ethanol producer credit of any eligible small ethanol producer for any taxable year is 10 cents for each gallon of qualified ethanol fuel production of such producer. (B) Qualified ethanol fuel production For purposes of this paragraph, the term 'qualified ethanol fuel production' means any alcohol which is ethanol which is produced by an eligible small ethanol producer, and which during the taxable year - (i) is sold by such producer to another person - (I) for use by such other person in the production of a qualified mixture in such other person's trade or business (other than casual off-farm production), (II) for use by such other person as a fuel in a trade or business, or (III) who sells such ethanol at retail to another person and places such ethanol in the fuel tank of such other person, or (ii) is used or sold by such producer for any purpose described in clause (i). (C) Limitation The qualified ethanol fuel production of any producer for any taxable year shall not exceed 15,000,000 gallons. (D) Additional distillation excluded The qualified ethanol fuel production of any producer for any taxable year shall not include any alcohol which is purchased by the producer and with respect to which such producer increases the proof of the alcohol by additional distillation. (5) Adding of denaturants not treated as mixture The adding of any denaturant to alcohol shall not be treated as the production of a mixture. (c) Coordination with exemption from excise tax The amount of the credit determined under this section with respect to any alcohol shall, under regulations prescribed by the Secretary, be properly reduced to take into account any benefit provided with respect to such alcohol solely by reason of the application of subsection (b)(2), (k), or (m) of section 4041, section 4081(c), or section 4091(c). (d) Definitions and special rules For purposes of this section - (1) Alcohol defined (A) In general The term 'alcohol' includes methanol and ethanol but does not include - (i) alcohol produced from petroleum, natural gas, or coal (including peat), or (ii) alcohol with a proof of less than 150. (B) Determination of proof The determination of the proof of any alcohol shall be made without regard to any added denaturants. (2) Special fuel defined The term 'special fuel' includes any liquid fuel (other than gasoline) which is suitable for use in an internal combustion engine. (3) Mixture or alcohol not used as a fuel, etc. (A) Mixtures If - (i) any credit was determined under this section with respect to alcohol used in the production of any qualified mixture, and (ii) any person - (I) separates the alcohol from the mixture, or (II) without separation, uses the mixture other than as a fuel, then there is hereby imposed on such person a tax equal to 60 cents a gallon (45 cents in the case of alcohol with a proof less than 190) for each gallon of alcohol in such mixture. (B) Alcohol If - (i) any credit was determined under this section with respect to the retail sale of any alcohol, and (ii) any person mixes such alcohol or uses such alcohol other than as a fuel, then there is hereby imposed on such person a tax equal to 60 cents a gallon (45 cents in the case of alcohol with a proof less than 190) for each gallon of such alcohol. (C) Producer credit If - (i) any credit was determined under subsection (a)(3), and (ii) any person does not use such fuel for a purpose described in subsection (b)(4)(B), then there is hereby imposed on such person a tax equal to 10 cents a gallon for each gallon of such alcohol. (D) Applicable laws All provisions of law, including penalties, shall, insofar as applicable and not inconsistent with this section, apply in respect of any tax imposed under subparagraph (A), (B), or (C) as if such tax were imposed by section 4081 and not by this chapter. (4) Volume of alcohol For purposes of determining - (A) under subsection (a) the number of gallons of alcohol with respect to which a credit is allowable under subsection (a), or (B) under section 4041(k) or 4081(c) the percentage of any mixture which consists of alcohol, the volume of alcohol shall include the volume of any denaturant (including gasoline) which is added under any formulas approved by the Secretary to the extent that such denaturants do not exceed 5 percent of the volume of such alcohol (including denaturants). (5) Pass-thru in the case of estates and trusts Under regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply. (e) Termination (1) In general This section shall not apply to any sale or use - (A) for any period after December 31, 2000, or (B) for any period before January 1, 2001, during which the Highway Trust Fund financing rate under section 4081(a)(2) is not in effect. (2) No carryovers to certain years after expiration If this section ceases to apply for any period by reason of paragraph (1), no amount attributable to any sale or use before the first day of such period may be carried under section 39 by reason of this section (treating the amount allowed by reason of this section as the first amount allowed by this subpart) to any taxable year beginning after the 3-taxable-year period beginning with the taxable year in which such first day occurs. (f) Election to have alcohol fuels credit not apply (1) In general A taxpayer may elect to have this section not apply for any taxable year. (2) Time for making election An election under paragraph (1) for any taxable year may be made (or revoked) at any time before the expiration of the 3-year period beginning on the last date prescribed by law for filing the return for such taxable year (determined without regard to extensions). (3) Manner of making election An election under paragraph (1) (or revocation thereof) shall be made in such manner as the Secretary may by regulations prescribe. (g) Definitions and special rules for eligible small ethanol producer credit For purposes of this section - (1) Eligible small ethanol producer The term 'eligible small ethanol producer' means a person who, at all times during the taxable year, has a productive capacity for alcohol (as defined in subsection (d)(1)(A) without regard to clauses (i) and (ii)) not in excess of 30,000,000 gallons. (2) Aggregration (FOOTNOTE 1) rule (FOOTNOTE 1) So in original. Probably should be 'Aggregation'. For purposes of the 15,000,000 gallon limitation under subsection (b)(4)(C) and the 30,000,000 gallon limitation under paragraph (1), all members of the same controlled group of corporations (within the meaning of section 267(f)) and all persons under common control (within the meaning of section 52(b) but determined by treating an interest of more than 50 percent as a controlling interest) shall be treated as 1 person. (3) Partnership, S corporations, and other pass-thru entities In the case of a partnership, trust, S corporation, or other pass-thru entity, the limitations contained in subsection (b)(4)(C) and paragraph (1) shall be applied at the entity level and at the partner or similar level. (4) Allocation For purposes of this subsection, in the case of a facility in which more than 1 person has an interest, productive capacity shall be allocated among such persons in such manner as the Secretary may prescribe. (5) Regulations The Secretary may prescribe such regulations as may be necessary - (A) to prevent the credit provided for in subsection (a)(3) from directly or indirectly benefiting any person with a direct or indirect productive capacity of more than 30,000,000 gallons of alcohol during the taxable year, or (B) to prevent any person from directly or indirectly benefiting with respect to more than 15,000,000 gallons during the taxable year. (h) Reduced credit for ethanol blenders In the case of any alcohol mixture credit or alcohol credit with respect to any alcohol which is ethanol - (1) subsections (b)(1)(A) and (b)(2)(A) shall be applied by substituting '54 cents' for '60 cents'; (2) subsection (b)(3) shall be applied by substituting '40 cents' for '45 cents' and '54 cents' for '60 cents'; and (3) subparagraphs (A) and (B) of subsection (d)(3) shall be applied by substituting '54 cents' for '60 cents' and '40 cents' for '45 cents'. -SOURCE- (Added Pub. L. 96-223, title II, Sec. 232(b)(1), Apr. 2, 1980, 94 Stat. 273, Sec. 44E, and amended Pub. L. 97-34, title II Sec. 207(c)(3), Aug. 13, 1981, 95 Stat. 225; Pub. L. 97-354, Sec. 5(a)(2), Oct. 19, 1982, 96 Stat. 1692; Pub. L. 97-424, title V, Sec. 511(b)(2), (d)(3), Jan. 6, 1983, 96 Stat. 2170, 2171; renumbered Sec. 40 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(k), title IX, Sec. 912(c), (f), 913(b), July 18, 1984, 98 Stat. 826, 832, 1007, 1008; Pub. L. 100-203, title X, Sec. 10502(d)(1), Dec. 22, 1987, 101 Stat. 1330-444; Pub. L. 101-508, title XI, Sec. 11502(a)-(f), Nov. 5, 1990, 104 Stat. 1388-480 to 1388-482.) -MISC1- PRIOR PROVISIONS A prior section 40, added Pub. L. 92-178, title VI, Sec. 601(a), Dec. 10, 1971, 85 Stat. 553, and amended Pub. L. 94-455, title XIX, Sec. 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1834, which related to the allowance as a credit of expenses of work incentive programs, was repealed by Pub. L. 98-369, div. A, title IV, Sec. 474(m)(1), July 18, 1984, 98 Stat. 833. Another prior section 40 was renumbered section 35 of this title. AMENDMENTS 1990 - Subsec. (a)(2). Pub. L. 101-508, Sec. 11502(a)(1), substituted ', plus' for period at end. Subsec. (a)(3). Pub. L. 101-508, Sec. 11502(a)(2), added par. (3). Subsec. (b). Pub. L. 101-508, Sec. 11502(e)(2), which directed the insertion of ', and except as provided in subsection (h)' in introductory provisions without specifying the location of such insertion, was executed after 'section' to reflect the probable intent of Congress. Pub. L. 101-508, Sec. 11502(b)(3), substituted ', alcohol credit, and small ethanol producer credit' for 'and alcohol credit' in heading. Subsec. (b)(4), (5). Pub. L. 101-508, Sec. 11502(b)(1), (2), added par. (4) and redesignated former par. (4) as (5). Subsec. (d)(3)(C), (D). Pub. L. 101-508, Sec. 11502(d)(1), (2), added subpar. (C), redesignated former subpar. (C) as (D), and substituted 'subparagraph (A), (B), or (C)' for 'subparagraph (A) or (B)'. Subsec. (e). Pub. L. 101-508, Sec. 11502(f), amended subsec. (e) generally, substituting present provisions for provisions prohibiting the applicability of this section to any sale or use after Dec. 31, 1992, and prohibiting carryovers to any taxable year beginning after Dec. 31, 1994. Subsec. (g). Pub. L. 101-508, Sec. 11502(c), added subsec. (g). Subsec. (h). Pub. L. 101-508, Sec. 11502(e)(1), added subsec. (h). 1987 - Subsec. (c). Pub. L. 100-203 substituted ', section 4081(c), or section 4091(c)' for 'or section 4081(c)'. 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 44E of this title as this section. Subsec. (a). Pub. L. 98-369, Sec. 474(k)(1), substituted 'For purposes of section 38, the alcohol fuels credit determined under this section for the taxable year is an amount equal to the sum of' for 'There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the sum of' in introductory provisions. Subsec. (b)(1)(A), (2)(A). Pub. L. 98-369, Sec. 912(c)(1), substituted '60 cents' for '50 cents'. Subsec. (b)(3). Pub. L. 98-369, Sec. 912(c), substituted '45 cents' for '37.5 cents' and '60 cents' for '50 cents'. Subsec. (c). Pub. L. 98-369, Sec. 913(b), substituted '(b)(2), (k), or (m)' for '(b)(2) or (k)'. Pub. L. 98-369, Sec. 474(k)(2), substituted 'the credit determined under this section' for 'the credit allowable under this section'. Subsec. (d)(1)(A)(i). Pub. L. 98-369, Sec. 912(f), substituted 'coal (including peat)' for 'coal'. Subsec. (d)(3)(A). Pub. L. 98-369, Sec. 912(c), substituted '60 cents' for '50 cents' and '45 cents' for '37.5 cents'. Subsec. (d)(3)(A)(i). Pub. L. 98-369, Sec. 474(k)(3), substituted 'credit was determined' for 'credit was allowable'. Subsec. (d)(3)(B). Pub. L. 98-369, Sec. 912(c), substituted '60 cents' for '50 cents' and '45 cents' for '37.5 cents'. Subsec. (d)(3)(B)(i). Pub. L. 98-369, Sec. 474(k)(3), substituted 'credit was determined' for 'credit was allowable'. Subsec. (e). Pub. L. 98-369, Sec. 474(k)(4), redesignated subsec. (f) as (e). Former subsec. (e), which had placed a limitation based on the amount of tax, was struck out. Subsec. (e)(2). Pub. L. 98-369, Sec. 474(k)(5), substituted 'section 39 by reason of this section (treating the amount allowed by reason of this section as the first amount allowed by this subpart)' for 'subsection (e)(2)'. Subsec. (f). Pub. L. 98-369, Sec. 474(k)(6), added subsec. (f). Former subsec. (f) redesignated (e). 1983 - Subsec. (b)(1)(A), (2)(A). Pub. L. 97-424, Sec. 511(d)(3)(A), substituted '50 cents' for '40 cents'. Subsec. (b)(3). Pub. L. 97-424, Sec. 511(d)(3), substituted '50 cents' for '40 cents' and '37.5 cents' for '30 cents'. Subsec. (c). Pub. L. 97-424, Sec. 511(b)(2), substituted 'subsection (b)(2) or (k) of section 4041 or section 4081(c)' for 'section 4041(k) or 4081(c)' after 'reason of the application of'. Subsec. (d)(3)(A), (B). Pub. L. 97-424, Sec. 511(d)(3), substituted '50 cents' for '40 cents' and '37.5 cents' for '30 cents'. 1982 - Subsec. (d)(5). Pub. L. 97-354 substituted 'Pass-thru in the case of estates and trusts' for 'Pass-through in the case of subchapter S corporations, etc.' in par. heading, and substituted provisions relating to the applicability of rules similar to rules of subsec. (d) of section 52 for provisions relating to the applicability of rules similar to rules of subsecs. (d) and (e) of section 52. 1981 - Subsec. (e)(2)(A). Pub. L. 97-34 substituted '15' for '7' in two places, and '14' for '6' in one place. EFFECTIVE DATE OF 1990 AMENDMENT Section 11502(h) of Pub. L. 101-508 provided that: '(1) Except as provided in paragraph (2), the amendments made by this section (amending this section) shall apply to alcohol produced, and sold or used, in taxable years beginning after December 31, 1990. '(2) The amendments made by subsection (g) (amending provisions not classified to the Code) shall apply to articles entered or withdrawn from warehouse on or after January 1, 1991.' EFFECTIVE DATE OF 1987 AMENDMENT Section 10502(e) of Pub. L. 100-203 provided that: 'The amendments made by this section (enacting sections 4091 to 4093 of this title, amending this section and sections 4041, 4081, 4101, 4221, 6206, 6416, 6421, 6427, 6652, 9502, 9503, and 9508 of this title, and enacting provisions set out as notes under sections 4091 and 9502 of this title) shall apply to sales after March 31, 1988.' EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 474(k) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. Section 912(g) of Pub. L. 98-369 provided that: 'The amendments made by this section (amending this section and sections 4041, 4081, and 6427 of this title) shall take effect on January 1, 1985.' Amendment by section 913(b) of Pub. L. 98-369 effective Aug. 1, 1984, see section 913(c) of Pub. L. 98-369, set out as a note under section 4041 of this title. EFFECTIVE DATE OF 1983 AMENDMENT Amendments by section 511(b)(2), (d)(3) of Pub. L. 97-424 effective Apr. 1, 1983, see section 511(h) of Pub. L. 97-424, set out as a note under section 4041 of this title. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97-354 applicable to taxable years beginning after Dec. 31, 1982, see section 6(a) of Pub. L. 97-354, set out as an Effective Date note under section 1361 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97-34 applicable to unused credit years ending after Sept. 30, 1980, see section 209(c)(2)(C) of Pub. L. 97-34, set out as an Effective Date note under section 168 of this title. EFFECTIVE DATE Section 232(h)(1), (4) of Pub. L. 96-223, as amended by Pub. L. 97-448, title II, Sec. 202(e), Jan. 12, 1983, 96 Stat. 2396, provided that: '(1) The amendments made by subsections (b) and (c) (enacting sections 44E (now 40) and 86 of this title and amending sections 55, 381, 383, 4081, and 6096 of this title) shall apply to sales or uses after September 30, 1980, in taxable years ending after such date. '(4) Notwithstanding paragraph (1), the provisions of section 44E(d)(4)(B) (now 40(d)(4)(B)) of such Code, as added by this section, shall take effect on April 2, 1980.' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 38, 87, 196, 6501 of this title. ------DocID 33554 Document 69 of 2652------ -CITE- 26 USC Sec. 41 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Sec. 41. Credit for increasing research activities -STATUTE- (a) General rule For purposes of section 38, the research credit determined under this section for the taxable year shall be an amount equal to the sum of - (1) 20 percent of the excess (if any) of - (A) the qualified research expenses for the taxable year, over (B) the base amount, and (2) 20 percent of the basic research payments determined under subsection (e)(1)(A). (b) Qualified research expenses For purposes of this section - (1) Qualified research expenses The term 'qualified research expenses' means the sum of the following amounts which are paid or incurred by the taxpayer during the taxable year in carrying on any trade or business of the taxpayer - (A) in-house research expenses, and (B) contract research expenses. (2) In-house research expenses (A) In general The term 'in-house research expenses' means - (i) any wages paid or incurred to an employee for qualified services performed by such employee, (ii) any amount paid or incurred for supplies used in the conduct of qualified research, and (iii) under regulations prescribed by the Secretary, any amount paid or incurred to another person for the right to use computers in the conduct of qualified research. Clause (iii) shall not apply to any amount to the extent that the taxpayer (or any person with whom the taxpayer must aggregate expenditures under subsection (f)(1)) receives or accrues any amount from any other person for the right to use substantially identical personal property. (B) Qualified services The term 'qualified services' means services consisting of - (i) engaging in qualified research, or (ii) engaging in the direct supervision or direct support of research activities which constitute qualified research. If substantially all of the services performed by an individual for the taxpayer during the taxable year consists of services meeting the requirements of clause (i) or (ii), the term 'qualified services' means all of the services performed by such individual for the taxpayer during the taxable year. (C) Supplies The term 'supplies' means any tangible property other than - (i) land or improvements to land, and (ii) property of a character subject to the allowance for depreciation. (D) Wages (i) In general The term 'wages' has the meaning given such term by section 3401(a). (ii) Self-employed individuals and owner-employees In the case of an employee (within the meaning of section 401(c)(1)), the term 'wages' includes the earned income (as defined in section 401(c)(2)) of such employee. (iii) Exclusion for wages to which targeted jobs credit applies The term 'wages' shall not include any amount taken into account in determining the targeted jobs credit under section 51(a). (3) Contract research expenses (A) In general The term 'contract research expenses' means 65 percent of any amount paid or incurred by the taxpayer to any person (other than an employee of the taxpayer) for qualified research. (B) Prepaid amounts If any contract research expenses paid or incurred during any taxable year are attributable to qualified research to be conducted after the close of such taxable year, such amount shall be treated as paid or incurred during the period during which the qualified research is conducted. (4) Trade or business requirement disregarded for in-house research expenses of certain startup ventures In the case of in-house research expenses, a taxpayer shall be treated as meeting the trade or business requirement of paragraph (1) if, at the time such in-house research expenses are paid or incurred, the principal purpose of the taxpayer in making such expenditures is to use the results of the research in the active conduct of a future trade or business - (A) of the taxpayer, or (B) of 1 or more other persons who with the taxpayer are treated as a single taxpayer under subsection (f)(1). (c) Base amount (1) In general The term 'base amount' means the product of - (A) the fixed-base percentage, and (B) the average annual gross receipts of the taxpayer for the 4 taxable years preceding the taxable year for which the credit is being determined (hereinafter in this subsection referred to as the 'credit year'). (2) Minimum base amount In no event shall the base amount be less than 50 percent of the qualified research expenses for the credit year. (3) Fixed-base percentage (A) In general Except as otherwise provided in this paragraph, the fixed-base percentage is the percentage which the aggregate qualified research expenses of the taxpayer for taxable years beginning after December 31, 1983, and before January 1, 1989, is of the aggregate gross receipts of the taxpayer for such taxable years. (B) Start-up companies (i) Taxpayers to which subparagraph applies The fixed-base percentage shall be determined under this subparagraph if there are fewer than 3 taxable years beginning after December 31, 1983, and before January 1, 1989, in which the taxpayer had both gross receipts and qualified research expenses. (ii) Fixed-base percentage In a case to which this subparagraph applies, the fixed-base percentage is 3 percent. (iii) Treatment of de minimis amounts of gross receipts and qualified research expenses The Secretary may prescribe regulations providing that de minimis amounts of gross receipts and qualified research expenses shall be disregarded under clause (i). (C) Maximum fixed-base percentage In no event shall the fixed-base percentage exceed 16 percent. (D) Rounding The percentages determined under subparagraph (A) shall be rounded to the nearest 1/100th of 1 percent. (4) Consistent treatment of expenses required (A) In general Notwithstanding whether the period for filing a claim for credit or refund has expired for any taxable year taken into account in determining the fixed-base percentage, the qualified research expenses taken into account in computing such percentage shall be determined on a basis consistent with the determination of qualified research expenses for the credit year. (B) Prevention of distortions The Secretary may prescribe regulations to prevent distortions in calculating a taxpayer's qualified research expenses or gross receipts caused by a change in accounting methods used by such taxpayer between the current year and a year taken into account in computing such taxpayer's fixed-base percentage. (5) Gross receipts For purposes of this subsection, gross receipts for any taxable year shall be reduced by returns and allowances made during the taxable year. In the case of a foreign corporation, there shall be taken into account only gross receipts which are effectively connected with the conduct of a trade or business within the United States. (d) Qualified research defined For purposes of this section - (1) In general The term 'qualified research' means research - (A) with respect to which expenditures may be treated as expenses under section 174, (B) which is undertaken for the purpose of discovering information - (i) which is technological in nature, and (ii) the application of which is intended to be useful in the development of a new or improved business component of the taxpayer, and (C) substantially all of the activities of which constitute elements of a process of experimentation for a purpose described in paragraph (3). Such term does not include any activity described in paragraph (4). (2) Tests to be applied separately to each business component For purposes of this subsection - (A) In general Paragraph (1) shall be applied separately with respect to each business component of the taxpayer. (B) Business component defined The term 'business component' means any product, process, computer software, technique, formula, or invention which is to be - (i) held for sale, lease, or license, or (ii) used by the taxpayer in a trade or business of the taxpayer. (C) Special rule for production processes Any plant process, machinery, or technique for commercial production of a business component shall be treated as a separate business component (and not as part of the business component being produced). (3) Purposes for which research may qualify for credit For purposes of paragraph (1)(C) - (A) In general Research shall be treated as conducted for a purpose described in this paragraph if it relates to - (i) a new or improved function, (ii) performance, or (iii) reliability or quality. (B) Certain purposes not qualified Research shall in no event be treated as conducted for a purpose described in this paragraph if it relates to style, taste, cosmetic, or seasonal design factors. (4) Activities for which credit not allowed The term 'qualified research' shall not include any of the following: (A) Research after commercial production Any research conducted after the beginning of commercial production of the business component. (B) Adaptation of existing business components Any research related to the adaptation of an existing business component to a particular customer's requirement or need. (C) Duplication of existing business component Any research related to the reproduction of an existing business component (in whole or in part) from a physical examination of the business component itself or from plans, blueprints, detailed specifications, or publicly available information with respect to such business component. (D) Surveys, studies, etc. Any - (i) efficiency survey, (ii) activity relating to management function or technique, (iii) market research, testing, or development (including advertising or promotions), (iv) routine data collection, or (v) routine or ordinary testing or inspection for quality control. (E) Computer software Except to the extent provided in regulations, any research with respect to computer software which is developed by (or for the benefit of) the taxpayer primarily for internal use by the taxpayer, other than for use in - (i) an activity which constitutes qualified research (determined with regard to this subparagraph), or (ii) a production process with respect to which the requirements of paragraph (1) are met. (F) Foreign research Any research conducted outside the United States. (G) Social sciences, etc. Any research in the social sciences, arts, or humanities. (H) Funded research Any research to the extent funded by any grant, contract, or otherwise by another person (or governmental entity). (e) Credit allowable with respect to certain payments to qualified organizations for basic research For purposes of this section - (1) In general In the case of any taxpayer who makes basic research payments for any taxable year - (A) the amount of basic research payments taken into account under subsection (a)(2) shall be equal to the excess of - (i) such basic research payments, over (ii) the qualified organization base period amount, and (B) that portion of such basic research payments which does not exceed the qualified organization base period amount shall be treated as contract research expenses for purposes of subsection (a)(1). (2) Basic research payments defined For purposes of this subsection - (A) In general The term 'basic research payment' means, with respect to any taxable year, any amount paid in cash during such taxable year by a corporation to any qualified organization for basic research but only if - (i) such payment is pursuant to a written agreement between such corporation and such qualified organization, and (ii) such basic research is to be performed by such qualified organization. (B) Exception to requirement that research be performed by the organization In the case of a qualified organization described in subparagraph (C) or (D) of paragraph (6), clause (ii) of subparagraph (A) shall not apply. (3) Qualified organization base period amount For purposes of this subsection, the term 'qualified organization base period amount' means an amount equal to the sum of - (A) the minimum basic research amount, plus (B) the maintenance-of-effort amount. (4) Minimum basic research amount For purposes of this subsection - (A) In general The term 'minimum basic research amount' means an amount equal to the greater of - (i) 1 percent of the average of the sum of amounts paid or incurred during the base period for - (I) any in-house research expenses, and (II) any contract research expenses, or (ii) the amounts treated as contract research expenses during the base period by reason of this subsection (as in effect during the base period). (B) Floor amount Except in the case of a taxpayer which was in existence during a taxable year (other than a short taxable year) in the base period, the minimum basic research amount for any base period shall not be less than 50 percent of the basic research payments for the taxable year for which a determination is being made under this subsection. (5) Maintenance-of-effort amount For purposes of this subsection - (A) In general The term 'maintenance-of-effort amount' means, with respect to any taxable year, an amount equal to the excess (if any) of - (i) an amount equal to - (I) the average of the nondesignated university contributions paid by the taxpayer during the base period, multiplied by (II) the cost-of-living adjustment for the calendar year in which such taxable year begins, over (ii) the amount of nondesignated university contributions paid by the taxpayer during such taxable year. (B) Nondesignated university contributions For purposes of this paragraph, the term 'nondesignated university contribution' means any amount paid by a taxpayer to any qualified organization described in paragraph (6)(A) - (i) for which a deduction was allowable under section 170, and (ii) which was not taken into account - (I) in computing the amount of the credit under this section (as in effect during the base period) during any taxable year in the base period, or (II) as a basic research payment for purposes of this section. (C) Cost-of-living adjustment defined (i) In general The cost-of-living adjustment for any calendar year is the cost-of-living adjustment for such calendar year determined under section 1(f)(3), by substituting 'calendar year 1987' for 'calendar year 1989' in subparagraph (B) thereof. (ii) Special rule where base period ends in a calendar year other than 1983 or 1984 If the base period of any taxpayer does not end in 1983 or 1984, section 1(f)(3)(B) shall, for purposes of this paragraph, be applied by substituting the calendar year in which such base period ends for 1989. Such substitution shall be in lieu of the substitution under clause (i). (6) Qualified organization For purposes of this subsection, the term 'qualified organization' means any of the following organizations: (A) Educational institutions Any educational organization which - (i) is an institution of higher education (within the meaning of section 3304(f)), and (ii) is described in section 170(b)(1)(A)(ii). (B) Certain scientific research organizations Any organization not described in subparagraph (A) which - (i) is described in section 501(c)(3) and is exempt from tax under section 501(a), (ii) is organized and operated primarily to conduct scientific research, and (iii) is not a private foundation. (C) Scientific tax-exempt organizations Any organization which - (i) is described in - (I) section 501(c)(3) (other than a private foundation), or (II) section 501(c)(6), (ii) is exempt from tax under section 501(a), (iii) is organized and operated primarily to promote scientific research by qualified organizations described in subparagraph (A) pursuant to written research agreements, and (iv) currently expends - (I) substantially all of its funds, or (II) substantially all of the basic research payments received by it, for grants to, or contracts for basic research with, an organization described in subparagraph (A). (D) Certain grant organizations Any organization not described in subparagraph (B) or (C) which - (i) is described in section 501(c)(3) and is exempt from tax under section 501(a) (other than a private foundation), (ii) is established and maintained by an organization established before July 10, 1981, which meets the requirements of clause (i), (iii) is organized and operated exclusively for the purpose of making grants to organizations described in subparagraph (A) pursuant to written research agreements for purposes of basic research, and (iv) makes an election, revocable only with the consent of the Secretary, to be treated as a private foundation for purposes of this title (other than section 4940, relating to excise tax based on investment income). (7) Definitions and special rules For purposes of this subsection - (A) Basic research The term 'basic research' means any original investigation for the advancement of scientific knowledge not having a specific commercial objective, except that such term shall not include - (i) basic research conducted outside of the United States, and (ii) basic research in the social sciences, arts, or humanities. (B) Base period The term 'base period' means the 3-taxable-year period ending with the taxable year immediately preceding the 1st taxable year of the taxpayer beginning after December 31, 1983. (C) Exclusion from incremental credit calculation For purposes of determining the amount of credit allowable under subsection (a)(1) for any taxable year, the amount of the basic research payments taken into account under subsection (a)(2) - (i) shall not be treated as qualified research expenses under subsection (a)(1)(A), and (ii) shall not be included in the computation of base amount under subsection (a)(1)(B). (D) Trade or business qualification For purposes of applying subsection (b)(1) to this subsection, any basic research payments shall be treated as an amount paid in carrying on a trade or business of the taxpayer in the taxable year in which it is paid (without regard to the provisions of subsection (b)(3)(B)). (E) Certain corporations not eligible The term 'corporation' shall not include - (i) an S corporation, (ii) a personal holding company (as defined in section 542), or (iii) a service organization (as defined in section 414(m)(3)). (f) Special rules For purposes of this section - (1) Aggregation of expenditures (A) Controlled group of corporations In determining the amount of the credit under this section - (i) all members of the same controlled group of corporations shall be treated as a single taxpayer, and (ii) the credit (if any) allowable by this section to each such member shall be its proportionate shares of the qualified research expenses and basic research payments giving rise to the credit. (B) Common control Under regulations prescribed by the Secretary, in determining the amount of the credit under this section - (i) all trades or businesses (whether or not incorporated) which are under common control shall be treated as a single taxpayer, and (ii) the credit (if any) allowable by this section to each such person shall be its proportionate shares of the qualified research expenses and basic research payments giving rise to the credit. The regulations prescribed under this subparagraph shall be based on principles similar to the principles which apply in the case of subparagraph (A). (2) Allocations (A) Pass-thru in the case of estates and trusts Under regulations prescribed by the Secretary, rules similar to the rules of subsection (d) of section 52 shall apply. (B) Allocation in the case of partnerships In the case of partnerships, the credit shall be allocated among partners under regulations prescribed by the Secretary. (3) Adjustments for certain acquisitions, etc. Under regulations prescribed by the Secretary - (A) Acquisitions If, after December 31, 1983, a taxpayer acquires the major portion of a trade or business of another person (hereinafter in this paragraph referred to as the 'predecessor') or the major portion of a separate unit of a trade or business of a predecessor, then, for purposes of applying this section for any taxable year ending after such acquisition, the amount of qualified research expenses paid or incurred by the taxpayer during periods before such acquisition shall be increased by so much of such expenses paid or incurred by the predecessor with respect to the acquired trade or business as is attributable to the protion of such trade or business or separate unit acquired by the taxpayer, and the gross receipts of the taxpayer for such periods shall be increased by so much of the gross receipts of such predecessor with respect to the acquired trade or business as is attributable to such portion. (B) Dispositions If, after December 31, 1983 - (i) a taxpayer disposes of the major portion of any trade or business or the major portion of a separate unit of a trade or business in a transaction to which subparagraph (A) applies, and (ii) the taxpayer furnished the acquiring person such information as is necessary for the application of subparagraph (A), then, for purposes of applying this section for any taxable year ending after such disposition, the amount of qualified research expenses paid or incurred by the taxpayer during periods before such disposition shall be decreased by so much of such expenses as is attributable to the portion of such trade or business or separate unit disposed of by the taxpayer, and the gross receipts of the taxpayer for such periods shall be decreased by so much of the gross receipts as is attributable to such portion. (C) Certain reimbursements taken into account in determining fixed-base percentage If during any of the 3 taxable years following the taxable year in which a disposition to which subparagraph (B) applies occurs, the disposing taxpayer (or a person with whom the taxpayer is required to aggregate expenditures under paragraph (1)) reimburses the acquiring person (or a person required to so aggregate expenditures with such person) for research on behalf of the taxpayer, then the amount of qualified research expenses of the taxpayer for the taxable years taken into account in computing the fixed-base percentage shall be increased by the lesser of - (i) the amount of the decrease under subparagraph (B) which is allocable to taxable years so taken into account, or (ii) the product of the number of taxable years so taken into account, multiplied by the amount of the reimbursement described in this subparagraph. (4) Short taxable years In the case of any short taxable year, qualified research expenses and gross receipts shall be annualized in such circumstances and under such methods as the Secretary may prescribe by regulation. (5) Controlled group of corporations The term 'controlled group of corporations' has the same meaning given to such term by section 1563(a), except that - (A) 'more than 50 percent' shall be substituted for 'at least 80 percent' each place it appears in section 1563(a)(1), and (B) the determination shall be made without regard to subsections (a)(4) and (e)(3)(C) of section 1563. (g) Special rule for pass-thru of credit In the case of an individual who - (1) owns an interest in an unincorporated trade or business, (2) is a partner in a partnership, (3) is a beneficiary of an estate or trust, or (4) is a shareholder in an S corporation, the amount determined under subsection (a) for any taxable year shall not exceed an amount (separately computed with respect to such person's interest in such trade or business or entity) equal to the amount of tax attributable to that portion of a person's taxable income which is allocable or apportionable to the person's interest in such trade or business or entity. If the amount determined under subsection (a) for any taxable year exceeds the limitation of the preceding sentence, such amount may be carried to other taxable years under the rules of section 39; except that the limitation of the preceding sentence shall be taken into account in lieu of the limitation of section 38(c) in applying section 39. (h) Termination (1) In general This section shall not apply to any amount paid or incurred after December 31, 1991. (2) Computation of base amount In the case of any taxable year which begins before January 1, 1992, and ends after December 31, 1991, the base amount with respect to such taxable year shall be the amount which bears the same ratio to the base amount for such year (determined without regard to this paragraph) as the number of days in such taxable year before January 1, 1992, bears to the total number of days in such taxable year. -SOURCE- (Added Pub. L. 97-34, title II, Sec. 221(a), Aug. 13, 1981, 95 Stat. 241, Sec. 44F, and amended Pub. L. 97-354, Sec. 5(a)(3), Oct. 19, 1982, 96 Stat. 1692; Pub. L. 97-448, title I, Sec. 102(b)(2), Jan. 12, 1983, 96 Stat. 2372; renumbered Sec. 30 and amended Pub. L. 98-369, div. A, title IV, Sec. 471(c), 474(i)(1), title VI, Sec. 612(e)(1), July 18, 1984, 98 Stat. 826, 831, 912; renumbered Sec. 41 and amended Pub. L. 99-514, title II, Sec. 231(a)(1), (b), (c), (d)(2), (3)(C)(ii), (e), title XVIII, Sec. 1847(b)(1), Oct. 22, 1986, 100 Stat. 2173, 2175, 2178-2180, 2856; Pub. L. 100-647, title I, Sec. 1002(h)(1), title IV, Sec. 4007(a), 4008(b)(1), Nov. 10, 1988, 102 Stat. 3370, 3652; Pub. L. 101-239, title VII, Sec. 7110(a)(1), (b), (b)((c)), 7814(e)(2)(C), Dec. 19, 1989, 103 Stat. 2322, 2323, 2325, 2414; Pub. L. 101-508, title XI, Sec. 11101(d)(1)(C), 11402(a), Nov. 5, 1990, 104 Stat. 1388-405, 1388-473.) -MISC1- PRIOR PROVISIONS A prior section 41, added Pub. L. 97-34, title III, Sec. 331(a), Aug. 13, 1981, 95 Stat. 289, Sec. 44G; amended Pub. L. 97-448, title I, Sec. 103(g)(1), Jan. 12, 1983, 96 Stat. 2379; renumbered Sec. 41 and amended Pub. L. 98-369, div. A, title I, Sec. 14, title IV, Sec. 471(c), 474(l), 491(e)(2), (3), July 18, 1984, 98 Stat. 505, 826, 833, 852, 853, which related to employee stock ownership credit, was repealed by Pub. L. 99-514, title XI, Sec. 1171(a), Oct. 22, 1986, 100 Stat. 2513, applicable to compensation paid or accrued after Dec. 31, 1986, in taxable years ending after such date, except as otherwise provided, see section 1171(c) of Pub. L. 99-514, set out as an Effective Date of 1986 Amendment note under section 38 of this title. For transition rules relating to such repeal, see section 1177 of Pub. L. 99-514, set out as a Transition Rules note under section 38 of this title. Another prior section 41 was renumbered section 24 of this title. AMENDMENTS 1990 - Subsec. (e)(5)(C)(i). Pub. L. 101-508, Sec. 11101(d)(1)(C)(i), inserted before period at end ', by substituting 'calendar year 1987' for 'calendar year 1989' in subparagraph (B) thereof'. Subsec. (e)(5)(C)(ii). Pub. L. 101-508, Sec. 11101(d)(1)(C)(ii), (iii), substituted '1989' for '1987' and inserted at end 'Such substitution shall be in lieu of the substitution under clause (i).' Subsec. (h). Pub. L. 101-508, Sec. 11402(a), substituted 'December 31, 1991' for 'December 31, 1990' wherever appearing and 'January 1, 1992' for 'January 1, 1991' wherever appearing. 1989 - Subsec. (a)(1)(B). Pub. L. 101-239, Sec. 7110(b)(2)(A), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'the base period research expenses, and'. Subsec. (b)(4). Pub. L. 101-239, Sec. 7110(b)((c)), added par. (4). Subsec. (c). Pub. L. 101-239, Sec. 7110(b)(1), substituted 'Base amount' for 'Base period research expenses' in heading and amended text generally, substituting pars. (1) to (5) for former pars. (1) to (3) which defined 'base period research expenses' and 'base period' and prescribed minimum base period research expenses. Subsec. (e)(7)(C)(ii). Pub. L. 101-239, Sec. 7110(b)(2)(B), substituted 'base amount' for 'base period research expenses'. Subsec. (f)(1). Pub. L. 101-239, Sec. 7110(b)(2)(C), substituted 'proportionate shares of the qualified research expenses and basic research payments' for 'proportionate share of the increase in qualified research expenses' in subpars. (A)(ii) and (B)(ii). Subsec. (f)(3)(A). Pub. L. 101-239, Sec. 7110(b)(2)(D), substituted 'December 31, 1983' for 'June 30, 1980' and inserted before period at end ', and the gross receipts of the taxpayer for such periods shall be increased by so much of the gross receipts of such predecessor with respect to the acquired trade or business as is attributable to such portion'. Subsec. (f)(3)(B). Pub. L. 101-239, Sec. 7110(b)(2)(E), substituted 'December 31, 1983' for 'June 30, 1980' in introductory provisions and inserted before period at end ', and the gross receipts of the taxpayer for such periods shall be decreased by so much of the gross receipts as is attributable to such portion'. Subsec. (f)(3)(C). Pub. L. 101-239, Sec. 7110(b)(2)(F), substituted 'Certain reimbursements taken into account in determining fixed-base percentage' for 'Increase in base period' in heading, 'for the taxable years taken into account in computing the fixed-base percentage shall be increased by the lesser of' for 'for the base period for such taxable year shall be increased by the lesser of' in introductory provisions, and new cls. (i) and (ii) for former cls. (i) and (ii) which read as follows: '(i) the amount of the decrease under subparagraph (B) which is allocable to such base period, or '(ii) the product of the number of years in the base period, multiplied by the amount of the reimbursement described in this subparagraph.' Subsec. (f)(4). Pub. L. 101-239, Sec. 7110(b)(2)(G), inserted 'and gross receipts' after 'qualified research expenses'. Subsec. (h). Pub. L. 101-239, Sec. 7814(e)(2)(C), redesignated subsec. (i) as (h) and struck out former subsec. (h) which related to election, time for election, and manner of election by taxpayer to have research credit not apply for a taxable year. Subsec. (h)(1). Pub. L. 101-239, Sec. 7110(a)(1)(A), substituted 'December 31, 1990' for 'December 31, 1989'. Subsec. (h)(2). Pub. L. 101-239, Sec. 7110(a)(1), substituted 'January 1, 1991' for 'January 1, 1990' in two places and substituted 'December 31, 1990' for 'December 31, 1989'. Pub. L. 101-239, Sec. 7110(b)(2)(H), substituted 'base amount' for 'base period expenses' in heading and 'the base amount with respect to such taxable year shall be the amount which bears the same ratio to the base amount for such year (determined without regard to this paragraph)' for 'any amount for any base period with respect to such taxable year shall be the amount which bears the same ratio to such amount for such base period' in text. Subsec. (i). Pub. L. 101-239, Sec. 7814(e)(2)(C), redesignated subsec. (i) as (h). 1988 - Subsec. (g). Pub. L. 100-647, Sec. 1002(h)(1), inserted at end 'If the amount determined under subsection (a) for any taxable year exceeds the limitation of the preceding sentence, such amount may be carried to other taxable years under the rules of section 39; except that the limitation of the preceding sentence shall be taken into account in lieu of the limitation of section 38(c) in applying section 39.' Subsec. (h). Pub. L. 100-647, Sec. 4008(b)(1), added subsec. (h). Former subsec. (h) redesignated (i). Subsec. (i). Pub. L. 100-647, Sec. 4008(b)(1), redesignated former subsec. (h) as (i). Pub. L. 100-647, Sec. 4007(a), substituted '1989' and '1990' for '1988' and '1989', respectively, wherever appearing in subsec. (h), prior to redesignation as subsec. (i) by Pub. L. 100-647, Sec. 4008(b)(1). 1986 - Pub. L. 99-514, Sec. 231(d)(2), renumbered section 30 of this title as this section. Subsec. (a). Pub. L. 99-514, Sec. 231(c)(1), amended subsec. (a) generally. Prior to amendment, subsec. (a) read as follows: 'There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 25 percent of the excess (if any) of - '(1) the qualified research expenses for the taxable year, over '(2) the base period research expenses.' Subsec. (b)(2)(A)(iii). Pub. L. 99-514, Sec. 231(e), amended cl. (iii) generally. Prior to amendment, cl. (iii) read as follows: 'any amount paid or incurred to another person for the right to use personal property in the conduct of qualified research.' Subsec. (b)(2)(D)(iii). Pub. L. 99-514, Sec. 1847(b)(1), substituted 'targeted jobs credit' for 'new jobs or WIN credit' in heading. Subsec. (d). Pub. L. 99-514, Sec. 231(b), inserted 'defined' in heading and amended text generally. Prior to amendment, text read as follows: 'For purposes of this section the term 'qualified research' has the same meaning as the term research or experimental has under section 174, except that such term shall not include - '(1) qualified research conducted outside the United States, '(2) qualified research in the social sciences or humanities, and '(3) qualified research to the extent funded by any grant, contract, or otherwise by another person (or any governmental entity).' Subsec. (e). Pub. L. 99-514, Sec. 231(c)(2), amended subsec. (e) generally, substituting 'Credit allowable with respect to certain payments to qualified organizations for basic research' for 'Credit available with respect to certain basic research by colleges, universities, and certain research organizations' in heading, and restating and expanding provisions of former pars. (1) to (4) into new pars. (1) to (7). Subsec. (g). Pub. L. 99-514, Sec. 231(d)(3)(C)(ii), amended subsec. (g) generally, substituting provisions relating to special rule for pass-thru of credit for provisions relating to limitation on amount of credit for research based on amount of tax liability. Subsec. (h). Pub. L. 99-514, Sec. 231(a)(1), added subsec. (h). 1984 - Pub. L. 98-369, Sec. 471(c), renumbered section 44F of this title as this section. Subsec. (b)(2)(D)(iii). Pub. L. 98-369, Sec. 474(i)(1)(A), substituted 'in determining the targeted jobs credit under section 51(a)' for 'in computing the credit under section 40 or 44B'. Subsec. (g)(1)(A). Pub. L. 98-369, Sec. 612(e)(1), substituted 'section 26(b)' for 'section 25(b)'. Pub. L. 98-369, Sec. 474(i)(1)(B), amended subpar. (A) generally, substituting 'shall not exceed the taxpayer's tax liability for the taxable year (as defined in section 25(b)), reduced by the sum of the credits allowable under subpart A and sections 27, 28, and 29' for 'shall not exceed the amount of the tax imposed by this chapter reduced by the sum of the credits allowable under a section of this part having a lower number or letter designation than this section, other than the credits allowable by sections 31, 39, and 43. For purposes of the preceding sentence, the term 'tax imposed by this chapter' shall not include any tax treated as not imposed by this chapter under the last sentence of section 53(a)'. 1983 - Subsec. (b)(2)(A). Pub. L. 97-448 inserted provision that cl. (iii) would not apply to any amount to the extent that the taxpayer (or any person with whom the taxpayer must aggregate expenditures under subsection (f)(1)) received or accrued any amount from any other person for the right to use substantially identical personal property. 1982 - Subsec. (f)(2)(A). Pub. L. 97-354, Sec. 5(a)(3)(A), substituted 'Pass-thru in the case of estates and trusts' for 'Pass-through in the case of subchapter S corporations, etc.' in subpar. heading, and substituted provisions relating to the applicability of rules similar to rules of subsec. (d) of section 52 for provisions relating to the applicability of rules similar to rules of subsecs. (d) and (e) of section 52. Subsec. (g)(1)(B)(iv). Pub. L. 97-354, Sec. 5(a)(3)(B), substituted 'an S corporation' for 'an electing small business corporation (within the meaning of section 1371(b))'. EFFECTIVE DATE OF 1990 AMENDMENT Amendment by section 11101(d)(1)(C) of Pub. L. 101-508 applicable to taxable years beginning after Dec. 31, 1990, see section 11101(e) of Pub. L. 101-508, set out as a note under section 1 of this title. Amendment by section 11402(a) of Pub. L. 101-508 applicable to taxable years beginning after Dec. 31, 1989, see section 11402(c) of Pub. L. 101-508, set out as a note under section 28 of this title. EFFECTIVE DATE OF 1989 AMENDMENT Section 7110(e) of Pub. L. 101-239 provided that: 'The amendments made by this section (amending this section and sections 28, 174, 196, and 280C of this title) (other than subsection (a) (amending this section and section 28 of this title)) shall apply to taxable years beginning after December 31, 1989.' Amendment by section 7814(e)(2)(C) of Pub. L. 101-239 effective, except as otherwise provided, as if included in the provision of the Technical and Miscellaneous Revenue Act of 1988, Pub. L. 100-647, to which such amendment relates, see section 7817 of Pub. L. 101-239, set out as a note under section 1 of this title. EFFECTIVE DATE OF 1988 AMENDMENT Amendment by section 1002(h)(1) of Pub. L. 100-647 effective, except as otherwise provided, as if included in the provision of the Tax Reform Act of 1986, Pub. L. 99-514, to which such amendment relates, see section 1019(a) of Pub. L. 100-647, set out as a note under section 1 of this title. Section 4008(d) of Pub. L. 100-647 provided that: 'The amendments made by this section (amending this section and sections 28, 196, 280C, and 6501 of this title) shall apply to taxable years beginning after December 31, 1988.' EFFECTIVE DATE OF 1986 AMENDMENT Section 231(g) of Pub. L. 99-514 provided that: '(1) In general. - Except as provided in this subsection (2), the amendments made by this section (amending this section and sections 28, 38, 39, 108, 170, 280C, 381, 936, 6411, and 6511 of this title, renumbering former section 30 of this title as this section, and enacting and amending provisions set out as notes under this section) shall apply to taxable years beginning after December 31, 1985. '(2) Subsection (a). - The amendments made by subsection (a) (amending this section and provisions set out as a note under this section) shall apply to taxable years ending after December 31, 1985. '(3) Basic research. - Section 41(a)(2) of the Internal Revenue Code of 1986 (as added by this section), and the amendments made by subsection (c)(2) (amending this section), shall apply to taxable years beginning after December 31, 1986.' Amendment by section 1847(b)(1) of Pub. L. 99-514 effective, except as otherwise provided, as if included in the provisions of the Tax Reform Act of 1984, Pub. L. 98-369, div. A, to which such amendment relates, see section 1881 of Pub. L. 99-514, set out as a note under section 48 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by section 474(i)(1) of Pub. L. 98-369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98-369, set out as a note under section 21 of this title. Amendment by section 612(e)(1) of Pub. L. 98-369 applicable to interest paid or accrued after Dec. 31, 1984, on indebtedness incurred after Dec. 31, 1984, see section 612(g) of Pub. L. 98-369, set out as an Effective Date note under section 25 of this title. EFFECTIVE DATE OF 1983 AMENDMENT Section 102(h)(2) of Pub. L. 97-448 provided that the amendment made by that section is effective only with respect to amounts paid or incurred after March 31, 1982. EFFECTIVE DATE OF 1982 AMENDMENT Amendment by Pub. L. 97-354 applicable to taxable years beginning after Dec. 31, 1982, see section 6(a) of Pub. L. 97-354, set out as an Effective Date note under section 1361 of this title. EFFECTIVE DATE Section 221(d) of Pub. L. 97-34, as amended by Pub. L. 99-514, Sec. 2, title II, Sec. 231(a)(2), Oct. 22, 1986, 100 Stat. 2095, 2173, provided that: '(1) In general. - The amendments made by this section (enacting this section of amending sections 55, 381, 383, 6096, 6411, and 6511 of this title) shall apply to amounts paid or incurred after June 30, 1981. '(2) Transitional rule. - '(A) In general. - If, with respect to the first taxable year to which the amendments made by this section apply and which ends in 1981 or 1982, the taxpayer may only take into account qualified research expenses paid or incurred during a portion of such taxable year, the amount of the qualified research expenses taken into account for the base period of such taxable year shall be the amount which bears the same ratio to the total qualified research expenses for such base period as the number of months in such portion of such taxable year bears to the total number of months in such taxable year. '(B) Definitions. - For purposes of the preceding sentence, the terms 'qualified research expenses' and 'base period' have the meanings given to such terms by section 44F (now 41) of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as added by this section).' SPECIAL RULES FOR TAXABLE YEARS BEGINNING BEFORE OCT. 1, 1990, AND ENDING AFTER SEPT. 30, 1990 Section 7110(a)(2) of Pub. L. 101-239, which set forth the method of determining the amount treated as qualified research expenses for taxable years beginning before Oct. 1, 1990, and ending after Sept. 30, 1990, was repealed by Pub. L. 101-508, title XI, Sec. 11402(b)(1), Nov. 5, 1990, 104 Stat. 1388-473. STUDY AND REPORT ON CREDIT PROVIDED BY THIS SECTION Section 4007(b) of Pub. L. 100-647 provided that: '(1) In general. - The Comptroller General of the United States shall conduct a study of the credit provided by section 41 of the 1986 Code. '(2) Report. - The report of the study under paragraph (1) shall be submitted not later than December 31, 1989, to the Committee on Ways and Means of the House of Representatives and the Committee on Finance of the Senate.' PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1989 For provisions directing that if any amendments made by subtitle A or subtitle C of title XI (Sec. 1101-1147 and 1171-1177) or title XVIII (Sec. 1800-1899A) of Pub. L. 99-514 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1989, see section 1140 of Pub. L. 99-514, as amended, set out as a note under section 401 of this title. NEW SECTION 41 TREATED AS CONTINUATION OF OLD SECTION 44F Section 474(i)(2) of Pub. L. 98-369 provided that: 'For purposes of determining - '(A) whether any excess credit under old section 44F (now 41) for a taxable year beginning before January 1, 1984, is allowable as a carryover under new section 30 (now 41), and '(B) the period during which new section 30 (now 41) is in effect, new section 30 (now 41) shall be treated as a continuation of old section 44F (and shall apply only to the extent old section 44F would have applied).' -SECREF- SECTION REFERRED TO IN OTHER SECTIONS This section is referred to in sections 28, 38, 144, 170, 196, 280C, 409, 936 of this title. ------DocID 33555 Document 70 of 2652------ -CITE- 26 USC Sec. 42 -EXPCITE- TITLE 26 Subtitle A CHAPTER 1 Subchapter A PART IV Subpart D -HEAD- Sec. 42. Low-income housing credit -STATUTE- (a) In general For purposes of section 38, the amount of the low-income housing credit determined under this section for any taxable year in the credit period shall be an amount equal to - (1) the applicable percentage of (2) the qualified basis of each qualified low-income building. (b) Applicable percentage: 70 percent present value credit for certain new buildings; 30 percent present value credit for certain other buildings For purposes of this section - (1) Building placed in service during 1987 In the case of any qualified low-income building placed in service by the taxpayer during 1987, the term 'applicable percentage' means - (A) 9 percent for new buildings which are not federally subsidized for the taxable year, or (B) 4 percent for - (i) new buildings which are federally subsidized for the taxable year, and (ii) existing buildings. (2) Buildings placed in service after 1987 (A) In general In the case of any qualified low-income building placed in service by the taxpayer after 1987, the term 'applicable percentage' means the appropriate percentage prescribed by the Secretary for the earlier of - (i) the month in which such building is placed in service, or (ii) at the election of the taxpayer - (I) the month in which the taxpayer and the housing credit agency enter into an agreement with respect to such building (which is binding on such agency, the taxpayer, and all successors in interest) as to the housing credit dollar amount to be allocated to such building, or (II) in the case of any building to which subsection (h)(4)(B) applies, the month in which the tax-exempt obligations are issued. A month may be elected under clause (ii) only if the election is made not later than the 5th day after the close of such month. Such an election, once made, shall be irrevocable. (B) Method of prescribing percentages The percentages prescribed by the Secretary for any month shall be percentages which will yield over a 10-year period amounts of credit under subsection (a) which have a present value equal to - (i) 70 percent of the qualified basis of a building described in paragraph (1)(A), and (ii) 30 percent of the qualified basis of a building described in paragraph (1)(B). (C) Method of discounting The present value under subparagraph (B) shall be determined - (i) as of the last day of the 1st year of the 10-year period referred to in subparagraph (B), (ii) by using a discount rate equal to 72 percent of the average of the annual Federal mid-term rate and the annual Federal long-term rate applicable under section 1274(d)(1) to the month applicable under clause (i) or (ii) of subparagraph (A) and compounded annually, and (iii) by assuming that the credit allowable under this section for any year is received on the last day of such year. (3) Cross references (A) For treatment of certain rehabilitation expenditures as separate new buildings, see subsection (e). (B) For determination of applicable percentage for increases in qualified basis after the 1st year of the credit period, see subsection (f)(3). (C) For authority of housing credit agency to limit applicable percentage and qualified basis which may be taken into account under this section with respect to any building, see subsection (h)(7). (c) Qualified basis; qualified low-income building For purposes of this section - (1) Qualified basis (A) Determination The qualified basis of any qualified low-income building for any taxable year is an amount equal to - (i) the applicable fraction (determined as of the close of such taxable year) of (ii) the eligible basis of such building (determined under subsection (d)(5)). (B) Applicable fraction For purposes of subparagraph (A), the term 'applicable fraction' means the smaller of the unit fraction or the floor space fraction. (C) Unit fraction For purposes of subparagraph (B), the term 'unit fraction' means the fraction - (i) the numerator of which is the number of low-income units in the building, and (ii) the denominator of which is the number of residential rental units (whether or not occupied) in such building. (D) Floor space fraction For purposes of subparagraph (B), the term 'floor space fraction' means the fraction - (i) the numerator of which is the total floor space of the low-income units in such building, and (ii) the denominator of which is the total floor space of the residential rental units (whether or not occupied) in such building. (E) Qualified basis to include portion of building used to provide supportive services for homeless In the case of a qualified low-income building described in subsection (i)(3)(B)(iii), the qualified basis of such building for any taxable year shall be increased by the lesser of - (i) so much of the eligible basis of such building as is used throughout the year to provide supportive services designed to assist tenants in locating and retaining permanent housing, or (ii) 20 percent of the qualified basis of such building (determined without regard to this subparagraph). (2) Qualified low-income building The term 'qualified low-income building' means any building - (A) which is part of a qualified low-income housing project at all times during the period - (i) beginning on the 1st day in the compliance period on which such building is part of such a project, and (ii) ending on the last day of the compliance period with respect to such building, and (B) to which the amendments made by section 201(a) of the Tax Reform Act of 1986 apply. Such term does not include any building with respect to which moderate rehabilitation assistance is provided, at any time during the compliance period, under section 8(e)(2) (FOOTNOTE 1) of the United States Housing Act of 1937 (other than assistance under the Stewart B. McKinney Homeless Assistance Act of 1988 (as in effect on the date of the enactment of this sentence)). (FOOTNOTE 1) See References in Text note below. (d) Eligible basis For purposes of this section - (1) New buildings The eligible basis of a new building is its adjusted basis as of the close of the 1st taxable year of the credit period. (2) Existing buildings (A) In general The eligible basis of an existing building is - (i) in the case of a building which meets the requirements of subparagraph (B), its adjusted basis as of the close of the 1st taxable year of the credit period, and (ii) zero in any other case. (B) Requirements A building meets the requirements of this subparagraph if - (i) the building is acquired by purchase (as defined in section 179(d)(2)), (ii) there is a period of at least 10 years between the date of its acquisition by the taxpayer and the later of - (I) the date the building was last placed in service, or (II) the date of the most recent nonqualified substantial improvement of the building, (iii) the building was not previously placed in service by the taxpayer or by any person who was a related person with respect to the taxpayer as of the time previously placed in service, and (iv) except as provided in subsection (f)(5), a credit is allowable under subsection (a) by reason of subsection (e) with respect to the building. (C) Adjusted basis For purposes of subparagraph (A), the adjusted basis of any building shall not include so much of the basis of such building as is determined by reference to the basis of other property held at any time by the person acquiring the building. (D) Special rules for subparagraph (B) (i) Nonqualified substantial improvement For purposes of subparagraph (B)(ii) - (I) In general The term 'nonqualified substantial improvement' means any substantial improvement if section 167(k) (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990) was elected with respect to such improvement or section 168 (as in effect on the day before the date of the enactment of the Tax Reform Act of 1986) applied to such improvement. (II) Date of substantial improvement The date of a substantial improvement is the last day of the 24-month period referred to in subclause (III). (III) Substantial improvement The term 'substantial improvement' means the improvements added to capital account with respect to the building during any 24-month period, but only if the sum of the amounts added to such account during such period equals or exceeds 25 percent of the adjusted basis of the building (determined without regard to paragraphs (2) and (3) of section 1016(a)) as of the 1st day of such period. (ii) Special rules for certain transfers For purposes of determining under subparagraph (B)(ii) when a building was last placed in service, there shall not be taken into account any placement in service - (I) in connection with the acquisition of the building in a transaction in which the basis of the building in the hands of the person acquiring it is determined in whole or in part by reference to the adjusted basis of such building in the hands of the person from whom acquired, (II) by a person whose basis in such building is determined under section 1014(a) (relating to property acquired from a decedent), (III) by any governmental unit or qualified nonprofit organization (as defined in subsection (h)(5)) if the requirements of subparagraph (B)(ii) are met with respect to the placement in service by such unit or organization and all the income from such property is exempt from Federal income taxation, (IV) by any person who acquired such building by foreclosure (or by instrument in lieu of foreclosure) of any purchase-money security interest held by such person if the requirements of subparagraph (B)(ii) are met with respect to the placement in service by such person and such building is resold within 12 months after the date such building is placed in service by such person after such foreclosure, or (V) of a single-family residence by any individual who owned and used such residence for no other purpose than as his principal residence. (iii) Related person, etc. (I) Application of section 179 For purposes of subparagraph (B)(i), section 179(d) shall be applied by substituting '10 percent' for '50 percent' in section (FOOTNOTE 2) 267(b) and 707(b) and in section 179(b)(7). (FOOTNOTE 2) So in original. Probably should be 'sections'. (II) Related person For purposes of subparagraph (B)(iii), a person (hereinafter in this subclause referred to as the 'related person') is related to any person if the related person bears a relationship to such person specified in section 267(b) or 707(b)(1), or the related person and such person are engaged in trades or businesses under common control (within the meaning of subsections (a) and (b) of section 52). For purposes of the preceding sentence, in applying section 267(b) or 707(b)(1), '10 percent' shall be substituted for '50 percent'. (3) Eligible basis reduced where disproportionate standards for units (A) In general Except as provided in subparagraph (B), the eligible basis of any building shall be reduced by an amount equal to the portion of the adjusted basis of the building which is attributable to residential rental units in the building which are not low-income units and which are above the average quality standard of the low-income units in the building. (B) Exception where taxpayer elects to exclude excess costs (i) In general Subparagraph (A) shall not apply with respect to a residential rental unit in a building which is not a low-income unit if - (I) the excess described in clause (ii) with respect to such unit is not greater than 15 percent of the cost described in clause (ii)(II), and (II) the taxpayer elects to exclude from the eligible basis of such building the excess described in clause (ii) with respect to such unit. (ii) Excess The excess described in this clause with respect to any unit is the excess of - (I) the cost of such unit, over (II) the amount which would be the cost of such unit if the average cost per square foot of low-income units in the building were substituted for the cost per square foot of such unit. The Secretary may by regulation provide for the determination of the excess under this clause on a basis other than square foot costs. (4) Special rules relating to determination of adjusted basis For purposes of this subsection - (A) In general Except as provided in subparagraph (B), the adjusted basis of any building shall be determined without regard to the adjusted basis of any property which is not residential rental property. (B) Basis of property in common areas, etc., included The adjusted basis of any building shall be determined by taking into account the adjusted basis of property (of a character subject to the allowance for depreciation) used in common areas or provided as comparable amenities to all residential rental units in such building. (C) No reduction for depreciation The adjusted basis of any building shall be determined without regard to paragraphs (2) and (3) of section 1016(a). (5) Special rules for determining eligible basis (A) Eligible basis reduced by Federal grants If, during any taxable year of the compliance period, a grant is made with respect to any building or the operation thereof and any portion of such grant is funded with Federal funds (whether or not includible in gross income), the eligible basis of such building for such taxable year and all succeeding taxable years shall be reduced by the portion of such grant which is so funded. (B) Eligible basis not to include expenditures where section 167(k) elected The eligible basis of any building shall not include any portion of its adjusted basis which is attributable to amounts with respect to which an election is made under section 167(k) (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990). (C) Increase in credit for buildings in high cost areas (i) In general In the case of any building located in a qualified census tract or difficult development area which is designated for purposes of this subparagraph - (I) in the case of a new building, the eligible basis of such building shall be 130 percent of such basis determined without regard to this subparagraph, and (II) in the case of an existing building, the rehabilitation expenditures taken into account under subsection (e) shall be 130 percent of such expenditures determined without regard to this subparagraph. (ii) Qualified census tract (I) In general The term 'qualified census tract' means any census tract which is designated by the Secretary of Housing and Urban Development and, for the most recent year for which census data are available on household income in such tract, in which 50 percent or more of the households have an income which is less than 60 percent of the area median gross income for such year. If the Secretary of Housing and Urban Development determines that sufficient data for any period are not available to apply this clause on the basis of census tracts, such Secretary shall apply this clause for such period on the basis of enumeration districts. (II) Limit on MSA's designated The portion of a metropolitan statistical area which may be designated for purposes of this subparagraph shall not exceed an area having 20 percent of the population of such metropolitan statistical area. (III) Determination of areas For purposes of this clause, each metropolitan statistical area shall be treated as a separate area and all nonmetropolitan areas in a State shall be treated as 1 area. (iii) Difficult development areas (I) In general The term 'difficult development areas' means any area designated by the Secretary of Housing and Urban Development as an area which has high construction, land, and utility costs relative to area median gross income. (II) Limit on areas designated The portions of metropolitan statistical areas which may be designated for purposes of this subparagraph shall not exceed an aggregate area having 20 percent of the population of such metropolitan statistical areas. A comparable rule shall apply to nonmetropolitan areas. (iv) Special rules and definitions For purposes of this subparagraph - (I) population shall be determined on the basis of the most recent decennial census for which data are available, (II) area median gross income shall be determined in accordance with subsection (g)(4), (III) the term 'metropolitan statistical area' has the same meaning as when used in section 143(k)(2)(B), and (IV) the term 'nonmetropolitan area' means any county (or portion thereof) which is not within a metropolitan statistical area. (6) Credit allowable for certain federally-assisted buildings acquired during 10-year period described in paragraph (2)(B)(ii) (A) In general On application by the taxpayer, the Secretary (after consultation with the appropriate Federal official) may waive paragraph (2)(B)(ii) with respect to any federally-assisted building if the Secretary determines that such waiver is necessary - (i) to avert an assignment of the mortgage secured by property in the project (of which such building is a part) to the Department of Housing and Urban Development or the Farmers Home Administration, or (ii) to avert a claim against a Federal mortgage insurance fund (or such Department or Administration) with respect to a mortgage which is so secured. The preceding sentence shall not apply to any building described in paragraph (7)(B). (B) Federally-assisted building For purposes of subparagraph (A), the term 'federally-assisted building' means any building which is substantially assisted, financed, or operated under - (i) section 8 of the United States Housing Act of 1937, (ii) section 221(d)(3) or 236 of the National Housing Act, or (iii) section 515 of the Housing Act of 1949, as such Acts are in effect on the date of the enactment of the Tax Reform Act of 1986. (C) Low-income buildings where mortgage may be prepaid A waiver may be granted under subparagraph (A) (without regard to any clause thereof) with respect to a federally-assisted building described in clause (ii) or (iii) of subparagraph (B) if - (i) the mortgage on such building is eligible for prepayment under subtitle B of the Emergency Low Income Housing Preservation Act of 1987 or under section 502(c) of the Housing Act of 1949 at any time within 1 year after the date of the application for such a waiver, (ii) the appropriate Federal official certifies to the Secretary that it is reasonable to expect that, if the waiver is not granted, such building will cease complying with its low-income occupancy requirements, and (iii) the eligibility to prepay such mortgage without the approval of the appropriate Federal official is waived by all persons who are so eligible and such waiver is binding on all successors of such persons. (D) Buildings acquired from insured depository institutions in default A waiver may be granted under subparagraph (A) (without regard to any clause thereof) with respect to any building acquired from an insured depository institution in default (as defined in section 3 of the Federal Deposit Insurance Act) or from a receiver or conservator of such an institution. (E) Appropriate Federal official For purposes of subparagraph (A), the term 'appropriate Federal official' means - (i) the Secretary of Housing and Urban Development in the case of any building described in subparagraph (B) by reason of clause (i) or (ii) thereof, and (ii) the Secretary of Agriculture in the case of any building described in subparagraph (B) by reason of clause (iii) thereof. (7) Acquisition of building before end of prior compliance period (A) In general Under regulations prescribed by the Secretary, in the case of a building described in subparagraph (B) (or interest therein) which is acquired by the taxpayer - (i) paragraph (2)(B) shall not apply, but (ii) the credit allowable by reason of subsection (a) to the taxpayer for any period after such acquisition shall be equal to the amount of credit which would have been allowable under subsection (a) for such period to the prior owner referred to in subparagraph (B) had such owner not disposed of the building. (B) Description of building A building is described in this subparagraph if - (i) a credit was allowed by reason of subsection (a) to any prior owner of such building, and (ii) the taxpayer acquired such building before the end of the compliance period for such building with respect to such prior owner (determined without regard to any disposition by such prior owner). (e) Rehabilitation expenditures treated as separate new building (1) In general Rehabilitation expenditures paid or incurred by the taxpayer with respect to any building shall be treated for purposes of this section as a separate new building. (2) Rehabilitation expenditures For purposes of paragraph (1) - (A) In general The term 'rehabilitation expenditures' means amounts chargeable to capital account and incurred for property (or additions or improvements to property) of a character subject to the allowance for depreciation in connection with the rehabilitation of a building. (B) Cost of acquisition, etc, (FOOTNOTE 3) not included (FOOTNOTE 3) So in original. Probably should be 'etc.,'. Such term does not include the cost of acquiring any building (or interest therein) or any amount not permitted to be taken into account under paragraph (3) or (4) of subsection (d). (3) Minimum expenditures to qualify (A) In general Paragraph (1) shall apply to rehabilitation expenditures with respect to any building only if - (i) the expenditures are allocable to 1 or more low-income units or substantially benefit such units, and (ii) the amount of such expenditures during any 24-month period meets the requirements of whichever of the following subclauses requires the greater amount of such expenditures: (I) The requirement of this subclause is met if such amount is not less than 10 percent of the adjusted basis of the building (determined as of the 1st day of such period and without regard to paragraphs (2) and (3) of section 1016(a)). (II) The requirement of this subclause is met if the qualified basis attributable to such amount, when divided by the number of low-income units in the building, is $3,000 or more. (B) Exception from 10 percent rehabilitation In the case of a building acquired by the taxpayer from a governmental unit, at the election of the taxpayer, subparagraph (A)(ii)(I) shall not apply and the credit under this section for such rehabilitation expenditures shall be determined using the percentage applicable under subsection (b)(2)(B)(ii). (C) Date of determination The determination under subparagraph (A) shall be made as of the close of the 1st taxable year in the credit period with respect to such expenditures. (4) Special rules For purposes of applying this section with respect to expenditures which are treated as a separate building by reason of this subsection - (A) such expenditures shall be treated as placed in service at the close of the 24-month period referred to in paragraph (3)(A), and (B) the applicable fraction under subsection (c)(1) shall be the applicable fraction for the building (without regard to paragraph (1)) with respect to which the expenditures were incurred. Nothing in subsection (d)(2) shall prevent a credit from being allowed by reason of this subsection. (5) No double counting Rehabilitation expenditures may, at the election of the taxpayer, be taken into account under this subsection or subsection (d)(2)(A)(i) but not under both such subsections. (6) Regulations to apply subsection with respect to group of units in building The Secretary may prescribe regulations, consistent with the purposes of this subsection, treating a group of units with respect to which rehabilitation expenditures are incurred as a separate new building. (f) Definition and special rules relating to credit period (1) Credit period defined For purposes of this section, the term 'credit period' means, with respect to any building, the period of 10 taxable years beginning with - (A) the taxable year in which the building is placed in service, or (B) at the election of the taxpayer, the succeeding taxable year, but only if the building is a qualified low-income building as of the close of the 1st year of such period. The election under subparagraph (B), once made, shall be irrevocable. (2) Special rule for 1st year of credit period (A) In general The credit allowable under subsection (a) with respect to any building for the 1st taxable year of the credit period shall be determined by substituting for the applicable fraction under subsection (c)(1) the fraction - (i) the numerator of which is the sum of the applicable fractions determined under subsection (c)(1) as of the close of each full month of such year during which such building was in service, and (ii) the denominator of which is 12. (B) Disallowed 1st year credit allowed in 11th year Any reduction by reason of subparagraph (A) in the credit allowable (without regard to subparagraph (A)) for the 1st taxable year of the credit period shall be allowable under subsection (a) for the 1st taxable year following the credit period. (3) Determination of applicable percentage with respect to increases in qualified basis after 1st year of credit period (A) In general In the case of any building which was a qualified low-income building as of the close of the 1st year of the credit period, if - (i) as of the close of any taxable year in the compliance period (after the 1st year of the credit period) the qualified basis of such building exceeds (ii) the qualified basis of such building as of the close of the 1st year of the credit period, the applicable percentage which shall apply under subsection (a) for the taxable year to such excess shall be the percentage equal to 2/3 of the applicable percentage which (after the application of subsection (h)) would but for this paragraph apply to such basis. (B) 1st year computation applies A rule similar to the rule of paragraph (2)(A) shall apply to any increase in qualified basis to which subparagraph (A) applies for the 1st year of such increase. (4) Dispositions of property If a building (or an interest therein) is disposed of during any year for which credit is allowable under subsection (a), such credit shall be allocated between the parties on the basis of the number of days during such year the building (or interest) was held by each. In any such case, proper adjustments shall be made in the application of subsection (j). (5) Credit period for existing buildings not to begin before rehabilitation credit allowed (A) In general The credit period for an existing building shall not begin before the 1st taxable year of the credit period for rehabilitation expenditures with respect to the building. (B) Acquisition credit allowed for certain buildings not allowed a rehabilitation credit (i) In general In the case of a building described in clause (ii) - (I) subsection (d)(2)(B)(iv) shall not apply, and (II) the credit period for such building shall not begin before the taxable year which would be the 1st taxable year of the credit period for rehabilitation expenditures with respect to the building under the modifications described in clause (ii)(II). (ii) Building described A building is described in this clause if - (I) a waiver is granted under subsection (d)(6)(C) with respect to the acquisition of the building, and (II) a credit would be allowed for rehabilitation expenditures with respect to such building if subsection (e)(3)(A)(ii)(I) did not apply and if subsection (e)(3)(A)(ii)(II) were applied by substituting '$2,000' for '$3,000'. (g) Qualified low-income housing project For purposes of this section - (1) In general The term 'qualified low-income housing project' means any project for residential rental property if the project meets the requirements of subparagraph (A) or (B) whichever is elected by the taxpayer: (A) 20-50 test The project meets the requirements of this subparagraph if 20 percent or more of the residential units in such project are both rent-restricted and occupied by individuals whose income is 50 percent or less of area median gross income. (B) 40-60 test The project meets the requirements of this subparagraph if 40 percent or more of the residential units in such project are both rent-restricted and occupied by individuals whose income is 60 percent or less of area median gross income. Any election under this paragraph, once made, shall be irrevocable. For purposes of this paragraph, any property shall not be treated as failing to be residential rental property merely because part of the building in which such property is located is used for purposes other than residential rental purposes. (2) Rent-restricted units (A) In general For purposes of paragraph (1), a residential unit is rent-restricted if the gross rent with respect to such unit does not exceed 30 percent of the imputed income limitation applicable to such unit. For purposes of the preceding sentence, the amount of the income limitation under paragraph (1) applicable for any period shall not be less than such limitation applicable for the earliest period the building (which contains the unit) was included in the determination of whether the project is a qualified low-income housing project. (B) Gross rent For purposes of subparagraph (A), gross rent - (i) does not include any payment under section 8 of the United States Housing Act of 1937 or any comparable rental assistance program (with respect to such unit or occupants thereof), (ii) includes any utility allowance determined by the Secretary after taking into account such determinations under section 8 of the United States Housing Act of 1937, (iii) does not include any fee for a supportive service which is paid to the owner of the unit (on the basis of the low-income status of the tenant of the unit) by any governmental program of assistance (or by an organization described in section 501(c)(3) and exempt from tax under section 501(a)) if such program (or organization) provides assistance for rent and the amount of assistance provided for rent is not separable from the amount of assistance provided for supportive services, and (iv) does not include any rental payment to the owner of the unit to the extent such owner pays an equivalent amount to the Farmers' Home Administration under section 515 of the Housing Act of 1949. For purposes of clause (iii), the term 'supportive service' means any service provided under a planned program of services designed to enable residents of a residential rental property to remain independent and avoid placement in a hospital, nursing home, or intermediate care facility for the mentally or physically handicapped. In the case of a single-room occupancy unit or a building described in subsection (i)(3)(B)(iii), such term includes any service provided to assist tenants in locating and retaining permanent housing. (C) Imputed income limitation applicable to unit For purposes of this paragraph, the imputed income limitation applicable to a unit is the income limitation which would apply under paragraph (1) to individuals occupying the unit if the number of individuals occupying the unit were as follows: (i) In the case of a unit which does not have a separate bedroom, 1 individual. (ii) In the case of a unit which has 1 or more separate bedrooms, 1.5 individuals for each separate bedroom. In the case of a project with respect to which a credit is allowable by reason of this section and for which financing is provided by a bond described in section 142(a)(7), the imputed income limitation shall apply in lieu of the otherwise applicable income limitation for purposes of applying section 142(d)(4)(B)(ii). (D) Treatment of units occupied by individuals whose incomes rise above limit (i) In general Except as provided in clause (ii), notwithstanding an increase in the income of the occupants of a low-income unit above the income limitation applicable under paragraph (1), such unit shall continue to be treated as a low-income unit if the income of such occupants initially met such income limitation and such unit continues to be rent-restricted. (ii) Next available unit must be rented to low-income tenant if income rises above 140 percent of income limit If the income of the occupants of the unit increases above 140 percent of the income limitation applicable under paragraph (1), clause (i) shall cease to apply to such unit if any residential rental unit in the building (of a size comparable to, or smaller than, such unit) is occupied by a new resident whose income exceeds such income limitation. In the case of a project described in section 142(d)(4)(B), the preceding sentence shall be applied by substituting '170 percent' for '140 percent' and by substituting 'any low-income unit in the building is occupied by a new resident whose income exceeds 40 percent of area median gross income' for 'any residential unit in the building (of a size comparable to, or smaller than, such unit) is occupied by a new resident whose income exceeds such income limitation'. (E) Units where Federal rental assistance is reduced as tenant's income increases If the gross rent with respect to a residential unit exceeds the limitation under subparagraph (A) by reason of the fact that the income of the occupants thereof exceeds the income limitation applicable under paragraph (1), such unit shall, nevertheless, be treated as a rent-restricted unit for purposes of paragraph (1) if - (i) a Federal rental assistance payment described in subparagraph (B)(i) is made with respect to such unit or its occupants, and (ii) the sum of such payment and the gross rent with respect to such unit does not exceed the sum of the amount of such payment which would be made and the gross rent which would be payable with respect to such unit if - (I) the income of the occupants thereof did not exceed the income limitation applicable under paragraph (1), and (II) such units were rent-restricted within the meaning of subparagraph (A). The preceding sentence shall apply to any unit only if the result described in clause (ii) is required by Federal statute as of the date of the enactment of this subparagraph and as of the date the Federal rental assistance payment is made. (3) Date for meeting requirements (A) In general Except as otherwise provided in this paragraph, a building shall be treated as a qualified low-income building only if the project (of which such building is a part) meets the requirements of paragraph (1) not later than the close of the 1st year of the credit period for such building. (B) Buildings which rely on later buildings for qualification (i) In general In determining whether a building (hereinafter in this subparagraph referred to as the 'prior building') is a qualified low-income building, the taxpayer may take into account 1 or more additional buildings placed in service during the 12-month period described in subparagraph (A) with respect to the prior building only if the taxpayer elects to apply clause (ii) with respect to each additional building taken into account. (ii) Treatment of elected buildings In the case of a building which the taxpayer elects to take into account under clause (i), the period under subparagraph (A) for such building shall end at the close of the 12-month period applicable to the prior building. (iii) Date prior building is treated as placed in service For purposes of determining the credit period and the compliance period for the prior building, the prior building shall be treated for purposes of this section as placed in service on the most recent date any additional building elected by the taxpayer (with respect to such prior building) was placed in service. (C) Special rule A building - (i) other than the 1st building placed in service as part of a project, and (ii) other than a building which is placed in service during the 12-month period described in subparagraph (A) with respect to a prior building which becomes a qualified low-income building, shall in no event be treated as a qualified low-income building unless the project is a qualified low-income housing project (without regard to such building) on the date such building is placed in service. (D) Projects with more than 1 building must be identified For purposes of this section, a project shall be treated as consisting of only 1 building unless, before the close of the 1st calendar year in the project period (as defined in subsection (h)(1)(F)(ii)), each building which is (or will be) part of such project is identified in such form and manner as the Secretary may provide. (4) Certain rules made applicable Paragraphs (2) (other than subparagraph (A) thereof), (3), (4), (5), (6), and (7) of section 142(d), and section 6652(j), shall apply for purposes of determining whether any project is a qualified low-income housing project and whether any unit is a low-income unit; except that, in applying such provisions for such purposes, the term 'gross rent' shall have the meaning given such term by paragraph (2)(B) of this subsection. (5) Election to treat building after compliance period as not part of a project For purposes of this section, the taxpayer may elect to treat any building as not part of a qualified low-income housing project for any period beginning after the compliance period for such building. (6) Special rule where de minimis equity contribution Property shall not be treated as failing to be residential rental property for purposes of this section merely because the occupant of a residential unit in the project pays (on a voluntary basis) to the lessor a de minimis amount to be held toward the purchase by such occupant of a residential unit in such project if - (A) all amounts so paid are refunded to the occupant on the cessation of his occupancy of a unit in the project, and (B) the purchase of the unit is not permitted until after the close of the compliance period with respect to the building in which the unit is located. Any amount paid to the lessor as described in the preceding sentence shall be included in gross rent under paragraph (2) for purposes of determining whether the unit is rent- restricted. (7) Scattered site projects Buildings which would (but for their lack of proximity) be treated as a project for purposes of this section shall be so treated if all of the dwelling units in each of the buildings are rent-restricted (within the meaning of paragraph (2)) residential rental units. (h) Limitation on aggregate credit allowable with respect to projects located in a State (1) Credit may not exceed credit amount allocated to building (A) In general The amount of the credit determined under this section for any taxable year with respect to any building shall not exceed the housing credit dollar amount allocated to such building under this subsection. (B) Time for making allocation Except in the case of an allocation which meets the requirements of subparagraph (C), (D), (E), or (F), an allocation shall be taken into account under subparagraph (A) only if it is made not later than the close of the calendar year in which the building is placed in service. (C) Exception where binding commitment An allocation meets the requirements of this subparagraph if there is a binding commitment (not later than the close of the calendar year in which the building is placed in service) by the housing credit agency to allocate a specified housing credit dollar amount to such building beginning in a specified later taxable year. (D) Exception where increase in qualified basis (i) In general An allocation meets the requirements of this subparagraph if such allocation is made not later than the close of the calendar year in which ends the taxable year to which it will 1st apply but only to the extent the amount of such allocation does not exceed the limitation under clause (ii). (ii) Limitation The limitation under this clause is the amount of credit allowable under this section (without regard to this subsection) for a taxable year with respect to an increase in the qualified basis of the building equal to the excess of - (I) the qualified basis of such building as of the close of the 1st taxable year to which such allocation will apply, over (II) the qualified basis of such building as of the close of the 1st taxable year to which the most recent prior housing credit allocation with respect to such building applied. (iii) Housing credit dollar amount reduced by full allocation Notwithstanding clause (i), the full amount of the allocation shall be taken into account under paragraph (2). (E) Exception where 10 percent of cost incurred (i) In general An allocation meets the requirements of this subparagraph if such allocation is made with respect to a qualified building which is placed in service not later than the close of the second calendar year following the calendar year in which the allocation is made. (ii) Qualified building For purposes of clause (i), the term 'qualified building' means any building which is part of a project if the taxpayer's basis in such project (as of the close of the calendar year in which the allocation is made) is more than 10 percent of the taxpayer's reasonably expected basis in such project (as of the close of the second calendar year referred to in clause (i)). Such term does not include any existing building unless a credit is allowable under subsection (e) for rehabilitation expenditures paid or incurred by the taxpayer with respect to such building for a taxable year ending during the second calendar year referred to in clause (i) or the prior taxable year. (F) Allocation of credit on a project basis (i) In general In the case of a project which includes (or will include) more than 1 building, an allocation meets the requirements of this subparagraph if - (I) the allocation is made to the project for a calendar year during the project period, (II) the allocation only applies to buildings placed in service during or after the calendar year for which the allocation is made, and (III) the portion of such allocation which is allocated to any building in such project is specified not later than the close of the calendar year in which the building is placed in service. (ii) Project period For purposes of clause (i), the term 'project period' means the period - (I) beginning with the 1st calendar year for which an allocation may be made for the 1st building placed in service as part of such project, and (II) ending with the calendar year the last building is placed in service as part of such project. (2) Allocated credit amount to apply to all taxable years ending during or after credit allocation year Any housing credit dollar amount allocated to any building for any calendar year - (A) shall apply to such building for all taxable years in the compliance period ending during or after such calendar year, and (B) shall reduce the aggregate housing credit dollar amount of the allocating agency only for such calendar year. (3) Housing credit dollar amount for agencies (A) In general The aggregate housing credit dollar amount which a housing credit agency may allocate for any calendar year is the portion of the State housing credit ceiling allocated under this paragraph for such calendar year to such agency. (B) State ceiling initially allocated to State housing credit agencies Except as provided in subparagraphs (D) and (E), the State housing credit ceiling for each calendar year shall be allocated to the housing credit agency of such State. If there is more than 1 housing credit agency of a State, all such agencies shall be treated as a single agency. (C) State housing credit ceiling The State housing credit ceiling applicable to any State for any calendar year shall be an amount equal to the sum of - (i) $1.25 multiplied by the State population, (ii) the unused State housing credit ceiling (if any) of such State for the preceding calendar year, (iii) the amount of State housing credit ceiling returned in the calendar year, plus (iv) the amount (if any) allocated under subparagraph (D) to such State by the Secretary. For purposes of clause (ii), the unused State housing credit ceiling for any calendar year is the excess (if any) of the sum of the amounts described in clauses (i) and (iii) over the aggregate housing credit dollar amount allocated for such year. For purposes of clause (iii), the amount of State housing credit ceiling returned in the calendar year equals the housing credit dollar amount previously allocated within the State to any project which does not become a qualified low-income housing project within the period required by this section or the terms of the allocation or to any project with respect to which an allocation is cancelled by mutual consent of the housing credit agency and the allocation recipient. (D) Unused housing credit carryovers allocated among certain States (i) In general The unused housing credit carryover of a State for any calendar year shall be assigned to the Secretary for allocation among qualified States for the succeeding calendar year. (ii) Unused housing credit carryover For purposes of this subparagraph, the unused housing credit carryover of a State for any calendar year is the excess (if any) of the unused State housing credit ceiling for such year (as defined in subparagraph (C)(ii)) over the excess (if any) of - (I) the aggregate housing credit dollar amount allocated for such year, over (II) the sum of the amounts described in clauses (i) and (iii) of subparagraph (C). (iii) Formula for allocation of unused housing credit carryovers among qualified States The amount allocated under this subparagraph to a qualified State for any calendar year shall be the amount determined by the Secretary to bear the same ratio to the aggregate unused housing credit carryovers of all States for the preceding calendar year as such State's population for the calendar year bears to the population of all qualified States for the calendar year. For purposes of the preceding sentence, population shall be determined in accordance with section 146(j). (iv) Qualified State For purposes of this subparagraph, the term 'qualified State' means, with respect to a calendar year, any State - (I) which allocated its entire State housing credit ceiling for the preceding calendar year, and (II) for which a request is made (not later than May 1 of the calendar year) to receive an allocation under clause (iii). (E) Special rule for States with constitutional home rule cities For purposes of this subsection - (i) In general The aggregate housing credit dollar amount for any constitutional home rule city for any calendar year shall be an amount which bears the same ratio to the State housing credit ceiling for such calendar year as - (I) the population of such city, bears to (II) the population of the entire State. (ii) Coordination with other allocations In the case of any State which contains 1 or more constitutional home rule cities, for purposes of applying this paragraph with respect to housing credit agencies in such State other than constitutional home rule cities, the State housing credit ceiling for any calendar year shall be reduced by the aggregate housing credit dollar amounts determined for such year for all constitutional home rule cities in such State. (iii) Constitutional home rule city For purposes of this paragraph, the term 'constitutional home rule city' has the meaning given such term by section 146(d)(3)(C). (F) State may provide for different allocation Rules similar to the rules of section 146(e) (other than paragraph (2)(B) thereof) shall apply for purposes of this paragraph. (G) Population For purposes of this paragraph, population shall be determined in accordance with section 146(j). (4) Credit for buildings financed by tax-exempt bonds subject to volume cap not taken into account (A) In general Paragraph (1) shall not apply to the portion of any credit allowable under subsection (a) which is attributable to eligible basis financed by any obligation the interest on which is exempt from tax under section 103 if - (i) such obligation is taken into account under section 146, and (ii) principal payments on such financing are applied within a reasonable period to redeem obligations the proceeds of which were used to provide such financing. (B) Special rule where 50 percent or more of building is financed with tax-exempt bonds subject to volume cap For purposes of subparagraph (A), if 50 percent or more of the aggregate basis of any building and the land on which the building is located is financed by any obligation described in subparagraph (A), paragraph (1) shall not apply to any portion of the credit allowable under subsection (a) with respect to such building. (5) Portion of State ceiling set-aside for certain projects involving qualified nonprofit organizations (A) In general Not more than 90 percent of the State housing credit ceiling for any State for any calendar year shall be allocated to projects other than qualified low-income housing projects described in subparagraph (B). (B) Projects involving qualified nonprofit organizations For purposes of subparagraph (A), a qualified low-income housing project is described in this subparagraph if a qualified nonprofit organization is to own an interest in the project (directly or through a partnership) and materially participate (within the meaning of section 469(h)) in the development and operation of the project throughout the compliance period. (C) Qualified nonprofit organization For purposes of this paragraph, the term 'qualified nonprofit organization' means any organization if - (i) such organization is described in paragraph (3) or (4) of section 501(c) and is exempt from tax under section 501(a), (ii) such organization is determined by the State housing credit agency not to be affiliated with or controlled by a for-profit organization; (FOOTNOTE 4) and (FOOTNOTE 4) So in original. The semicolon probably should be a comma. (iii) 1 of the exempt purposes of such organization includes the fostering of low-income housing. (D) Treatment of certain subsidiaries (i) In general For purposes of this paragraph, a qualified nonprofit organization shall be treated as satisfying the ownership and material participation test of subparagraph (B) if any qualified corporation in which such organization holds stock satisfies such test. (ii) Qualified corporation For purposes of clause (i), the term 'qualified corporation' means any corporation if 100 percent of the stock of such corporation is held by 1 or more qualified nonprofit organizations at all times during the period such corporation is in existence. (E) State may not override set-aside Nothing in subparagraph (F) of paragraph (3) shall be construed to permit a State not to comply with subparagraph (A) of this paragraph. (6) Buildings eligible for credit only if minimum long-term commitment to low-income housing (A) In general No credit shall be allowed by reason of this section with respect to any building for the taxable year unless an extended low-income housing commitment is in effect as of the end of such taxable year. (B) Extended low-income housing commitment For purposes of this paragraph, the term 'extended low-income housing commitment' means any agreement between the taxpayer and the housing credit agency - (i) which requires that the applicable fraction (as defined in subsection (c)(1)) for the building for each taxable year in the extended use period will not be less than the applicable fraction specified in such agreement and which prohibits the actions described in subclauses (I) and (II) of subparagraph (E)(ii), (ii) which allows individuals who meet the income limitation applicable to the building under subsection (g) (whether prospective, present, or former occupants of the building) the right to enforce in any State court the requirement and prohibitions of clause (i), (iii) which prohibits the disposition to any person of any portion of the building to which such agreement applies unless all of the building to which such agreement applies is disposed of to such person, (iv) which is binding on all successors of the taxpayer, and (v) which, with respect to the property, is recorded pursuant to State law as a restrictive covenant. (C) Allocation of credit may not exceed amount necessary to support commitment (i) In general The housing credit dollar amount allocated to any building may not exceed the amount necessary to support the applicable fraction specified in the extended low-income housing commitment for such building, including any increase in such fraction pursuant to the application of subsection (f)(3) if such increase is reflected in an amended low-income housing commitment. (ii) Buildings financed by tax-exempt bonds If paragraph (4) applies to any building the amount of credit allowed in any taxable year may not exceed the amount necessary to support the applicable fraction specified in the extended low-income housing commitment for such building. Such commitment may be amended to increase such fraction. (D) Extended use period For purposes of this paragraph, the term 'extended use period' means the period - (i) beginning on the 1st day in the compliance period on which such building is part of a qualified low-income housing project, and (ii) ending on the later of - (I) the date specified by such agency in such agreement, or (II) the date which is 15 years after the close of the compliance period. (E) Exceptions if foreclosure or if no buyer willing to maintain low-income status (i) In general The extended use period for any building shall terminate - (I) on the date the building is acquired by foreclosure (or instrument in lieu of foreclosure) unless the Secretary determines that such acquisition is part of an arrangement with the taxpayer a purpose of which is to terminate such period, or (II) on the last day of the period specified in subparagraph (I) if the housing credit agency is unable to present during such period a qualified contract for the acquisition of the low-income portion of the building by any person who will continue to operate such portion as a qualified low-income building. Subclause (II) shall not apply to the extent more stringent requirements are provided in the agreement or in State law. (ii) Eviction, etc. of existing low-income tenants not permitted The termination of an extended use period under clause (i) shall not be construed to permit before the close of the 3-year period following such termination - (I) the eviction or the termination of tenancy (other than for good cause) of an existing tenant of any low-income unit, or (II) any increase in the gross rent with respect to such unit not otherwise permitted under this section. (F) Qualified contract For purposes of subparagraph (E), the term 'qualified contract' means a bona fide contract to acquire (within a reasonable period after the contract is entered into) the nonlow-income portion of the building for fair market value and the low-income portion of the building for an amount not less than the applicable fraction (specified in the extended low-income housing commitment) of - (i) the sum of - (I) the outstanding indebtedness secured by, or with respect to, the building, (II) the adjusted investor equity in the building, plus (III) other capital contributions not reflected in the amounts described in subclause (I) or (II), reduced by (ii) cash distributions from (or available for distribution from) the project. The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out this paragraph, including regulations to prevent the manipulation of the amount determined under the preceding sentence. (G) Adjusted investor equity (i) In general For purposes of subparagraph (E), the term 'adjusted investor equity' means, with respect to any calendar year, the aggregate amount of cash taxpayers invested with respect to the project increased by the amount equal to - (I) such amount, multiplied by (II) the cost-of-living adjustment for such calendar year, determined under section 1(f)(3) by substituting the base calendar year for 'calendar year 1987'. An amount shall be taken into account as an investment in the project only to the extent there was an obligation to invest such amount as of the beginning of the credit period and to the extent such amount is reflected in the adjusted basis of the project. (ii) Cost-of-living increases in excess of 5 percent not taken into account Under regulations prescribed by the Secretary, if the CPI for any calendar year (as defined in section 1(f)(4)) exceeds the CPI for the preceding calendar year by more than 5 percent, the CPI for the base calendar year shall be increased such that such excess shall never be taken into account under clause (i). (iii) Base calendar year For purposes of this subparagraph, the term 'base calendar year' means the calendar year with or within which the 1st taxable year of the credit period ends. (H) Low-income portion For purposes of this paragraph, the low-income portion of a building is the portion of such building equal to the applicable fraction specified in the extended low-income housing commitment for the building. (I) Period for finding buyer The period referred to in this subparagraph is the 1-year period beginning on the date (after the 14th year of the compliance period) the taxpayer submits a written request to the housing credit agency to find a person to acquire the taxpayer's interest in the low-income portion of the building. (J) Effect of noncompliance If, during a taxable year, there is a determination that an extended low-income housing agreement was not in effect as of the beginning of such year, such determination shall not apply to any period before such year and subparagraph (A) shall be applied without regard to such determination if the failure is corrected within 1 year from the date of the determination. (K) Projects which consist of more than 1 building The application of this paragraph to projects which consist of more than 1 building shall be made under regulations prescribed by the Secretary. (7) Special rules (A) Building must be located within jurisdiction of credit agency A housing credit agency may allocate its aggregate housing credit dollar amount only to buildings located in the jurisdiction of the governmental unit of which such agency is a part. (B) Agency allocations in excess of limit If the aggregate housing credit dollar amounts allocated by a housing credit agency for any calendar year exceed the portion of the State housing credit ceiling allocated to such agency for such calendar year, the housing credit dollar amounts so allocated shall be reduced (to the extent of such excess) for buildings in the reverse of the order in which the allocations of such amounts were made. (C) Credit reduced if allocated credit dollar amount is less than credit which would be allowable without regard to placed in service convention, etc. (i) In general The amount of the credit determined under this section with respect to any building shall not exceed the clause (ii) percentage of the amount of the credit which would (but for this subparagraph) be determined under this section with respect to such building. (ii) Determination of percentage For purposes of clause (i), the clause (ii) percentage with respect to any building is the percentage which - (I) the housing credit dollar amount allocated to such building bears to (II) the credit amount determined in accordance with clause (iii). (iii) Determination of credit amount The credit amount determined in accordance with this clause is the amount of the credit which would (but for this subparagraph) be determined under this section with respect to the building if - (I) this section were applied without regard to paragraphs (2)(A) and (3)(B) of subsection (f), and (II) subsection (f)(3)(A) were applied without regard to 'the percentage equal to 2/3 of'. (D) Housing credit agency to specify applicable percentage and maximum qualified basis In allocating a housing credit dollar amount to any building, the housing credit agency shall specify the applicable percentage and the maximum qualified basis which may be taken into account under this section with respect to such building. The applicable percentage and maximum qualified basis so specified shall not exceed the applicable percentage and qualified basis determined under this section without regard to this subsection. (8) Other definitions For purposes of this subsection - (A) Housing credit agency The term 'housing credit agency' means any agency authorized to carry out this subsection. (B) Possessions treated as States The term 'State' includes a possession of the United States. (i) Definitions and special rules For purposes of this section - (1) Compliance period The term 'compliance period' means, with respect to any building, the period of 15 taxable years beginning with the 1st taxable year of the credit period with respect thereto. (2) Determination of whether building is federally subsidized (A) In general Except as otherwise provided in this paragraph, for purposes of subsection (b)(1), a new building shall be treated as federally subsidized for any taxable year if, at any time during such taxable year or any prior taxable year, there is or was outstanding any obligation the interest on which is exempt from tax under section 103, or any below market Federal loan, the proceeds of which are or were used (directly or indirectly) with respect to such building or the operation thereof. (B) Election to reduce eligible basis by balance of loan or proceeds of obligations A loan or tax-exempt obligation shall not be taken into account under subparagraph (A) if the taxpayer elects to exclude from the eligible basis of the building for purposes of subsection (d) - (i) in the case of a loan, the principal amount of such loan, and (ii) in the case of a tax-exempt obligation, the proceeds of such obligation. (C) Special rule for subsidized construction financing Subparagraph (A) shall not apply to any tax-exempt obligation or below market Federal loan used to provide construction financing for any building if - (i) such obligation or loan (when issued or made) identified the building for which the proceeds of such obligation or loan would be used, and (ii) such obligation is redeemed, and such loan is repaid, before such building is placed in service. (D) Below market Federal loan For purposes of this paragraph, the term 'below market Federal loan' means any loan funded in whole or in part with Federal funds if the interest rate payable on such loan is less than the applicable Federal rate in effect under section 1274(d)(1) (as of the date on which the loan was made). Such term shall not include any loan which would be a below market Federal loan solely by reason of assistance provided under section 106, 107, or 108 of the Housing and Community Development Act of 1974 (as in effect on the date of the enactment of this sentence). (3) Low-income unit (A) In general The term 'low-income unit' means any unit in a building if - (i) such unit is rent-restricted (as defined in subsection (g)(2)), and (ii) the individuals occupying such unit meet the income limitation applicable under subsection (g)(1) to the project of which such building is a part. (B) Exceptions (i) In general A unit shall not be treated as a low-income unit unless the unit is suitable for occupancy and used other than on a transient basis. (ii) Suitability for occupancy For purposes of clause (i), the suitability of a unit for occupancy shall be determined under regulations prescribed by the Secretary taking into account local health, safety, and building codes. (iii) Transitional housing for homeless For purposes of clause (i), a unit shall be considered to be used other than on a transient basis if the unit contains sleeping accommodations and kitchen and bathroom facilities and is located in a building - (I) which is used exclusively to facilitate the transition of homeless individuals (within the meaning of section 103 of the Stewart B. McKinney Homeless Assistance Act (42 U.S.C. 11302), as in effect on the date of the enactment of this clause) to independent living within 24 months, and (II) in which a governmental entity or qualified nonprofit organization (as defined in subsection (h)(5)) provides such individuals with temporary housing and supportive services designed to assist such individuals in locating and retaining permanent housing. (iv) Single-room occupancy units For purposes of clause (i), a single-room occupancy unit shall not be treated as used on a transient basis merely because it is rented on a month-by-month basis. (C) Special rule for buildings having 4 or fewer units In the case of any building which has 4 or fewer residential rental units, no unit in such building shall be treated as a low-income unit if the units in such building are owned by - (i) any individual who occupies a residential unit in such building, or (ii) any person who is related (as defined in subsection (d)(2)(D)(iii)) to such individual. (D) Certain students not to disqualify unit A unit shall not fail to be treated as a low-income unit merely because it is occupied by an individual who is - (i) a student and receiving assistance under title IV of the Social Security Act, or (ii) enrolled in a job training program receiving assistance under the Job Training Partnership Act or under other similar Federal, State, or local laws. (E) Owner-occupied buildings having 4 or fewer units eligible for credit where development plan (i) In general Subparagraph (C) shall not apply to the acquisition or rehabilitation of a building pursuant to a development plan of action sponsored by a State or local government or a qualified nonprofit organization (as defined in subsection (h)(5)(C)). (ii) Limitation on credit In the case of a building to which clause (i) applies, the applicable fraction shall not exceed 80 percent of the unit fraction. (iii) Certain unrented units treated as owner-occupied In the case of a building to which clause (i) applies, any unit which is not rented for 90 days or more shall be treated as occupied by the owner of the building as of the 1st day it is not rented. (4) New building The term 'new building' means a building the original use of which begins with the taxpayer. (5) Existing building The term 'existing building' means any building which is not a new building. (6) Application to estates and trusts In the case of an estate or trust, the amount of the credit determined under subsection (a) and any increase in tax under subsection (j) shall be apportioned between the estate or trust and the beneficiaries on the basis of the income of the estate or trust allocable to each. (7) Impact of tenant's right of 1st refusal to acquire property (A) In general No Federal income tax benefit shall fail to be allowable to the taxpayer with respect to any qualified low-income building merely by reason of a right of 1st refusal held by the tenants (in cooperative form or otherwise) or resident management corporation of such building or by a qualified nonprofit organization (as defined in subsection (h)(5)(C)) or government agency to purchase the property after the close of the compliance period for a price which is not less than the minimum purchase price determined under subparagraph (B). (B) Minimum purchase price For purposes of subparagraph (A), the minimum purchase price under this subparagraph is an amount equal to the sum of - (i) the principal amount of outstanding indebtedness secured by the building (other than indebtedness incurred within the 5-year period ending on the date of the sale to the tenants), and (ii) all Federal, State, and local taxes attributable to such sale. Except in the case of Federal income taxes, there shall not be taken into account under clause (ii) any additional tax attributable to the application of clause (ii). (j) Recapture of credit (1) In general If - (A) as of the close of any taxable year in the compliance period, the amount of the qualified basis of any building with respect to the taxpayer is less than (B) the amount of such basis as of the close of the preceding taxable year, then the taxpayer's tax under this chapter for the taxable year shall be increased by the credit recapture amount. (2) Credit recapture amount For purposes of paragraph (1), the credit recapture amount is an amount equal to the sum of - (A) the aggregate decrease in the credits allowed to the taxpayer under section 38 for all prior taxable years which would have resulted if the accelerated portion of the credit allowable by reason of this section were not allowed for all prior taxable years with respect to the excess of the amount described in paragraph (1)(B) over the amount described in paragraph (1)(A), plus (B) interest at the overpayment rate established under section 6621 on the amount determined under subparagraph (A) for each prior taxable year for the period beginning on the due date for filing the return for the prior taxable year involved. No deduction shall be allowed under this chapter for interest described in subparagraph (B). (3) Accelerated portion of credit For purposes of paragraph (2), the accelerated portion of the credit for the prior taxable years with respect to any amount of basis is the excess of - (A) the aggregate credit allowed by reason of this section (without regard to this subsection) for such years with respect to such basis, over (B) the aggregate credit which would be allowable by reason of this section for such years with respect to such basis if the aggregate credit which would (but for this subsection) have been allowable for the entire compliance period were allowable ratably over 15 years. (4) Special rules (A) Tax benefit rule The tax for the taxable year shall be increased under paragraph (1) only with respect to credits allowed by reason of this section which were used to reduce tax liability. In the case of credits not so used to reduce tax liability, the carryforwards and carrybacks under section 39 shall be appropriately adjusted. (B) Only basis for which credit allowed taken into account Qualified basis shall be taken into account under paragraph (1)(B) only to the extent such basis was taken into account in determining the credit under subsection (a) for the preceding taxable year referred to in such paragraph. (C) No recapture of additional credit allowable by reason of subsection (f)(3) Paragraph (1) shall apply to a decrease in qualified basis only to the extent such decrease exceeds the amount of qualified basis with respect to which a credit was allowable for the taxable year referred to in paragraph (1)(B) by reason of subsection (f)(3). (D) No credits against tax Any increase in tax under this subsection shall not be treated as a tax imposed by this chapter for purposes of determining the amount of any credit under subpart A, B, D, or G of this part. (E) No recapture by reason of casualty loss The increase in tax under this subsection shall not apply to a reduction in qualified basis by reason of a casualty loss to the extent such loss is restored by reconstruction or replacement within a reasonable period established by the Secretary. (F) No recapture where de minimis changes in floor space The Secretary may provide that the increase in tax under this subsection shall not apply with respect to any building if - (i) such increase results from a de minimis change in the floor space fraction under subsection (c)(1), and (ii) the building is a qualified low-income building after such change. (5) Certain partnerships treated as the taxpayer (A) In general For purposes of applying this subsection to a partnership to which this paragraph applies - (i) such partnership shall be treated as the taxpayer to which the credit allowable under subsection (a) was allowed, (ii) the amount of such credit allowed shall be treated as the amount which would have been allowed to the partnership were such credit allowable to such partnership, (iii) paragraph (4)(A) shall not apply, and (iv) the amount of the increase in tax under this subsection for any taxable year shall be allocated among the partners of such partnership in the same manner as such partnership's taxable income for such year is allocated among such partners. (B) Partnerships to which paragraph applies This paragraph shall apply to any partnership which has 35 or more partners unless the partnership elects not to have this paragraph apply. (C) Special rules (i) Husband and wife treated as 1 partner For purposes of subparagraph (B)(i), a husband and wife (and their estates) shall be treated as 1 partner. (ii) Election irrevocable Any election under subparagraph (B), once made, shall be irrevocable. (6) No recapture on disposition of building (or interest therein) where bond posted In the case of a disposition of a building or an interest therein, the taxpayer shall be discharged from liability for any additional tax under this subsection by reason of such disposition if - (A) the taxpayer furnishes to the Secretary a bond in an amount satifactory (FOOTNOTE 5) to the Secretary and for the period required by the Secretary, and (FOOTNOTE 5) So in original. Probably should be 'satisfactory'. (B) it is reasonably expected that such building will continue to be operated as a qualified low-income building for the remaining compliance period with respect to such building. (k) Application of at-risk rules For purposes of this section - (1) In general Except as otherwise provided in this subsection, rules similar to the rules of section 49(a)(1) (other than subparagraphs (D)(ii)(II) and (D)(iv)(I) thereof), section 49(a)(2), and section 49(b)(1) shall apply in determining the qualified basis of any building in the same manner as such sections apply in determining the credit base of property. (2) Special rules for determining qualified person For purposes of paragraph (1) - (A) In general If the requirements of subparagraphs (B), (C), and (D) are met with respect to any financing borrowed from a qualified nonprofit organization (as defined in subsection (h)(5)), the determination of whether such financing is qualified commercial financing with respect to any qualified low-income building shall be made without regard to whether such organization - (i) is actively and regularly engaged in the business of lending money, or (ii) is a person described in section 49(a)(1)(D)(iv)(II). (B) Financing secured by property The requirements of this subparagraph are met with respect to any financing if such financing is secured by the qualified low-income building, except that this subparagraph shall not apply in the case of a federally assisted building described in subsection (d)(6)(B) if - (i) a security interest in such building is not permitted by a Federal agency holding or insuring the mortgage secured by such building, and (ii) the proceeds from the financing (if any) are applied to acquire or improve such building.. (FOOTNOTE 6) (FOOTNOTE 6) So in original. (C) Portion of building attributable to financing The requirements of this subparagraph are met with respect to any financing for any taxable year in the compliance period if, as of the close of such taxable year, not more than 60 percent of the eligible basis of the qualified low-income building is attributable to such financing (reduced by the principal and interest of any governmental financing which is part of a wrap-around mortgage involving such financing). (D) Repayment of principal and interest The requirements of this subparagraph are met with respect to any financing if such financing is fully repaid on or before the earliest of - (i) the date on which such financing matures, (ii) the 90th day after the close of the compliance period with respect to the qualified low-income building, or (iii) the date of its refinancing or the sale of the building to which such financing relates. In the case of a qualified nonprofit organization which is not described in section 49(a)(1)(D)(iv)(II) with respect to a building, clause (ii) of this subparagraph shall be applied as if the date described therein were the 90th day after the earlier of the date the building ceases to be a qualified low-income building or the date which is 15 years after the close of a compliance period with respect thereto. (3) Present value of financing If the rate of interest on any financing described in paragraph (2)(A) is less than the rate which is 1 percentage point below the applicable Federal rate as of the time such financing is incurred, then the qualified basis (to which such financing relates) of the qualified low-income building shall be the present value of the amount of such financing, using as the discount rate such applicable Federal rate. For purposes of the preceding sentence, the rate of interest on any financing shall be determined by treating interest to the extent of government subsidies as not payable. (4) Failure to fully repay (A) In general To the extent that the requirements of paragraph (2)(D) are not met, then the taxpayer's tax under this chapter for the taxable year in which such failure occurs shall be increased by an amount equal to the applicable portion of the credit under this section with respect to such building, increased by an amount of interest for the period - (i) beginning with the due date for the filing of the return of tax imposed by chapter 1 for the 1st taxable year for which such credit was allowable, and (ii) ending with the due date for the taxable year in which such failure occurs, determined by using the underpayment rate and method under section 6621. (B) Applicable portion For purposes of subparagraph (A), the term 'applicable portion' means the aggregate decrease in the credits allowed to a taxpayer under section 38 for all prior taxable years which would have resulted if the eligible basis of the building were reduced by the amount of financing which does not meet requirements of paragraph (2)(D). (C) Certain rules to apply Rules similar to the rules of subparagraphs (A) and (D) of subsection (j)(4) shall apply for purposes of this subsection. (l) Certifications and other reports to Secretary (1) Certification with respect to 1st year of credit period Following the close of the 1st taxable year in the credit period with respect to any qualified low-income building, the taxpayer shall certify to the Secretary (at such time and in such form and in such manner as the Secretary prescribes) - (A) the taxable year, and calendar year, in which such building was placed in service, (B) the adjusted basis and eligible basis of such building as of the close of the 1st year of the credit period, (C) the maximum applicable percentage and qualified basis permitted to be taken into account by the appropriate housing credit agency under subsection (h), (D) the election made under subsection (g) with respect to the qualified low-income housing project of which such building is a part, and (E) such other information as the Secretary may require. In the case of a failure to make the certification required by the preceding sentence on the date prescribed therefor, unless it is shown that such failure is due to reasonable cause and not to willful neglect, no credit shall be allowable by reason of subsection (a) with respect to such building for any taxable year ending before such certification is made. (2) Annual reports to the Secretary The Secretary may require taxpayers to submit an information return (at such time and in such form and manner as the Secretary prescribes) for each taxable year setting forth - (A) the qualified basis for the taxable year of each qualified low-income building of the taxpayer, (B) the information described in paragraph (1)(C) for the taxable year, and (C) such other information as the Secretary may require. The penalty under section 6652(j) shall apply to any failure to submit the return required by the Secretary under the preceding sentence on the date prescribed therefor. (3) Annual reports from housing credit agencies Each agency which allocates any housing credit amount to any building for any calendar year shall submit to the Secretary (at such time and in such manner as the Secretary shall prescribe) an annual report specifying - (A) the amount of housing credit amount allocated to each building for such year, (B) sufficient information to identify each such building and the taxpayer with respect thereto, and (C) such other information as the Secretary may require. The penalty under section 6652(j) shall apply to any failure to submit the report required by the preceding sentence on the date prescribed therefor. (m) Responsibilities of housing credit agencies (1) Plans for allocation of credit among projects (A) In general Notwithstanding any other provision of this section, the housing credit dollar amount with respect to any building shall be zero unless - (i) such amount was allocated pursuant to a qualified allocation plan of the housing credit agency which is approved by the governmental unit (in accordance with rules similar to the rules of section 147(f)(2) (other than subparagraph (B)(ii) thereof)) of which such agency is a part, and (ii) such agency notifies the chief executive officer (or the equivalent) of the local jurisdiction within which the building is located of such project and provides such individual a reasonable opportunity to comment on the project. (B) Qualified allocation plan For purposes of this paragraph, the term 'qualified allocation plan' means any plan - (i) which sets forth selection criteria to be used to determine housing priorities of the housing credit agency which are appropriate to local conditions, (ii) which also gives preference in allocating housing credit dollar amounts among selected projects to - (I) projects serving the lowest income tenants, and (II) projects obligated to serve qualified tenants for the longest periods, and (iii) which provides a procedure that the agency (or an agent or other private contractor of such agency) will follow in monitoring for noncompliance with the provisions of this section and in notifying the Internal Revenue Service of such noncompliance which such agency becomes aware of. (C) Certain selection criteria must be used The selection criteria set forth in a qualified allocation plan must include (i) project location, (ii) housing needs characteristics, (iii) project characteristics, (iv) sponsor characteristics, (v) participation of local tax-exempt organizations, (vi) tenant populations with special housing needs, and (vii) public housing waiting lists. (D) Application to bond financed projects Subsection (h)(4) shall not apply to any project unless the project satisfies the requirements for allocation of a housing credit dollar amount under the qualified allocation plan applicable to the area in which the project is located. (2) Credit allocated to building not to exceed amount necessary to assure project feasibility (A) In general The housing credit dollar amount allocated to a project shall not exceed the amount the housing credit agency determines is necessary for the financial feasibility of the project and its viability as a qualified low-income housing project throughout the credit period. (B) Agency evaluation In making the determination under subparagraph (A), the housing credit agency shall consider - (i) the sources and uses of funds and the total financing planned for the project, (ii) any proceeds or receipts expected to be generated by reason of tax benefits, and (iii) the percentage of the housing credit dollar amount used for project costs other than the cost of intermediaries. Clause (iii) shall not be applied so as to impede the development of projects in hard-to-develop areas. Such a determination shall not be construed to be a representation or warranty as to the feasibility or viability of the project. (C) Determination made when credit amount applied for and when building placed in service (i) In general A determination under subparagraph (A) shall be made as of each of the following times: (I) The application for the housing credit dollar amount. (II) The allocation of the housing credit dollar amount. (III) The date the building is placed in service. (ii) Certification as to amount of other subsidies Prior to each determination under clause (i), the taxpayer shall certify to the housing credit agency the full extent of all Federal, State, and local subsidies which apply (or which the taxpayer expects to apply) with respect to the building. (D) Application to bond financed projects Subsection (h)(4) shall not apply to any project unless the governmental unit which issued the bonds (or on behalf of which the bonds were issued) makes a determination under rules similar to the rules of subparagraphs (A) and (B). (n) Regulations The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section, including regulations - (1) dealing with - (A) projects which include more than 1 building or only a portion of a building, (B) buildings which are placed in service in portions, (2) providing for the application of this section to short taxable years, (3) preventing the avoidance of the rules of this section, and (4) providing the opportunity for housing credit agencies to correct administrative errors and omissions with respect to allocations and record keeping within a reasonable period after their discovery, taking into account the availability of regulations and other administrative guidance from the Secretary. (o) Termination (1) In general Except as provided in paragraph (2), for any calendar year after 1991 - (A) clause (i) of subsection (h)(3)(C) shall not apply, and (B) subsection (h)(4) shall not apply to any building placed in service after 1991. (2) Exception for bond-financed buildings in progress For purposes of paragraph (1)(B), a building shall be treated as placed in service before 1992 if - (A) the bonds with respect to such building are issued before 1992, (B) the taxpayer's basis in the project (of which the building is a part) as of December 31, 1991, is more than 10 percent of the taxpayer's reasonably expected basis in such project as of December 31, 1993, and (C) such building is placed in service before January 1, 1994. -SOURCE- (Added Pub. L. 99-514, title II, Sec. 252(a), Oct. 22, 1986, 100 Stat. 2189, and amended Pub. L. 99-509, title VIII, Sec. 8072(a), Oct. 21, 1986, 100 Stat. 1964; Pub. L. 100-647, title I, Sec. 1002(l)(1)-(25), (32), 1007(g)(3)(B), title IV, Sec. 4003(a), (b)(1), (3), 4004(a), Nov. 10, 1988, 102 Stat. 3373-3381, 3435, 3643, 3644; Pub. L. 101-239, title VII, Sec. 7108(a)(1), (b)-(e)(2), (f)-(m), (n)(2)-(q), 7811(a), 7831(c), 7841(d)(13)-(15), Dec. 19, 1989, 103 Stat. 2306-2321, 2406, 2426, 2429; Pub. L. 101-508, title XI, Sec. 11407(a)(1), (b)(1)-(9), 11701(a)(1)-(3)(A), (4), (5)(A), (6)-(10), 11812(b)(3), 11813(b)(3), Nov. 5, 1990, 104 Stat. 1388-474, 1388-475, 1388-505 to 1388-507, 1388-535, 1388-551.) -REFTEXT- REFERENCES IN TEXT Section 8 of the United States Housing Act of 1937, referred to in subsecs. (c)(2), (d)(6)(B)(i), and (g)(2)(B), is classified to section 1437f of Title 42, The Public Health and Welfare. Section 8(e)(2) of the Act was repealed by Pub. L. 101-625, title II, Sec. 289(b)(1), Nov. 28, 1990, 104 Stat. 4128, effective Oct. 1, 1991, but to remain in effect with respect to single room occupancy dwellings as authorized by subchapter IV (Sec. 11361 et seq.) of chapter 119 of Title 42. See section 12839(b) of Title 42. The Stewart B. McKinney Homeless Assistance Act of 1988, referred to in subsec. (c)(2), probably means the Stewart B. McKinney Homeless Assistance Act, Pub. L. 100-77, July 22, 1987, 101 Stat. 482, as amended, which is classified principally to chapter 119 (Sec. 11301 et seq.) of Title 42. For complete classification of this Act to the Code, see Short Title note set out under section 11301 of Title 42 and Tables. The date of the enactment of this sentence, referred to in subsec. (c)(2), is the date of the enactment of Pub. L. 101-508, which was approved Nov. 5, 1990. Section 201(a) of the Tax Reform Act of 1986, referred to in subsec. (c)(2)(B), is section 201(a) of Pub. L. 99-514, which amended section 168 of this title generally. The date of the enactment of the Tax Reform Act of 1986, referred to in subsec. (d)(2)(D)(i)(I), (6)(B), is the date of enactment of Pub. L. 99-514, which was approved Oct. 22, 1986. The date of the enactment of the Revenue Reconciliation Act of 1990, referred to in subsec. (d)(2)(D)(i)(I), (5)(B), is the date of the enactment of Pub. L. 101-508, which was approved Nov. 5, 1990. Sections 221(d)(3) and 236 of the National Housing Act, referred to in subsec. (d)(6)(B)(ii), are classified to sections 1715l(d)(3) and 1715z-1, respectively, of Title 12, Banks and Banking. Sections 515 and 502(c) of the Housing Act of 1949, referred to in subsecs. (d)(6)(B)(iii), (C)(i) and (g)(2)(B)(iv), are classified to sections 1485 and 1472(c), respectively, of Title 42, The Public Health and Welfare. The Emergency Low Income Housing Preservation Act of 1987, referred to in subsec. (d)(6)(C)(i), now the Low-Income Housing Preservation and Resident Homeownership Act of 1990, is title II of Pub. L. 100-242, Feb. 5, 1988, 101 Stat. 1877, as amended. Subtitle B of title II, which was formerly set out as a note under section 1715l of Title 12, Banks and Banking, and which amended section 1715z-6 of Title 12, was amended generally by Pub. L. 101-625 and is classified to chapter 42 (Sec. 4101 et seq.) of Title 12. For complete classification of this Act to the Code, see Short Title note set out under section 4101 of Title 12 and Tables. Section 3 of the Federal Deposit Insurance Act, referred to in subsec. (d)(6)(D), is classified to section 1813 of Title 12. The date of the enactment of this subparagraph, referred to in subsec. (g)(2)(E), is the date of enactment of Pub. L. 100-647, which was approved Nov. 10, 1988. Sections 106, 107, and 108 of the Housing and Community Development Act of 1974 (as in effect on the date of the enactment of this sentence), referred to in subsec. (i)(2)(D), are classified to sections 5306, 5307, and 5308 of Title 42, The Public Health and Welfare, as in effect on the date of enactment of Pub. L. 101-239, which was approved Dec. 19, 1989. The date of the enactment of this clause, referred to in subsec. (i)(3)(B)(iii)(I), is date of enactment of Pub. L. 101-239, which was approved Dec. 19, 1989. The Social Security Act, referred to in subsec. (i)(3)(D)(i), is act Aug. 14, 1935, ch. 531, 49 Stat. 620, as amended. Title IV of the Act is classified generally to subchapter IV (Sec. 601 et seq.) of chapter 7 of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see section 1305 of Title 42 and Tables. The Job Training Partnership Act, referred to in subsec. (i)(3)(D)(ii), is Pub. L. 97-300, Oct. 13, 1982, 96 Stat. 1322, which is classified generally to chapter 19 (Sec. 1501 et seq.) of Title 29, Labor. For complete classification of this Act to the Code, see Short Title note set out under section 1501 of Title 29 and Tables. -MISC2- PRIOR PROVISIONS A prior section 42, added Pub. L. 94-12, title II, Sec. 203(a), Mar. 29, 1975, 89 Stat. 29, and amended Pub. L. 94-164, Sec. 3(a)(1), Dec. 23, 1975, 89 Stat. 972; Pub. L. 94-455, title IV, Sec. 401(a)(2)(A), (B), title V, Sec. 503(b)(4), title XIX, Sec. 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1555, 1562, 1834; Pub. L. 95-30, title I, Sec. 101(c), May 23, 1977, 91 Stat. 132, which related to the general tax credit allowed to individuals in an amount equal to the greater of (1) 2% of taxable income not exceeding $9,000 or (2) $35 multiplied by each exemption the taxpayer was entitled to, expired Dec. 31, 1978 pursuant to the terms of: (1) Pub. L. 94-12, Sec. 209(a) as amended by Pub. L. 94-164, Sec. 2(e), set out as an Effective and Termination Dates of 1975 Amendment note under section 56 of this title; (2) Pub. L. 94-164, Sec. 3(b) as amended by Pub. L. 94-455, Sec. 401(a)(1) and Pub. L. 95-30, Sec. 103(a); and (3) Pub. L. 94-455, Sec. 401(e), as amended by Pub. L. 95-30, Sec. 103(c) and Pub. L. 95-600, title I, Sec. 103(b), Nov. 6, 1978, 92 Stat. 2771, set out as an Effective and Termination Dates of 1976 Amendment note under section 32 of this title. Another prior section 42 was renumbered section 35 of this title. AMENDMENTS 1990 - Subsec. (b)(1). Pub. L. 101-508, Sec. 11701(a)(1)(B), struck out at end 'A building shall not be treated as described in subparagraph (B) if, at any time during the credit period, moderate rehabilitation assistance is provided with respect to such building under section 8(e)(2) of the United States Housing Act of 1937.' Subsec. (c)(2). Pub. L. 101-508, Sec. 11701(a)(1)(A), inserted at end 'Such term does not include any building with respect to which moderate rehabilitation assistance is provided, at any time during the compliance period, under section 8(e)(2) of the United States Housing Act of 1937.' Pub. L. 101-508, Sec. 11407(b)(5)(A), inserted before period at end of last sentence '(other than assistance under the Stewart B. McKinney Homeless Assistance Act of 1988 (as in effect on the date of the enactment of this sentence))'. Subsec. (d)(2)(D)(i)(I). Pub. L. 101-508, Sec. 11812(b)(3), inserted '(as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)' after 'section 167(k).' Subsec. (d)(2)(D)(ii)(V). Pub. L. 101-508, Sec. 11407(b)(8), added subcl. (V). Subsec. (d)(5)(B). Pub. L. 101-508, Sec. 11812(b)(3), inserted '(as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)' after 'section 167(k).' Subsec. (d)(5)(C)(ii)(I). Pub. L. 101-508, Sec. 11407(b)(4), inserted at end 'If the Secretary of Housing and Urban Development determines that sufficient data for any period are not available to apply this clause on the basis of census tracts, such Secretary shall apply this clause for such period on the basis of enumeration districts.' Pub. L. 101-508, Sec. 11701(a)(2)(B), inserted before period at end 'for such year'. Pub. L. 101-508, Sec. 11701(a)(2)(A), which directed the insertion of 'which is designated by the Secretary of Housing and Urban Development and, for the most recent year for which census data are available on household income in such tract,' after 'census tract', was executed by making the insertion after 'any census tract' to reflect the probable intent of Congress. Subsec. (g)(2)(B)(iv). Pub. L. 101-508, Sec. 11407(b)(3), added cl. (iv). Subsec. (g)(2)(D)(i). Pub. L. 101-508, Sec. 11701(a)(3)(A), inserted before period at end 'and such unit continues to be rent-restricted'. Subsec. (g)(2)(D)(ii). Pub. L. 101-508, Sec. 11701(a)(4), inserted at end 'In the case of a project described in section 142(d)(4)(B), the preceding sentence shall be applied by substituting '170 percent' for '140 percent' and by substituting 'any low-income unit in the building is occupied by a new resident whose income exceeds 40 percent of area median gross income' for 'any residential unit in the building (of a size comparable to, or smaller than, such unit) is occupied by a new resident whose income exceeds such income limitation'.' Subsec. (g)(3)(A). Pub. L. 101-508, Sec. 11701(a)(5)(A), substituted 'the 1st year of the credit period for such building' for 'the 12-month period beginning on the date the building is placed in service'. Subsec. (h)(3)(C). Pub. L. 101-508, Sec. 11701(a)(6)(A), substituted 'the sum of the amounts described in clauses (i) and (iii)' for 'the amount described in clause (i)' in second sentence. Subsec. (h)(3)(D)(ii)(II). Pub. L. 101-508, Sec. 11701(a)(6)(B), substituted 'the sum of the amounts described in clauses (i) and (iii)' for 'the amount described in clause (i)'. Subsec. (h)(5)(B). Pub. L. 101-508, Sec. 11407(b)(9)(A), inserted 'own an interest in the project (directly or through a partnership) and' after 'nonprofit organization is to'. Subsec. (h)(5)(C)(i) to (iii). Pub. L. 101-508, Sec. 11407(b)(9)(B), added cl. (ii) and redesignated former cl. (ii) as (iii). Subsec. (h)(5)(D)(i). Pub. L. 101-508, Sec. 11407(b)(9)(C), inserted 'ownership and' before 'material participation'. Subsec. (h)(6)(B)(i). Pub. L. 101-508, Sec. 11701(a)(7)(A), inserted before comma at end 'and which prohibits the actions described in subclauses (I) and (II) of subparagraph (E)(ii)'. Subsec. (h)(6)(B)(ii). Pub. L. 101-508, Sec. 11701(a)(7)(B), substituted 'requirement and prohibitions' for 'requirement'. Subsec. (h)(6)(B)(iii) to (v). Pub. L. 101-508, Sec. 11701(a)(8)(A), added cl. (iii) and redesignated former cls. (iii) and (iv) as (iv) and (v), respectively. Subsec. (h)(6)(E)(i)(I). Pub. L. 101-508, Sec. 11701(a)(9), inserted before comma 'unless the Secretary determines that such acquisition is part of an arrangement with the taxpayer a purpose of which is to terminate such period'. Subsec. (h)(6)(E)(ii)(II). Pub. L. 101-508, Sec. 11701(a)(8)(C), inserted before period at end 'not otherwise permitted under this section'. Subsec. (h)(6)(F). Pub. L. 101-508, Sec. 11701(a)(8)(D), inserted 'the nonlow-income portion of the building for fair market value and' before 'the low-income portion' in introductory provisions. Subsec. (h)(6)(J) to (L). Pub. L. 101-508, Sec. 11701(a)(8)(B), redesignated subpars. (K) and (L) as (J) and (K), respectively, and struck out former subpar. (J) which related to sales of less than the low-income portions of a building. Subsec. (i)(3)(D). Pub. L. 101-508, Sec. 11407(b)(6), substituted 'Certain students' for 'Students in government-supported job training programs' in heading and amended text generally. Prior to amendment, text read as follows: 'A unit shall not fail to be treated as a low-income unit merely because it is occupied by an individual who is enrolled in a job training program receiving assistance under the Job Training Partnership Act or under other similar Federal, State, or local laws.' Subsec. (i)(7). Pub. L. 101-508, Sec. 11701(a)(10), redesignated par. (8) as (7). Subsec. (i)(7)(A). Pub. L. 101-508, Sec. 11407(b)(1), substituted 'the tenants (in cooperative form or otherwise) or resident management corporation of such building or by a qualified nonprofit organization (as defined in subsection (h)(5)(C)) or government agency' for 'the tenants of such building'. Subsec. (i)(8). Pub. L. 101-508, Sec. 11701(a)(10), redesignated par. (8) as (7). Subsec. (k)(1). Pub. L. 101-508, Sec. 11813(b)(3)(A), substituted '49(a)(1)' for '46(c)(8)', '49(a)(2)' for '46(c)(9)', and '49(b)(1)' for '47(d)(1)'. Subsec. (k)(2)(A)(ii), (D). Pub. L. 101-508, Sec. 11813(b)(3)(B), substituted '49(a)(1)(D)(iv)(II)' for '46(c)(8)(D)(iv)(II)'. Subsec. (m)(1)(B)(ii) to (iv). Pub. L. 101-508, Sec. 11407(b)(7)(B), redesignated cls. (iii) and (iv) as (ii) and (iii), respectively, and struck out former cl. (ii) which read as follows: 'which gives the highest priority to those projects as to which the highest percentage of the housing credit dollar amount is to be used for project costs other than the cost of intermediaries unless granting such priority would impede the development of projects in hard-to-develop areas,'. Pub. L. 101-508, Sec. 11407(b)(2), amended cl. (iv) generally. Prior to amendment, cl. (iv) read as follows: 'which provides a procedure that the agency will follow in notifying the Internal Revenue Service of noncompliance with the provisions of this section which such agency becomes aware of.' Subsec. (m)(2)(B). Pub. L. 101-508, Sec. 11407(b)(7)(A), added cl. (iii) and inserted provision that cl. (iii) not be applied so as to impede the development of projects in hard-to-develop areas. Subsec. (o)(1). Pub. L. 101-508, Sec. 11407(a)(1)(A), substituted '1991' for '1990' wherever appearing. Subsec. (o)(2). Pub. L. 101-508, Sec. 11407(a)(1)(B), added par. (2) and struck out former par. (2) which read as follows: 'For purposes of paragraph (1)(B), a building shall be treated as placed in service before 1990 if - '(A) the bonds with respect to such building are issued before 1990, '(B) such building is constructed, reconstructed, or rehabilitated by the taxpayer, '(C) more than 10 percent of the reasonably anticipated cost of such construction, reconstruction, or rehabilitation has been incurred as of January 1, 1990, and some of such cost is incurred on or after such date, and '(D) such building is placed in service before January 1, 1992.' 1989 - Subsec. (b)(1). Pub. L. 101-239, Sec. 7108(h)(5), inserted at end 'A building shall not be treated as described in subparagraph (B) if, at any time during the credit period, moderate rehabilitation assistance is provided with respect to such building under section 8(e)(2) of the United States Housing Act of 1937.' Subsec. (b)(3)(C). Pub. L. 101-239, Sec. 7108(c)(2), which directed amendment of subpar. (C) by substituting 'subsection (h)(7)' for 'subsection (h)(6))', was executed by substituting 'subsection (h)(7)' for 'subsection (h)(6)', as the probable intent of Congress. Subsec. (c)(1)(E). Pub. L. 101-239, Sec. 7108(i)(2), added subpar. (E). Subsec. (d)(1). Pub. L. 101-239, Sec. 7108(l)(1), inserted 'as of the close of the 1st taxable year of the credit period' before period at end. Subsec. (d)(2)(A). Pub. L. 101-239, Sec. 7108(l)(2), substituted 'subparagraph (B), its adjusted basis as of the close of the 1st taxable year of the credit period, and' for 'subparagraph (B), the sum of - '(I) the portion of its adjusted basis attributable to its acquisition cost, plus '(II) amounts chargeable to capital account and incurred by the taxpayer (before the close of the 1st taxable year of the credit period for such building) for property (or additions or improvements to property) of a character subject to the allowance for depreciation, and'. Subsec. (d)(2)(B)(iv). Pub. L. 101-239, Sec. 7108(d)(1), added cl. (iv). Subsec. (d)(2)(C). Pub. L. 101-239, Sec. 7108(l)(3)(A), substituted 'Adjusted basis' for 'Acquisition cost' in heading and 'adjusted basis' for 'cost' in text. Subsec. (d)(5). Pub. L. 101-239, Sec. 7108(l)(3)(B), substituted 'Special rules for determining eligible basis' for 'Eligible basis determined when building placed in service' in heading. Subsec. (d)(5)(A). Pub. L. 101-239, Sec. 7108(l)(3)(B), redesignated subpar. (B) as (A) and struck out former subpar. (A) which read as follows: 'Except as provided in subparagraphs (B) and (C), the eligible basis of any building for the entire compliance period for such building shall be its eligible basis on the date such building is placed in service (increased, in the case of an existing building which meets the requirements of paragraph (2)(B), by the amounts described in paragraph (2)(A)(i)(II)).' Subsec. (d)(5)(B). Pub. L. 101-239, Sec. 7108(l)(3)(B), redesignated subpar. (C) as (B). Former subpar. (B) redesignated (A). Subsec. (d)(5)(C). Pub. L. 101-239, Sec. 7108(l)(3)(B), redesignated subpar. (D) as (C). Former subpar. (C) redesignated (B). Pub. L. 101-239, Sec. 7811(a)(1), inserted 'section' before '167(k)' in heading. Subsec. (d)(5)(D). Pub. L. 101-239, Sec. 7108(l)(3)(B), redesignated subpar. (D) as (C). Pub. L. 101-239, Sec. 7108(g), added subpar. (D). Subsec. (d)(6)(A)(i). Pub. L. 101-239, Sec. 7841(d)(13), substituted 'Farmers Home Administration' for 'Farmers' Home Administration'. Subsec. (d)(6)(C) to (E). Pub. L. 101-239, Sec. 7108(f), added subpars. (C) and (D) and redesignated former subpar. (C) as (E). Subsec. (d)(7)(A). Pub. L. 101-239, Sec. 7831(c)(6), inserted '(or interest therein)' after 'subparagraph (B)' in introductory provisions. Subsec. (d)(7)(A)(ii). Pub. L. 101-239, Sec. 7841(d)(14), substituted 'under subsection (a)' for 'under sebsection (a)'. Subsec. (e)(2)(A). Pub. L. 101-239, Sec. 7841(d)(15), substituted 'to capital account' for 'to captial account'. Subsec. (e)(3). Pub. L. 101-239, Sec. 7108(d)(3), substituted 'Minimum expenditures to qualify' for 'Average of rehabilitation expenditures must be $2,000 or more' in heading, added subpars. (A) and (B), redesignated former subpar. (B) as (C), and struck out former subpar. (A) which read as follows: 'Paragraph (1) shall apply to rehabilitation expenditures with respect to any building only if the qualified basis attributable to such expenditures incurred during any 24-month period, when divided by the low-income units in the building, is $2,000 or more.' Subsec. (e)(5). Pub. L. 101-239, Sec. 7108(l)(3)(C), substituted 'subsection (d)(2)(A)(i)' for 'subsection (d)(2)(A)(i)(II)'. Subsec. (f)(4). Pub. L. 101-239, Sec. 7831(c)(4), added par. (4). Subsec. (f)(5). Pub. L. 101-239, Sec. 7108(d)(2), added par. (5). Subsec. (g)(2)(A). Pub. L. 101-239, Sec. 7108(e)(2), inserted at end 'For purposes of the preceding sentence, the amount of the income limitation under paragraph (1) applicable for any period shall not be less than such limitation applicable for the earliest period the building (which contains the unit) was included in the determination of whether the project is a qualified low-income housing project.' Pub. L. 101-239, Sec. 7108(e)(1)(B), substituted 'the imputed income limitation applicable to such unit' for 'the income limitation under paragraph (1) applicable to individuals occupying such unit'. Subsec. (g)(2)(B). Pub. L. 101-239, Sec. 7108(h)(2), added cl. (iii) and concluding provisions which defined 'supportive service'. Subsec. (g)(2)(C) to (E). Pub. L. 101-239, Sec. 7108(e)(1)(A), added subpars. (C) and (D) and redesignated former subpar. (C) as (E). Subsec. (g)(3)(D). Pub. L. 101-239, Sec. 7108(m)(3), added subpar. (D). Subsec. (g)(4). Pub. L. 101-239, Sec. 7108(n)(2), struck out '(other than section 142(d)(4)(B)(iii))' after 'in applying such provisions'. Subsec. (g)(7). Pub. L. 101-239, Sec. 7108(h)(3), added par. (7). Subsec. (h)(1)(B). Pub. L. 101-239, Sec. 7108(m)(2), substituted '(E), or (F)' for 'or (E)'. Subsec. (h)(1)(F). Pub. L. 101-239, Sec. 7108(m)(1), added subpar. (F). Subsec. (h)(3)(C) to (G). Pub. L. 101-239, Sec. 7108(b)(1), added subpars. (C) and (D), redesignated former subpars. (D) to (F) as (E) to (G), respectively, and struck out former subpar. (C) which read as follows: 'The State housing credit ceiling applicable to any State for any calendar year shall be an amount equal to $1.25 multiplied by the State population.' Subsec. (h)(4)(B). Pub. L. 101-239, Sec. 7108(j), substituted '50 percent' for '70 percent' in heading and in text. Subsec. (h)(5)(D)(ii). Pub. L. 101-239, Sec. 7811(a)(2), substituted 'clause (i)' for 'clause (ii)'. Subsec. (h)(5)(E). Pub. L. 101-239, Sec. 7108(b)(2)(A), substituted 'subparagraph (F)' for 'subparagraph (E)'. Subsec. (h)(6). Pub. L. 101-239, Sec. 7108(c)(1), added par. (6). Former par. (6) redesignated (7). Subsec. (h)(6)(B) to (E). Pub. L. 101-239, Sec. 7108(b)(2)(B), redesignated subpars. (C) to (E) as (B) to (D), respectively, and struck out former subpar. (B) which provided that the housing credit dollar amount could not be carried over to any other calendar year. Subsec. (h)(7), (8). Pub. L. 101-239, Sec. 7108(c)(1), redesignated pars. (6) and (7) as (7) and (8), respectively. Subsec. (i)(2)(D). Pub. L. 101-239, Sec. 7108(k), inserted at end 'Such term shall not include any loan which would be a below market Federal loan solely by reason of assistance provided under section 106, 107, or 108 of the Housing and Community Development Act of 1974 (as in effect on the date of the enactment of this sentence).' Subsec. (i)(3)(B). Pub. L. 101-239, Sec. 7108(i)(1), amended subpar. (B) generally. Prior to amendment, subpar. (B) read as follows: 'A unit shall not be treated as a low-income unit unless the unit is suitable for occupancy (as determined under regulations prescribed by the Secretary taking into account local health, safety, and building codes) and used other than on a transient basis. For purpos