[108th Congress Public Law 311]
[From the U.S. Government Printing Office]
[DOCID: f:publ311.108]
[[Page 1165]]
WORKING FAMILIES TAX RELIEF ACT OF 2004
[[Page 118 STAT. 1166]]
Public Law 108-311
108th Congress
An Act
To amend the Internal Revenue Code of 1986 to provide tax relief for
working families, and for other purposes. <<NOTE: Oct. 4, 2004 - [H.R.
1308]>>
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled, <<NOTE: Working Families
Tax Relief Act of 2004.>>
SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE; TABLE OF CONTENTS.
(a) <<NOTE: 26 USC 1 note.>> Short Title.--This Act may be cited as
the ``Working Families Tax Relief Act of 2004''.
(b) Amendment of 1986 Code.--Except as otherwise expressly provided,
whenever in this Act an amendment or repeal is expressed in terms of an
amendment to, or repeal of, a section or other provision, the reference
shall be considered to be made to a section or other provision of the
Internal Revenue Code of 1986.
(c) Table of Contents.--The table of contents for this Act is as
follows:
Sec. 1. Short title; amendment of 1986 Code; table of contents.
TITLE I--EXTENSION OF FAMILY TAX PROVISIONS
Sec. 101. Repeal of scheduled reductions in child tax credit, marriage
penalty relief, and 10-percent rate bracket.
Sec. 102. Acceleration of increase in refundability of the child tax
credit.
Sec. 103. 1-year extension of minimum tax relief to individuals.
Sec. 104. Earned income includes combat pay.
Sec. 105. Application of EGTRRA sunset to this title.
TITLE II--UNIFORM DEFINITION OF CHILD
Sec. 201. Uniform definition of child, etc.
Sec. 202. Modifications of definition of head of household.
Sec. 203. Modifications of dependent care credit.
Sec. 204. Modifications of child tax credit.
Sec. 205. Modifications of earned income credit.
Sec. 206. Modifications of deduction for personal exemption for
dependents.
Sec. 207. Technical and conforming amendments.
Sec. 208. Effective date.
TITLE III--EXTENSIONS OF CERTAIN EXPIRING PROVISIONS
Sec. 301. Research credit.
Sec. 302. Parity in the application of certain limits to mental health
benefits.
Sec. 303. Work opportunity credit and welfare-to-work credit.
Sec. 304. Qualified zone academy bonds.
Sec. 305. Cover over of tax on distilled spirits.
Sec. 306. Deduction for corporate donations of scientific property and
computer technology.
Sec. 307. Deduction for certain expenses of school teachers.
Sec. 308. Expensing of environmental remediation costs.
Sec. 309. Certain New York Liberty Zone benefits.
Sec. 310. Tax incentives for investment in the District of Columbia.
Sec. 311. Disclosure of tax information to facilitate combined
employment tax reporting.
[[Page 118 STAT. 1167]]
Sec. 312. Allowance of nonrefundable personal credits against regular
and minimum tax liability.
Sec. 313. Credit for electricity produced from certain renewable
resources.
Sec. 314. Taxable income limit on percentage depletion for oil and
natural gas produced from marginal properties.
Sec. 315. Indian employment tax credit.
Sec. 316. Accelerated depreciation for business property on Indian
reservation.
Sec. 317. Disclosure of return information relating to student loans.
Sec. 318. Elimination of phaseout of credit for qualified electric
vehicles for 2004 and 2005.
Sec. 319. Elimination of phaseout for deduction for clean-fuel vehicle
property for 2004 and 2005.
Sec. 320. Disclosures relating to terrorist activities.
Sec. 321. Joint review of strategic plans and budget for the Internal
Revenue Service.
Sec. 322. Availability of medical savings accounts.
TITLE IV--TAX TECHNICAL CORRECTIONS
Sec. 401. Amendments related to Medicare Prescription Drug, Improvement,
and Modernization Act of 2003.
Sec. 402. Amendments related to Jobs and Growth Tax Relief
Reconciliation Act of 2003.
Sec. 403. Amendments related to Job Creation and Worker Assistance Act
of 2002.
Sec. 404. Amendments related to Economic Growth and Tax Relief
Reconciliation Act of 2001.
Sec. 405. Amendments related to Community Renewal Tax Relief Act of
2000.
Sec. 406. Amendments related to Taxpayer Relief Act of 1997.
Sec. 407. Amendments related to Small Business Job Protection Act of
1996.
Sec. 408. Clerical amendments.
TITLE I--EXTENSION OF FAMILY TAX PROVISIONS
SEC. 101. REPEAL OF SCHEDULED REDUCTIONS IN CHILD TAX CREDIT, MARRIAGE
PENALTY RELIEF, AND 10-PERCENT RATE BRACKET.
(a) Child Tax Credit.--Subsection (a) of section 24 (relating to
child tax credit) is amended to read as follows:
``(a) Allowance of Credit.--There shall be allowed as a credit
against the tax imposed by this chapter for the taxable year with
respect to each qualifying child of the taxpayer an amount equal to
$1,000.''.
(b) Marriage Penalty Relief in Standard Deduction.--
(1) In general.--Paragraph (2) of section 63(c) (relating to
basic standard deduction) is amended to read as follows:
``(2) Basic standard deduction.--For purposes of paragraph
(1), the basic standard deduction is--
``(A) 200 percent of the dollar amount in effect
under subparagraph (C) for the taxable year in the case
of--
``(i) a joint return, or
``(ii) a surviving spouse (as defined in
section 2(a)),
``(B) $4,400 in the case of a head of household (as
defined in section 2(b)), or
``(C) $3,000 in any other case.''.
(2) Conforming amendments.--
(A) Section 63(c)(4) is amended by striking
``(2)(D)'' each place it occurs and inserting
``(2)(C)''.
(B) Section 63(c) is amended by striking paragraph
(7).
(c) Marriage Penalty Relief in 15-percent Income Tax Bracket.--
Paragraph (8) of section 1(f) <<NOTE: 26 USC 1.>> is amended to read as
follows:
[[Page 118 STAT. 1168]]
``(8) Elimination of marriage penalty in 15-percent
bracket.--With respect to taxable years beginning after December
31, 2003, in prescribing the tables under paragraph (1)--
``(A) the maximum taxable income in the 15-percent
rate bracket in the table contained in subsection (a)
(and the minimum taxable income in the next higher
taxable income bracket in such table) shall be 200
percent of the maximum taxable income in the 15-percent
rate bracket in the table contained in subsection (c)
(after any other adjustment under this subsection), and
``(B) the comparable taxable income amounts in the
table contained in subsection (d) shall be \1/2\ of the
amounts determined under subparagraph (A).''.
(d) 10-Percent Rate Bracket.--
(1) In general.--Clause (i) of section 1(i)(1)(B) is amended
by striking ``($12,000 in the case of taxable years beginning
after December 31, 2004, and before January 1, 2008)''.
(2) Inflation adjustment.--Subparagraph (C) of section
1(i)(1) is amended to read as follows:
``(C) Inflation adjustment.--In prescribing the
tables under subsection (f) which apply with respect to
taxable years beginning in calendar years after 2003--
``(i) the cost-of-living adjustment shall be
determined under subsection (f)(3) by substituting
`2002' for `1992' in subparagraph (B) thereof, and
``(ii) the adjustments under clause (i) shall
not apply to the amount referred to in
subparagraph (B)(iii).
If any amount after adjustment under the preceding
sentence is not a multiple of $50, such amount shall be
rounded to the next lowest multiple of $50.''.
(e) <<NOTE: 26 USC 1 note.>> Effective Date.--The amendments made by
this section shall apply to taxable years beginning after December 31,
2003.
SEC. 102. ACCELERATION OF INCREASE IN REFUNDABILITY OF THE CHILD TAX
CREDIT.
(a) Acceleration of Refundability.--Section 24(d)(1)(B)(i) (relating
to portion of credit refundable) is amended by striking ``(10 percent in
the case of taxable years beginning before January 1, 2005)''.
(b) <<NOTE: 26 USC 24 note.>> Effective Date.--The amendment made by
this section shall apply to taxable years beginning after December 31,
2003.
SEC. 103. EXTENSION OF MINIMUM TAX RELIEF TO INDIVIDUALS.
(a) In General.--Subparagraphs (A) and (B) of section 55(d)(1) of
the Internal Revenue Code of 1986 (relating to exemption amount for
taxpayers other than corporations) are each amended by striking ``2003
and 2004'' and inserting ``2003, 2004, and 2005''.
(b) <<NOTE: 26 USC 55 note.>> Effective Date.--The amendments made
by this section shall apply to taxable years beginning after December
31, 2004.
SEC. 104. EARNED INCOME INCLUDES COMBAT PAY.
(a) Child Tax Credit.--Section 24(d)(1) (relating to portion of
credit refundable) is amended by adding at the end the following new
sentence: ``For purposes of subparagraph (B), any amount excluded from
gross income by reason of section 112 shall be treated
[[Page 118 STAT. 1169]]
as earned income which is taken into account in computing taxable income
for the taxable year.''.
(b) Earned Income Credit.--Subparagraph (B) of section 32(c)(2)
(relating to earned income) is amended--
(1) by striking ``and'' at the end of clause (iv),
(2) by striking the period at the end of clause (v) and
inserting ``, and'', and
(3) by adding at the end the following:
``(vi) in the case of any taxable year
ending--
``(I) after the date of the
enactment of this clause, and
``(II) before January 1, 2006,
a taxpayer may elect to treat amounts excluded
from gross income by reason of section 112 as
earned income.''.
(c) Effective Date.--
(1) <<NOTE: 26 USC 24 note.>> Child tax credit.--The
amendment made by subsection (a) shall apply to taxable years
beginning after December 31, 2003.
(2) <<NOTE: 26 USC 32 note.>> Earned income credit.--The
amendments made by subsection (b) shall apply to taxable years
ending after the date of the enactment of this Act.
SEC. 105. APPLICATION OF EGTRRA SUNSET TO THIS TITLE. <<NOTE: 26 USC 1
note.>>
Each amendment made by this title shall be subject to title IX of
the Economic Growth and Tax Relief Reconciliation Act of 2001 to the
same extent and in the same manner as the provision of such Act to which
such amendment relates.
TITLE II--UNIFORM DEFINITION OF CHILD
SEC. 201. UNIFORM DEFINITION OF CHILD, ETC.
Section 152 is amended to read as follows:
``SEC. 152. DEPENDENT DEFINED.
``(a) In General.--For purposes of this subtitle, the term
`dependent' means--
``(1) a qualifying child, or
``(2) a qualifying relative.
``(b) Exceptions.--For purposes of this section--
``(1) Dependents ineligible.--If an individual is a
dependent of a taxpayer for any taxable year of such taxpayer
beginning in a calendar year, such individual shall be treated
as having no dependents for any taxable year of such individual
beginning in such calendar year.
``(2) Married dependents.--An individual shall not be
treated as a dependent of a taxpayer under subsection (a) if
such individual has made a joint return with the individual's
spouse under section 6013 for the taxable year beginning in the
calendar year in which the taxable year of the taxpayer begins.
``(3) Citizens or nationals of other countries.--
``(A) In general.--The term `dependent' does not
include an individual who is not a citizen or national
of the United States unless such individual is a
resident
[[Page 118 STAT. 1170]]
of the United States or a country contiguous to the
United States.
``(B) Exception for adopted child.--Subparagraph (A)
shall not exclude any child of a taxpayer (within the
meaning of subsection (f)(1)(B)) from the definition of
`dependent' if--
``(i) for the taxable year of the taxpayer,
the child has the same principal place of abode as
the taxpayer and is a member of the taxpayer's
household, and
``(ii) the taxpayer is a citizen or national
of the United States.
``(c) Qualifying Child.--For purposes of this section--
``(1) In general.--The term `qualifying child' means, with
respect to any taxpayer for any taxable year, an individual--
``(A) who bears a relationship to the taxpayer
described in paragraph (2),
``(B) who has the same principal place of abode as
the taxpayer for more than one-half of such taxable
year,
``(C) who meets the age requirements of paragraph
(3), and
``(D) who has not provided over one-half of such
individual's own support for the calendar year in which
the taxable year of the taxpayer begins.
``(2) Relationship.--For purposes of paragraph (1)(A), an
individual bears a relationship to the taxpayer described in
this paragraph if such individual is--
``(A) a child of the taxpayer or a descendant of
such a child, or
``(B) a brother, sister, stepbrother, or stepsister
of the taxpayer or a descendant of any such relative.
``(3) Age requirements.--
``(A) In general.--For purposes of paragraph (1)(C),
an individual meets the requirements of this paragraph
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, or
``(ii) is a student who has not attained the
age of 24 as of the close of such calendar year.
``(B) Special rule for disabled.--In the case of an
individual who is permanently and totally disabled (as
defined in section 22(e)(3)) at any time during such
calendar year, the requirements of subparagraph (A)
shall be treated as met with respect to such individual.
``(4) Special rule relating to 2 or more claiming qualifying
child.--
``(A) In general.--Except as provided in
subparagraph (B), if (but for this paragraph) an
individual may be and is claimed as a qualifying child
by 2 or more taxpayers for a taxable year beginning in
the same calendar year, such individual shall be treated
as the qualifying child of the taxpayer who is--
``(i) a parent of the individual, or
``(ii) if clause (i) does not apply, the
taxpayer with the highest adjusted gross income
for such taxable year.
[[Page 118 STAT. 1171]]
``(B) More than 1 parent claiming qualifying
child.--If the parents claiming any qualifying child do
not file a joint return together, such child shall be
treated as the qualifying child of--
``(i) the parent with whom the child resided
for the longest period of time during the taxable
year, or
``(ii) if the child resides with both parents
for the same amount of time during such taxable
year, the parent with the highest adjusted gross
income.
``(d) Qualifying Relative.--For purposes of this section--
``(1) In general.--The term `qualifying relative' means,
with respect to any taxpayer for any taxable year, an
individual--
``(A) who bears a relationship to the taxpayer
described in paragraph (2),
``(B) whose gross income for the calendar year in
which such taxable year begins is less than the
exemption amount (as defined in section 151(d)),
``(C) with respect to whom the taxpayer provides
over one-half of the individual's support for the
calendar year in which such taxable year begins, and
``(D) who is not a qualifying child of such taxpayer
or of any other taxpayer for any taxable year beginning
in the calendar year in which such taxable year begins.
``(2) Relationship.--For purposes of paragraph (1)(A), an
individual bears a relationship to the taxpayer described in
this paragraph if the individual is any of the following with
respect to the taxpayer:
``(A) A child or a descendant of a child.
``(B) A brother, sister, stepbrother, or stepsister.
``(C) The father or mother, or an ancestor of
either.
``(D) A stepfather or stepmother.
``(E) A son or daughter of a brother or sister of
the taxpayer.
``(F) A brother or sister of the father or mother of
the taxpayer.
``(G) A son-in-law, daughter-in-law, father-in-law,
mother-in-law, brother-in-law, or sister-in-law.
``(H) An individual (other than an individual who at
any time during the taxable year was the spouse,
determined without regard to section 7703, of the
taxpayer) who, for the taxable year of the taxpayer, has
the same principal place of abode as the taxpayer and is
a member of the taxpayer's household.
``(3) Special rule relating to multiple support
agreements.--For purposes of paragraph (1)(C), over one-half of
the support of an individual for a calendar year shall be
treated as received from the taxpayer if--
``(A) no one person contributed over one-half of
such support,
``(B) over one-half of such support was received
from 2 or more persons each of whom, but for the fact
that any such person alone did not contribute over one-
half of such support, would have been entitled to claim
such individual as a dependent for a taxable year
beginning in such calendar year,
[[Page 118 STAT. 1172]]
``(C) the taxpayer contributed over 10 percent of
such support, and
``(D) each person described in subparagraph (B)
(other than the taxpayer) who contributed over 10
percent of such support files a written declaration (in
such manner and form as the Secretary may by regulations
prescribe) that such person will not claim such
individual as a dependent for any taxable year beginning
in such calendar year.
``(4) Special rule relating to income of handicapped
dependents.--
``(A) In general.--For purposes of paragraph (1)(B),
the gross income of an individual who is permanently and
totally disabled (as defined in section 22(e)(3)) at any
time during the taxable year shall not include income
attributable to services performed by the individual at
a sheltered workshop if--
``(i) the availability of medical care at such
workshop is the principal reason for the
individual's presence there, and
``(ii) the income arises solely from
activities at such workshop which are incident to
such medical care.
``(B) Sheltered workshop defined.--For purposes of
subparagraph (A), the term `sheltered workshop' means a
school--
``(i) which provides special instruction or
training designed to alleviate the disability of
the individual, and
``(ii) which is operated by an organization
described in section 501(c)(3) and exempt from tax
under section 501(a), or by a State, a possession
of the United States, any political subdivision of
any of the foregoing, the United States, or the
District of Columbia.
``(5) Special rules for support.--For purposes of this
subsection--
``(A) payments to a spouse which are includible in
the gross income of such spouse under section 71 or 682
shall not be treated as a payment by the payor spouse
for the support of any dependent, and
``(B) in the case of the remarriage of a parent,
support of a child received from the parent's spouse
shall be treated as received from the parent.
``(e) Special Rule for Divorced Parents.--
``(1) In general.--Notwithstanding subsection (c)(1)(B),
(c)(4), or (d)(1)(C), if--
``(A) a child receives over one-half of the child's
support during the calendar year from the child's
parents--
``(i) who are divorced or legally separated
under a decree of divorce or separate maintenance,
``(ii) who are separated under a written
separation agreement, or
``(iii) who live apart at all times during the
last 6 months of the calendar year, and
``(B) such child is in the custody of 1 or both of
the child's parents for more than one-half of the
calendar year,
[[Page 118 STAT. 1173]]
such child shall be treated as being the qualifying child or
qualifying relative of the noncustodial parent for a calendar
year if the requirements described in paragraph (2) are met.
``(2) Requirements.--For purposes of paragraph (1), the
requirements described in this paragraph are met if--
``(A) a decree of divorce or separate maintenance or
written separation agreement between the parents
applicable to the taxable year beginning in such
calendar year provides that--
``(i) the noncustodial parent shall be
entitled to any deduction allowable under section
151 for such child, or
``(ii) the custodial parent will sign a
written declaration (in such manner and form as
the Secretary may prescribe) that such parent will
not claim such child as a dependent for such
taxable year, or
``(B) in the case of such an agreement executed
before January 1, 1985, the noncustodial parent provides
at least $600 for the support of such child during such
calendar year.
For purposes of subparagraph (B), amounts expended for the
support of a child or children shall be treated as received from
the noncustodial parent to the extent that such parent provided
amounts for such support.
``(3) Custodial parent and noncustodial parent.--For
purposes of this subsection--
``(A) Custodial parent.--The term `custodial parent'
means the parent with whom a child shared the same
principal place of abode for the greater portion of the
calendar year.
``(B) Noncustodial parent.--The term `noncustodial
parent' means the parent who is not the custodial
parent.
``(4) Exception for multiple-support agreements.--This
subsection shall not apply in any case where over one-half of
the support of the child is treated as having been received from
a taxpayer under the provision of subsection (d)(3).
``(f) Other Definitions and Rules.--For purposes of this section--
``(1) Child defined.--
``(A) In general.--The term `child' means an
individual who is--
``(i) a son, daughter, stepson, or
stepdaughter of the taxpayer, or
``(ii) an eligible foster child of the
taxpayer.
``(B) Adopted child.--In determining whether any of
the relationships specified in subparagraph (A)(i) or
paragraph (4) exists, a legally adopted individual of
the taxpayer, or an individual who is lawfully placed
with the taxpayer for legal adoption by the taxpayer,
shall be treated as a child of such individual by blood.
``(C) Eligible foster child.--For purposes of
subparagraph (A)(ii), the term `eligible foster child'
means an individual who is placed with the taxpayer by
an authorized placement agency or by judgment, decree,
or other order of any court of competent jurisdiction.
[[Page 118 STAT. 1174]]
``(2) Student defined.--The term `student' means an
individual who during each of 5 calendar months during the
calendar year in which the taxable year of the taxpayer begins--
``(A) is a full-time student at an educational
organization described in section 170(b)(1)(A)(ii), or
``(B) is pursuing a full-time course of
institutional on-farm training under the supervision of
an accredited agent of an educational organization
described in section 170(b)(1)(A)(ii) or of a State or
political subdivision of a State.
``(3) Determination of household status.--An individual
shall not be treated as a member of the taxpayer's household if
at any time during the taxable year of the taxpayer the
relationship between such individual and the taxpayer is in
violation of local law.
``(4) Brother and sister.--The terms `brother' and `sister'
include a brother or sister by the half blood.
``(5) Special support test in case of students.--For
purposes of subsections (c)(1)(D) and (d)(1)(C), in the case of
an individual who is--
``(A) a child of the taxpayer, and
``(B) a student,
amounts received as scholarships for study at an educational
organization described in section 170(b)(1)(A)(ii) shall not be
taken into account.
``(6) Treatment of missing children.--
``(A) In general.--Solely for the purposes referred
to in subparagraph (B), a child of the taxpayer--
``(i) who is presumed by law enforcement
authorities to have been kidnapped by someone who
is not a member of the family of such child or the
taxpayer, and
``(ii) who had, for the taxable year in which
the kidnapping occurred, the same principal place
of abode as the taxpayer for more than one-half of
the portion of such year before the date of the
kidnapping,
shall be treated as meeting the requirement of
subsection (c)(1)(B) with respect to a taxpayer for all
taxable years ending during the period that the child is
kidnapped.
``(B) <<NOTE: Applicability.>> Purposes.--
Subparagraph (A) shall apply solely for purposes of
determining--
``(i) the deduction under section 151(c),
``(ii) the credit under section 24 (relating
to child tax credit),
``(iii) whether an individual is a surviving
spouse or a head of a household (as such terms are
defined in section 2), and
``(iv) the earned income credit under section
32.
``(C) Comparable treatment of certain qualifying
relatives.--For purposes of this section, a child of the
taxpayer--
``(i) who is presumed by law enforcement
authorities to have been kidnapped by someone who
is not a member of the family of such child or the
taxpayer, and
[[Page 118 STAT. 1175]]
``(ii) who was (without regard to this
paragraph) a qualifying relative of the taxpayer
for the portion of the taxable year before the
date of the kidnapping,
shall be treated as a qualifying relative of the
taxpayer for all taxable years ending during the period
that the child is kidnapped.
``(D) Termination of treatment.--Subparagraphs (A)
and (C) shall cease to apply as of the first taxable
year of the taxpayer beginning after the calendar year
in which there is a determination that the child is dead
(or, if earlier, in which the child would have attained
age 18).
``(7) Cross references.--
``For provision treating child as dependent of both
parents for purposes of certain provisions, see sections
105(b), 132(h)(2)(B), and 213(d)(5).''.
SEC. 202. MODIFICATIONS OF DEFINITION OF HEAD OF HOUSEHOLD.
(a) Head of Household.--Clause (i) of section 2(b)(1)(A) is amended
to read as follows:
``(i) a qualifying child of the individual (as
defined in section 152(c), determined without
regard to section 152(e)), but not if such child--
``(I) is married at the close of the
taxpayer's taxable year, and
``(II) is not a dependent of such
individual by reason of section
152(b)(2) or 152(b)(3), or both, or''.
(b) Conforming Amendments.--
(1) Section 2(b)(2) is amended by striking subparagraph (A)
and by redesignating subparagraphs (B), (C), and (D) as
subparagraphs (A), (B), and (C), respectively.
(2) Clauses (i) and (ii) of section 2(b)(3)(B) are amended
to read as follows:
``(i) subparagraph (H) of section 152(d)(2),
or
``(ii) paragraph (3) of section 152(d).''.
SEC. 203. MODIFICATIONS OF DEPENDENT CARE CREDIT.
(a) In General.--Section 21(a)(1) is amended by striking ``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))'' and inserting ``In the case of an individual for which there
are 1 or more qualifying individuals (as defined in subsection (b)(1))
with respect to such individual''.
(b) Qualifying Individual.--Paragraph (1) of section 21(b) is
amended to read as follows:
``(1) Qualifying individual.--The term `qualifying
individual' means--
``(A) a dependent of the taxpayer (as defined in
section 152(a)(1)) who has not attained age 13,
``(B) a dependent of the taxpayer who is physically
or mentally incapable of caring for himself or herself
and who has the same principal place of abode as the
taxpayer for more than one-half of such taxable year, or
``(C) the spouse of the taxpayer, if the spouse is
physically or mentally incapable of caring for himself
or herself and who has the same principal place of abode
as the taxpayer for more than one-half of such taxable
year.''.
[[Page 118 STAT. 1176]]
(c) Conforming Amendment.--Paragraph (1) of section 21(e) is amended
to read as follows:
``(1) Place of abode.--An individual shall not be treated as
having the same principal place of abode of the taxpayer if at
any time during the taxable year of the taxpayer the
relationship between the individual and the taxpayer is in
violation of local law.''.
SEC. 204. MODIFICATIONS OF CHILD TAX CREDIT.
(a) In General.--Paragraph (1) of section 24(c) is amended to read
as follows:
``(1) In general.--The term `qualifying child' means a
qualifying child of the taxpayer (as defined in section 152(c))
who has not attained age 17.''.
(b) Conforming Amendment.--Section 24(c)(2) is amended by striking
``the first sentence of section 152(b)(3)'' and inserting ``subparagraph
(A) of section 152(b)(3)''.
SEC. 205. MODIFICATIONS OF EARNED INCOME CREDIT.
(a) Qualifying Child.--Paragraph (3) of section 32(c) is amended to
read as follows:
``(3) Qualifying child.--
``(A) In general.--The term `qualifying child' means
a qualifying child of the taxpayer (as defined in
section 152(c), determined without regard to paragraph
(1)(D) thereof and section 152(e)).
``(B) Married individual.--The term `qualifying
child' shall not include an 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 section 152(e)).
``(C) Place of abode.--For purposes of subparagraph
(A), the requirements of section 152(c)(1)(B) shall be
met only if the principal place of abode is in the
United States.
``(D) Identification requirements.--
``(i) In general.--A qualifying child shall
not be taken into account under subsection (b)
unless the taxpayer includes the name, age, and
TIN of the qualifying child on the return of tax
for the taxable year.
``(ii) Other methods.--The Secretary may
prescribe other methods for providing the
information described in clause (i).''.
(b) Conforming Amendments.--
(1) Section 32(c)(1) is amended by striking subparagraph (C)
and by redesignating subparagraphs (D), (E), (F), and (G) as
subparagraphs (C), (D), (E), and (F), respectively.
(2) Section 32(c)(4) is amended by striking ``(3)(E)'' and
inserting ``(3)(C)''.
(3) Section 32(m) is amended by striking ``subsections
(c)(1)(F)'' and inserting ``subsections (c)(1)(E)''.
SEC. 206. MODIFICATIONS OF DEDUCTION FOR PERSONAL EXEMPTION FOR
DEPENDENTS.
Subsection (c) of section 151 is amended to read as follows:
``(c) Additional Exemption for Dependents.--An exemption of the
exemption amount for each individual who is a dependent (as defined in
section 152) of the taxpayer for the taxable year.''.
[[Page 118 STAT. 1177]]
SEC. 207. TECHNICAL AND CONFORMING AMENDMENTS.
(1) Section 2(a)(1)(B)(i) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(2) Section 21(e)(5) is amended--
(A) by striking ``paragraph (2) or (4) of'' in
subparagraph (A), and
(B) by striking ``within the meaning of section
152(e)(1)'' and inserting ``as defined in section
152(e)(3)(A)''.
(3) Section 21(e)(6)(B) is amended by striking ``section
151(c)(3)'' and inserting ``section 152(f)(1)''.
(4) Section 25B(c)(2)(B) is amended by striking
``151(c)(4)'' and inserting ``152(f)(2)''.
(5)(A) Subparagraphs (A) and (B) of section 51(i)(1) are
each amended by striking ``paragraphs (1) through (8) of section
152(a)'' both places it appears and inserting ``subparagraphs
(A) through (G) of section 152(d)(2)''.
(B) Section 51(i)(1)(C) is amended by striking ``152(a)(9)''
and inserting ``152(d)(2)(H)''.
(6) Section 72(t)(2)(D)(i)(III) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(7) Section 72(t)(7)(A)(iii) is amended by striking
``151(c)(3)'' and inserting ``152(f)(1)''.
(8) Section 42(i)(3)(D)(ii)(I) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(9) Subsections (b) and (c)(1) of section 105 are amended by
inserting ``, determined without regard to subsections (b)(1),
(b)(2), and (d)(1)(B) thereof'' after ``section 152''.
(10) Section 120(d)(4) is amended by inserting ``(determined
without regard to subsections (b)(1), (b)(2), and (d)(1)(B)
thereof)'' after ``section 152''.
(11) Section 125(e)(1)(D) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(12) Section 129(c)(2) is amended by striking ``151(c)(3)''
and inserting ``152(f)(1)''.
(13) The first sentence of section 132(h)(2)(B) is amended
by striking ``151(c)(3)'' and inserting ``152(f)(1)''.
(14) Section 153 is amended by striking paragraph (1) and by
redesignating paragraphs (2), (3), and (4) as paragraphs (1),
(2), and (3), respectively.
(15) Section 170(g)(1) is amended by inserting ``(determined
without regard to subsections (b)(1), (b)(2), and (d)(1)(B)
thereof)'' after ``section 152''.
(16) Section 170(g)(3) is amended by striking ``paragraphs
(1) through (8) of section 152(a)'' and inserting
``subparagraphs (A) through (G) of section 152(d)(2)''.
(17) Section 213(a) is amended by inserting ``, determined
without regard to subsections (b)(1), (b)(2), and (d)(1)(B)
thereof'' after ``section 152''.
(18) The second sentence of section 213(d)(11) is amended by
striking ``paragraphs (1) through (8) of section 152(a)'' and
inserting ``subparagraphs (A) through (G) of section
152(d)(2)''.
[[Page 118 STAT. 1178]]
(19) Section 220(d)(2)(A) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(20) Section 221(d)(4) is amended by inserting ``(determined
without regard to subsections (b)(1), (b)(2), and (d)(1)(B)
thereof)'' after ``section 152''.
(21) Section 529(e)(2)(B) is amended by striking
``paragraphs (1) through (8) of section 152(a)'' and inserting
``subparagraphs (A) through (G) of section 152(d)(2)''.
(22) Section 2032A(c)(7)(D) is amended by striking ``section
151(c)(4)'' and inserting ``section 152(f)(2)''.
(23) Section 2057(d)(2)(B) is amended by inserting ``,
determined without regard to subsections (b)(1), (b)(2), and
(d)(1)(B) thereof'' after ``section 152''.
(24) Section 7701(a)(17) is amended by striking ``152(b)(4),
682,'' and inserting ``682''.
(25) Section 7702B(f)(2)(C)(iii) <<NOTE: 26 USC 7702.>> is
amended by striking ``paragraphs (1) through (8) of section
152(a)'' and inserting ``subparagraphs (A) through (G) of
section 152(d)(2)''.
(26) Section 7703(b)(1) is amended--
(A) by striking ``151(c)(3)'' and inserting
``152(f)(1)'', and
(B) by striking ``paragraph (2) or (4) of''.
SEC. 208. EFFECTIVE DATE. <<NOTE: 26 USC 2 note.>>
The amendments made by this title shall apply to taxable years
beginning after December 31, 2004.
TITLE III--EXTENSIONS OF CERTAIN EXPIRING PROVISIONS
SEC. 301. RESEARCH CREDIT.
(a) Extension.--
(1) In general.--Section 41(h)(1)(B) (relating to
termination) is amended by striking ``June 30, 2004'' and
inserting ``December 31, 2005''.
(2) Conforming amendment.--Section 45C(b)(1)(D) is amended
by striking ``June 30, 2004'' and inserting ``December 31,
2005''.
(b) <<NOTE: 26 USC 41 note.>> Effective Date.--The amendments made
by this section shall apply to amounts paid or incurred after June 30,
2004.
SEC. 302. PARITY IN THE APPLICATION OF CERTAIN LIMITS TO MENTAL HEALTH
BENEFITS.
(a) In General.--Section 9812(f) is amended--
(1) by striking ``and'' at the end of paragraph (1), and
(2) by striking paragraph (2) and inserting the following
new paragraphs:
``(2) on or after January 1, 2004, and before the date of
the enactment of the Working Families Tax Relief Act of 2004,
and
``(3) after December 31, 2005.''.
(b) ERISA.--Section 712(f) of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1185a(f)) is amended by striking ``on or
after December 31, 2004'' and inserting ``after December 31, 2005''.
[[Page 118 STAT. 1179]]
(c) PHSA.--Section 2705(f) of the Public Health Service Act (42
U.S.C. 300gg-5(f)) is amended by striking ``on or after December 31,
2004'' and inserting ``after December 31, 2005''.
(d) <<NOTE: 26 USC 9812 note.>> Effective Dates.--The amendments
made by this section shall take effect on the date of the enactment of
this Act.
SEC. 303. WORK OPPORTUNITY CREDIT AND WELFARE-TO-WORK CREDIT.
(a) Extension of Credit.--
(1) In general.--Section 51(c)(4) is amended by striking
``December 31, 2003'' and inserting ``December 31, 2005''.
(2) Long-term family assistance recipients.--Section 51A(f)
is amended by striking ``December 31, 2003'' and inserting
``December 31, 2005''.
(b) <<NOTE: 26 USC 51 note.>> Effective Date.--The amendments made
by this section shall apply to individuals who begin work for the
employer after December 31, 2003.
SEC. 304. QUALIFIED ZONE ACADEMY BONDS.
(a) In General.--Paragraph (1) of section 1397E(e) <<NOTE: 26 USC
1397.>> is amended by striking ``and 2003'' and inserting ``2003, 2004,
and 2005''.
(b) <<NOTE: 26 USC 1397E note.>> Effective Date.--The amendment made
by this section shall apply to obligations issued after December 31,
2003.
SEC. 305. COVER OVER OF TAX ON DISTILLED SPIRITS.
(a) In General.--Paragraph (1) of section 7652(f) is amended by
striking ``January 1, 2004'' and inserting ``January 1, 2006''.
(b) <<NOTE: 26 USC 7652 note.>> Effective Date.--The amendment made
by this section shall apply to articles brought into the United States
after December 31, 2003.
SEC. 306. DEDUCTION FOR CORPORATE DONATIONS OF SCIENTIFIC PROPERTY AND
COMPUTER TECHNOLOGY.
(a) In General.--Section 170(e)(6)(G) is amended by striking
``2003'' and inserting ``2005''.
(b) <<NOTE: 26 USC 170 note.>> Effective Date.--The amendment made
by this section shall apply to contributions made in taxable years
beginning after December 31, 2003.
SEC. 307. DEDUCTION FOR CERTAIN EXPENSES OF SCHOOL TEACHERS.
(a) In General.--Subparagraph (D) of section 62(a)(2) is amended by
striking ``or 2003'' and inserting ``, 2003, 2004, or 2005''.
(b) <<NOTE: 26 USC 62 note.>> Effective Date.--The amendment made by
subsection (a) shall apply to expenses paid or incurred in taxable years
beginning after December 31, 2003.
SEC. 308. EXPENSING OF ENVIRONMENTAL REMEDIATION COSTS.
(a) Extension of Termination Date.--Subsection (h) of section 198 is
amended by striking ``December 31, 2003'' and inserting ``December 31,
2005''.
(b) <<NOTE: 26 USC 198 note.>> Effective Date.--The amendment made
by subsection (a) shall apply to expenditures paid or incurred after
December 31, 2003.
SEC. 309. CERTAIN NEW YORK LIBERTY ZONE BENEFITS.
(a) Extension of Tax-Exempt Bond Financing.--Subparagraph (D) of
section 1400L(d)(2) is amended by striking ``2005'' and inserting
``2010''.
[[Page 118 STAT. 1180]]
(b) Extension of Advance Refundings.--Section 1400L(e)(1) is amended
by striking ``2005'' and inserting ``2006''.
(c) Clarification of Bonds Eligible for Advance Refunding.--Section
1400L(e)(2)(B) (relating to bonds described) is amended by striking ``,
or'' and inserting ``or the Municipal Assistance Corporation, or''.
(d) <<NOTE: 26 USC 1400L note.>> Effective date.--The amendment made
by subsection (c) shall take effect as if included in the amendments
made by section 301 of the Job Creation and Worker Assistance Act of
2002.
SEC. 310. TAX INCENTIVES FOR INVESTMENT IN THE DISTRICT OF COLUMBIA.
(a) Designation of Zone.--Subsection (f) of section 1400 is amended
by striking ``December 31, 2003'' both places it appears and inserting
``December 31, 2005''.
(b) Tax-Exempt Economic Development Bonds.--Subsection (b) of
section 1400A is amended by striking ``December 31, 2003'' and inserting
``December 31, 2005''.
(c) Zero Percent Capital Gains Rate.--
(1) In general.--Subsection (b) of section 1400B is amended
by striking ``January 1, 2004'' each place it appears and
inserting ``January 1, 2006''.
(2) Conforming amendments.--
(A) Section 1400B(e)(2) is amended--
(i) by striking ``December 31, 2008'' and
inserting ``December 31, 2010'', and
(ii) by striking ``2008'' in the heading and
inserting ``2010''.
(B) Section 1400B(g)(2) is amended by striking
``December 31, 2008'' and inserting ``December 31,
2010''.
(C) Section 1400F(d) is amended by striking
``December 31, 2008'' and inserting ``December 31,
2010''.
(d) First-Time Homebuyer Credit.--Subsection (i) of section 1400C is
amended by striking ``January 1, 2004'' and inserting ``January 1,
2006''.
(e) <<NOTE: 26 USC 1400 note.>> Effective Dates.--
(1) In general.--Except as provided in paragraph (2), the
amendments made by this section shall take effect on January 1,
2004.
(2) Tax-exempt economic development bonds.--The amendment
made by subsection (b) shall apply to obligations issued after
the date of the enactment of this Act.
SEC. 311. DISCLOSURE OF TAX INFORMATION TO FACILITATE COMBINED
EMPLOYMENT TAX REPORTING.
(a) In General.--Paragraph (5) of section 6103(d) (relating to
disclosure to State tax officials and State and local law enforcement
agencies) is amended to read as follows:
``(5) Disclosure for combined employment tax reporting.--
``(A) In general.--The Secretary may disclose
taxpayer identity information and signatures to any
agency, body, or commission of any State for the purpose
of carrying out with such agency, body, or commission a
combined Federal and State employment tax reporting
program approved by the Secretary. Subsections (a)(2)
and (p)(4) and sections 7213 and 7213A shall not apply
with respect
[[Page 118 STAT. 1181]]
to disclosures or inspections made pursuant to this
paragraph.
``(B) Termination.--The Secretary may not make any
disclosure under this paragraph after December 31,
2005.''.
(b) <<NOTE: 26 USC 6103 note.>> Effective Date.--The amendment made
by this section shall take effect on the date of the enactment of this
Act.
SEC. 312. ALLOWANCE OF NONREFUNDABLE PERSONAL CREDITS AGAINST REGULAR
AND MINIMUM TAX LIABILITY.
(a) In General.--Paragraph (2) of section 26(a) is amended--
(1) by striking ``rule for 2000, 2001, 2002, and 2003.--''
and inserting ``rule for taxable years 2000 through 2005.--'',
and
(2) by striking ``or 2003'' and inserting ``2003, 2004, or
2005''.
(b) Conforming Provisions.--
(1) Section 904(h) is amended by striking ``or 2003'' and
inserting ``2003, 2004, or 2005''.
(2) <<NOTE: 26 USC 23 note.>> The amendments made by
sections 201(b), 202(f), and 618(b) of the Economic Growth and
Tax Relief Reconciliation Act of 2001 shall not apply to taxable
years beginning during 2004 or 2005.
(c) <<NOTE: 26 USC 26 note.>> Effective Date.--The amendments made
by this section shall apply to taxable years beginning after December
31, 2003.
SEC. 313. CREDIT FOR ELECTRICITY PRODUCED FROM CERTAIN RENEWABLE
RESOURCES.
(a) In General.--Subparagraphs (A), (B), and (C) of section 45(c)(3)
are each amended by striking ``January 1, 2004'' and inserting ``January
1, 2006''.
(b) <<NOTE: 26 USC 45 note.>> Effective Date.--The amendments made
by subsection (a) shall apply to facilities placed in service after
December 31, 2003.
SEC. 314. TAXABLE INCOME LIMIT ON PERCENTAGE DEPLETION FOR OIL AND
NATURAL GAS PRODUCED FROM MARGINAL PROPERTIES.
(a) In General.--Subparagraph (H) of section 613A(c)(6) is amended
by striking ``January 1, 2004'' and inserting ``January 1, 2006''.
(b) <<NOTE: 26 USC 613A note.>> Effective Date.--The amendment made
by subsection (a) shall apply to taxable years beginning after December
31, 2003.
SEC. 315. INDIAN EMPLOYMENT TAX CREDIT.
Section 45A(f) (relating to termination) is amended by striking
``December 31, 2004'' and inserting ``December 31, 2005''.
SEC. 316. ACCELERATED DEPRECIATION FOR BUSINESS PROPERTY ON INDIAN
RESERVATION.
Section 168(j)(8) (relating to termination) is amended by striking
``December 31, 2004'' and inserting ``December 31, 2005''.
SEC. 317. DISCLOSURE OF RETURN INFORMATION RELATING TO STUDENT LOANS.
Section 6103(l)(13)(D) (relating to termination) is amended by
striking ``December 31, 2004'' and inserting ``December 31, 2005''.
[[Page 118 STAT. 1182]]
SEC. 318. ELIMINATION OF PHASEOUT OF CREDIT FOR QUALIFIED ELECTRIC
VEHICLES FOR 2004 AND 2005.
(a) In General.--Paragraph (2) of section 30(b) is amended to read
as follows:
``(2) Phaseout.--In the case of any qualified electric
vehicle placed in service after December 31, 2005, the credit
otherwise allowable under subsection (a) (determined after the
application of paragraph (1)) shall be reduced by 75 percent.''.
(b) <<NOTE: 26 USC 30 note.>> Effective Date.--The amendments made
by this section shall apply to property placed in service after December
31, 2003.
SEC. 319. ELIMINATION OF PHASEOUT FOR DEDUCTION FOR CLEAN-FUEL VEHICLE
PROPERTY FOR 2004 AND 2005.
(a) In General.--Subparagraph (B) of section 179A(b)(1) is amended
to read as follows:
``(B) Phaseout.--In the case of any qualified clean-
fuel vehicle property placed in service after December
31, 2005, the limit otherwise allowable under
subparagraph (A) shall be reduced by 75 percent.''.
(b) <<NOTE: 26 USC 179A note.>> Effective Date.--The amendment made
by subsection (a) shall apply to property placed in service after
December 31, 2003.
SEC. 320. DISCLOSURES RELATING TO TERRORIST ACTIVITIES.
(a) In General.--Clause (iv) of section 6103(i)(3)(C) and
subparagraph (E) of section 6103(i)(7) are both amended by striking
``December 31, 2003'' and inserting ``December 31, 2005''.
(b) Disclosure of taxpayer identity to law enforcement agencies
investigating terrorism.--Subparagraph (A) of section 6103(i)(7) is
amended by adding at the end the following new clause:
``(v) Taxpayer identity.--For purposes of this
subparagraph, a taxpayer's identity shall not be
treated as taxpayer return information.''.
(c) Effective Dates.-- <<NOTE: 26 USC 6103 note.>>
(1) In general.--The amendments made by subsection (a) shall
apply to disclosures on or after the date of the enactment of
this Act.
(2) Subsection (b).--The amendment made by subsection (b)
shall take effect as if included in section 201 of the Victims
of Terrorism Tax Relief Act of 2001.
SEC. 321. JOINT REVIEW OF STRATEGIC PLANS AND BUDGET FOR THE INTERNAL
REVENUE SERVICE.
(a) In General.--Paragraph (2) of section 8021(f) (relating to joint
reviews) is amended by striking ``2004'' and inserting ``2005''.
(b) Report.--Subparagraph (C) of section 8022(3) (regarding reports)
is amended--
(1) by striking ``2004'' and inserting ``2005'', and
(2) by striking ``with respect to--'' and all that follows
and inserting ``with respect to the matters addressed in the
joint review referred to in section 8021(f)(2).''.
(c) <<NOTE: Deadline. 26 USC 8021 note.>> Time for Joint Review.--
The joint review required by section 8021(f)(2) of the Internal Revenue
Code of 1986 to be made before June 1, 2004, shall be treated as timely
if made before June 1, 2005.
[[Page 118 STAT. 1183]]
SEC. 322. AVAILABILITY OF MEDICAL SAVINGS ACCOUNTS.
(a) In General.--Paragraphs (2) and (3)(B) of section 220(i)
(defining cut-off year) are each amended by striking ``2003'' each place
it appears in the text and headings and inserting ``2005''.
(b) Conforming Amendments.--
(1) Paragraph (2) of section 220(j) is amended--
(A) in the text by striking ``or 2002'' each place
it appears and inserting ``2002, or 2004'', and
(B) in the heading by striking ``or 2002'' and
inserting ``2002, or 2004''.
(2) Subparagraph (A) of section 220(j)(4) is amended by
striking ``and 2002'' and inserting ``2002, and 2004''.
(3) Subparagraph (C) of section 220(j)(2) is amended to read
as follows:
``(C) No limitation for 2000 or 2003.--The numerical
limitation shall not apply for 2000 or 2003.''.
(c) <<NOTE: 26 USC 220 note.>> Effective Date.--The amendments made
by this section shall take effect on January 1, 2004.
(d) Time for Filing Reports, Etc.-- <<NOTE: Deadlines. 26 USC 220
note.>>
(1) The report required by section 220(j)(4) of the Internal
Revenue Code of 1986 to be made on August 1, 2004, shall be
treated as timely if made before the close of the 90-day period
beginning on the date of the enactment of this Act.
(2) The determination and publication required by section
220(j)(5) of such Code with respect to calendar year 2004 shall
be treated as timely if made before the close of the 120-day
period beginning on the date of the enactment of this Act. If
the determination under the preceding sentence is that 2004 is a
cut-off year under section 220(i) of such Code, the cut-off date
under such section 220(i) shall be the last day of such 120-day
period.
TITLE IV--TAX TECHNICAL CORRECTIONS
SEC. 401. AMENDMENTS RELATED TO MEDICARE PRESCRIPTION DRUG, IMPROVEMENT,
AND MODERNIZATION ACT OF 2003.
(a) Amendments Related to Section 1201 of the Act.--
(1) Paragraph (2) of section 26(b) <<NOTE: 26 USC 26.>> is
amended by striking ``and'' at the end of subparagraph (Q), by
striking the period at the end of subparagraph (R) and inserting
``, and'', and by adding at the end the following new
subparagraph:
``(S) section 223(f)(4) (relating to additional tax
on health savings account distributions not used for
qualified medical expenses).
(2) Paragraph (3) of section 35(g) is amended to read as
follows:
``(3) Medical and health savings accounts.--Amounts
distributed from an Archer MSA (as defined in section 220(d)) or
from a health savings account (as defined in section 223(d))
shall not be taken into account under subsection (a).''.
(b) <<NOTE: 26 USC 26 note.>> Effective Date.--The amendments made
by subsection (a) shall take effect as if included in section 1201 of
the Medicare Prescription Drug, Improvement, and Modernization Act of
2003.
[[Page 118 STAT. 1184]]
SEC. 402. AMENDMENTS RELATED TO JOBS AND GROWTH TAX RELIEF
RECONCILIATION ACT OF 2003.
(a) Amendments Related to Section 302 of the Act.--
(1) Clause (i) of section 1(h)(1)(D) <<NOTE: 26 USC 1.>> is
amended by inserting ``(determined without regard to paragraph
(11))'' after ``net capital gain''.
(2) Subclause (I) of section 1(h)(11)(B)(iii) is amended--
(A) by striking ``section 246(c)(1)'' and inserting
``section 246(c)'',
(B) by striking ``120-day period'' and inserting
``121-day period'', and
(C) by striking ``90-day period'' and inserting
``91-day period''.
(3) Clause (ii) of section 1(h)(11)(D) is amended by
striking ``an individual'' and inserting ``a taxpayer to whom
this section applies''.
(4) Paragraph (4) of section 691(c) is amended by striking
``of any gain''.
(5)(A) Subparagraph (B) of section 854(b)(1) is amended--
(i) by striking clauses (iii) and (iv), and
(ii) by amending clause (i) to read as follows:
``(i) In general.--In any case in which--
``(I) a dividend is received from a
regulated investment company (other than
a dividend to which subsection (a)
applies),
``(II) such investment company meets
the requirements of section 852(a) for
the taxable year during which it paid
such dividend, and
``(III) the qualified dividend
income of such investment company for
such taxable year is less than 95
percent of its gross income,
then, in computing qualified dividend income,
there shall be taken into account only that
portion of such dividend designated by the
regulated investment company.''.
(B) Subparagraph (C) of section 854(b)(1) is amended to read
as follows:
``(C) Limitations.--
``(i) Subparagraph (a).--The aggregate amount
which may be designated as dividends under
subparagraph (A) shall not exceed the aggregate
dividends received by the company for the taxable
year.
``(ii) Subparagraph (b).--The aggregate amount
which may be designated as qualified dividend
income under subparagraph (B) shall not exceed the
sum of--
``(I) the qualified dividend income
of the company for the taxable year, and
``(II) the amount of any earnings
and profits which were distributed by
the company for such taxable year and
accumulated in a taxable year with
respect to which this part did not
apply.''.
(C) Paragraph (2) of section 854(b) is amended by striking
``as a dividend for purposes of the maximum rate under section
1(h)(11) and'' and inserting ``as qualified dividend income for
purposes of section 1(h)(11) and as dividends for purposes of''.
(D) Paragraph (5) of section 854(b) is amended to read as
follows:
[[Page 118 STAT. 1185]]
``(5) Qualified dividend income.--For purposes of this
subsection, the term `qualified dividend income' has the meaning
given such term by section 1(h)(11)(B).''.
(E) Paragraph (2) of section 857(c) is amended to read as
follows:
``(2) Section (1)(h)(11).--
``(A) In general.--In any case in which--
``(i) a dividend is received from a real
estate investment trust (other than a capital gain
dividend), and
``(ii) such trust meets the requirements of
section 856(a) for the taxable year during which
it paid such dividend,
then, in computing qualified dividend income, there
shall be taken into account only that portion of such
dividend designated by the real estate investment trust.
``(B) Limitation.--The aggregate amount which may be
designated as qualified dividend income under
subparagraph (A) shall not exceed the sum of--
``(i) the qualified dividend income of the
trust for the taxable year,
``(ii) the excess of--
``(I) the sum of the real estate
investment trust taxable income computed
under section 857(b)(2) for the
preceding taxable year and the income
subject to tax by reason of the
application of the regulations under
section 337(d) for such preceding
taxable year, over
``(II) the sum of the taxes imposed
on the trust for such preceding taxable
year under section 857(b)(1) and by
reason of the application of such
regulations, and
``(iii) the amount of any earnings and profits
which were distributed by the trust for such
taxable year and accumulated in a taxable year
with respect to which this part did not apply.
``(C) <<NOTE: Deadline.>> Notice to shareholders.--
The amount of any distribution by a real estate
investment trust which may be taken into account as
qualified dividend income shall not exceed the amount so
designated by the trust in a written notice to its
shareholders mailed not later than 60 days after the
close of its taxable year.
``(D) Qualified dividend income.--For purposes of
this paragraph, the term `qualified dividend income' has
the meaning given such term by section 1(h)(11)(B).''.
(F) <<NOTE: 26 USC 854 note.>> With respect to any taxable
year of a regulated investment company or real estate investment
trust ending on or before November 30, 2003, the period for
providing notice of the qualified dividend amount to
shareholders under sections 854(b)(2) and 857(c)(2)(C) of the
Internal Revenue Code of 1986, as amended by this section, shall
not expire before the date on which the statement under section
6042(c) of such Code is required to be furnished with respect to
the last calendar year beginning in such taxable year.
(6) Paragraph (2) of section 302(f) of the Jobs and Growth
Tax Relief Reconciliation Act of 2003 <<NOTE: 26 USC 1
note.>> is amended to read as follows:
[[Page 118 STAT. 1186]]
``(2) Pass-thru entities.--In the case of a pass-thru entity
described in subparagraph (A), (B), (C), (D), (E), or (F) of
section 1(h)(10) of the Internal Revenue Code of 1986, as
amended by this Act, the amendments made by this section shall
apply to taxable years ending after December 31, 2002; except
that dividends received by such an entity on or before such date
shall not be treated as qualified dividend income (as defined in
section 1(h)(11)(B) of such Code, as added by this Act).''.
(b) <<NOTE: 26 USC 1 note.>> Effective Date.--The amendments made by
subsection (a) shall take effect as if included in section 302 of the
Jobs and Growth Tax Relief Reconciliation Act of 2003.
SEC. 403. AMENDMENTS RELATED TO JOB CREATION AND WORKER ASSISTANCE ACT
OF 2002.
(a) Amendments Related to Section 101 of the Act.--
(1) Clause (i) of section 168(k)(2)(B) <<NOTE: 26 USC
168.>> is amended to read as follows:
``(i) In general.--The term `qualified
property' includes any property if such property--
``(I) meets the requirements of
clauses (i), (ii), and (iii) of
subparagraph (A),
``(II) has a recovery period of at
least 10 years or is transportation
property,
``(III) is subject to section 263A,
and
``(IV) meets the requirements of
clause (ii) or (iii) of section
263A(f)(1)(B) (determined as if such
clauses also apply to property which has
a long useful life (within the meaning
of section 263A(f))).''.
(2)(A) Subparagraph (D) of section 168(k)(2) is amended by
adding at the end the following new clauses:
``(iii) Syndication.--For purposes of
subparagraph (A)(ii), if--
``(I) property is originally placed
in service after September 10, 2001, by
the lessor of such property,
``(II) such property is sold by such
lessor or any subsequent purchaser
within 3 months after the date such
property was originally placed in
service, and
``(III) the user of such property
after the last sale during such 3-month
period remains the same as when such
property was originally placed in
service,
such property shall be treated as originally
placed in service not earlier than the date of
such last sale.
``(iv) Limitations related to users and
related parties.--The term `qualified property'
shall not include any property if--
``(I) the user of such property (as
of the date on which such property is
originally placed in service) or a
person which is related (within the
meaning of section 267(b) or 707(b)) to
such user or to the taxpayer had a
written binding contract in effect for
the acquisition of such property at any
time on or before September 10, 2001, or
[[Page 118 STAT. 1187]]
``(II) in the case of property
manufactured, constructed, or produced
for such user's or person's own use, the
manufacture, construction, or production
of such property began at any time on or
before September 10, 2001.''.
(B) Clause (ii) of section 168(k)(2)(D) is amended by
inserting ``clause (iii) and'' before ``subparagraph (A)(ii)''.
(b) Amendments Related to Section 102 of the Act.--
(1) Subparagraph (H) of section 172(b)(1) <<NOTE: 26 USC
172.>> is amended by striking ``a taxpayer which has''.
(2) <<NOTE: 26 USC 172 note.>> In the case of a net
operating loss for a taxable year ending during 2001 or 2002--
(A) an application under section 6411(a) of the
Internal Revenue Code of 1986 with respect to such loss
shall not fail to be treated as timely filed if filed
before November 1, 2002,
(B) any election made under section 172(b)(3) of
such Code may (notwithstanding such section) be revoked
before November 1, 2002, and
(C) any election made under section 172(j) of such
Code shall (notwithstanding such section) be treated as
timely made if made before November 1, 2002.
(3) Section 102(c)(2) of the Job Creation and Worker
Assistance Act of 2002 (Public Law 107-147) <<NOTE: 26 USC 56
note.>> is amended by striking ``before January 1, 2003'' and
inserting ``after December 31, 1990''.
(4)(A) Subclause (I) of section 56(d)(1)(A)(i) is amended by
striking ``attributable to carryovers''.
(B) Subclause (I) of section 56(d)(1)(A)(ii) is amended--
(i) by striking ``for taxable years'' and inserting
``from taxable years'', and
(ii) by striking ``carryforwards'' and inserting
``carryovers''.
(c) Amendments Related to Section 301 of the Act.--
(1) Subparagraph (D) of section 1400L(a)(2) <<NOTE: 26 USC
1400L.>> is amended--
(A) by striking ``subchapter B'' and inserting
``subchapter A'', and
(B) in clause (ii), by striking ``subparagraph (B)''
and inserting ``this paragraph''.
(2) Subparagraph (D) of section 1400L(b)(2) is amended by
inserting ``, and clause (iv) thereof shall be applied by
substituting `qualified New York Liberty Zone property' for
`qualified property' '' before the period at the end.
(3) Subsection (c) of section 1400L is amended by adding at
the end the following new paragraph:
``(5) <<NOTE: Applicability.>> Election out.--For purposes
of this subsection, rules similar to the rules of section
168(k)(2)(C)(iii) shall apply.''.
(4) Paragraph (2) of section 1400L(f) is amended by
inserting before the period ``, determined without regard to
subparagraph (C)(i) thereof''.
(d) Amendment Related to Section 405 of the Act.--The last sentence
of section 4006(a)(3)(E)(iii)(IV) of the Employee Retirement Income
Security Act of 1974 (29 U.S.C. 1306(a)(3)(E)(iii)(IV)) is amended--
(1) by inserting ``or this subparagraph'' after ``this
clause'' both places it appears, and
[[Page 118 STAT. 1188]]
(2) by inserting ``(other than sections 4005, 4010, 4011,
and 4043)'' after ``subsections''.
(e) Amendment Related to Section 411 of the Act.--Subparagraph (B)
of section 411(c)(2) of the Job Creation and Worker Assistance Act of
2002 <<NOTE: 26 USC 137.>> is amended by striking ``Paragraph (2)'' and
inserting ``Paragraph (1)''.
(f) <<NOTE: 26 USC 56 note.>> Effective Date.--The amendments made
by this section shall take effect as if included in the provisions of
the Job Creation and Worker Assistance Act of 2002 to which they relate.
SEC. 404. AMENDMENTS RELATED TO ECONOMIC GROWTH AND TAX RELIEF
RECONCILIATION ACT OF 2001.
(a) Amendment Related to Section 401 of the Act.--Clause (i) of
section 530(d)(2)(C) <<NOTE: 26 USC 530.>> is amended by striking
``higher'' after ``qualified''.
(b) Amendments Related to Section 611 of the Act.--
(1) Paragraph (3) of section 45A(c) <<NOTE: 26 USC 45A.>> is
amended by inserting ``, except that the base period taken into
account for purposes of such adjustment shall be the calendar
quarter beginning October 1, 1993'' before the period at the
end.
(2) Subparagraph (A) of section 415(d)(4) <<NOTE: 26 USC
415.>> is amended by adding at the end the following new
sentence: ``This subparagraph shall also apply for purposes of
any provision of this title that provides for adjustments in
accordance with the method contained in this subsection, except
to the extent provided in such provision.''.
(c) Amendment Related to Section 614 of the Act.--Clause (ii) of
section 4972(c)(6)(A) <<NOTE: 26 USC 4972.>> is amended to read as
follows:
``(ii) the amount of contributions described
in section 401(m)(4)(A), or''.
(d) Amendment Related to Section 637 of the Act.--Clause (i) of
section 408(p)(6)(A) <<NOTE: 26 USC 408.>> is amended by adding at the
end the following new sentence: ``For purposes of the preceding
sentence, amounts described in section 6051(a)(3) shall be determined
without regard to section 3401(a)(3).''.
(e) Amendment Related to Section 641 of the Act.--Subparagraph (B)
of section 403(a)(4) <<NOTE: 26 USC 403.>> is amended to read as
follows:
``(B) Certain rules made applicable.--The rules of
paragraphs (2) through (7) and (9) of section 402(c) and
section 402(f) shall apply for purposes of subparagraph
(A).''.
(f) <<NOTE: 26 USC 45A note.>> Effective Date.--The amendments made
by this section shall take effect as if included in the provisions of
the Economic Growth and Tax Relief Reconciliation Act of 2001 to which
they relate.
SEC. 405. AMENDMENTS RELATED TO COMMUNITY RENEWAL TAX RELIEF ACT OF
2000.
(a) Amendments Related to Section 401 of the Act.--
(1) Subsection (c) of section 1234B <<NOTE: 26 USC
1234B.>> is amended by adding at the end the following new
sentence: ``The Secretary may prescribe regulations regarding
the status of contracts the values of which are determined
directly or indirectly by reference to any index which becomes
(or ceases to be) a narrow-based security index (as defined for
purposes of section 1256(g)(6)).''.
(2) Paragraph (6) of section 1256(g) <<NOTE: 26 USC
1256.>> is amended by adding at the end the following new
sentence: ``The Secretary may
[[Page 118 STAT. 1189]]
prescribe regulations regarding the status of options the values
of which are determined directly or indirectly by reference to
any index which becomes (or ceases to be) a narrow-based
security index (as so defined).''.
(b) <<NOTE: 26 USC 1234B note.>> Effective Date.--The amendments
made by subsection (a) shall take effect as if included in section 401
of the Community Renewal Tax Relief Act of 2000.
SEC. 406. AMENDMENTS RELATED TO TAXPAYER RELIEF ACT OF 1997.
(a) Amendment Related to Section 211 of the Act.--Subparagraph (B)
of section 529(c)(5) <<NOTE: 26 USC 529.>> is amended to read as
follows:
``(B) <<NOTE: Applicability.>> Treatment of
designation of new beneficiary.--The taxes imposed by
chapters 12 and 13 shall apply to a transfer by reason
of a change in the designated beneficiary under the
program (or a rollover to the account of a new
beneficiary) unless the new beneficiary is--
``(i) assigned to the same generation as (or a
higher generation than) the old beneficiary
(determined in accordance with section 2651), and
``(ii) a member of the family of the old
beneficiary.''.
(b) Amendment Related to Section 213 of the Act.--Clause (iii) of
section 530(d)(4)(B) <<NOTE: 26 USC 530.>> is amended by striking
``account holder'' and inserting ``designated beneficiary''.
(c) Amendment Related to Section 226 of the Act.--Section
1397E <<NOTE: 26 USC 1397E.>> is amended by adding at the end the
following new subsection:
``(i) S Corporations.--In the case of a qualified zone academy bond
held by an S corporation which is an eligible taxpayer--
``(1) each shareholder shall take into account such
shareholder's pro rata share of the credit, and
``(2) no basis adjustments to the stock of the corporation
shall be made under section 1367 on account of this section.''.
(d) Amendment Related to Section 311 of the Act.--Subparagraph (B)
of section 55(b)(3) <<NOTE: 26 USC 55.>> is amended by striking ``the
amount on which a tax is determined under'' and inserting ``an amount
equal to the excess described in''.
(e) Amendments Related to Section 1001 of the Act.--
(1) Paragraph (2) of section 1259(c) <<NOTE: 26 USC
1259.>> is amended by striking ``The term `constructive sale'
shall not include any contract'' and inserting ``A taxpayer
shall not be treated as having made a constructive sale solely
because the taxpayer enters into a contract''.
(2) Subparagraphs (A) and (B)(i) of section 1259(c)(3) are
each amended by striking ``be treated as a constructive sale''
and inserting ``cause a constructive sale''.
(3) Clause (i) of section 1259(c)(3)(A) is amended by
striking ``before the end of'' and inserting ``on or before''.
(4) Clause (ii) of section 1259(c)(3)(B) is amended by
striking ``substantially similar''.
(5) Subclause (I) of section 1259(c)(3)(B)(ii) is amended to
read as follows:
``(I) which would (but for this
subparagraph) cause the requirement of
subparagraph (A)(iii) not to be met with
respect to the transaction described in
clause (i) of this subparagraph,''.
(6) Subclause (II) of such section is amended by inserting
``on or'' before ``before the 30th day''.
[[Page 118 STAT. 1190]]
(7) The heading for subparagraph (B) of section 1259(c)(3)
is amended by striking ``positions which are reestablished'' and
inserting ``certain closed transactions where risk of loss on
appreciated financial position diminished''.
(f) Amendments Related to Section 1015 of the Act.--
(1) Section 246(c)(1)(A) <<NOTE: 26 USC 246.>> is amended by
striking ``90-day period'' and inserting ``91-day period''.
(2) Section 246(c)(2)(B) is amended--
(A) by striking ``180-day period'' and inserting
``181-day period'', and
(B) by striking ``90-day period'' and inserting
``91-day period''.
(g) Amendments Related to Section 1053 of the Act.--
(1) Section 901(k)(1)(A)(i) <<NOTE: 26 USC 901.>> is amended
by striking ``30-day period'' and inserting ``31-day period''.
(2) Section 901(k)(3)(B) is amended--
(A) by striking ``90-day period'' and inserting
``91-day period'', and
(B) by striking ``30-day period'' and inserting
``31-day period''.
(h) <<NOTE: 26 USC 55 note.>> Effective Date.--The amendments made
by this section shall take effect as if included in the provisions of
the Taxpayer Relief Act of 1997 to which they relate.
SEC. 407. AMENDMENTS RELATED TO SMALL BUSINESS JOB PROTECTION ACT OF
1996.
(a) Amendment Related to Section 1307 of the Act.--Subsection (b) of
section 1377 <<NOTE: 26 USC 1377.>> (relating to post-termination
transition period) is amended by adding at the end the following new
paragraph:
``(3) Special rules for audit related post-termination
transition periods.--
``(A) No application to carryovers.--Paragraph
(1)(B) shall not apply for purposes of section
1366(d)(3).
``(B) Limitation on application to distributions.--
Paragraph (1)(B) shall apply to a distribution described
in section 1371(e) only to the extent that the amount of
such distribution does not exceed the aggregate increase
(if any) in the accumulated adjustments account (within
the meaning of section 1368(e)) by reason of the
adjustments referred to in such paragraph.''.
(b) Amendments Related to Section 1432 of the Act.--Paragraph (26)
of section 401(a) <<NOTE: 26 USC 401.>> is amended by striking
subparagraph (C) and by redesignating subparagraphs (D) through (I) as
subparagraphs (C) through (H), respectively.
(c) <<NOTE: 26 USC 401 note.>> Effective Date.--The amendments made
by this section shall take effect as if included in the provisions of
the Small Business Job Protection Act of 1996 to which they relate.
SEC. 408. CLERICAL AMENDMENTS.
(a) Internal Revenue Code of 1986.--
(1) Subclause (II) of section 1(g)(7)(B)(ii) <<NOTE: 26 USC
1.>> is amended by striking ``10 percent.'' and inserting ``10
percent''.
(2) Clause (ii) of section 1(h)(6)(A) is amended--
(A) in subclause (I), by striking ``(5)(B)'' and
inserting ``(4)(B)'', and
(B) in subclause (II), by striking ``(5)(A)'' and
inserting ``(4)(A)''.
[[Page 118 STAT. 1191]]
(3) Subclause (I) of section 42(d)(2)(D)(iii) is amended by
striking ``section 179(b)(7)'' and inserting ``section
179(d)(7)''.
(4) Subsection (f) of section 72 is amended by striking
``Economic Growth and Tax Relief Reconciliation Act of 2001''
and inserting ``Economic Growth and Tax Relief Reconciliation
Act of 2001)''.
(5)(A) Section 138 and paragraph (2) of section 26(b) are
each amended by striking ``Medicare+Choice MSA'' each place it
appears in the text and inserting ``Medicare Advantage MSA''.
(B) The heading for section 138 is amended to read as
follows:
``SEC. 138. MEDICARE ADVANTAGE MSA.''.
(C) The heading for subsection (b) of section 138 is amended
by striking ``Medicare+Choice MSA'' and inserting ``Medicare
Advantage MSA''.
(D) The heading for paragraph (2) of section 138(c) is
amended by striking ``medicare+choice msa'' and inserting
``medicare advantage msa''.
(E) Clause (i) of section 138(c)(2)(C) is amended by
striking ``Medicare+Choice MSAs'' and inserting ``Medicare
Advantage MSAs''.
(F) Subsection (f) of section 138 is amended by striking
``Medicare+Choice MSA's'' and inserting ``Medicare Advantage
MSAs''.
(G) The item relating to section 138 in the table of
sections for part III of subchapter B of chapter 1 is amended to
read as follows:
``Sec. 138. Medicare Advantage MSA.''.
(6) Clause (ii) of section 168(k)(2)(D) is amended--
(A) by inserting ``is'' after ``if property'', and
(B) by striking ``is'' in subclause (I).
(7) Each of the following provisions is amended by inserting
``Robert T. Stafford'' before ``Disaster Relief and Emergency
Assistance Act'':
(A) Section 165(i)(1).
(B) Section 165(k).
(C) Section 1033(h)(3).
(D) Section 5064(b)(3).
(E) Section 5708(a).
(8) The heading for subparagraph (F) of section 168(k)(2) is
amended by striking ``miniumum'' and inserting ``minimum''.
(9) Paragraph (1) of section 246A(b) is amended by striking
``section 243(c)(4)'' and inserting ``section 243(d)(4)''.
(10) Clause (ii) of section 263(g)(2)(B) is amended by
striking ``1278'' and inserting ``1276''.
(11) Clause (ii) of section 403(b)(7)(A) is amended by
striking ``section 3121(a)(1)(D)'' and inserting ``section
3121(a)(5)(D)''.
(12) Paragraph (1) of section 408(a) is amended by striking
``457(e)(16)'' and inserting ``457(e)(16),''.
(13) Paragraph (2) of section 408(n) is amended by striking
``section 101(6)'' and inserting ``paragraph (6) or (7) of
section 101''.
[[Page 118 STAT. 1192]]
(14) The table contained in section 411(a)(12)(B) is amended
by striking the last line and inserting the following:
``6 or more................................. 100.''.
(15) Paragraph (7) of section 414(q) is amended by striking
``section'' and inserting ``subsection''.
(16) Subparagraph (A) of section 416(i)(1) is amended in the
matter following clause (iii) by striking ``in the case of plan
years'' and inserting ``In the case of plan years''.
(17) Subparagraph (C) of section 415(c)(7) is amended by
striking ``subparagraph (D)'' and inserting ``subparagraph
(B)''.
(18) The item relating to section 1234B in the table of
sections for part IV of subchapter P of chapter 1 is amended to
read as follows:
``Sec. 1234B. Gains or losses from securities futures
contracts.''.
(19) Subsection (h) of section 1296 is amended by striking
``paragraphs (2) and (3) of section 851(b)'' and inserting
``section 851(b)(2)''.
(20) The table of sections for part II of subchapter A of
chapter 11 is amended by inserting after the item relating to
section 2010 the following new item:
``Sec. 2011. Credit for State death taxes.''.
(21) The table of sections for subchapter A of chapter 13 is
amended by inserting after the item relating to section 2603 the
following new item:
``Sec. 2604. Credit for certain State taxes.''.
(22) Subsection (c) of section 4973 is amended by striking
``subsection (a)(2)'' and inserting ``subsection (a)(3)''.
(23) Paragraph (2) of section 4978(a) is amended by striking
``60 percent'' and inserting ``(60 percent''.
(24) Paragraph (4) of section 6103(p) is amended by striking
``subsection (l)(16) or (17)'' each place it appears and
inserting ``subsection (l)(16) or (18)''.
(b) Other Laws.-- <<NOTE: Applicability.>>
(1) <<NOTE: 26 USC 1400E note.>> Subsection (c) of section
156 of the Community Renewal Tax Relief Act of 2000 (114 Stat.
2763A-623) is amended in the first sentence by inserting
``than'' after ``not later''.
(2) Paragraph (6) of section 1(a) of Public Law 107-22 shall
be applied by substituting ``part VIII'' for ``part VII'' in
such paragraph.
(3) Subparagraph (A) of section 1(b)(3) of Public Law 107-22
shall <<NOTE: 26 USC 72.>> be applied by substituting
``educational'' for ``education'' in the matter preceding
subparagraph (A) in such section.
(4) Paragraph (1) of section 204(e) of the Railroad
Retirement and Survivors' Improvement Act of 2001 <<NOTE: 26 USC
24.>> shall be applied by substituting ``Section
24(d)(2)(A)(iii)'' for ``Section 24(d)(3)(A)(iii)'' in such
paragraph.
(5) Paragraph (2) of section 412(b) of the Economic Growth
and Tax Relief Reconciliation Act of 2001 <<NOTE: 26 USC
221.>> shall be applied by substituting ``Section 221(f)(1)''
for ``Section 221(g)(1)'' in such paragraph.
(6) Subsection (b) of section 531 of the Economic Growth and
Tax Relief Reconciliation Act of 2001 <<NOTE: 26 USC 2011
note.>> shall be applied by substituting ``section'' for
``subsection'' in such subsection.
[[Page 118 STAT. 1193]]
(7) Paragraph (3) of section 619(c) of the Economic Growth
and Tax Relief Reconciliation Act of 2001 shall be applied by
substituting ``after the item relating to section 45D'' for ``at
the end'' in such paragraph.
(8) The table contained in section 203(a)(4)(B) of the
Employee Retirement Income Security Act of 1974 (29 U.S.C.
1053(a)(4)(B)) is amended by striking the last line and
inserting the following:
``6 or more................................. 100.''.
(9) Paragraph (3) of section 652(b) of the Economic Growth
and Tax Relief Reconciliation Act of 2001 <<NOTE: 26 USC
4972.>> shall be applied by inserting ``each place it appears''
before ``in the next to last sentence'' in such paragraph.
Approved October 4, 2004.
LEGISLATIVE HISTORY--H.R. 1308:
---------------------------------------------------------------------------
HOUSE REPORTS: No. 108-696 (Comm. of Conference).
CONGRESSIONAL RECORD:
Vol. 149 (2003):
Mar. 19, considered and passed
House.
June 5, considered and passed
Senate, amended.
June 12, House concurred in Senate
amendments with an amendment
pursuant to H. Res. 270.
Vol. 150 (2004):
Sept. 23, House and Senate agreed to
conference report.
WEEKLY COMPILATION OF PRESIDENTIAL DOCUMENTS, Vol. 40 (2004):
Oct. 4, Presidential remarks.
<all>