26 USC 1233. 26 USC 151 note. 26 USC 857 note. 26 USC 1 note. 26 USC 1 note. 26 USC 26 note. (3)(A) Section 1233(e)(2) is amended by striking "and" at the end of subparagraph (C), by striking the period and inserting "; and" at the end of subparagraph (D), and inserting after subparagraph (D) the following: "(E) entering into a securities futures contract (as so defined) to sell shall be considered to be a short sale, and the settlement of such contract shall be considered to be the closing of such short sale.". (B) Section 1234B(b) is amended by inserting after "or this section," the following: "or in section 1233,". (e) EFFECTIVE DATE.-The amendments made by this section shall take effect as if included in the provisions of the Community Renewal Tax Relief Act of 2000 to which they relate. SEC. 413. AMENDMENTS RELATED TO THE TAX RELIEF EXTENSION (a) AMENDMENTS RELATED TO SECTION 545 OF THE ACT.-Section 857(b)(7) is amended (1) in clause (i) of subparagraph (B), by striking "the amount of which" and inserting "to the extent the amount of the rents", and (2) in subparagraph (C), by striking "if the amount" and inserting "to the extent the amount". (b) EFFECTIVE DATE.-The amendments made by this section shall take effect as if included in section 545 of the Tax Relief Extension Act of 1999. SEC. 414. AMENDMENTS RELATED TO THE TAXPAYER RELIEF ACT OF 1997. (a) AMENDMENTS RELATED TO SECTION 311 OF THE ACT.-Section 311(e) of the Taxpayer Relief Act of 1997 (Public Law 10534; 111 Stat. 836) is amended (1) in paragraph (2)(A), by striking "recognized" and inserting "included in gross income", and (2) by adding at the end the following new paragraph: "(5) DISPOSITION OF INTEREST IN PASSIVE ACTIVITY.-Section 469(g)(1)(A) of the Internal Revenue Code of 1986 shall not apply by reason of an election made under paragraph (1).”. (b) EFFECTIVE DATE.-The amendments made by this section shall take effect as if included in section 311 of the Taxpayer Relief Act of 1997. SEC. 415. AMENDMENT RELATED TO THE BALANCED BUDGET ACT OF 1997. (a) AMENDMENT RELATED TO SECTION 4006 OF THE ACT.— Section 26(b)(2) is amended by striking "and" at the end of subparagraph (P), by striking the period and inserting " and" at the end of subparagraph (Q), and by adding at the end the following new subparagraph: "(R) section 138(c)(2) (relating to penalty for distributions from Medicare+ Choice MSA not used for qualified medical expenses if minimum balance not maintained).". (b) EFFECTIVE DATE.-The amendment made by this section shall take effect as if included in section 4006 of the Balanced Budget Act of 1997. SEC. 416. OTHER TECHNICAL CORRECTIONS. (a) COORDINATION OF ADVANCED PAYMENTS OF EARNED INCOME CREDIT. (1) Section 32(g)(2) is amended by striking "subpart" and inserting "part”. (2) The amendment made by this_subsection__shall take effect as if included in section 474 of the Tax Reform Act of 1984. (b) SPECIAL RULE RELATED TO WASH SALE LOSSES. (1) Section 1256(f) is amended by adding at the end the following new paragraph: "(5) SPECIAL RULE RELATED TO LOSSES.-Section 1091 (relating to loss from wash sales of stock or securities) shall not apply to any loss taken into account by reason of paragraph (1) of subsection (a).". (2) The amendment made by this subsection shall take effect as if included in section 5075 of the Technical and Miscellaneous Revenue Act of 1988. (c) DISCLOSURE BY SOCIAL SECURITY ADMINISTRATION TO FEDERAL CHILD SUPPORT AGENCIES.— (1) Section 6103(1)(8) is amended (A) in the heading, by striking "STATE AND LOCAL” and inserting "FEDERAL, STATE, AND LOCAL”, and (B) in subparagraph (A), by inserting "Federal or" before "State or local". 26 USC 32. Effective date. 26 USC 32 note. Effective date. 26 USC 1256 note. (2) The amendments made by this subsection shall take Effective date. effect on the date of the enactment of this Act. (d) TREATMENT OF SETTLEMENTS UNDER PARTNERSHIP AUDIT RULES. (1) The following provisions are each amended by inserting "or the Attorney General (or his delegate)" after "Secretary' each place it appears: (A) Paragraphs (1) and (2) of section 6224(c). (B) Section 6229(f)(2). (C) Section 6231(b)(1)(C). (D) Section 6234(g)(4)(A). 26 USC 6103 note. (2) The amendments made by this subsection shall apply Applicability. with respect to settlement agreements entered into after the date of the enactment of this Act. (e) AMENDMENT RELATED TO PROCEDURE AND ADMINISTRATION. (1) Section 6331(k)(3) (relating to no levy while certain offers pending or installment agreement pending or in effect) is amended to read as follows: of "(3) CERTAIN RULES TO APPLY.-Rules similar to the rules "(A) paragraphs (3) and (4) of subsection (i), and "(B) except in the case of paragraph (2)(C), paragraph (5) of subsection (i), shall apply for purposes of this subsection.". 26 USC 6224 note. (2) The amendment made by this subsection shall take Effective date. effect on the date of the enactment of this Act. (f) MODIFIED ENDOWMENT CONTRACTS.-Paragraph (2) of section 318(a) of the Community Renewal Tax Relief Act of 2000 (114 Stat. 2763A-645) is repealed, and clause (ii) of section 7702A(c)(3)(A) shall read and be applied as if the amendment made by such paragraph had not been enacted. 26 USC 6331 note. Applicability. 26 USC 7702A and note. 26 USC 25B. SEC. 417. CLERICAL AMENDMENTS. (1) The subsection (g) of section 25B that relates to termination is redesignated as subsection (h). (2) The second sentence of section 42(h)(3)(C) is amended by striking "the amounts described in" and all that follows through the period and inserting "the amounts described in clauses (ii) through (iv) over the aggregate housing credit dollar amount allocated for such year.". (3) Clause (ii) of section 42(m)(1)(B) is amended by striking the second "and" at the end of subclause (II) and by inserting "and" at the end of subclause (III). (4) Section 51A(c)(1) is amended by striking "51(d)(10)” and inserting “51(d)(11)”. (5) The flush sentence at the end of clause (ii) of section 56(a)(1)(A) is amended by striking "such 1250” and inserting "such section 1250". (6) Section 151(c)(6)(B)(iii) is amended by inserting “as” before "such terms". (7) Section 170(e)(6)(B)(i)(III) is amended by striking "2000," and inserting "2000),”. (8) Section 172(b)(1)(F)(i) is amended (A) by striking "3 years" and inserting "3 taxable years", and (B) by striking "2 years" and inserting "2 taxable years". (9) Section 351(h)(1) is amended by inserting a comma after "liability". (10) Section 475(g)(3) is amended by striking "sections" and inserting "section". (11) Section 529(e)(3)(B)(i) is amended by striking “subsection (b)(7)" and inserting "subsection (b)(6)”. (12) Section 741 is amended by striking "which have appreciated substantially in value”. (13) Section 857(b)(7)(B)(i) is amended by striking "subsection 856(d)" and inserting "section 856(d)”. (14) Subparagraph (B) of section 943(e)(4) is amended by aligning the left margin of the flush language with subparagraph (A). (15) Subparagraph (B) of section 995(b)(3) is amended by striking "International Security Assistance and Arms Export Control Act of 1976" and inserting "Arms Export Control Act". (16) Section 1394(c)(2) is amended by striking "subparagraph (A)" and inserting "paragraph (1)”. (17)(A) The section heading for section 4980E is amended to read as follows: "SEC. 4980E. FAILURE OF EMPLOYER TO MAKE COMPARABLE ARCHER MSA CONTRIBUTIONS.". (B) The item relating to section 4980E in the table of sections for chapter 43 is amended to read as follows: "Sec. 4980E. Failure of employer to make comparable Archer MSA contributions.". (18) Section 6105(c)(1) is amended by striking "any" in subparagraphs (C) and (E). (19)(A) Section 6227(d) is amended by striking "subsection (b)" and inserting "subsection (c)". (B) Section 6228 is amended (i) in subsection (a)(1), by striking "subsection (b) of section 6227" and inserting "subsection (c) of section 6227", (ii) in subsection (a)(3)(A), by striking "subsection (b) of", and (iii) in subsections (b)(1) and (b)(2)(A), by striking “subsection (c) of section 6227" and inserting "subsection (d) of section 6227". (C) Section 6231(b)(2)(B)(i) is amended by striking "section 26 USC 6231. 6227(c)" and inserting "section 6227(d)”. (20) Section 1221(b)(1)(B)(i) is amended by striking “1256(b))" and inserting "1256(b)))”. (21) Section 159 of the Community Renewal Tax Relief Act of 2000 (114 Stat. 2763A-624) is amended by striking "fuctions" and inserting "functions". (22) The amendment to section 170(e)(6)(B)(iv) made by section 165(b)(1) of the Community Renewal Tax Relief Act of 2000 (114 Stat. 2763A-626) shall be applied as if it struck "in any of the grades K-12". (23) Section 618(b)(2) of the Economic Growth and Tax Relief Reconciliation Act of 2001 (Public Law 107-16; 115 Stat. 108) is amended (A) in subparagraph (A) by striking "203(d)" and inserting "202(f)", and (B) in subparagraphs (C), (D), and (E) by striking "203" and inserting “202(f)”. (24)(A) Section 525 of the Ticket to Work and Work Incentives Improvement Act of 1999 (Public Law 106-170; 113 Stat. 26 USC 1400E note. Applicability. 26 USC 170. 26 USC 24. 26 USC 26, 904, 1400C. 1928) is amended by striking "7200" and inserting "7201". 7 USC 7212 note. (B) Section 532(c)(2) of such Act (113 Stat. 1930) is amended (i) in subparagraph (D), by striking “341(d)(3)” and 26 USC 341. inserting "341(d)", and (ii) in subparagraph (Q), by striking "954(c)(1)(B)(iii) 26 USC 954. and inserting "954(c)(1)(B)". SEC. 418. ADDITIONAL CORRECTIONS. (a) AMENDMENTS RELATED TO SECTION 202 OF THE ECONOMIC GROWTH AND TAX RELIEF RECONCILIATION ACT OF 2001. (1) Subsection (h) of section 23 is amended (A) by striking "subsection (a)(1)(B)" and inserting "subsection (a)(3)”, and (B) by adding at the end the following new flush sentence: "If any amount as increased under the preceding sentence is not a multiple of $10, such amount shall be rounded to the nearest multiple of $10.". (2) Subsection (f) of section 137 is amended by adding at the end the following new flush sentence: "If any amount as increased under the preceding sentence is not a multiple of $10, such amount shall be rounded to the nearest multiple of $10.". (b) AMENDMENTS RELATED TO SECTION 204 OF THE ECONOMIC GROWTH AND TAX RELIEF RECONCILIATION ACT OF 2001.-Section 21(d)(2) is amended (1) in subparagraph (A) by striking "$200" and inserting "$250", and 26 USC 21 note. 42 USC 401 note. (2) in subparagraph (B) by striking "$400" and inserting "$500". (c) 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. TITLE V-SOCIAL SECURITY HELD HARMLESS; BUDGETARY TREATMENT SEC. 501. NO IMPACT ON SOCIAL SECURITY TRUST FUNDS. (a) IN GENERAL.-Nothing in this Act (or an amendment made by this Act) shall be construed to alter or amend title II of the Social Security Act (or any regulation promulgated under that Act). (b) TRANSFERS. (1) ESTIMATE OF SECRETARY.-The Secretary of the Treasury shall annually estimate the impact that the enactment of this Act has on the income and balances of the trust funds established under section 201 of the Social Security Act (42 U.S.C. 401). (2) TRANSFER OF FUNDS.-If, under paragraph (1), the Secretary of the Treasury estimates that the enactment of this Act has a negative impact on the income and balances of the trust funds established under section 201 of the Social Security Act (42 U.S.C. 401), the Secretary shall transfer, not less frequently than quarterly, from the general revenues of the Federal Government an amount sufficient so as to ensure that the income and balances of such trust funds are not reduced as a result of the enactment of this Act. SEC. 502. EMERGENCY DESIGNATION. Congress designates as emergency requirements pursuant to section 252(e) of the Balanced Budget and Emergency Deficit Control Act of 1985 the following amounts: (1) An amount equal to the amount by which revenues are reduced by this Act below the recommended levels of Federal revenues for fiscal year 2002, the total of fiscal years 2002 through 2006, and the total of fiscal years 2002 through 2011, provided in the conference report accompanying H. Con. Res. 83, the concurrent resolution on the budget for fiscal year 2002. (2) Amounts equal to the amounts of new budget authority and outlays provided in this Act in excess of the allocations under section 302(a) of the Congressional Budget Act of 1974 to the Committee on Finance of the Senate for fiscal year 2002, the total of fiscal years 2002 through 2006, and the total of fiscal years 2002 through 2011. |