Page:United States Statutes at Large Volume 100 Part 3.djvu/1072

 100 STAT. 2880

PUBLIC LAW 99-514—OCT. 22, 1986

(1)(A) Section 2210(a) (relating to liability for payment of estate tax in case of transfer of employer securities to an ESOP or worker cooperative) is amended by striking out "and" at the end of paragraph (1), by redesignating paragraph (2) as paragraph (3), and by inserting after paragraph (1) the following new paragraph: "(2) the executor of the estate of the decedent may (without regard to this section) make an election under section 6166 with ^^ respect to that portion of the tax imposed by section 2001 which is attributable to employer securities, and". (B) The amendment made by subparagraph (A) shall apply to « the estates of decedents dying after September 27, 1985. (2) Section 2210(c) (relating to installment payments) is 'im amended by adding at the end thereof the following new paragraph: "(3) SPECIAL RULES FOR APPLICATION OF SECTION 6166(g).—In the case of any transfer of employer securities to an employee stock ownership plan or eligible worker-owned cooperative to which this section applies— "(A)

TRANSFER DOES NOT TRIGGER ACCELERATION.—Such

transfer shall not be treated as a disposition or withdrawal to which section 6166(g) applies. "(B)

SEPARATE APPLICATION TO ESTATE AND PLAN IN-

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J TERESTS.—Section 6166(g) shall be applied separately to the interests held after such transfer by the estate and such (^ r^' plan or cooperative. "(C) REQUIRED DISTRIBUTION NOT TAKEN INTO ACCOUNT.—

In the case of any distribution of such securities by such plan which is described in section 4978(d)(1)— "(i) such distribution shall not be treated as a disposition or withdrawal for purposes of section 6166(g), and "(ii) such securities shall not be taken into account in V-applying section 6166(g) to any subsequent disposition or withdrawal." (3) Section 2210(g) (relating to definitions) is amended by adding at the end thereof the following new paragraph: "(5) TAX IMPOSED BY SECTION 2001.—The term 'tax imposed by section 2001' includes any interest, penalty, addition to tax, or additional amount relating to any tax imposed by section 2001." (4) Section 2210(c)(1) is amended by inserting "any authorized officer o f before "the cooperative" in the matter following subparagraph (B). (5) Section 2210(d) (relating to guarantee of payments) is amended— (A) by inserting "and any eligible worker-owned coopera'" r tive" before "shall guarantee" in the matter following paragraph (2), •>' (B) by striking out "such plan" and inserting in lieu thereof "such plan or cooperative, respectively,", and (C) by striking out ", including any interest payable under section 6601 which is attributable to such amount". (6) Section 2210(g)(3) is amended by striking out "section 1041(b)(2)" and inserting in lieu thereof "section 1042(c)(2)". (e) AMENDMENTS RELATED TO SECTION 545.— (1) Section 4978(a)(1) (relating to tax on disposition of securities to which section 1042 applies before close of minimum

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