Page:United States Statutes at Large Volume 100 Part 3.djvu/1074

 100 STAT. 2882

PUBLIC LAW 99-514—OCT. 22, 1986 M

"

"(2) TRANSACTION TO WHICH SUBSECTION APPLIES.—This subsec-

tion shall apply to any transaction in which— ' "(A) the plan trustee exchanges the plan's securities of the employer corporation for other such securities, or no^ s. "(B) the plan trustee disposes of securities of the employer corporation and uses the proceeds of such disposin^ g tion to acquire securities of the employer corporation within 90 days (or such longer period as the Secretary may ^ prescribe), except that this subparagraph shall not apply to any employee with respect to whom a distribution of m.' money was made during the period after such disposition and before such acquisition." (3)(A) Section 4975(e)(7) is amended by inserting ", section 409(o), and, if applicable, section 409(n)" after "section 409(h)". (B) Section 1042(b)(3)(B) is amended by inserting "and 4979A" M after "section 4978(a)". (C) Section 409(h)(2) is amended by striking out "in cash" in the second sentence thereof and inserting in lieu thereof "in cash, except that such plan may distribute employer securities subject to a requirement that such securities may be resold to the employer under terms which meet the requirements of section 409(o)". (4)(A) The amendments made by paragraph (I)(A) and (3) shall take effect on the date of the enactment of this Act. (B) The amendments made by subparagraphs (B), (C), and (D) of paragraph (1) shall apply after December 31, 1986, to stock v|, acquired after December 31, 1979. (C) The amendments made by paragraph (2) shall apply to any transaction occurring after December 31, 1984, except that in the case of any transaction occurring before the date of the enactment of this Act, the period under which proceeds are required to be invested under section 402(g) of the Internal Revenue Code of 1954 (as added by paragraph (2)) shall not end before the earlier of 1 year after the date of such transaction or 180 days after the date of the enactment of this Act. SEC. 1855. AMENDMENTS RELATED TO MISCELLANEOUS EMPLOYEE BENEFIT PROVISIONS. (a) AMENDMENT RELATED TO SECTION 555 OF THE ACT.—Subsection

(c) of section 555 of the Tax Reform Act of 1984 (relating to technical amendments to the incentive stock option provisions) is amended— (1) by striking out "subsection (a) in paragraph (1) and inserting in lieu thereof "subsection (a)(D", (2) by striking out "subsection (b)" in paragraph (2) and inserting in lieu thereof "subsection (a)(2)",, (3) by striking out "after March 20, 1984," in paragraph (2), ^''' and (4) by striking out "subsection (c)" in paragraph (3) and inserting in lieu thereof "subsection (b)". (b) AMENDMENT RELATED TO SECTION 556 OF THE ACT.—Section 556

of the Tax Reform Act of 1984 is amended by striking out so much of such section as precedes paragraph (1) thereof and inserting in lieu thereof the following: "SEC. 556. TIME FOR MAKING CERTAIN SECTION 83(b) ELECTIONS.

"In the case of any transfer of property in connection with the performance of services on or before November 18, 1982, the election

�