Page:United States Statutes at Large Volume 102 Part 4.djvu/388

 102 STAT. 3358 Real property.

26 USC 168 note.

26 USC l68note.

PUBLIC LAW 100-647—NOV. 10, 1988 (c) AMENDMENTS RELATED TO SECTION 2 0 3 OF THE REFORM ACT.—

(1) Subparagraph (B) of section 203(a)(l) of the Reform Act is amended by adding at the end thereof the following new sentence: "No election may be made under this subparagraph with respect to property to which section 168 of the Internal Revenue Code of 1986 would not apply by reason of section 168(f)(5) of such Code if such property were placed in service after December 31, 1986." (2) Subsection (d) of section 203 of the Reform Act is amended— (A) by striking out "the case of any taxable year" and inserting in lieu thereof "the case of any taxable year beginning before October 1, 1987", and (B) by adding at the end thereof the following new sentence: "The preceding sentence shall only apply to property which would be taken into account if such amendments did apply." (3) Notwithstanding section 203 of the Reform Act, the amendments made by section 201 of the Reform Act shall apply to any real property which was acquired before January 1, 1987, and was converted on or after such date from personal use to a use for which depreciation is allowable. (4) Paragraph (1) of section 203(b) of the Reform Act is amended by adding at the end thereof the following new sentence: "For purposes of this paragraph, all members of the same affiliated group of corporations (within the meaning of section 1504 of the Internal Revenue Code of 1986) filing a consolidated return shall be treated as one taxpayer." (5) Paragraph (1) of section 203(c) of the Reform Act is amended by striking out "Subparagraph" and inserting in lieu thereof "Except as otherwise provided in this subsection or section 204, subparagraph". (6) Clause (i) of section 203(b)(2)(C) of the Reform Act is amended by striking out "shall be the class life" and inserting in lieu thereof "applies shall be the class life". (7) Paragraph (3) of section 203(b) of the Reform Act is amended— (A) by inserting before the comma at the end of subparagraph (A) "(or would have met such requirements if placed in service by such person)", and (B) by inserting ", or is leased to such person," before "not later than". (8) Paragraph (2) of section 203(a) of the Reform Act is amended to read as follows: "(2) SECTION 202.— "(A) IN GENERAL.—The amendments made by section 202 shall apply to property placed in service after December 31, 1986, in taxable years ending after such date. "(B) SPECIAL RULE FOR FISCAL YEARS INCLUDING JANUARY

1, 1987.—In the case of any taxable year (other than a calendar year) which includes January 1, 1987, for purposes of applying the amendments made by section 202 to property placed in service during such taxable year and after December 31, 1986— "(i) the limitation of section 179(b)(l) of the Internal Revenue Code of 1986 (as amended by section 202) shall

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