Page:United States Statutes at Large Volume 102 Part 4.djvu/400

 102 STAT. 3370

PUBLIC LAW 100-647—NOV. 10, 1988

by striking out "determined under" and inserting in lieu thereof "determined for periods before January 1, 1986, under". Oi) AMENDMENTS RELATED TO SECTION 231 OF THE REFORM ACT.—

(1) Subsection (g) of section 41 of the 1986 Code is amended by adding at the end thereof the following new sentence: "If the amount determined under subsection (a) for any taxable year exceeds the limitation of the preceding sentence, such amount may be carried to other taxable years under the rules of section 39; except that the limitation of the preceding sentence shall be taken into account in lieu of the limitation of section 38(c) in applying section 39." (2) Subsection (c) of section 6411 of the 1986 Code is amended by striking out "unused research credit,". (3) Section 936(h)(5)(C)(i)(IVXc) of the 1986 Code is amended— (A) by striking out "section 30" and inserting in lieu thereof "section 41", and (B) by striking out "section 30(f)" and inserting in lieu thereof "section 41(0". (i) AMENDMENTS RELATED TO SECTIONS 241 AND 242 OF THE REFORM ACT.—

(1) Section 167 of the 1986 Code is amended by redesignating subsection (r) as subsection (s) and by inserting after subsection (q) the following new subsection: "(rj TRADEMARK OR TRADE NAME EXPENDITURES NOT DEPRECIABLE.—

"(1) IN GENERAL.—No depreciation deduction shall be allowable under this section (and no depreciation or amortization deduction shall be allowable under any other provision of this subtitle) with respect to any trademark or trade name expenditure. "(2) TRADEMARK OR TRADE NAME EXPENDITURE.—For purposes of this subsection, the term 'trademark or trade name expenditure' means any expenditure which is directly connected with the acquisition, protection, expansion, r^istration (Federal, State, or foreign), or defense of a trademark or trade name." (2)(A) Paragraph (1) of section 168(c) of the 1986 Code (as amended by section 102(a) is amended by adding at the end thereof the following new item: "Any railroad grading or tunnel bore

50 years."

(B)(i) Paragraph (3) of section 168(b) of the 1986 Code is amended by redesignating subparagraph (C) as subparagraph (D) and by inserting after subparagraph (B) the following new subparagraph: "(C) Any railroad grading or tunnel bore." (ii) Paragraph (5) of section 168(b) of the 1986 (Dode (as amended by section 102(a)) is amended by striking out "(3)(C)" and inserting in lieu thereof "(3)(D)". (C) Subsection (e) of section 168 of the 1986 (Dode is amended by adding at the end thereof the following new paragraph: "(4) RAILROAD GRADING OR TUNNEL BORE.—The term 'railroad grading or tunnel bore' means all improvements resulting from excavations (including tunneling), construction of embankments, clearings, diversions of roads and streams, sodding of slopes, and from similar work necessary to provide, construct, reconstruct, alter, protect, improve, replace, or restore a roadbed or right-of-way for railroad track."

�