Page:United States Statutes at Large Volume 104 Part 1.djvu/355

 PUBLIC LAW 101-335 —JULY 17, 1990 104 STAT. 321 (c) EFFECTIVE DATE.— Subsections (a) and (b), and the amendments 5 USC 8351 note, made by such subsections, shall be effective as of the second election period described in section 8432(b) of title 5, United States Code, beginning after the date of enactment of this Act, or as of such earlier date as the Executive Director may by regulation prescribe. SEC. 4. EXEMPTION OF THRIFT SAYINGS PLAN ANNUITIES FROM STATE AND LOCAL PREMIUM TAXES. (a) IN GENERAL.—Section 8434 of title 5, United States Code, is amended by adding at the end the following: "(e)(1) No tax, fee, or other monetary payment may be imposed or collected by any State, the District of Columbia, or the Commonwealth of Puerto Rico, or by any political subdivision or other governmental authority thereof, on, or with respect to, any amount paid to purchase an annuity contract under this section. "(2) Paragraph (1) shall not be construed to exempt any company or other entity issuing an annuity contract under this section from the imposition, payment, or collection of a tax, fee, or other monetary payment on the net income or profit accruing to or realized by that entity from the sale of an annuity contract under this section if that tax, fee, or payment is applicable to a broad range of business activity." (b) EFFECTIVE DATE.—The amendment made by subsection (a) 5 USC 8434 note. shall take effect 30 days after the date of enactment of this Act. SEC. 5. CLARIFYING AMENDMENTS RELATING TO AN ANNUITY'S COMMENCEMENT DATE. (a) AMENDMENTS TO SECTION 8433. — (1) RELATING TO DEADLINE FOR CHANGING AN ELECTION.— Section 8433(fK3XA) of title 5, United States Code, is amended by striking "an annuity elected by the former employee or Member commences." and inserting "an annuity contract is purchased to provide for the annuity elected by the former employee or Member." (2) RELATING TO RESTRICTIONS CONCERNING DEFERRED ANNU- ITIES.—Section 8433(fK3XB) of title 5, United States Code, is amended to read as follows: "(B) A modification of a date may not be made under paragraph (2) on or after the date on which an annuity contract is purchased to provide for the annuity involved, and may not specify a date for the commencement of em annuity earlier than 90 days after the date on which the modification is submitted to the Executive Director (or such period shorter than 90 days as the Executive Director may by regulation prescribe)." (b) AMENDMENTS TO SECTION 8434. — (1) RELATING TO DEADLINE FOR CHANGING AN ELECTION. — Section 8434(b) of title 5, United States Code, is amended by striking "the annuity commences," and inserting "an annuity contract is purchased to provide for that annuity,. (2) RELATING TO THE PURCHASE OF ANNUITY CONTRACTS. —Section 8434(d)(l) of title 5, United States Code, is amended by striking "At the time an annuity is to commence under this subchapter," and inserting "Not earlier than 90 days (or such shorter period as the Executive Director may by regulation prescribe) before an annuity is to commence under this subchapter,".

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