Page:United States Statutes at Large Volume 111 Part 1.djvu/922

 Ill STAT. 898 PUBLIC LAW 105-34—AUG. 5, 1997 "(H) TEMPORARY SUSPENSION OF TAXABLE INCOME LIMIT WITH RESPECT TO MARGINAL PRODUCTION. —The second sentence of subsection (a) of section 613 shall not apply to so much of the allowance for depletion as is determined under subparagraph (A) for any taxable year beginning after December 31, 1997, and before January 1, 2000.". 26 USC 613A (b) EFFECTIVE DATE.—The amendment made by subsection (a) note. shall apply to taxable years beginning after December 31, 1997. SEC. 973. INCREASE IN STANDARD MILEAGE RATE EXPENSE DEDUC- TION FOR CHARITABLE USE OF PASSENGER AUTO- MOBILE. (a) IN GENERAL.— Section 170(i) (relating to standard mileage rate for use of passenger automobile) is amended to read as follows: " (i) STANDARD MILEAGE RATE FOR USE OF PASSENGER AUTO- MOBILE. —For purposes of computing the deduction under this section for use of a passenger automobile, the standard mileage rate shall be 14 cents per mile.". 26 USC 170 note. (b) EFFECTIVE DATE.—The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 1997. SEC. 974. CLARIFICATION OF TREATMENT OF CERTAIN RECEIVABLES PURCHASED BY COOPERATIVE HOSPITAL SERVICE ORGANIZATIONS. (a) IN GENERAL. —Subparagraph (A) of section 501(e)(1) is amended by inserting "(including the purchase of patron accounts receivable on a recourse basis)" after "billing and collection". 26 USC 501 note. (b) EFFECTIVE DATE.— The amendment made by subsection (a) shall apply to taxable years beginning after December 31, 1996. SEC. 975. DEDUCTION IN COMPUTING ADJUSTED GROSS INCOME FOR EXPENSES IN CONNECTION WITH SERVICE PERFORMED BY CERTAIN OFFICIALS. (a) IN GENERAL.— Paragraph (2) of section 62(a) (defining adjusted gross income) is amended by adding at the end the following new subparagraph: "(C) CERTAIN EXPENSES OF OFFICIALS.— The deductions allowed by section 162 which consist of expenses paid or incurred with respect to services performed by an official as an employee of a State or a political subdivision thereof in a position compensated in whole or in part on a fee basis.. 26 USC 62 note. (b) EFFECTIVE DATE. —The amendment made by this section shall apply to expenses paid or incurred in taxable years beginning after December 31, 1986. SEC. 976. COMBINED EMPLOYMENT TAX REPORTING DEMONSTRATION PROJECT. 26 USC 6103 (a) IN GENERAL.— The Secretary of the Treasury shall provide note. for a demonstration project to assess the feasibility and desirability of expanding combined Federal and State tax reporting. 26 USC 6103 (b) DESCRIPTION OF DEMONSTRATION PROJECT. —The demonstra- J^ote. tion project under subsection (a) shall be— Montana. (1) carried out between the Internal Revenue Service and the State of Montana for a period ending with the date which is 5 years after the date of the enactment of this Act, (2) limited to the reporting of employment taxes, and

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