Page:United States Statutes at Large Volume 112 Part 1.djvu/832

 112 STAT. 806 PUBLIC LAW 105-206-^ULY 22, 1998 property has been owned and used by the taxpayer as the taxpayer's principal residence; or "(II) the period after the date of the most recent prior sale or exchange by the taxpayer to which subsection (a) applied and before the date of such sale or exchange, bears to "(ii) 2 years.". 26 USC 121 note. (3) Section 312(d)(2) of the 1997 Act (relating to sales before date of the enactment) is amended by inserting "on or" before "before" each place it appears in the text and heading. (f) AMENDMENTS RELATED TO SECTION 313 OF 1997 ACT. — (1) Subsection (a) of section 1045 of such Code is amended— (A) by striking "an individual" and inserting "a taxpayer other than a corporation"; and (B) by striking "such individual" and inserting "such taxpayer". (2) Subsection (b) of section 1045 of the 1986 Code is amended by adding at the end the following new paragraph: "(5) CERTAIN RULES TO APPLY. —Rules similar to the rules of subsections (f), (g), (h), (i), (j), and (k) of section 1202 shall apply.". SEC. 6006. AMENDMENT RELATED TO TITLE IV OF 1997 ACT. (a) AMENDMENT RELATED TO SECTION 401 OF 1997 ACT. — Paragraph (1) of section 55(e) of the 1986 Code is amended to read as follows: "(1) IN GENERAL.— "(A) $7,500,000 GROSS RECEIPTS TEST. —The tentative minimum tax of a corporation shall be zero for any taxable year if the corporation's average annual gross receipts for all 3-taxable-year periods ending before such taxable year does not exceed $7,500,000. For purposes of the preceding sentence, only taxable years beginning after December 31, 1993, shall be taken into account. Applicability. "(B) $5,000,000 GROSS RECEIPTS TEST FOR FIRST 3-YEAR PERIOD. — Subparagraph (A) shall be applied by substituting '$5,000,000' for '$7,500,000' for the first 3-taxable-year period (or portion thereof) of the corporation which is taken into account under subparagraph (A), " (C) FIRST TAXABLE YEAR CORPORATION IN EXISTENCE.— If such taxable year is the first taxable year that such corporation is in existence, the tentative minimum tax of such corporation for such year shall be zero. Applicability. " (D) SPECIAL RULES.—For purposes of this paragraph, the rules of paragraphs (2) and (3) of section 448(c) shall apply.". (b) AMENDMENT RELATED TO SECTION 402 OF 1997 ACT. — Subsection (c) of section 168 of the 1986 Code is amended— (1) by striking paragraph (2), and (2) by striking the portion of such subsection preceding the table in paragraph (1) and inserting the following: "(c) APPLICABLE RECOVERY PERIOD. — For purposes of this section, the applicable recovery period shall be determined in accordance with the following table:". SEC. 6007. AMENDMENTS RELATED TO TITLE V OF 1997 ACT. (a) AMENDMENTS RELATED TO SECTION 501 OF 1997 ACT. —

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