Page:United States Statutes at Large Volume 119.djvu/2603

 PUBLIC LAW 109–135—DEC. 21, 2005

119 STAT. 2585

(relating to expensing of environmental remediation costs) shall be applied— ‘‘(1) in the case of expenditures paid or incurred on or after August 28, 2005, and before January 1, 2008, by substituting ‘December 31, 2007’ for the date contained in section 198(h), and ‘‘(2) except as provided in section 198(d)(2), by treating petroleum products (as defined in section 4612(a)(3)) as a hazardous substance. ‘‘(h) INCREASE IN REHABILITATION CREDIT.—In the case of qualified rehabilitation expenditures (as defined in section 47(c)) paid or incurred during the period beginning on August 28, 2005, and ending on December 31, 2008, with respect to any qualified rehabilitated building or certified historic structure (as defined in section 47(c)) located in the Gulf Opportunity Zone, subsection (a) of section 47 (relating to rehabilitation credit) shall be applied— ‘‘(1) by substituting ‘13 percent’ for ‘10 percent’ in paragraph (1) thereof, and ‘‘(2) by substituting ‘26 percent’ for ‘20 percent’ in paragraph (2) thereof. ‘‘(i) SPECIAL RULES FOR SMALL TIMBER PRODUCERS.— ‘‘(1) INCREASED EXPENSING FOR QUALIFIED TIMBER PROPERTY.—In the case of qualified timber property any portion of which is located in the Gulf Opportunity Zone, in that portion of the Rita GO Zone which is not part of the Gulf Opportunity Zone, or in the Wilma GO Zone, the limitation under subparagraph (B) of section 194(b)(1) shall be increased by the lesser of— ‘‘(A) the limitation which would (but for this subsection) apply under such subparagraph, or ‘‘(B) the amount of reforestation expenditures (as defined in section 194(c)(3)) paid or incurred by the taxpayer with respect to such qualified timber property during the specified portion of the taxable year. ‘‘(2) 5 YEAR NOL CARRYBACK OF CERTAIN TIMBER LOSSES.— For purposes of determining any farming loss under section 172(i), income and deductions which are allocable to the specified portion of the taxable year and which are attributable to qualified timber property any portion of which is located in the Gulf Opportunity Zone, in that portion of the Rita GO Zone which is not part of the Gulf Opportunity Zone, or in the Wilma GO Zone shall be treated as attributable to farming businesses. ‘‘(3) RULES NOT APPLICABLE TO CERTAIN ENTITIES.—Paragraphs (1) and (2) shall not apply to any taxpayer which— ‘‘(A) is a corporation the stock of which is publicly traded on an established securities market, or ‘‘(B) is a real estate investment trust. ‘‘(4) RULES NOT APPLICABLE TO LARGE TIMBER PRODUCERS.— ‘‘(A) EXPENSING.—Paragraph (1) shall not apply to any taxpayer if such taxpayer holds more than 500 acres of qualified timber property at any time during the taxable year. ‘‘(B) NOL CARRYBACK.—Paragraph (2) shall not apply with respect to any qualified timber property unless— ‘‘(i) such property was held by the taxpayer—

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