Page:United States Statutes at Large Volume 83.djvu/739

 83 STAT. ]

PUBLIC LAW 91-172-DEC. 30, 1969

711

because of a final judgment entered after the close of the taxable year for which the deduction was claimed, and if the proceeding was based on an indictment returned or an information filed prior to the expiration of the period for the assessment of any deficiency for such taxable year, the period for the assessment of any deficiency attributable to the deduction of such payment shall not expire prior to the expiration of one year from the date of such final judgment, and such deficiency may be assessed prior to the expiration of such one-year period notwithstanding the provision of any other law or rule of law which would otherwise prevent such assessment." (c) EFFECTIVE DATES.—Section 162(f) of the Internal Revenue Code of 1954 (as added by subsection (a)) shall apply to all taxable years to which such Code applies. Section 162(g) of such Code (as added by subsection (a)) shall apply with respect to amounts paid or incurred after December 31, 1969. Section 162(c)(1) of such Code (as amended by subsection (b)) shall apply to all taxable years to which such Code applies. Sections 162(c)(2) and (3) of such Code (as amended by subsection (b)) shall apply with respect to payments made after the date of the enactment of this Act. SEC. 903. ACCRUED VACATION PAY. Section 97 of the Technical Amendments Act of 1958 is amended by go^stat\'o2^;!^' striking out January 1, 1969" and inserting in lieu thereof "Jan26 USC i62 uary 1, 1971". "°*^SEC. 904. DEDUCTION OF RECOVERIES OF ANTITRUST DAMAGES, ETC. (a) DEDUCTION ALLOWED.—Part VI of subchapter B of chapter 1 (relating to itemized deductions for individuals and corporations) is amended by adding after section 185 (as added by section 705 of this ^"te, p. 672. Act) the following new section: "SEC. 186. RECOVERIES OF DAMAGES FOR ANTITRUST VIOLATIONS, ETC. '"(a) ALLOWANCE or DEDUCTION.—If a compensatory amount which is included in gross income is received or accrued during the taxable year for a compensable injury, there shall be allowed as a deduction for the taxable year an amount equal to the lesser of— "(1) the amount of such compensatory amount, or "(2) the amount of the unrecovered losses sustained as a result of such compensable injury. " (b) COMPENSABLE I N J U R Y. — For purposes of this section, the term 'compensable injury' means— "(1) injuries sustained as a result of an infringement of a patent issued by the United States, "(2) injuries sustained as a result of a breach of contract or a breach of fiduciary duty or relationship, or "(3) injuries sustained in business, or to property, by reason of any conduct forbidden in the antitrust laws for which a civil action may be brought under section 4 of the Act entitled 'An Act to supplement existing laws against unlawful restraints and monopolies, and for other purposes', approved October 15, 1914 (commonly knowm as the Clayton Act). 38 Stat. 731 '5 "'^'^ ^ "(c) COMPENSATORY AMOUNT.—For purposes of this section, the '".use 15. term 'compensatory amount' means the amount received or accrued during the taxable year as damages as a result of an award in, or in settlement of, a civil action for recovery for a compensable injury, reduced by any amounts paid or incurred in the taxable year in securing such award or settlement.

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