Page:United States Statutes at Large Volume 88 Part 1.djvu/984

 940

PUBLIC LAW 93-406-SEPT. 2, 1974

[88 STAT.

"(1) the custodial account or annuity contract would, except for the fact that it is not a trust, constitute a qualified trust under this section, and "(2) in the case of a custodial account the assets thereof are held by a bank (as defined in subsection (d)(1)) or another person who demonstrates, to the satisfaction of the Secretary or his delegate, that the manner in which he will hold the assets will be consistent with the requirements of this section. For purposes of this title, in the case of a custodial account or annuity contract treated as a qualified trust under this section by reason of this subsection, the person holding the assets of such account or holding such contract shall be treated as the trustee thereof." 26 USC 403 and note.

26 USC 501.

(e)

CUSTODIAL ACCOUNTS FOR REGULATED INVESTMENT COMPANY

STOCK.—Effective as of January 1, 1974, section 403(b) (relating to taxability of beneficiary under annuity purchased by section 501(c) (3^ organization or public school) is amended by adding at the end thereof the following new paragraph: " (7) CUSTODIAL ACCOUNTS FOR REGULATED INVESTMENT COMP A N Y STOCK.— " (A) AMOUNTS PAID TREATED AS CONTRIBUTIONS.—For pur-

poses of this title, amounts paid by an employer described in paragraph (1)(A) to a custodial account which satisfies ^^iQ requirements of section 401(f)(2) shall be treated as amounts contributed by him for an annuity contract for his employee if the amounts are paid to provide a retirement benefit for that employee and are to be invested in regulated investment company stock to be held in that custodial account. " (B) ACCOUNT TREATED AS PLAN.—For purposes of this title, a custodial account which satisfies the requirements of section 401(f)(2) shall be treated as an organization described in section 401(a) solely for purposes of subchapter F and subtitle F with respect to amounts received by it (and income from investment thereof). " (C) REGULATED INVESTMENT COMPANY.—For purposes of this paragraph, the term 'regulated investment company' means a domestic corporation which is a regulated investment company within the meaning of section 851(a), and which issues only redeemable stock."

Ante, p. 939.

26 USC 851. 26 USC 401 an d note.

12 USC 1752.

26 USC 6104.

(f)

INSURED CREDIT UNIONS.—Effective as of January 1, 1974, the

last sentence of section 401(d)(1) is amended by striking out "section 581," and inserting in lieu thereof "section 581, an insured credit union (within the meaning of section 101(6) of the Federal Credit Union Act),". (g) PUBLIC INSPECTION OF CERTAIN INFORMATION W I T H RESPECT TO PENSION, PROFIT-SHARING, AND STOCK BONUS PLANS.— (1) AMENDMENT or SECTION 6104(a).—Paragraph (1) of sec-

tion 6104(a) (relating to public inspection of applications for tax exemption) is amended— (A) by redesignating subparagraph (B) as subparagraph (D) and by inserting after subparagraph (A) the following new subparagraphs; " (B) PENSION, ETC., PLANS.—The following shall be open to public inspection at such times and in such places as the Secretary or his delegate may prescribe: "(1) any application filed with respect to the qualifica' tion of a pension, profit-sharing, or stock bonus plan

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