Page:United States Statutes at Large Volume 90 Part 2.djvu/293

 PUBLIC LAW 94-455—OCT. 4, 1976

90 STAT. 1761

the adjusted basis of such property shall be determined under the provisions of subparagraph (B), (C), or (D) of this paragraph. "(B) In the case of any property valued under an original valuation made by the Interstate Commerce Commission pursuant to section 19a of part I of the Interstate Commerce Act (49 U.S.C. 19a), the adjusted basis of such property shall be equal to the amount ascertained by the Interstate Commerce Commission as of the date of such valuation to be such property's cost of reproduction new (as the term 'cost of reproduction new' is used in such section 19a). "(C) In the case of property which was not valued by the Interstate Commerce Commission in the manner described in subparagraph (B), but which was valued under an original valuation made by a comparable State regulatory body, the adjusted basis of such property shall be equal to the amount ascertained by such State regulatory body as of the date of its original valuation to be such property's value. " (D) If, in the case of any property to which this paragraph applies— "(i) neither subparagraph (B) nor (C) applies, or "(ii) notwithstanding subparagraphs (B) and (C), either the taxpayer or the Secretary can establish the adjusted basis (for purposes of determining gain) of such property in the hands of the taxpayer, then the adjusted basis of such property shall be equal to its adjusted basis (for purposes of determining gain) in the hands of the taxpayer." (b)

DEFiNmoN OF PRE-1969 RAILROAD GRADING AND TUNNEL

BORES.—Subsection (f) of section 185 (as redesignated by subsection (a) of this section) is amended by adding at the end thereof the following new paragraph: "(3)

26 USC 185.

PRE-1969 RAILROAD GRADING AND TUNNEL BORES.—The

term 'pre-1969 railroad grading and tunnel bores' means railroad grading and tunnel bores the original use of which commences before January 1, 1969.". SEC. 1703. CERTAIN PROVISIONS RELATING TO AIRLINES. Subsection (a) of section 46 (relating to determination of amount of investment credit) is amended by adding at the end thereof the following new paragraph: "(9) ALTERNATIVE AIRLINES

LIMITATION

IN

26 USC 46.

THE CASE OF CERTAIN

"(A) IN GENERAL.—If, for a taxable year ending after calendar year 1976 and before calendar year 1983, the amount of the qualified investment of the taxpayer which is attributable to airline property is 25 percent or more of his aggregate qualified investment, then subparagraph (C) of paragraph (3) of this subsection shall be applied by substituting for 50 percent his applicable percentage for such year. " (B) APPLICABLE PERCENTAGE.—The applicable percentage of any taxpayer for any taxable year under this paragraph is— "(i) 50 percent, plus "(ii) that portion of the tentative percentage for the taxable year which the taxpayer's amount of qualified

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