Page:United States Statutes at Large Volume 92 Part 3.djvu/164

 92 STAT. 2796

26 USC 56 note. 26 USC 6. 26 USC 38. 26 USC 46. 92 Stat. 3174.

26 USC 1 note.

26 USC 2039. 26 USC 402. 26 USC 2039.

PUBLIC LAW 95-600—NOV. 6, 1978 The amendment made by subsection (f)(7) shall apply to years beginning after December 31, 1978. (2) RETROACTIVE APPLICATION OF AMENDMENT MADE BY SUBSECTION (d).—In determining the regular tax deduction under section 6 of the Internal Revenue Code of 1954 for any taxable year beginning before January 1, 1979, the amount of the credit allowable under section 38 shall be determined without regard to section 46(a)(2)(B) of such Code (as in effect before the enactment of the Energy Tax Act of 1978).

SEC. 142. CERTAIN LUMP SUM DISTRIBUTIONS EXCLUDED FROM GROSS ESTATE WHERE RECIPIENT ELECTS NOT TO APPLY 10-YEAR AVERAGING. (a) IN GENERAL.—Subsection (c) of section 2039 (relating to exemption of annuities under certain trusts and plans) is amended by striking out "(other than a lump sum distribution described in section 402(e)(4), determined without regard to the next to the last sentence of section 402(e)(4)(A))" and inserting in lieu thereof "(other than an amount described in subsection (f))" Qy^ DEFINITIONS.—Section 2039 is amended by adding at the end thereof the following new subsection: "(f) LUMP SUM DISTRIBUTIONS.—

26 USC 402.

"(1) IN GENERAL.—An amount is described in this subsection if it is a lump sum distribution described in section 402(e)(4) (determined without regard to the next to the last sentence of section 402(e)(4)(A)). "(2) EXCEPTION WHERE RECIPIENT ELECTS NOT TO TAKE IO-YEAR

26 USC 2039 note.

26 USC 401.

Ante, p. 2787. 26 USC 401 note.

AVERAGING.—A lump sum distribution described in paragraph (1) shall be treated as not described in this subsection if the recipient elects irrevocably (at such time and in such manner as the Secretary may by regulations prescribe) to treat the distribution as taxable under section 402(a) without the application of paragraph (2) thereof." (c) EFFECTIVE DATE.—The amendments made by this section shall apply with respect to the estates of decedents dying after December 31, 1978. SEC. 143. QUALIFIED PLANS REQUIRED TO PASS THROUGH VOTING RIGHTS ON EMPLOYER SECURITIES. (a) IN GENERAL.—Subsection (a) of section 401 (relating to qualified pension, profit-sharing, and stock bonus plans) is amended by inserting after paragraph (21) the following new paragraph: "(22) Ifa defined contributions plan— "(A) is established by an employer whose stock is not publicly traded, and "(B) after acquiring securities of the employer, more than 10 percent of the total assets of the plan as securities of the employer, any trust forming part of said plan shall not constitute a qualified trust under this section unless the plan meets the requirements of subsection (e) of section 409A." (b) EFFECTIVE DATE.—The amendment made by subsection (a) shall apply to acquisitions of securities after December 31, 1979.

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