Page:United States Statutes at Large Volume 92 Part 3.djvu/192

 92 STAT. 2824

PUBLIC LAW 95-600—NOV. 6, 1978

"(1) the amount which the corporation estimates as the amount of the income tax imposed by section 11 or 1201(a), or 26 USC 11, subchapter L of chapter 1, whichever is applicable, over 9^^n<;r "^^^ ^^® amount which the corporation estimates as the sum of 26 USC 801. ^j^g credits against tax provided by part IV of subchapter A of 26 USC 31. chapter 1." 26 USC 6655. (B) Subsection (e) of section 6655 (defining tax) is amended to read as follows: "(e) DEFINITION OF TAX.—For purposes of subsections (b) and (d), the term 'tax' means the excess of— "(1) the tax imposed by section 11 or 1201(a), or subchapter L of 26 USC 11, chapter 1, whichever is applicable, over }3^}-^ ^^, "(2) the credits against tax provided by part IV of subchapter A of chapter 1." 26 USC 31 et seq. (c) EFFECTIVE DATE.—The amendments made by this section shall 26 USC 11 note, apply to taxable years beginning after December 31, 1978.
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Subtitle B—Credits SEC. 311. 10-PERCENT INVESTMENT TAX CREDIT AND $100,000 LIMITATION ON USED PROPERTY MADE PERMANENT. (a) 10-PERCENT INVESTMENT CREDIT.—Subparagraph (B) of section 26 USC 46. 46(a)(2) (defining regular percentage) is amended to read as follows: "(B) REGULAR PERCENTAGE.—For purposes of this paragraph, the regular percentage is 10 percent." (b) $100,000 LIMITATION ON USED PROPERTY.—Paragraph (2) of 26 USC 48 note, section 301(c) of the Tax Reduction Act of 1975 (relating to effective date for increase of dollar limitation on used property) is amended by striking out", and before January 1, 1981". (c) TECHNICAL AMENDMENTS.—

26 USC 46.

26 USC 46. 92 Stat. 3174. 26 USC 1 note. Ante, p. 2763. ^ 26 USC 46.

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(1) Subparagraph (A) of section 46(c)(3) (relating to public utility property) is amended by striking out "For the period beginning on January 1, 1981" and inserting in lieu thereof "To the extent that the credit allowed by section 38 with respect to any public utility property is determined at the rate of 7 percent". (2) The first sentence of section 46(f)(8) (relating to prohibition of immediate flow through) is amended by striking out "and the Energy Tax Act of 1978" and inserting in lieu thereof "the Energy Tax Act of 1978, and the Revenue Act of 1978". SEC. 312. INCREASE IN LIMITATION ON INVESTMENT CREDIT TO 90 PERCENT OF TAX LIABILITY (a) INCREASE IN GENERAL LIMITATION.—Paragraph (3) of section 46(a) (relating to amount of credit) is amended to read as follows: "(3) LIMITATION BASED ON AMOUNT OF TAX.—Notwithstanding paragraph (1), the credit allowed by section 38 for the taxable year shall not exceed— "(A) so much of the liability for tax for the taxable year as does not exceed $25,000, plus "(B) the following percentage of so much of the liability for tax for the taxable year as exceeds $25,000: "If the taxable year ends in: The percentage is: 1979 60 1980 70 1981 80 1982 or thereafter 90."

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