Page:United States Statutes at Large Volume 92 Part 3.djvu/999

 PUBLIC LAW 95-628—NOV. 10, 1978

92 STAT. 3 6 3 1

(b) INVESTMENT CREDIT AND OTHER CREDIT CARRYBACKS.—

(1) Paragraph (4) of section 6511(d) (relating to special period of limitation with respect to investment credit carrybacks) is amended to read as follows: " (4) SPECIAL PERIOD o r LIMITATION W I T H RESPECT TO CERTAIN CREDIT CARRYBACKS.—

" (A) PERIOD OF LIMITATION.—If the claim for credit or

refund relates to an overpayment attributable to a credit carryback, in lieu of the 3-year period of limitation prescribed in subsection (a), the period shall be that period which ends 3 years after the time prescribed by law for filing the return (including extensions thereof) for the taxable year of the unused credit which results in such carryback (or, with respect to any portion of a credit carryback from a taxable year attributable to a net operating loss carryback, capital loss carryback, or other credit carryback from a subsequent taxable year, the period shall be that period which ends 3 years after the time prescribed by law for filing the return, including extensions thereof, for such subsequent taxable year) or the period prescribed in subsection (c) in respect of such taxable year, whichever expires later. I n the case of such a claim, the amount of the credit or refund may exceed the portion of the tax paid within the period provided in subsection (b)(2) or (c), whichever is applicable, to the extent of the amottnt of the overpayment attributable to such carryback. " (B) APPLICAB1.E RULES.—If the allowance of a credit or refund of a n overpayment of tax attributable to a credit carryback is otherwise prevented by the operation of any law or rule of law other than section 7122, relating to compromises, 26 USC 7122. such credit or refund may be allowed or made, if claim therefor is filed within the period provided in subparagraph (A) of this paragraph. I n the case of any such claim for credit or refund, the determination by any court, including the T a x Court, in any proceeding in which the decision of the court has become final, shall not be conclusive with respect to any credit, and the effect of such credit, to the extent that such credit is affected by a credit carryback which was not in issue i n such proceeding. "(C)

CREDIT CARRYBACK DEFINED.—For purposes of t h i s

paragraph, the term 'credit carryback' means any investment credit carryback, work incentive program credit carryback, and new employee credit carryback." (2) Subsection (d) of section 6511 is amended— 26 USC 6511. (A) by striking out paragraph s (7) and (9), and (B) by redesignating paragraph (8) as p a r a ^ a p h (7). (c) T E C H N I C A L AND CONFORMING AMENDMENTS. — (1) AMENDMENTS OF SECTION 65oi.—

26 USC 6501.

(A) Subsection (j) of section 6501 (relating to investment credit carrybacks) is amended to read as follows: "(j)

CERTAIN CREDIT CARRYBACKS.—

26 USC 6501.

" (1) IN GENERAL.—In the case of a deficiency attributable to the application to the taxpayer of a credit carryback (including deficiencies which may be assessed pursuant to the provisions of section 6213(b)(3)), such deficiency may be assessed a t any time 26 USC 6213. before the expiration of the period within which a deficiency for

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