Page:United States Statutes at Large Volume 94 Part 1.djvu/247

 PUBLIC LAW 96-222—APR. 1, 1980

94 STAT. 197

(B) EFFECTIVE DATE.—Subsection (c) of section 134 of the Revenue Act of 1978 is amended by striking out "taxable 26 USC 125 note. years" and inserting in lieu thereof "plan years". 92 Stat. 2787. (7) AMENDMENTS RELATED TO SECTION 1 4 1 O F THE ACT.— (A) AMENDMENT TO ANTI-FLOW-THROUGH RULES.—Para-

graph (9) of section 46(f) (relating to special rule for 26 USC 46. additional credit) is amended— (i) by striking out "subparagraph (B) of subsection (a)(2)" each place it appears and inserting in lieu thereof "subparagraph (E) of subsection (a)(2)", and (ii) by striking out "an employee stock ownership plan which meets the requirements of section 301(d) of the Tax Reduction Act of 1975" in subparagraph (A) and inserting in lieu thereof "a tax credit employee stock ownership plan which meets the requirements of section 409A". (B) CLARIFICATION OF EFFECTIVE DATE.—Section 141 of the

Revenue Act of 1978 (relating to ESOPS) is amended by striking out subsection (g) and inserting in lieu thereof the following new subsections: "(g) EFFECTIVE DATES FOR TAX CREDIT EMPLOYEE STOCK OWNERSHIP 26 USC 409A note. PLANS.—

"(1) IN GENERAL.—Except as otherwise provided in this subsection and subsection (h), the amendments made by this section shall apply with respect to qualified investment for taxable years beginning after December 31, 1978. "(2) ELECTION TO HAVE AMENDMENTS APPLY DURING 1978.—At

the election of the taxpayer, paragraph (1) shall be applied by substituting 'December 31, 1977' for 'December 31, 1978^; except that in the case of a plan in existence before December 31, 1978, any such election shall not affect the required allocation of employer securities attributable to qualified investment for taxable years beginning before January 1, 1979. An election under the preceding sentence shall be made at such time and in such manner as the Secretary of the Treasury or his delegate shall prescribe. Such an election, once made, shall be irrevocable. ''(3) VOTING RIGHT PROVISIONS.—Section 409A(e) of the Internal

Revenue Code of 1954 (as added by subsection (a)) shall apply to 26 USC 409A. plans to which section 409A of such Code applies, beginning with the first day of such application. "(4) RIGHT TO DEMAND EMPLOYER SECURITIES, ETC.—Paragraphs

(1)(A) and (2) of section 409A(h) of the Internal Revenue Code of 1954 (as added by subsection (a)) shall apply to distributions after December 31, 1978, made by a plan to which section 409A of such Code applies. "(5) SUBSECTION (f)(7).—The amendment made by subsection 26 USC 415 note. (f)(7) shall apply to years beginning after December 31, 1978. "(6) RETROACTIVE APPLICATION OF AMENDMENT MADE BY SUBSEC- 26 USC 56 note.

TION (d).—In determining the regular tax deduction under section 56(c) 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 of such Code shall be determined without regard to section 46(a)(2)(B) of such Code (as in effect 26 USC 1 note. before the enactment of the Energy Tax Act of 1978). "(h) EFFECTIVE DATES FOR SECTION 4975 EMPLOYEE STOCK OWNER- 26 USC 4975 SHIP PLANS.—Paragraphs (5) and (6) of subsection (f) shall apply— note. "(1) insofar as they make the requirements of subsections (e) and (h)(1)(B) of section 409A of the Internal Revenue Code of 1954

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