Page:United States Statutes at Large Volume 94 Part 2.djvu/613

 PUBLIC LAW 96-445—OCT. 13, 1980

94 STAT. 1891

Public Law 96-445 96th Congress An Act To establish priorities in the payment of claims against the People's Republic of China.

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled, That section 8 of the International Claims Settlement Act of 1949 is amended— (1) in subsection (e), by striking out "The" after "(e)" and inserting in lieu thereof "Except as provided in subsection (0» the"; and (2) by adding at the end thereof the following: "(fKD Out of sums covered after May 11, 1979, into the special fund created pursuant to this section to receive funds paid by the People's Republic of China, the Secretary of the Treasury is authorized and directed to make payments on account of awards certified by the Commission pursuant to title V with respect to claims included within the terms of the Agreement Between the Government of the United States of America and the Government of the People's Republic of China Concerning the Settlement of Claims, signed on May 11, 1979, in the following order of priority: "(A) Pajonent in the amount of $1,000 or the principal amount of the award, whichever is less. "(B) Thereafter, except as provided in paragraph (2), to the extent there remain unpaid principal balances on awards, payments from time to time on account of the unpaid principal balance of each remaining award which bear to such unpaid principal balance the same proportion as the total amount available for distribution at the time such payments are made bears to the aggregate unpaid principal balance of all such awards. "(C) Thereafter, payments from time to time on account of the unpaid balance of each award of interest which bear to such unpaid balance of interest the same proportion as the total amount available for distribution at the time such payments are made bears to the aggregate unpaid balance of interest of all such awards. "(2)(A) For the purpose of computing the payments to be made under paragraph (1) to any claimant which was an incorporated business enterprise on the date of nationalization or other taking of property, the award certified by the Commission under title V shall be reduced by the amount of Federal tax benefits derived by such claimant on account of the losses upon which such claim was based, but in no case shall such payments be reduced below the amount paid to such claimant on account of such claim before the date of the enactment of this subsection. For purposes of this subparagraph, such Federal tax benefits shall be the amount by which the claimant's taxes in any prior taxable year or years under chapters 1, 2A, 2B, 2D, and 2E of the Internal Revenue Code of 1939, or subtitle A of the Internal Revenue Code of 1954, were decreased with respect to the

Oct. 13, 1980 [H.R. 6440] People's Republic of China, claim payment priorities. 22 USC 1627.

22 USC 1643.

Federal tax benefits.

53 Stat. 1, 26 USC note prec. tables.

26 USC 1.

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