Page:United States Statutes at Large Volume 98 Part 1.djvu/552

 98 STAT. 504 26 USC 168 note. 96 Stat. 432. 96 Stat. 442. Post, p. 1048. 26 USC 168 note.

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PUBLIC LAW 98-369—JULY 18, 1984

(b) TERMINATION OF SAFE HARBOR LEASING RuLES.—Paragraph (8) of section 168(f) of the Internal Revenue Code of 1954 (relating to special rules for leasing), as in effect after the amendments made by section 208 of the Tax Equity and Fiscal Responsibility Act of 1982 but before the amendments made by section 209 of such Act, shall not apply to agreements entered into after December 31, 1983. The preceding sentence shall not apply to property described in paragraph (3)(G) or (5) of section 208(d) of such Act. (c) TRANSITIONAL RULES.—

(1) IN GENERAL.—The amendments made by subsection (a) shall not apply with respect to any property if— (A) a binding contract to acquire or to construct such property was entered into by or for the lessee before March 7, 1984, or (B) such property was acquired by the lessee, or the construction of such property was begun, by or for the lessee, before March 7, 1984. (2) SPECIAL RULE FOR CERTAIN AUTOMOTIVE PROPERTY.—

Y 26 USC 168 note.

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(A) IN GENERAL.—The amendments made by subsection (a) shall not apply to property which is placed in service before January 1, 1988— (i) which is automotive manufacturing property, and (ii) with respect to which the lessee is a qualified lessee (within the meaning of section 208(d)(6) of the Tax Equity and Fiscal Responsibility Act of 1982). (B) $150,000,000 LIMITATION.—The provisions of subparagraph (A) shall not apply to any agreement if the sum of— (i) the cost basis of the property subject to the agreement, plus (ii) the cost basis of any property subject to an agreement to which subparagraph (A) previously applied and with respect to which the lessee was the lessee under the agreement described in clause (i) (or any related person within the meaning of section 168(e)(4)(D) of the Internal Revenue Code of 1954), exceeds $150,000,000. (C) AUTOMOTIVE MANUFACTURING PROPERTY.—For purposes of this paragraph, the term "automotive manufacturing property' means— (i) property used principally by the taxpayer directly in connection with the trade or business of the taxpayer of the manufacturing of automobiles or trucks (other than truck tractors) with a gross vehicle weight of 13,000 pounds or less, (ii) machinery, equipment, and special tools of the type included in former depreciation range guideline classes 37.11 and 37.12, and (iii) any special tools owned by the taxpayer which are used by a vendor solely for the production of component parts for sale to the taxpayer. (3) SPECIAL RULE FOR CERTAIN COGENERATION FACILITIES.—The

amendments made by subsection (a) shall not apply with respect to any property which is part of a coal-fired cogeneration facility— (A) for which an application for certification was filed with the Federal Energy Regulatory Commission on December 30, 1983,

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