Page:United States Statutes at Large Volume 98 Part 1.djvu/672

 98 STAT. 624

PUBLIC LAW 98-369—JULY 18, 19^4 making delivery, by exercise or being exercised, by assignment or being assigned, by lapse,", (B) by striking out "takes delivery under" in paragraph (2) and inserting in lieu thereof "takes delivery under or exercises", and (C) by striking out "TAKES DELIVERY ON" in the heading of paragraph (2) and inserting in lieu thereof "TAKES DELIVERY ON OR EXERCISES".

26 USC 1092.

Ante, p. 620. 26 USC 1212.

26 USC 1234A.

26 USC 1256.

26 USC 263.

(2) Paragraph (5) of section 1092(d) is amended to read as follows: "(5) SECTION 1256 CONTRACT.—The term 'section 1256 contract' has the meaning given such term by section 1256(b)." (3) Subsection (c) of section 1212 (relating to carryback of losses from regulated futures contracts to offset prior gains from such contracts) is amended— (A) by striking out "net commodity futures loss" each place it appears (including in any headings) and inserting in lieu thereof "net section 1256 contracts loss", (B) by striking out "regulated futures contracts" each place it appears (including in any headings) and inserting in lieu thereof "section 1256 contracts", (C) by striking out "regulated futures contract" each place it appears in paragraph (7)(A) (including the heading) and inserting in lieu thereof "section 1256 contract", and (D) by striking out "net commodity futures gain" each place it appears (including in any headings) and inserting in lieu thereof "net section 1256 contract gain". (4) Paragraph (2) of section 1234A (relating to gains or losses from certain terminations) is amended by striking out "a regulated futures contract" and inserting in lieu thereof "a section 1256 contract". (5) The section heading for section 1256 is amended by striking out "REGULATED FUTURES CONTRACTS" and inserting in lieu thereof "SECTION 1256 CONTRACTS". (6) The table of sections for part IV of subchapter P of chapter 1 is amended by striking out "Regulated futures contracts' in the item relating to section 1256 and inserting in lieu thereof "Section 1256 contracts". (7) Paragraph (2) of section 263(g) (defining interest and carrying charges) is amended to read as follows: "(2) INTEREST AND CARRYING CHARGES DEFINED.—For purposes

Ante, pp. 532, 547, 548.

of paragraph (1), the term 'interest and carrying charges' means the excess of— "(A) the sum of— "(i) interest on indebtedness incurred or continued to purchase or carry the personal property, and "(ii) all other amounts (including charges to insure, store, or transport the personal property) paid or incurred to carry the personal property, over "(B) the sum of— "(i) the amount of interest (including original issue discount) includible in gross income for the taxable year with respect to the property described in subparagraph (A), "(ii) any amount treated as ordinary income under section 1271(a)(3)(A), 1278, or 1281(a) with respect to such property for the taxable year, and

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