Internal Revenue Code:Sec. 165. Losses
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Location in Internal Revenue Code
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter B - Computation of Taxable Income
PART VI - ITEMIZED DEDUCTIONS FOR INDIVIDUALS AND CORPORATIONS
Statute
Sec. 165. Losses
(a) General rule
There shall be allowed as a deduction any loss sustained during
the taxable year and not compensated for by insurance or otherwise.
(b) Amount of deduction
For purposes of subsection (a), the basis for determining the
amount of the deduction for any loss shall be the adjusted basis
provided in section 1011 for determining the loss from the sale or
other disposition of property.
(c) Limitation on losses of individuals
In the case of an individual, the deduction under subsection (a)
shall be limited to -
(1) losses incurred in a trade or business;
(2) losses incurred in any transaction entered into for profit,
though not connected with a trade or business; and
(3) except as provided in subsection (h), losses of property
not connected with a trade or business or a transaction entered
into for profit, if such losses arise from fire, storm,
shipwreck, or other casualty, or from theft.
(d) Wagering losses
Losses from wagering transactions shall be allowed only to the
extent of the gains from such transactions.
(e) Theft losses
For purposes of subsection (a), any loss arising from theft shall
be treated as sustained during the taxable year in which the
taxpayer discovers such loss.
(f) Capital losses
Losses from sales or exchanges of capital assets shall be allowed
only to the extent allowed in sections 1211 and 1212.
(g) Worthless securities
(1) General rule
If any security which is a capital asset becomes worthless
during the taxable year, the loss resulting therefrom shall, for
purposes of this subtitle, be treated as a loss from the sale or
exchange, on the last day of the taxable year, of a capital
asset.
(2) Security defined
For purposes of this subsection, the term ''security'' means -
(A) a share of stock in a corporation;
(B) a right to subscribe for, or to receive, a share of stock
in a corporation; or
(C) a bond, debenture, note, or certificate, or other
evidence of indebtedness, issued by a corporation or by a
government or political subdivision thereof, with interest
coupons or in registered form.
(3) Securities in affiliated corporation
For purposes of paragraph (1), any security in a corporation
affiliated with a taxpayer which is a domestic corporation shall
not be treated as a capital asset. For purposes of the preceding
sentence, a corporation shall be treated as affiliated with the
taxpayer only if -
(A) the taxpayer owns directly stock in such corporation
meeting the requirements of section 1504(a)(2), and
(B) more than 90 percent of the aggregate of its gross
receipts for all taxable years has been from sources other than
royalties, rents (except rents derived from rental of
properties to employees of the corporation in the ordinary
course of its operating business), dividends, interest (except
interest received on deferred purchase price of operating
assets sold), annuities, and gains from sales or exchanges of
stocks and securities.
In computing gross receipts for purposes of the preceding
sentence, gross receipts from sales or exchanges of stocks and
securities shall be taken into account only to the extent of
gains therefrom.
(h) Treatment of casualty gains and losses
(1) $100 limitation per casualty
Any loss of an individual described in subsection (c)(3) shall
be allowed only to the extent that the amount of the loss to such
individual arising from each casualty, or from each theft,
exceeds $100.
(2) Net casualty loss allowed only to the extent it exceeds 10
percent of adjusted gross income
(A) In general
If the personal casualty losses for any taxable year exceed
the personal casualty gains for such taxable year, such losses
shall be allowed for the taxable year only to the extent of the
sum of -
(i) the amount of the personal casualty gains for the
taxable year, plus
(ii) so much of such excess as exceeds 10 percent of the
adjusted gross income of the individual.
(B) Special rule where personal casualty gains exceed personal
casualty losses
If the personal casualty gains for any taxable year exceed
the personal casualty losses for such taxable year -
(i) all such gains shall be treated as gains from sales or
exchanges of capital assets, and
(ii) all such losses shall be treated as losses from sales
or exchanges of capital assets.
(3) Definitions of personal casualty gain and personal casualty
loss
For purposes of this subsection -
(A) Personal casualty gain
The term ''personal casualty gain'' means the recognized gain
from any involuntary conversion of property which is described
in subsection (c)(3) arising from fire, storm, shipwreck, or
other casualty, or from theft.
(B) Personal casualty loss
The term ''personal casualty loss'' means any loss described
in subsection (c)(3). For purposes of paragraph (2), the amount
of any personal casualty loss shall be determined after the
application of paragraph (1).
(4) Special rules
(A) Personal casualty losses allowable in computing adjusted
gross income to the extent of personal casualty gains
In any case to which paragraph (2)(A) applies, the deduction
for personal casualty losses for any taxable year shall be
treated as a deduction allowable in computing adjusted gross
income to the extent such losses do not exceed the personal
casualty gains for the taxable year.
(B) Joint returns
For purposes of this subsection, a husband and wife making a
joint return for the taxable year shall be treated as 1
individual.
(C) Determination of adjusted gross income in case of estates
and trusts
For purposes of paragraph (2), the adjusted gross income of
an estate or trust shall be computed in the same manner as in
the case of an individual, except that the deductions for costs
paid or incurred in connection with the administration of the
estate or trust shall be treated as allowable in arriving at
adjusted gross income.
(D) Coordination with estate tax
No loss described in subsection (c)(3) shall be allowed if,
at the time of filing the return, such loss has been claimed
for estate tax purposes in the estate tax return.
(E) Claim required to be filed in certain cases
Any loss of an individual described in subsection (c)(3) to
the extent covered by insurance shall be taken into account
under this section only if the individual files a timely
insurance claim with respect to such loss.
(i) Disaster losses
(1) Election to take deduction for preceding year
Notwithstanding the provisions of subsection (a), any loss
attributable to a disaster occurring in an area subsequently
determined by the President of the United States to warrant
assistance by the Federal Government under the Robert T.
Stafford Disaster Relief and Emergency Assistance Act
may, at the election of the
taxpayer, be taken into account for the taxable year immediately
preceding the taxable year in which the disaster occurred.
(2) Year of loss
If an election is made under this subsection, the casualty
resulting in the loss shall be treated for purposes of this title
as having occurred in the taxable year for which the deduction is
claimed.
(3) Amount of loss
The amount of the loss taken into account in the preceding
taxable year by reason of paragraph (1) shall not exceed the
uncompensated amount determined on the basis of the facts
existing at the date the taxpayer claims the loss.
(4) Use of disaster loan appraisals to establish amount of loss
Nothing in this title shall be construed to prohibit the
Secretary from prescribing regulations or other guidance under
which an appraisal for the purpose of obtaining a loan of Federal
funds or a loan guarantee from the Federal Government as a result
of a Presidentially declared disaster (as defined by section
1033(h)(3)) may be used to establish the amount of any loss
described in paragraph (1) or (2).
(j) Denial of deduction for losses on certain obligations not in
registered form
(1) In general
Nothing in subsection (a) or in any other provision of law
shall be construed to provide a deduction for any loss sustained
on any registration-required obligation unless such obligation is
in registered form (or the issuance of such obligation was
subject to tax under section 4701).
(2) Definitions
For purposes of this subsection -
(A) Registration-required obligation
The term ''registration-required obligation'' has the meaning
given to such term by section 163(f)(2) except that clause (iv)
of subparagraph (A), and subparagraph (B), of such section
shall not apply.
(B) Registered form
The term ''registered form'' has the same meaning as when
used in section 163(f).
(3) Exceptions
The Secretary may, by regulations, provide that this subsection
and section 1287 shall not apply with respect to obligations held
by any person if -
(A) such person holds such obligations in connection with a
trade or business outside the United States,
(B) such person holds such obligations as a broker dealer
(registered under Federal or State law) for sale to customers
in the ordinary course of his trade or business,
(C) such person complies with reporting requirements with
respect to ownership, transfers, and payments as the Secretary
may require, or
(D) such person promptly surrenders the obligation to the
issuer for the issuance of a new obligation in registered form,
but only if such obligations are held under arrangements provided
in regulations or otherwise which are designed to assure that
such obligations are not delivered to any United States person
other than a person described in subparagraph (A), (B), or (C).
(k) Treatment as disaster loss where taxpayer ordered to demolish
or relocate residence in disaster area because of disaster
In the case of a taxpayer whose residence is located in an area
which has been determined by the President of the United States to
warrant assistance by the Federal Government under the Robert T.
Stafford Disaster Relief and Emergency Assistance Act, if -
(1) not later than the 120th day after the date of such
determination, the taxpayer is ordered, by the government of the
State or any political subdivision thereof in which such
residence is located, to demolish or relocate such residence, and
(2) the residence has been rendered unsafe for use as a
residence by reason of the disaster,
any loss attributable to such disaster shall be treated as a loss
which arises from a casualty and which is described in subsection
(i).
(l) Treatment of certain losses in insolvent financial institutions
(1) In general
If -
(A) as of the close of the taxable year, it can reasonably be
estimated that there is a loss on a qualified individual's
deposit in a qualified financial institution, and
(B) such loss is on account of the bankruptcy or insolvency
of such institution,
then the taxpayer may elect to treat the amount so estimated as a
loss described in subsection (c)(3) incurred during the taxable
year.
(2) Qualified individual defined
For purposes of this subsection, the term ''qualified
individual'' means any individual, except an individual -
(A) who owns at least 1 percent in value of the outstanding
stock of the qualified financial institution,
(B) who is an officer of the qualified financial institution,
(C) who is a sibling (whether by the whole or half blood),
spouse, aunt, uncle, nephew, niece, ancestor, or lineal
descendant of an individual described in subparagraph (A) or
(B), or
(D) who otherwise is a related person (as defined in section
267(b)) with respect to an individual described in subparagraph
(A) or (B).
(3) Qualified financial institution
For purposes of this subsection, the term ''qualified financial
institution'' means -
(A) any bank (as defined in section 581),
(B) any institution described in section 591,
(C) any credit union the deposits or accounts in which are
insured under Federal or State law or are protected or
guaranteed under State law, or
(D) any similar institution chartered and supervised under
Federal or State law.
(4) Deposit
For purposes of this subsection, the term ''deposit'' means any
deposit, withdrawable account, or withdrawable or repurchasable
share.
(5) Election to treat as ordinary loss
(A) In general
In lieu of any election under paragraph (1), the taxpayer may
elect to treat the amount referred to in paragraph (1) for the
taxable year as an ordinary loss described in subsection (c)(2)
incurred during the taxable year.
(B) Limitations
(i) Deposit may not be federally insured
No election may be made under subparagraph (A) with respect
to any loss on a deposit in a qualified financial institution
if part or all of such deposit is insured under Federal law.
(ii) Dollar limitation
With respect to each financial institution, the aggregate
amount of losses attributable to deposits in such financial
institution to which an election under subparagraph (A) may
be made by the taxpayer for any taxable year shall not exceed
$20,000 ($10,000 in the case of a separate return by a
married individual). The limitation of the preceding
sentence shall be reduced by the amount of any insurance
proceeds under any State law which can reasonably be expected
to be received with respect to losses on deposits in such
institution.
(6) Election
Any election by the taxpayer under this subsection for any
taxable year -
(A) shall apply to all losses for such taxable year of the
taxpayer on deposits in the institution with respect to which
such election was made, and
(B) may be revoked only with the consent of the Secretary.
(7) Coordination with section 166
Section 166 shall not apply to any loss to which an election
under this subsection applies.
(m) Cross references
(1) For special rule for banks with respect to worthless
securities, see section 582.
(2) For disallowance of deduction for worthlessness of
securities to which subsection (g)(2)(C) applies, if issued by
a political party or similar organization, see section 271.
(3) For special rule for losses on stock in a small business
investment company, see section 1242.
(4) For special rule for losses of a small business
investment company, see section 1243.
(5) For special rule for losses on small business stock, see
section 1244.
Sources
(Aug. 16, 1954, ch. 736, 68A Stat. 49; Pub. L. 85-866, title I,
Sec. 7, 57(c)(1), title II, Sec. 202(a), Sept. 2, 1958, 72 Stat.
1608, 1646, 1676; Pub. L. 87-426, Sec. 2(a), Mar. 31, 1962, 76
Stat. 51; Pub. L. 88-272, title II, Sec. 208(a), 238, Feb. 26,
1964, 78 Stat. 43, 128; Pub. L. 88-348, Sec. 3(a), June 30, 1964,
78 Stat. 237; Pub. L. 91-606, title III, Sec. 301(h), Dec. 31,
1970, 84 Stat. 1759; Pub. L. 91-677, Sec. 1(a), Jan. 12, 1971, 84
Stat. 2061; Pub. L. 91-687, Sec. 1, Jan. 12, 1971, 84 Stat. 2071;
Pub. L. 92-336, Sec. 2(a), July 1, 1972, 86 Stat. 406; Pub. L.
92-418, Sec. 2(a), Aug. 29, 1972, 86 Stat. 656, 657; Pub. L.
93-288, title VII, Sec. 702(h), formerly title VI, Sec. 602(h), May
22, 1974, 88 Stat. 164, renumbered title VII, Sec. 702(h), Pub. L.
103-337, div. C, title XXXIV, Sec. 3411(a)(1), (2), Oct. 5, 1994,
108 Stat. 3100; Pub. L. 94-455, title XIX, Sec. 1901(a)(26), Oct.
4, 1976, 90 Stat. 1767; Pub. L. 97-248, title II, Sec. 203(a), (b),
title III, Sec. 310(b)(5), Sept. 3, 1982, 96 Stat. 422, 598; Pub.
L. 98-369, div. A, title I, Sec. 42(a)(4), title VII, Sec.
711(c)(1), (2)(A)(i), (ii), title X, Sec. 1051(a), July 18, 1984,
98 Stat. 556, 943, 1044; Pub. L. 99-514, title IX, Sec. 905(a),
title X, Sec. 1004(a), Oct. 22, 1986, 100 Stat. 2385, 2388; Pub. L.
100-647, title I, Sec. 1009(d)(1), Nov. 10, 1988, 102 Stat. 3449;
Pub. L. 100-707, title I, Sec. 109(l), Nov. 23, 1988, 102 Stat.
4709; Pub. L. 105-34, title IX, Sec. 912(a), Aug. 5, 1997, 111
Stat. 878; Pub. L. 106-554, Sec. 1(a)(7) (title III, Sec.
318(b)(1), (2)), Dec. 21, 2000, 114 Stat. 2763, 2763A-645.)
References in Text
REFERENCES IN TEXT
The Disaster Relief and Emergency Assistance Act, referred to in
subsecs. (i)(1) and (k), is Pub. L. 93-288, May 22, 1974, 88 Stat.
143, as amended, known as the Robert T. Stafford Disaster Relief
and Emergency Assistance Act, which is classified principally to
chapter 68 (Sec. 5121 et seq.) of Title 42, The Public Health and
Welfare. For complete classification of this Act to the Code, see
Short Title note set out under section 5121 of Title 42 and Tables.
Miscellaneous
AMENDMENTS
2005 - P.L. 109-73
SEC. 402. SUSPENSION OF CERTAIN LIMITATIONS ON PERSONAL CASUALTY LOSSES.
Paragraphs (1) and (2)(A) of section 165(h) of the Internal Revenue
Code of 1986 shall not apply to losses described in section 165(c)(3) of
such Code which arise in the Hurricane Katrina disaster area on or after
August 25, 2005, and which are attributable to Hurricane
Katrina. <<NOTE: Applicability.>> In the case of any other losses,
section 165(h)(2)(A) of such Code shall be applied without regard to the
losses referred to in the preceding sentence.
2000 - Subsec. (g)(3). Pub. L. 106-554, Sec. 1(a)(7) (title III,
Sec. 318(b)(2)), struck out last sentence of concluding provisions
which read as follows: ''As used in subparagraph (A), the term
'stock' does not include nonvoting stock which is limited and
preferred as to dividends.''
Subsec. (g)(3)(A). Pub. L. 106-554, Sec. 1(a)(7) (title III, Sec.
318(b)(1)), amended subpar. (A) generally. Prior to amendment,
subpar. (A) read as follows: ''stock possessing at least 80 percent
of the voting power of all classes of its stock and at least 80
percent of each class of its nonvoting stock is owned directly by
the taxpayer, and''.
1997 - Subsec. (i)(4). Pub. L. 105-34 added par. (4).
1988 - Subsecs. (i)(1), (k). Pub. L. 100-707 substituted ''and
Emergency Assistance Act'' for ''Act of 1974''.
Subsec. (l)(5) to (7). Pub. L. 100-647 added pars. (5) and (6),
redesignated former par. (6) as (7), and struck out former par. (5)
which read as follows: ''Election. - Any election by the taxpayer
under this subsection may be revoked only with the consent of the
Secretary and shall apply to all losses of the taxpayer on deposits
in the institution with respect to which such election was made.''
1986 - Subsec. (h)(4)(E). Pub. L. 99-514, Sec. 1004(a), added
subpar. (E).
Subsecs. (l), (m). Pub. L. 99-514, Sec. 905(a), added subsec. (l)
and redesignated former subsec. (l) as (m).
1984 - Subsec. (c)(3). Pub. L. 98-369, Sec. 711(c)(2)(A)(i),
extended limitation to losses of property not connected with a
transaction entered into for profit.
Subsec. (h). Pub. L. 98-369, Sec. 711(c)(2)(A)(ii), substituted
heading ''Treatment of casualty gains and losses'' for ''Casualty
and theft losses''; substituted par. (1) ''$100 limitation per
casualty'' provision for former par. (1) ''General rule'' provision
stating that: ''Any loss of an individual described in subsection
(c)(3) shall be allowed for any taxable year only to the extent
that -
''(A) the amount of loss to such individual arising from each
casualty, or from each theft, exceeds $100, and
''(B) the aggregate amount of all such losses sustained by such
individual during the taxable year (determined after application
of subparagraph (A) exceeds 10 percent of the adjusted gross
income of the individual.'';
added par. (2) ''Net casualty loss allowed only to the extent it
exceeds 10 percent of adjusted gross income'' provision and par.
(3) ''Definitions of personal casualty gain and personal casualty
loss'' provisions; redesignated as par. (4) former par. (2)
catchline; added par. (4)(A) ''Personal casualty losses allowable
in computing adjusted gross income to the extent of personal
casualty gains'' provision; redesignated as par. (4)(B) former par.
(2)(A) joint returns provision, substituting ''For purposes of this
section'' for ''For purposes of the $100 and 10 percent limitations
described in paragraph (1)'' and ''individual'' for ''one
individual''; redesignated as par. (4)(C) former par. (2)(B),
substituting therein paragraph ''(2)'' for ''(1)''; and
redesignated as par. (4)(D) former par. (2)(C).
Pub. L. 98-369, Sec. 711(c)(1), amended par. (2) by redesignating
subpar. (B) as (C) and by adding a new subpar. (B) relating to the
determination of adjusted gross income in case of estates and
trusts.
Subsec. (j)(3). Pub. L. 98-369, Sec. 42(a)(4), substituted
''section 1287'' for ''subsection (d) of section 1232''.
Subsecs. (k), (l). Pub. L. 98-369, Sec. 1051(a), added subsec.
(k) and redesignated former subsec. (k) as (l).
1982 - Subsec. (c)(3). Pub. L. 97-248, Sec. 203(b), inserted
''except as provided in subsection (h),'' before ''losses of
property'' and struck out provisions that a loss described in this
paragraph would be allowed only to the extent that the amount of
loss to such individual arising from each casualty, or from each
theft, exceeded $100, that, for purposes of the $100 limitation, a
husband and wife making a joint return under section 6013 for the
taxable year in which the loss was allowed as a deduction would be
treated as one individual, and that no loss described in this
paragraph would be allowed if, at the time of filing the return,
such loss had been claimed for estate tax purposes in the estate
tax return.
Subsec. (h). Pub. L. 97-248, Sec. 203(a), added subsec. (h)
relating to casualty and theft losses. Former subsec. (h),
relating to disaster losses, redesignated (i).
Subsec. (i). Pub. L. 97-248, Sec. 203(a), redesignated former
subsec. (h), relating to disaster losses, as (i), in subsec. (i),
as so redesignated, further redesignated existing unnumbered
provisions as pars. (1) and (2), in par. (1), as so redesignated,
substituted ''be taken into account for the taxable year'' for ''be
deducted for the taxable year'', in par. (2), as so redesignated,
substituted ''shall be treated for purposes of this title as having
occurred'' for ''will be deemed to have occurred'', added par. (3),
and struck out provision that a deduction under this subsection
could not be in excess of so much of the loss as would have been
deductible in the taxable year in which the casualty occurred,
based on facts existing at the date the taxpayer claimed the loss.
Former subsec. (i), setting forth cross references, redesignated
(j).
Subsec. (j). Pub. L. 97-248, Sec. 310(b)(5), added subsec. (j)
relating to denial of deduction for losses on certain obligations
not in registered form. Former subsec. (j), setting forth cross
references, redesignated (k).
Pub. L. 97-248, Sec. 203(a), redesignated former subsec. (i),
setting forth cross references, as (j).
Subsec. (k). Pub. L. 97-248, Sec. 310(b)(5), redesignated former
subsec. (j), setting forth cross references, as (k).
1976 - Subsecs. (i), (j). Pub. L. 94-455 redesignated subsec. (j)
as subsec. (i). Former subsec. (i), which related to property
confiscated by Cuba, was struck out.
1974 - Subsec. (h). Pub. L. 93-288 substituted ''Disaster Relief
Act of 1974'' for ''Disaster Relief Act of 1970''.
1972 - Subsec. (h). Pub. L. 92-418 struck out par. (1) provisions
relating to losses attributable to a disaster occurring during
period following close of taxable year and on or before time
prescribed by law for filing the income tax return for the taxable
year without regard to any extension of time, struck out par. (2)
designation, and inserted ''attributable to a disaster'' before
''occurring in an area'', and at end of second sentence, inserted
''based on facts existing at the date the taxpayer claims the
loss''.
Subsec. (h)(1). Pub. L. 92-336 substituted provisions relating to
losses attributable to a disaster which occurs during the period
after the close of the taxable year and on or before the last day
of the 6th calendar month beginning after the close of the taxable
year, for provisions relating to losses attributable to a disaster
which occurs during the period following the close of the taxable
year and on or before the time prescribed by law for filing the
income tax return for the taxable year, determined without regard
to any extension of time.
1971 - Subsec. (g)(3). Pub. L. 91-687 substituted ''stock
possessing at least 80 percent of the voting power of all classes
of its stock and at least 80 percent of each class of its nonvoting
stock'' for ''at least 95 percent of each class of its stock'' in
subpar. (A), and inserted at the end of the subsection the sentence
providing that the term ''stock'', as used in subpar. (A), does not
include nonvoting stock which is limited and preferred as to
dividends.
Subsec. (i)(1). Pub. L. 91-677, Sec. 1(a)(1), (2), struck out
''or (2)'' after ''paragraph (1)'' in cl. (B), and substituted
''one or more days in the period beginning on December 31, 1958,
and ending on May 16, 1959'' for ''December 31, 1958''.
Subsec. (i)(2)(B). Pub. L. 91-677, Sec. 1(a)(3), substituted
''one or more days during the period beginning on December 31,
1958, and ending on May 16, 1959'' for ''December 31, 1958'' and
''the first day in such period on which the property was held by
the taxpayer'' for ''December 31, 1958''.
Subsec. (i)(3). Pub. L. 91-677, Sec. 1(a)(4), struck out subsec.
(i)(3) which authorized a refund or credit to be given for any
overpayment attributable to the application of par. (1), provided
that a claim was filed for such refund or credit before Jan. 1,
1965.
1970 - Subsec. (h)(2). Pub. L. 91-606 substituted ''the Disaster
Relief Act of 1970'' for ''sections 1855-1855g of title 42''.
1964 - Subsec. (c)(3). Pub. L. 88-272, Sec. 208(a), inserted
requirement that losses must exceed $100 to be deductible.
Subsec. (i). Pub. L. 88-348 designated existing provisions as
par. (1), substituted provisions permitting individuals who were
citizens of the United States or resident aliens on Dec. 31, 1958,
who sustained any loss of property prior to Jan. 1, 1964, and which
was not a loss described in par. (1) or (2) of subsec. (c), to
treat such loss as a loss under subsec. (c)(3), except that in
cases of tangible property, the property had to be held by the
taxpayer, and located in Cuba, on Dec. 31, 1958, for provisions
which permitted any loss of tangible property to be treated as a
loss from a casualty within subsec. (c)(3), therein, and added
pars. (2) and (3).
Pub. L. 88-272, Sec. 238, added subsec. (i). Former subsec. (i)
redesignated (j).
Subsec. (j). Pub. L. 88-272, Sec. 238, redesignated former
subsec. (i) as (j).
1962 - Subsecs. (h), (i). Pub. L. 87-426 added subsec. (h) and
redesignated former subsec. (h) as (i).
1958 - Subsec. (g)(3)(B). Pub. L. 85-866, Sec. 7, substituted
''rental of'' for ''rental from''.
Subsec. (h)(3), (4). Pub. L. 85-866, Sec. 57(c)(1), added pars.
(3) and (4).
Subsec. (h)(5). Pub. L. 85-866, Sec. 202(a), added par. (5).
EFFECTIVE DATE OF 2000 AMENDMENT
Pub. L. 106-554, Sec. 1(a)(7) (title III, Sec. 318(b)(3)), Dec.
21, 2000, 114 Stat. 2763, 2763A-645, provided that: ''The
amendments made by this subsection (amending this section) shall
apply to taxable years beginning after December 31, 1984.''
EFFECTIVE DATE OF 1997 AMENDMENT
Section 912(b) of Pub. L. 105-34 provided that: ''The amendment
made by subsection (a) (amending this section) shall take effect on
the date of the enactment of this Act (Aug. 5, 1997).''
EFFECTIVE DATE OF 1988 AMENDMENT
Amendment by Pub. L. 100-647 effective, except as otherwise
provided, as if included in the provision of the Tax Reform Act of
1986, Pub. L. 99-514, to which such amendment relates, see section
1019(a) of Pub. L. 100-647, set out as a note under section 1 of
this title.
EFFECTIVE DATE OF 1986 AMENDMENT
Amendment by section 905(a) of Pub. L. 99-514 applicable to
taxable years beginning after Dec. 31, 1981, see section 905(c)(1)
of Pub. L. 99-514, as amended, set out as a note under section 451
of this title.
Section 1004(b) of Pub. L. 99-514 provided that: ''The amendment
made by this section (amending this section) shall apply to losses
sustained in taxable years beginning after December 31, 1986.''
EFFECTIVE DATE OF 1984 AMENDMENT
Amendment by section 42(a)(4) of Pub. L. 98-369 applicable to
taxable years ending after July 18, 1984, see section 44 of Pub. L.
98-369, set out as an Effective Date note under section 1271 of
this title.
Amendment by section 711(c)(1) of Pub. L. 98-369 effective as if
included in the provision of the Tax Equity and Fiscal
Responsibility Act of 1982, Pub. L. 97-248, to which such amendment
relates, see section 715 of Pub. L. 98-369, set out as a note under
section 31 of this title.
Section 711(c)(2)(A)(v) of Pub. L. 98-369 provided that: ''The
amendments made by this subparagraph (amending this section and
sections 873, 931, and 1231 of this title) shall apply to taxable
years beginning after December 31, 1983.''
Section 1051(b) of Pub. L. 98-369 provided that: ''The amendment
made by subsection (a) (amending this section) shall apply to
taxable years ending after December 31, 1981, with respect to
residences in areas determined by the President of the United
States, after such date, to warrant assistance by the Federal
Government under the Disaster Relief Act of 1974 (42 U.S.C. 5121 et
seq.).''
EFFECTIVE DATE OF 1982 AMENDMENT
Section 203(c) of Pub. L. 97-248, as amended by Pub. L. 99-514,
Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ''The
amendments made by this section (amending this section) shall apply
to taxable years beginning after December 31, 1982. Such amendments
shall also apply to the taxpayer's last taxable year beginning
before January 1, 1983, solely for purposes of determining the
amount allowable as a deduction with respect to any loss taken into
account for such year by reason of an election under section 165(i)
of the Internal Revenue Code of 1986 (formerly I.R.C. 1954) (as
amended by this section).''
Amendment by section 310(b)(5) of Pub. L. 97-248 applicable to
obligations issued after Dec. 31, 1982, with exceptions for certain
warrants, see section 310(d) of Pub. L. 97-248, set out as a note
under section 103 of this title.
EFFECTIVE DATE OF 1976 AMENDMENT
Amendment by Pub. L. 94-455 applicable with respect to taxable
years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L.
94-455, set out as a note under section 2 of this title.
EFFECTIVE DATE OF 1974 AMENDMENT
Amendment by Pub. L. 93-288 effective Apr. 1, 1974, see section
605 of Pub. L. 93-288, set out as an Effective Date note under
section 5121 of Title 42, The Public Health and Welfare.
EFFECTIVE DATE OF 1972 AMENDMENTS
Section 2(c) of Pub. L. 92-418 provided in part that: ''The
amendment made by subsection (a) (amending this section) shall
apply to disasters occurring after December 31, 1971, in taxable
years ending after such date.''
Section 2(b) of Pub. L. 92-336 provided that: ''The amendment
made by subsection (a) (amending this section) shall apply to
disasters occurring after December 31, 1971, in taxable years
ending after such date.''
EFFECTIVE DATE OF 1971 AMENDMENTS
Section 2 of Pub. L. 91-687 provided that: ''The amendments made
by this Act (amending this section) shall apply with respect to
taxable years beginning on or after January 1, 1970.''
Section 1(b)(1) of Pub. L. 91-677 provided that: ''The amendments
made by subsection (a) (amending this section) shall apply in
respect of losses sustained in taxable years ending after December
31, 1958.''
EFFECTIVE DATE OF 1970 AMENDMENT
Section 304 of Pub. L. 91-606 provided that: ''This Act (enacting
sections 4401 to 4485 of Title 42, The Public Health and Welfare,
amending this section, sections 5064 and 5708 of this title,
sections 1706e, 1709, 1715l of Title 12, Banks and Banking,
sections 241-1, 646 and 758 of Title 20, Education, section 1820
(now 3720) of Title 38, Veterans' Benefits, section 461 of Title
40, Public Buildings, Property, and Works, section 1681 note of
Title 42, repealing sections 1855 to 1855g, 1855aa, 1855aa note,
1855bb to 1855ii, 1855aaa, 1855aaa note, 1855bbb to 1855nnn of
Title 42, and section 1926 of Title 7, Agriculture, and enacting
provisions set out as notes under section 4401 and section 4434 of
Title 42) shall take effect immediately upon its enactment (Dec.
31, 1970), except that sections 226(b), 237, 241, 252(a), and 254
(sections 4436(b), 4456, 4460, 4482(a), and 4484 of Title 42,
respectively) shall take effect as of August 1, 1969, and sections
231, 232, and 233 (sections 4451, 4452 of Title 42 and amendments
to section 1820 (now 3720) of Title 38, respectively) shall take
effect as of April 1, 1970.''
EFFECTIVE DATE OF 1964 AMENDMENTS
Section 208(b) of Pub. L. 88-272 provided that: ''The amendment
made by subsection (a) (amending this section) shall apply to
losses sustained after December 31, 1963, in taxable years ending
after such date.''
Section 3(b) of Pub. L. 88-348 provided that: ''The amendment
made by subsection (a) (amending this section) shall apply in
respect of losses sustained in taxable years ending after December
31, 1958.''
EFFECTIVE DATE OF 1962 AMENDMENT
Section 2(b) of Pub. L. 87-426 provided that: ''The amendments
made by this section (amending this section) shall be effective
with respect to any disaster occurring after December 31, 1961.''
EFFECTIVE DATE OF 1958 AMENDMENT
Section 1(c) of title I of Pub. L. 85-866, as amended by Pub. L.
99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that:
''Except as otherwise expressly provided -
''(1) amendments made by this title to subtitle A of the
Internal Revenue Code of 1986 (formerly I.R.C. 1954) (relating to
income taxes) (enacting section 558 of this title and amending
this section and sections 152, 166, 168, 170, 172, 213, 337, 404,
421, 535, 545, 556, 582, 611, 613, 851, 1015, 1031, 1033, 1034,
1053, 1232, 1233, 1234, 1237, 1341, and 1347 of this title) shall
apply to taxable years beginning after December 31, 1953, and
ending after August 16, 1954; and
''(2) amendments made by this title to subtitle F of such Code
(relating to procedure and administration) (enacting sections
7513 and 7514 of this title and amending sections 6013, 6015,
6212, 6325, 6338, 6339, 6501, 6504, 6511, 6601, 6652, 6653, 6851,
6871, 7213, 7324, 7325, and 7422 of this title) shall take effect
as of August 17, 1954, and such subtitle, as so amended, shall
apply as provided in section 7851 of the Internal Revenue Code of
1986''.
Amendment by section 57(c)(1) of Pub. L. 85-866 applicable with
respect to taxable years beginning after Sept. 2, 1958, see section
57(d) of Pub. L. 85-866, set out as a note under section 243 of
this title.
TRANSITIONAL RULE FOR 1984 AMENDMENT
Section 711(c)(2)(B) of Pub. L. 98-369, as amended by Pub. L.
99-514, Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ''In
the case of taxable years beginning before January 1, 1984 -
''(i) For purposes of paragraph (1)(B) of section 165(h) of the
Internal Revenue Code of 1986 (formerly I.R.C. 1954), adjusted
gross income shall be determined without regard to the
application of section 1231 of such Code to any gain or loss from
an involuntary conversion of property described in subsection
(c)(3) of section 165 of such Code arising from fire, storm,
shipwreck, or other casualty or from theft.
''(ii) Section 1231 of such Code shall be applied after the
application of paragraph (1) of section 165(h) of such Code.''
CLARIFICATION OF TREATMENT OF CERTAIN FSLIC FINANCIAL ASSISTANCE
Pub. L. 103-66, title XIII, Sec. 13224, Aug. 10, 1993, 107 Stat.
485, provided that:
''(a) General Rule. - For purposes of chapter 1 of the Internal
Revenue Code of 1986 -
''(1) any FSLIC assistance with respect to any loss of
principal, capital, or similar amount upon the disposition of any
asset shall be taken into account as compensation for such loss
for purposes of section 165 of such Code, and
''(2) any FSLIC assistance with respect to any debt shall be
taken into account for purposes of section 166, 585, or 593 of
such Code in determining whether such debt is worthless (or the
extent to which such debt is worthless) and in determining the
amount of any addition to a reserve for bad debts arising from
the worthlessness or partial worthlessness of such debts.
''(b) FSLIC Assistance. - For purposes of this section, the term
'FSLIC assistance' means any assistance (or right to assistance)
with respect to a domestic building and loan association (as
defined in section 7701(a)(19) of such Code without regard to
subparagraph (C) thereof) under section 406(f) of the National
Housing Act (former 12 U.S.C. 1729(f)) or section 21A of the
Federal Home Loan Bank Act (12 U.S.C. 1441a) (or under any similar
provision of law).
''(c) Effective Date. -
''(1) In general. - Except as otherwise provided in this
subsection -
''(A) The provisions of this section shall apply to taxable
years ending on or after March 4, 1991, but only with respect
to FSLIC assistance not credited before March 4, 1991.
''(B) If any FSLIC assistance not credited before March 4,
1991, is with respect to a loss sustained or charge-off in a
taxable year ending before March 4, 1991, for purposes of
determining the amount of any net operating loss carryover to a
taxable year ending on or after March 4, 1991, the provisions
of this section shall apply to such assistance for purposes of
determining the amount of the net operating loss for the
taxable year in which such loss was sustained or debt written
off. Except as provided in the preceding sentence, this
section shall not apply to any FSLIC assistance with respect to
a loss sustained or charge-off in a taxable year ending before
March 4, 1991.
''(2) Exceptions. - The provisions of this section shall not
apply to any assistance to which the amendments made by section
1401(a)(3) of the Financial Institutions Reform, Recovery, and
Enforcement Act of 1989 (Pub. L. 101-73, amending section 597 of
this title and repealing provisions set out as a note under
section 597 of this title) apply.''
OVERPAYMENTS OR UNDERPAYMENTS OF TAX ATTRIBUTABLE TO CERTAIN
AMENDMENTS BY PUB. L. 99-514 OR PUB. L. 100-647
Section 1009(d)(4) of Pub. L. 100-647 provided that: ''If on the
date of the enactment of this Act (Nov. 10, 1988) (or at any time
before the date 1 year after such date of enactment) credit or
refund of any overpayment of tax attributable to amendments made by
section 905 of the Reform Act (section 905 of Pub. L. 99-514,
amending this section and section 451 of this title) or by this
subsection (amending this section and section 451 of this title and
provisions set out as a note under section 451 of this title) (or
the assessment of any underpayment of tax so attributable) is
barred by any law or rule of law -
''(A) credit or refund of any such overpayment may nevertheless
be made if claim therefore (sic) is filed before the date 1 year
after such date of enactment, and
''(B) assessment of any such underpayment may nevertheless be
made if made before the date 1 year after such date of
enactment.''
DEDUCTION FOR BUS AND FREIGHT FORWARDER OPERATING AUTHORITY
Section 243 of Pub. L. 99-514, as amended by Pub. L. 100-647,
title I, Sec. 1002(j), Nov. 10, 1988, 102 Stat. 3371, provided
that:
''(a) Bus Operating Authority. -
''(1) In general. - Subject to the modifications contained in
paragraph (2), section 266 of the Economic Recovery Tax Act of
1981 (section 266 of Pub. L. 97-34, set out below) shall be
applied as if the term 'motor carrier operating authority'
included a bus operating authority.
''(2) Modifications. - For purposes of paragraph (1), section
266 of such Act shall be applied -
''(A) by substituting 'November 19, 1982' for 'July 1, 1980'
each place it appears, and
''(B) by substituting 'November 1982' for 'July 1980' in
subsection (a) thereof.
''(3) Bus operating authority defined. - For purposes of this
subsection and section 266 of such Act, the term 'bus operating
authority' means -
''(A) a certificate or permit held by a motor common or
contract carrier of passengers which was issued pursuant to
subchapter II of chapter 109 of title 49, United States Code,
and
''(B) a certificate or permit held by a motor carrier
authorizing the transportation of passengers, as a common
carrier, over regular routes in intrastate commerce which was
issued by the appropriate State agency.
''(b) Freight Forwarder Operating Authority. -
''(1) In general. - Subject to the modifications contained in
paragraph (2), section 266 of the Economic Recovery Tax Act of
1981 (section 266 of Pub. L. 97-34, set out below) shall be
applied as if subsection (b) thereof contained 'or a freight
forwarder' after 'contract carrier of property'.
''(2) Modifications. - The modifications referred to in this
paragraph are:
''(A) 60-month period. - The 60-month period referred to in
section 266(a) of such Act shall begin with the later of -
''(i) the deregulation month, or
''(ii) at the election of the taxpayer, the 1st month of
the taxpayer's 1st taxable year beginning after the
deregulation month.
''(B) Authority must be held as of beginning of 60-month
period. - A motor carrier operating authority shall not be
taken into account unless such authority is held by the
taxpayer at the beginning of the 60-month period applicable to
the taxpayer under subparagraph (A).
''(C) Adjusted basis not to exceed adjusted basis at
beginning of 60-month period. - The adjusted basis taken into
account with respect to any motor carrier operating authority
shall not exceed the adjusted basis of such authority as of the
beginning of the 60-month period applicable to the taxpayer
under subparagraph (A).
''(3) Deregulation month. - For purposes of this section, the
term 'deregulation month' means the month in which the Secretary
of the Treasury or his delegate determines that a Federal law has
been enacted which deregulates the freight forwarding industry.
''(c) Special Rule for Motor Carrier Operating Authority. - In
the case of a corporation which was incorporated on December 29,
1969, in the State of Delaware, notwithstanding any other provision
of law, there shall be allowed as a deduction for the taxable year
of the taxpayer beginning in 1980 an amount equal to $2,705,188 for
its entire loss due to a decline in value of its motor carrier
operating authority by reason of deregulation.
''(d) Application of Section 334(b)(2). - For purposes of
subsections (a) and (b), the reference to section 334(b)(2) in
section 266(c)(2)(A)(ii) of the Economic Recovery Tax Act of 1981
(section 266(c)(2)(A)(ii) of Pub. L. 97-34, set out below) shall be
a reference to such section as in effect before its repeal.
''(e) Effective Dates. -
''(1) Bus operating authority. -
''(A) In general. - Subsection (a) shall apply to taxable
years ending after November 18, 1982.
''(B) Statute of limitations. - If refund or credit of any
overpayment of tax resulting from subsection (a) is prevented
at any time on or before the date which is 1 year after the
date of the enactment of this Act (Oct. 22, 1986) by the
operation of any law or rule of law (including res judicata),
refund or credit of such overpayment (to the extent
attributable to the application of such subsection) may,
notwithstanding such law or rule of law, be made or allowed if
claim therefore (sic) is filed on or before the date which is
18 months after such date of enactment.
''(2) Freight forwarder operating authority. - Subsection (b)
shall apply to taxable years ending after the month preceding the
deregulation month.''
DEDUCTION FOR MOTOR CARRIER OPERATING AUTHORITY
Pub. L. 97-34, title II, Sec. 266, Aug. 13, 1981, 95 Stat. 265,
as amended by Pub. L. 97-424, title V, Sec. 517(a), Jan. 6, 1983,
96 Stat. 2183; Pub. L. 97-448, title I, Sec. 102(n), Jan. 12, 1983,
96 Stat. 2374; Pub. L. 99-514, Sec. 2, Oct. 22, 1986, 100 Stat.
2095, provided that:
''(a) General Rule. - For purposes of chapter 1 of the Internal
Revenue Code of 1986 (formerly I.R.C. 1954) (this chapter), in
computing the taxable income of a taxpayer who, on July 1, 1980,
held one or more motor carrier operating authorities, an amount
equal to the aggregate adjusted basis of all motor carrier
operating authorities held by the taxpayer on July 1, 1980, or
acquired subsequent thereto pursuant to a binding contract in
effect on July 1, 1980, shall be allowed as a deduction ratably
over a period of 60 months. Such 60-month period shall begin with
the month of July 1980 (or if later, the month in which acquired),
or at the election of the taxpayer, the first month of the
taxpayer's first taxable year beginning after July 1, 1980.
''(b) Definition of Motor Carrier Operating Authority. - For
purposes of this section, the term 'motor carrier operating
authority' means a certificate or permit held by a motor common or
contract carrier of property and issued pursuant to subchapter II
of chapter 109 of title 49 of the United States Code.
''(c) Special Rules. -
''(1) Adjusted basis. - For purposes of the Internal Revenue
Code of 1986, proper adjustments shall be made in the adjusted
basis of any motor carrier operating authority held by the
taxpayer on July 1, 1980, for the amounts allowable as a
deduction under this section.
''(2) Certain stock acquisitions. -
''(A) In general. - Under regulations prescribed by the
Secretary of the Treasury or his delegate, and at the election
of the holder of the authority, in any case in which a
corporation -
''(i) on or before July 1, 1980 (or after such date
pursuant to a binding contract in effect on such date),
acquired stock in a corporation which held, directly or
indirectly, any motor carrier operating authority at the time
of such acquisition, and
''(ii) would have been able to allocate to the basis of
such authority that portion of the acquiring corporation's
cost basis in such stock attributable to such authority if
the acquiring corporation had received such authority in the
liquidation of the acquired corporation immediately following
such acquisition and such allocation would have been proper
under section 334(b)(2) of such Code,
the holder of the authority may, for purposes of this section,
allocate a portion of the basis of the acquiring corporation in
the stock of the acquired corporation to the basis of such
authority in such manner as the Secretary may prescribe in such
regulations.
''(B) Treatment of certain noncorporate taxpayers. - Under
regulations prescribed by the Secretary of the Treasury or his
delegate, and at the election of the holder of the authority,
in any case in which -
''(i) a noncorporate taxpayer or group of noncorporate
taxpayers on or before July 1, 1980, acquired in one purchase
stock in a corporation which held, directly or indirectly,
any motor carrier operating authority at the time of such
acquisition, and
''(ii) the acquisition referred to in clause (i) would have
satisfied the requirements of subparagraph (A) if the stock
had been acquired by a corporation,
then, for purposes of subparagraphs (A) and (C), the noncorporate
taxpayer or group of noncorporate taxpayers referred to in
clause (i) shall be treated as a corporation. The preceding
sentence shall apply only if such noncorporate taxpayer (or
group of noncorporate taxpayers) on July 1, 1980, held stock
constituting control (within the meaning of section 368(c) of
the Internal Revenue Code of 1986) of the corporation holding
(directly or indirectly) the motor carrier operating authority.
''(C) Adjustment to basis. - Under regulations prescribed by
the Secretary of the Treasury or his delegate, proper
adjustment shall be made to the basis of the stock or other
assets in the manner provided by such regulations to take into
account any allocation under subparagraph (A).
''(3) Section 381 of the internal revenue code of 1986 to
apply. - For purposes of section 381 of the Internal Revenue Code
of 1986, any item described in this section shall be treated as
an item described in subsection (c) of such section 381.
''(d) Effective Date. - The provisions of this section shall
apply to taxable years ending after June 30, 1980.''
(Section 517(b) of Pub. L. 97-424 provided that: ''The amendment
made by subsection (a) (adding subsec. (c)(2)(B) of this note)
shall apply to taxable years ending after July 30, 1980.'')
TAX TREATMENT OF CERTAIN 1972 DISASTER LOANS
Section 2103 of Pub. L. 94-455, as amended by Pub. L. 99-514,
Sec. 2, Oct. 22, 1986, 100 Stat. 2095, provided that:
''(a) Application of Section. - This section shall apply to any
individual -
''(1) who was allowed a deduction under section 165 of the
Internal Revenue Code of 1986 (formerly I.R.C. 1954) (relating to
losses) for a loss attributable to a disaster occurring during
calendar year 1972 which was determined by the President, under
section 102 of the Disaster Relief Act of 1970, to warrant
disaster assistance by the Federal Government.
''(2) who in connection with such disaster -
''(A) received income in the form of cancellation of a
disaster loan under section 7 of the Small Business Act
(section 636 of Title 15, Commerce and Trade) or an emergency
loan under subtitle C of the Consolidated Farm and Rural
Development Act (section 1961 et seq. of Title 7, Agriculture),
or
''(B) received income in the form of compensation (not taken
into account in computing the amount of the deduction) for such
loss in settlement of any claim of the taxpayer against a
person for that person's liability in tort for the damage or
destruction of that taxpayer's property in connection with the
disaster, and
''(3) who elects (at such time and in such manner as the
Secretary of the Treasury or his delegate may by regulations
prescribe) to take the benefits of this section.
''(b) Effect of Election. - In the case of any individual to whom
this section applies -
''(1) the tax imposed by chapter 1 of the Internal Revenue Code
of 1986 for the taxable year in which the income taken into
account is received or accrued which is attributable to such
income shall not exceed the additional tax under such chapter
which would have been payable for the year in which the deduction
for the loss was taken if such deduction had not been taken for
such year,
''(2) any amount of tax imposed by chapter 1 attributable to
the income taken into account which, on October 1, 1975, was
unpaid may be paid in 3 equal annual installments (with the first
such installment due and payable on April 15, 1977), and
''(3) no interest on any deficiency shall be payable for any
period before April 16, 1977, to the extent such deficiency is
attributable to the receipt of such compensation, and no interest
on any installment referred to in paragraph (2) shall be payable
for any period before the due date of such installment.
''(c) Income Taken Into Account. - For purposes of this section,
the income taken into account is -
''(1) in the case of an individual described in subsection
(a)(2)(A), the amount of income (not in excess of $5,000)
attributable to the cancellation of a disaster loan under section
7 of the Small Business Act or an emergency loan under subtitle C
of the Consolidated Farm and Rural Development Act received by
reason of the disaster described in subsection (a)(1), or
''(2) in the case of an individual described in subsection
(a)(2)(B), the amount of compensation (not in excess of $5,000)
for the loss in settlement of any claim of the taxpayer against a
person for that person's liability in tort for the damage or
destruction of that taxpayer's property in connection with the
disaster described in subsection (a)(1).
''(d) Phaseout Where Adjusted Gross Income Exceeds $15,000. - If
for the taxable year for which the deduction for the loss was taken
the individual's adjusted gross income exceeded $15,000, the $5,000
limit set forth in paragraph (1) or (2) of subsection (c)
(whichever applies) shall be reduced by one dollar for each full
dollar that such adjusted gross income exceeds $15,000. In the case
of a married individual filing a separate return, the preceding
sentence shall be applied by substituting '$7,500' for '$15,000'.
''(e) Statute of Limitations. - If refund or credit of any
overpayment of income tax resulting from an election made under
this section is prevented on the date of the enactment of this Act
(Oct. 4, 1976), or at any time within one year after such date, by
the operation of any law, or rule of law, refund or credit of such
overpayment (to the extent attributable to such election) may,
nevertheless, be made or allowed if claim therefor is filed within
one year after such date. If the taxpayer makes an election under
this section and if assessment of any deficiency for any taxable
year resulting from such election is prevented on the date of the
enactment of this Act (Oct. 4, 1976), or at any time within one
year after such date, by the operation of any law or rule of law,
such assessment (to the extent attributable to such election) may,
nevertheless, be made if made within one year after such date.''
REFUND OR CREDIT OF OVERPAYMENT; TIME FOR FILING CLAIM; INTEREST
Section 1(b)(2) of Pub. L. 91-677 authorized refund or credit of
overpayment attributable to the amendments made by subsec. (a) to
subsec. (i) of this section if claim therefor was filed after Jan.
12, 1971, and before July 1, 1971, without interest for any period
before Jan. 1, 1972.
References
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in sections 56, 62, 67, 68, 80, 86,
148, 166, 172, 195, 271, 272, 451, 593, 709, 832, 873, 877, 897,
1022, 1042, 1212, 1351, 1367, 6227, 6405, 6511 of this title.
