INCREASED LIMIT ON ATTORNEY FEES.

Sec. 702. INCREASED LIMIT ON ATTORNEY FEES. (a) In general.— Paragraph (1) of section 7430(c) (defining reasonable litigation costs) is amended— (1) by striking “$75” in clause (iii) of subparagraph (B) and inserting “$110”, (2) by striking “an increase in the cost of living or” in clause (iii) of subparagraph (B), and (3) by adding after clause (iii) the following: “In the case of any calendar year beginning after 1996, the dollar amount referred to in clause (iii) shall be increased by an amount equal to such dollar amount multiplied by the cost-of-living adjustment determined under section 1(f)(3) for such calendar year, by substituting ‘calendar year 1995’ for ‘calendar year 1992’ in subparagraph (B) thereof. If any dollar amount after being increased under the preceding sentence is not a multiple of $10, such dollar amount shall be rounded to the nearest multiple of $10.”. (b) Effective Date.— The amendment made by this section shall apply in the case of proceedings commenced after the date of the enactment of this Act.