AMENDMENTS RELATED TO TAXPAYER RELIEF ACT OF 1997.

SEC. 4003. AMENDMENTS RELATED TO TAXPAYER RELIEF ACT OF 1997. (a) Amendments Related to Section 202 of 1997 Act.— (1) Paragraph (2) of section 163(h) of the 1986 Code is amended by striking “and” at the end of subparagraph (D), by striking the period at the end of subparagraph (E) and inserting “, and”, and by adding at the end the following new subparagraph: “(F) any interest allowable as a deduction under section 221 (relating to interest on educational loans).” (2)(A) Subparagraph (C) of section 221(b)(2) of the 1986 Code is amended— (i) by striking “135, 137,” in clause (i), (ii) by inserting “135, 137,” after “sections 86,” in clause (ii), and (iii) by striking the last sentence. (B) Sections 86(b)(2)(A), 135(c)(4)(A), and 219(g)(3)(A)(ii) of the 1986 Code are each amended by inserting “221,” after “137,”. (C) Subparagraph (A) of section 137(b)(3) of the 1986 Code is amended by inserting “221,” before “911,”. (D) Clause (iii) of section 469(i)(3)(E) of the 1986 Code is amended to read as follows: “(iii) the amounts allowable as a deduction under sections 219 and 221, and”. (3) The last sentence of section 221(e)(1) of the 1986 Code is amended by inserting before the period “or to any person by reason of a loan under any qualified employer plan (as 112 STAT. 2681–909defined in section 72(p)(4)) or under any contract referred to in section 72(p)(5)”. (b) Provision Related to Section 311 of 1997 Act.—In the case of any capital gain distribution made after 1997 by a trust to which section 664 of the 1986 Code applies with respect to amounts properly taken into account by such trust during 1997, paragraphs (5)(A)(i)(I), (5)(A)(ii)(I), and (13)(A) of section 1(h) of the 1986 Code (as in effect for taxable years ending on December 31, 1997) shall not apply. (c) Amendment Related to Section 506 of 1997 Act.—Section 2001(f)(2) of the 1986 Code is amended by adding at the end the following: “For purposes of subparagraph (A), the value of an item shall be treated as shown on a return if the item is disclosed in the return, or in a statement attached to the return, in a manner adequate to apprise the Secretary of the nature of such item.”. (d) Amendments Related to Section 904 of 1997 Act.— (1) Paragraph (1) of section 9510(c) of the 1986 Code is amended to read as follows: “(1) In general.—Amounts in the Vaccine Injury Compensation Trust Fund shall be available, as provided in appropriation Acts, only for— “(A) the payment of compensation under subtitle 2 of title XXI of the Public Health Service Act (as in effect on August 5, 1997) for vaccine-related injury or death with respect to any vaccine— “(i) which is administered after September 30, 1988, and “(ii) which is a taxable vaccine (as defined in section 4132(a)(1)) at the time compensation is paid under such subtitle 2, or “(B) the payment of all expenses of administration (but not in excess of $9,500,000 for any fiscal year) incurred by the Federal Government in administering such subtitle.”. (2) Section 9510(b) of the 1986 Code is amended by adding at the end the following new paragraph: “(3) Limitation on transfers to vaccine injury compensation trust fund.—No amount may be appropriated to the Vaccine Injury Compensation Trust Fund on and after the date of any expenditure from the Trust Fund which is not permitted by this section. The determination of whether an expenditure is so permitted shall be made without regard to— “(A) any provision of law which is not contained or referenced in this title or in a revenue Act, and “(B) whether such provision of law is a subsequently enacted provision or directly or indirectly seeks to waive the application of this paragraph.”. (e) Amendments Related to Section 915 of 1997 Act.— (1) Section 915(b) of the 1997 Act is amended by inserting “or 1998” after “1997”. (2) Paragraph (2) of section 6404(h) of the 1986 Code is amended by inserting “Robert T. Stafford” before “Disaster”, (f) Amendments Related to Section 1012 of 1997 Act.—112 STAT. 2681–910 (1) Paragraph (2) of section 351(c) of the 1986 Code, as amended by section 6010(c) of the 1998 Act, is amended by inserting “, or the fact that the corporation whose stock was distributed issues additional stock,” after “dispose of part or all of the distributed stock”. (2) Clause (ii) of section 368(a)(2)(H) of the 1986 Code, as amended by section 6010(c) of the 1998 Act, is amended by inserting “, or the fact that the corporation whose stock was distributed issues additional stock,” after “dispose of part or all of the distributed stock”. (g) Provision Related to Section 1042 of 1997 Act.—Rules similar to the rules of section 1.1502–75(d)(5) of the Treasury Regulations shall apply with respect to any organization described in section 1042(b) of the 1997 Act. (h) Amendment Related to Section 1082 of 1997 Act.—Subparagraph (F) of section 172(b)(1) of the 1986 Code is amended by adding at the end the following new clause: “(iv) Coordination with paragraph (2).—For purposes of applying paragraph (2), an eligible loss for any taxable year shall be treated in a manner similar to the manner in which a specified liability loss is treated.” (i) Amendment Related to Section 1084 of 1997 Act.—Paragraph (3) of section 264(f) of the 1986 Code is amended by adding at the end the following flush sentence: “If the amount described in subparagraph (A) with respect to any policy or contract does not reasonably approximate its actual value, the amount taken into account under subparagraph (A) shall be the greater of the amount of the insurance company liability or the insurance company reserve with respect to such policy or contract (as determined for purposes of the annual statement approved by the National Association of Insurance Commissioners) or shall be such other amount as is determined by the Secretary.” (j) Amendment Related to Section 1175 of 1997 Act.—Subparagraph (C) of section 954(e)(2) of the 1986 Code is amended by striking “subsection (h)(8)” and inserting “subsection (h)(9)”. (k) Amendment Related to Section 1205 of 1997 Act.—Paragraph (2) of section 6311(d) of the 1986 Code is amended by striking “under such contracts” in the last sentence and inserting “under any such contract for the use of credit, debit, or charge cards for the payment of taxes imposed by subtitle A”. (l) Effective Date.—The amendments made by this section shall take effect as if included in the provisions of the 1997 Act to which they relate.