MEALS ON CERTAIN VESSELS AND OFFSHORE OIL PLATFORMS EXEMPT FROM 80 PERCENT LIMITATION ON DEDUCTION FOR MEALS.

SEC. 6003. MEALS ON CERTAIN VESSELS AND OFFSHORE OIL PLATFORMS EXEMPT FROM 80 PERCENT LIMITATION ON DEDUCTION FOR MEALS. (a) In General.—Paragraph (2) of section 274(n) of the 1986 Code (relating to only 80 percent of meal and entertainment expenses allowed as deduction), as amended by title I of this Act, is amended by striking out “or” at the end of subparagraph (D), by striking out the period at the end of subparagraph (E) and inserting in lieu thereof “, or”, and by adding at the end thereof the following new subparagraph: 102 STAT. 3685 “(F) such expense is for food or beverages— “(i) required by Federal law to be provided to crew members of a commercial vessel, “(ii) provided to crew members of a commercial vessel— “(I) which is operating on the Great Lakes, the Saint Lawrence Seaway, or any inland waterway of the United States, and “(II) which is of a kind which would be required by Federal law to provide food and beverages to crew members if it were operated at sea, “(iii) provided on an oil or gas platform or drilling rig if the platform or rig is located offshore, or “(iv) provided on an oil or gas platform or drilling rig, or at a support camp which is in proximity and integral to such platform or rig, if the platform or rig is located in the United States north of 54 degrees north latitude. Clauses (i) and (ii) of subparagraph (F) shall not apply to vessels primarily engaged in providing luxury water transportation (determined under the principles of subsection (m)).” (b) Effective Dates.— (1) Clauses (i) and (ii) of section 274(n)(2)(F) of the 1986 Code, as added by subsection (a), shall apply to taxable years beginning after December 31, 1988. (2) Clauses (iii) and (iv) of section 274(n)(2)(F) of the 1986 Code, as added by subsection (a), shall apply to taxable years beginning after December 31, 1987.