DISTRIBUTED AMOUNT FOR EXCISE TAX PURPOSES DETERMINED ON BASIS OF TAXES PAID BY REGULATED INVESTMENT COMPANY.

SEC. 403. DISTRIBUTED AMOUNT FOR EXCISE TAX PURPOSES DETERMINED ON BASIS OF TAXES PAID BY REGULATED INVESTMENT COMPANY.(a) In General.—Subsection (c) of section 4982 is amended by adding at the end the following new paragraph:“(4) Special rule for estimated tax payments.—124 STAT. 3554“(A) In general.—In the case of a regulated investment company which elects the application of this paragraph for any calendar year—“(i) the distributed amount with respect to such company for such calendar year shall be increased by the amount on which qualified estimated tax payments are made by such company during such calendar year, and“(ii) the distributed amount with respect to such company for the following calendar year shall be reduced by the amount of such increase.“(B) Qualified estimated tax payments.—For purposes of this paragraph, the term ‘qualified estimated tax payments’ means, with respect to any calendar year, payments of estimated tax of a tax described in paragraph (1)(B) for any taxable year which begins (but does not end) in such calendar year.”.(b) Effective Date.—The amendment made by this section shall apply to calendar years beginning after the date of the enactment of this Act.