1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 222 23 24 25 18 (B) FORMULA for determINING BENEFITS IN THE CASE OF SECTION 415(b)(7) PLANS. Subparagraph (C) of section 415(b)(7) is amended to read as follows: "(C) under which benefits are determined solely by reference to length of service, the particular years during which service was rendered, age at retirement, and date of retirement," (11) AMENDMENT RELATED TO SECTION 154 OF THE ACT.-Subparagraph (A) of section 403(b)(7) is amended by striking out "which satisfied" and inserting in lieu thereof "which satisfies". (12) AMENDMENT RELATED TO SECTION 156 OF THE ACT. (A) EFFECTIVE DATE.-Subsection (d) of section 156 of the Revenue Act of 1978 (relating to effective date for provision allowing rollover of section 403(b) annuities) is amended by striking out "December 31, 1978" and inserting in lieu thereof "December 31, 1977". (B) TRANSITIONAL RULE FOR MAKING SECTION 403(b)(8) ROLLOVER IN THE CASE OF PAY MENTS DURING 1978.-In the case of any payment made during 1978 in a qualifying distribu tion described in section 403(b)(8) of the Internal 19 Revenue Code of 1954, the applicable period specified in section 402(a)(5)(C) of such Code shall not expire before the close of December 31, 1980. (C) CLERICAL AMENDMENTS.-Sections 403(b)(1) and 4973(c)(1) are each amended by striking out "409(d)(3)(C)", and inserting in lieu thereof "409(b)(3)(C)”. (13) AMENDMENTS RELATED TO SECTION 157 OF THE АСТ. (A) EFFECTIVE DATE FOR REMOVAL OF CERTAIN REQUIREMENTS.-Paragraph (3) of section 157(h) of the Revenue Act of 1978 is amended by striking out "the amendments made by this section" each place it appears and insert ing in lieu thereof "the amendments made by this subsection". (B) CONFORMING AMENDMENTS FOR SPOUSAL ROLLOVERS.-Sections 219(b)(4), 220(b)(5), 408(a)(1), 409(a)(4), and 4973(b)(1)(A) are each amended by inserting "402(a)(7)," after "section 402(a)(5),”. (C) SPOUSAL ROLLOVERS.-Clause (i) of section 402(a)(7)(A) is amended to read as fol lows: 20 "(i) any portion of a qualifying rollover distribution attributable to an employee is paid to the spouse of the employee after the employee's death,". (D) EXTENSION OF TRANSITIONAL RULE.Subparagraph (B) of section 157(h)(3) of the Rev enue Act of 1978 (relating to transitional rule for removal of certain requirements) is amended (i) by striking out "any payment" and inserting in lieu thereof "any payment made during 1978", and (ii) by striking out "December 31, 1978" and inserting in lieu thereof "December 31, 1980". (E) CLERICAL AMENDMENTS. (i) Clause (iii) of section 402(a)(6)(D) (relating to sales of distributed property) is amended by striking out "many designate" and inserting in lieu thereof "may designate". 21 subparagraph (A) shall be applied by increasing the dollar limit set forth therein by that portion of the excess contribution which was attributable to such information." (b) EFFECTIVE DATES. (1) SPECIAL EFFECTIVE DATES. (A) SUBSECTION (a)(1).-The amendment made by subsection (a)(1) shall apply to taxable years beginning after December 31, 1977. (B) SUBSECTION (a)(2).-The amendments made by subparagraphs (A) and (B) of subsection (a)(2) shall apply to payments for months begin ning after December 31, 1979. (C) DEFINITION OF QUALIFYING EMPLOYER SECURITIES.—The amendment made by subparagraph (C) of subsection (a)(6) shall apply to stock acquired after December 31, 1979. (D) COORDINATION WITH SECTION 691.The amendment made by subsection (a)(7) shall apply with respect to the estates of decedents dying after the date of the enactment of this Act. (E) CONTRIBUTIONS UNDER SIMPLIFIED EMPLOYEE PENSION.—The amendments made by subparagraph (B) of subsection (a)(9) shall apply to payments made on or after January 1, 1979. 1 22 (2) GENERAL EFFECTIVE DATE. For general effective date, see section 201. 2 SEC. 102. AMENDMENTS RELATED TO TITLE II. (a) GENERAL RULE.— (1) AMENDMENTS RELATED TO SUBTITLE A OF TITLE II OF THE ACT.— (A) STOCK OWNERSHIP RULES.-Subsection (a) of section 465 (relating to deductions limited to amount at risk) is amended (i) by striking out "(determined by reference to the rules contained in section 318 rather than under section 544)" in paragraph (1)(C), and (ii) by adding at the end thereof the following new paragraph: "(3) SPECIAL RULES FOR APPLYING PARAGRAPH (1)(C). For purposes of paragraph (1)(C) "(A) section 544(a)(2) shall be applied as if such section did not contain the phrase 'or by or for his partner'; and "(B) sections 544(a)(4)(A) and 544(b)(1) shall be applied by substituting 'the corporation meet the stock ownership requirements of section 542(a)(2)' for 'the corporation a personal holding company'." 55-169 - 80 - 3 |