102 STAT. 3542
26 USC 148 note.
Loans.
PUBLIC LAW 100-647—NOV. 10, 1988 (II) of this clause to which section 141(a) does not apply shall not be treated as private activity bonds." (B) Subclause (IV) of section 148(f)(4)(C)(i) of the 1986 Code (as redesignated by subparagraph (A)) is amended by striking out "(and all subordinate entities thereof)". (CXD Except as provided in clause (ii), the Eimendments made by this paragraph shall apply to bonds issued after June 30, 1987. (ii) At the election of an issuer (made at such time and in such manner as the Secretary of the Treasury or his delegate may prescribe), the amendments made by this paragraph shall apply to such issuer as if included in the amendments made by section 1301(a) of the Tax Reform Act of 1986. (18) Clause (i) of section 148(fK4XD) of the 1986 Code is amended— (A) by inserting "for a program" before "described in section 144(b)(l)(A)", (B) by striking out "such a program" and inserting in lieu thereof "such program", and (C) by adding at the end thereof the following: "Amounts designated as interest on student loans shall not be taken into account in determining whether the issuer is reimbursed for such costs. Except as otherwise hereafter provided in regulations prescribed by the Secretary, costs described in subclause (I) paid from amounts earned as described in the first sentence of this clause may also be taken into account in determining the yield on the student loans under a program described in section 144(b)(l)(A)." (19) Subparagraph (B) of section 148(fK7) of the 1986 Code is amended by striking out "due to reasonable cause and not" and inserting in lieu thereof "not due". (20) Clause (iii) of section 149(b)(3)(A) of the 1986 Code is amended by striking out "with respect to any bond issued before July 1, 1989". (21) Subparagraph (A) of section 149(b)(4) of the 1986 Code is amended by striking out "a qualified student loan bond, and a qu^ified redevelopment bond" and inserting in lieu thereof and a qualified student loan bond". (22) Paragraph (3) of section 149(e) of the 1986 Code (relating to information reporting) is amended by striking out "there is reasonable cause for the failure to file such statement in a timely fashion" and inserting in lieu thereof "the failure to file in a timely fashion is not due to willful neglect". (23XA) Subparagraph (B) of section 150a)X4) of the 1986 Code (relating to change in use of facilities financed with tax-exempt private activity bonds) is amended by inserting before the period "or a qualified small issue bond". (B) The heading for paragraph (4) of section 150(b) of the 1986 Code is amended by inserting "AND SMALL ISSUE BONDS" after "EXEIMPT FACILITY BONDS"
(C) Subparagraph (A) of section 150(b)(l) of the 1986 Code is amended by inserting "tax-exempt" before "qualified mortgage bond". (24XA) Subsection (e) of section 150 of the 1986 Code is amended by adding at the end thereof the following new paragraph: "(3) TREATMENT AS PRIVATE ACTIVITY BONDS ONLY FOR CERTAIN
PURPOSES.—Bonds which are part of an issue which meets the
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