PUBLIC LAW 105-34—AUG. 5, 1997 111 STAT. 983 information relating to such partner's ownership interests in the partnership and allocations to such partner of partnership items.". (e) TECHNICAL AMENDMENTS. — (1) The following provisions of section 6038 are each amended by striking "foreign corporation" each place it appears and inserting "foreign business entity": (A) Paragraphs (2) and (3) of subsection (a). (B) Subsection (b). (C) Subsection (c) other than paragraph (1)(B) thereof. (D) Subsection (d). (E) Subsection (e)(4) (as redesignated by subsection (b)). (2) Subparagraph (B) of section 6038(c)(1) is amended by inserting "in the case of a foreign business entity which is a foreign corporation," after "(B)". (3) Paragraph (8) of section 318(b) is amended by striking "6 0 38(d)(1)" and inserting "6038(d)(2)". (4) Paragraph (4) of section 901(k) is amended by striking "foreign corporation" and inserting "foreign corporation or partnership". (5) The table of sections for subpart A of part III of subchapter A of chapter 61 is amended by striking the item relating to section 6038 and inserting the following new item: "Sec. 6038. Information reporting with respect to certain foreign corporations and partnerships.". (f) EFFECTIVE DATE. —The amendments made by this section 26 USC 318 note. shall apply to annual accounting periods beginning after the date of the enactment of this Act. SEC. 1143. MODIFICATIONS RELATING TO RETURNS REQUIRED TO BE FILED BY REASON OF CHANGES IN OWNERSHIP INTERESTS IN FOREIGN PARTNERSHIP. (a) No RETURN REQUIRED UNLESS CHANGES INVOLVE 10-PER - CENT INTEREST IN PARTNERSHIP.— (1) IN GENERAL.—Subsection (a) of section 6046A (relating to returns as to interests in foreign partnerships) is amended by adding at the end the following new sentence: "Paragraphs Applicability. (1) and (2) shall apply to any acquisition or disposition only if the United States person directly or indirectly holds at least a 10-percent interest in such partnership either before or after such acquisition or disposition, and paragraph (3) shall apply to any change only if the chemge is equivalent to at least a 10-percent interest in such partnership.". (2) 10-PERCENT INTEREST.— Section 6046A is amended by redesignating subsection (d) as subsection (e) and by inserting after subsection (c) the following new subsection: "(d) 10-PERCENT INTEREST. —For purposes of subsection (a), a 10-percent interest in a partnership is an interest described in section 6038(e)(3)(C).". (b) MODIFICATION OF PENALTY ON FAILURE TO REPORT CHANGES IN OWNERSHIP INTERESTS IN FOREIGN CORPORATIONS AND PARTNER- SHIPS. —Subsection (a) of section 6679 (relating to failure to file returns, etc., with respect to foreign corporations or foreign partnerships) is amended to read as follows: " (a) CIVIL PENALTY. —
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