PUBLIC LAW 94-455—OCT. 4, 1976
9 0 STAT. 1575
SEC. 604. STATE LEGISLATORS' TRAVEL EXPENSES AWAY FROM HOME. (a) IN GENERAL.—For purposes of section 162(a) of the I n t e r n a l 26 USC 162 Revenue Code of 1954, i n the case of any individual who was a State "o**'legislator at any time during any taxable year beginning before January 1, 1976, and who elects the application of this section, for any period during such a taxable year in which he was a State legislator— (1) the place of residence of such individual within the legislative district which he represented shall be considered his home, and (2) he shall be deemed to have expended for living expenses (in connection with his trade or business as a legislator) an amount equal to the sum of the amounts determined by multiplying each legislative day of such individual during the taxable year by the amount generally allowable with respect to such day to employees of the executive branch of the Federal Government for p e r diem while away from home but serving in the United States. (b) LEGISLATIVE D A Y S. — For purposes of subsection (a), a legisla-
tive d a y during any taxable year for any individual shall be any day during such year on which (1) the legislature was in session (including any d a y in which the legislature was not in session for a period of 4 consecutive days o r less), o r (2) the legislature was not i n session b u t the physical presence of the individual was formally recorded a t a meeting of a committee of such legislature. (c) LIMITATION.—The amount taken into account as living expenses attributable to a trade or business as a State legislator for any taxable year under an election made under this section shall not exceed the amount claimed for such purpose under a return (or amended return) filed before May 21, 1976. (d)
M A K I N G AND E F F E C T OF ELECTION. — A n election under this
section shall be made a t such time and in such manner as the Secretary of the Treasury or his delegate shall by regulations prescribe. Any such election shall apply to all taxable years beginning before January 1, 1976, for which the period for assessing or collecting a deficiency has not expired before the date of the enactment of this Act. SEC. 605. DEDUCTION FOR GUARANTEES OF BUSINESS BAD DEBTS TO GUARANTORS NOT INVOLVED IN BUSINESS. (a) REPEAL OF SECTION 166(f).—Section 166 ( r e l a t i n g to bad debts)
26 USC 166.
is amended by striking out subsection (f) and by redesignating subsections (g) and (h) as subsections (f) and (g), respectively. (b) CONFORMING AMENDMENT. — Paragraph (1) of section 81 (relat-
26 USC 81.
ing to certain increases in suspense accounts) is amended by striking o u t "section 1 6 6 (g) " in the text and inserting in lieu thereof "section 166(f)". (c) EFFECTIVE DATE..—The amendments made by this section shall 26 USC 166 apply to guarantees made after December 31, 1975, in taxable years °o*^beginning after such date, /
TITLE VII—ACCUMULATION TRUSTS SEC. 701. ACCUMULATION TRUSTS. (a) REVISION o r METHOD o r T A X I N G ACCUMULATION DISTRIBUTION FROM TRUSTS.—
(1) Section 667 (relating to denial of refund to t r u s t s; author- 26 USC 667. ization of credit to beneficiaries) is amended to read as follows: