PUBLIC LAW 103-465—DEC. 8, 1994 108 STAT. 5021 equal to 100 percent of the amount on which tax was imposed by paragraph (1) for such first quarter. " (3) DEFINITIONS AND SPECIAL RULE.— "(A) LIQUIDITY SHORTFALL; QUARTER.—For purposes of this subsection, the terms liquidity shortfall' and 'quarter' have the respective meanings given such terms by section 412(m)(5). "(B) SPECIAI:. RULE.—I f the tax imposed by paragraph (2) is paid with respect to any liquidity shortfall for any quarter, no further tax shall be imposed by this subsection on such shortfall for such quarter." (C) TREATMENT OF FAILURE TO MAKE CERTAIN PAY- MENTS IF PLAN HAS LIQUIDITY SHORTFALL.— Section 401(a) 26 USC 40L is amended by adding at the end the following new paragraph: ^(32) TREATMENT OF FAILURE TO MAKE CERTAIN PAYMENTS IF PLAN HAS LIQUIDITY SHORTFALL.— "(A) IN GENERAL.— ^A trust forming part of a pension plan to which section 412(m)(5) applies shall not be treated as failing to constitute a qualified trust under this section merely because such plan ceases to make any payment described in subparagraph (B) during any period tnat such plan has a Uquidity shortfall (as defined in section 412(m)(5)). "(B) PAYMENTS DESCRIBED. — A payment is described in this subparagraph if such payment is— "(i) any payment, in excess of the monthly amount paid under a single hfe annuity (plus any social security supplements described in me last sentence of section 411(a)(9)), to a participant or beneficiary whose annuity staxiins date (as defined in section 417(f)(2)) occurs during the period referred to in subparagraph (A), "(ii) any payment for the purchase of an urevocable commitment fix)m an insurer to pay benefits, and "(iii) any other payment specified by the Secretary by regulations. "(C) PERIOD OF SHORTFALL. —For purposes of this paragraph, a plan has a liquidity shortfall diuing the period that there is an underpavment of an installment under section 412(m) by reason of paragraph (5)(A) thereof" (10) AMENDMENT TO DEFINITION OF FULL-FUNDING LIMITATION.— (A) Subparagraph (A) of section 412(c)(7) is amended by inserting "(including the expected increase in current Habihty due to benefits accruing during the plan year)" after "current liability" in clause (i). (B) Section 412(c)(7) is amended by adding at the end the following new subparagraph: " (E) MINIMUM AMOUNT.— "(i) IN GENERAL.—In no event shall the full-funding limitation determined under subparagraph (A) be less than the excess (if any) of— "(I) 90 percent of the current liability of the Elan (including the expected increase in current ability due to benefits accruing during the plan yesir), over
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