Ill STAT. 908 PUBLIC LAW 105-34—AUG. 5, 1997 (B) before the close of the 30-day period beginning on the date of the enactment of this Act or before such later date as may be specified by the Secretary of the Treasury, such transaction and position are clearly identified in the taxpayer's records as offsetting, such transaction and position shall not be taken into account in determining whether any other constructive sale after June 8, 1997, has occurred. The preceding sentence shall cease to apply as of the date such transaction is closed or the taxpayer ceases to hold such position. (3) SPECIAL RULE.— In the case of a decedent dying after June 8, 1997, if — (A) there was a constructive sale on or before such date of any appreciated financial position, (B) the transaction resulting in such constructive sale of such position remains open (with respect to the decedent or any related person)— (i) for not less than 2 years after the date of such transaction (whether such period is before or after June 8, 1997), and (ii) at any time during the 3-year period ending on the date of the decedent's death, and (C) such transaction is not closed within the 30-day period beginning on the date of the enactment of this Act, then, for purposes of such Code, such position (and the tremsaction resulting in such constructive sale) shall be treated as property constituting rights to receive an item of income in respect of a decedent under section 691 of such Code. Section 1014(c) of such Code shall not apply to so much of such position's or properties value (as included in the decedent's estate for purposes of chapter 11 of such Code) as exceeds its fair market value as of the date such transaction is closed. (4) ELECTION OF MARK TO MARKET BY SECURITIES TRADERS AND TRADERS AND DEALERS IN COMMODITIES.— (A) IN GENERAL.—The amendments made by subsection (b) shall apply to taxable years ending after the date of the enactment of this Act. (B) 4-YEAR SPREAD OF ADJUSTMENTS. — In the Case of a taxpayer who elects under subsection (e) or (f) of section 475 of the Internal Revenue Code of 1986 (as added by this section) to change its method of accounting for the taxable year which includes the date of the enactment of this Act— (i) any identification required under such subsection with respect to securities and commodities held on the date of the enactment of this Act shall be treated as timely made if made on or before the 30th day after such date of enactment, and (ii) the net amount of the adjustments required to be taken into account by the taxpayer under section 481 of such Code shall be taken into account ratably over the 4-taxable year period beginning with such first taxable year.
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