PUBLIC LAW 109–280—AUG. 17, 2006
120 STAT. 1069
‘‘(v) DEFINITION.—For purposes of clause (iv), the term ‘qualified farmer or rancher’ means a taxpayer whose gross income from the trade or business of farming (within the meaning of section 2032A(e)(5)) is greater than 50 percent of the taxpayer’s gross income for the taxable year. ‘‘(vi) TERMINATION.—This subparagraph shall not apply to any contribution made in taxable years beginning after December 31, 2007.’’. (2) CORPORATIONS.—Paragraph (2) of section 170(b) is amended to read as follows: ‘‘(2) CORPORATIONS.—In the case of a corporation— ‘‘(A) IN GENERAL.—The total deductions under subsection (a) for any taxable year (other than for contributions to which subparagraph (B) applies) shall not exceed 10 percent of the taxpayer’s taxable income. ‘‘(B) QUALIFIED CONSERVATION CONTRIBUTIONS BY CERTAIN CORPORATE FARMERS AND RANCHERS.— ‘‘(i) IN GENERAL.—Any qualified conservation contribution (as defined in subsection (h)(1))— ‘‘(I) which is made by a corporation which, for the taxable year during which the contribution is made, is a qualified farmer or rancher (as defined in paragraph (1)(E)(v)) and the stock of which is not readily tradable on an established securities market at any time during such year, and ‘‘(II) which, in the case of contributions made after the date of the enactment of this subparagraph, is a contribution of property which is used in agriculture or livestock production (or available for such production) and which is subject to a restriction that such property remain available for such production, shall be allowed to the extent the aggregate of such contributions does not exceed the excess of the taxpayer’s taxable income over the amount of charitable contributions allowable under subparagraph (A). ‘‘(ii) CARRYOVER.—If the aggregate amount of contributions described in clause (i) exceeds the limitation of clause (i), such excess shall be treated (in a manner consistent with the rules of subsection (d)(2)) as a charitable contribution to which clause (i) applies in each of the 15 succeeding years in order of time. ‘‘(iii) TERMINATION.—This subparagraph shall not apply to any contribution made in taxable years beginning after December 31, 2007. ‘‘(C) TAXABLE INCOME.—For purposes of this paragraph, taxable income shall be computed without regard to— ‘‘(i) this section, ‘‘(ii) part VIII (except section 248), ‘‘(iii) any net operating loss carryback to the taxable year under section 172, ‘‘(iv) section 199, and ‘‘(v) any capital loss carryback to the taxable year under section 1212(a)(1).’’. (b) CONFORMING AMENDMENTS.—
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26 USC 170.
Applicability.
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