124 STAT. 3550 PUBLIC LAW 111–325—DEC. 22, 2010 ‘‘(i) such company issues only stock which is redeemable upon the demand of the stockholder, and ‘‘(ii) such redemption is upon the demand of another regulated investment company.’’. (c) EFFECTIVE DATE.—The amendments made by this section shall apply to distributions after the date of the enactment of this Act. SEC. 307. REPEAL OF PREFERENTIAL DIVIDEND RULE FOR PUBLICLY OFFERED REGULATED INVESTMENT COMPANIES. (a) IN GENERAL.—Subsection (c) of section 562 is amended by striking ‘‘The amount’’ and inserting ‘‘Except in the case of a publicly offered regulated investment company (as defined in section 67(c)(2)(B)), the amount’’. (b) CONFORMING AMENDMENT.—Section 562(c) is amended by inserting ‘‘(other than a publicly offered regulated investment com- pany (as so defined))’’ after ‘‘regulated investment company’’ in the second sentence thereof. (c) EFFECTIVE DATE.—The amendments made by this section shall apply to distributions in taxable years beginning after the date of the enactment of this Act. SEC. 308. ELECTIVE DEFERRAL OF CERTAIN LATE-YEAR LOSSES OF REGULATED INVESTMENT COMPANIES. (a) IN GENERAL.—Paragraph (8) of section 852(b) is amended to read as follows: ‘‘(8) ELECTIVE DEFERRAL OF CERTAIN LATE-YEAR LOSSES.— ‘‘(A) IN GENERAL.—Except as otherwise provided by the Secretary, a regulated investment company may elect for any taxable year to treat any portion of any qualified late-year loss for such taxable year as arising on the first day of the following taxable year for purposes of this title. ‘‘(B) QUALIFIED LATE-YEAR LOSS.—For purposes of this paragraph, the term ‘qualified late-year loss’ means— ‘‘(i) any post-October capital loss, and ‘‘(ii) any late-year ordinary loss. ‘‘(C) POST-OCTOBER CAPITAL LOSS.—For purposes of this paragraph, the term ‘post-October capital loss’ means the greatest of— ‘‘(i) the net capital loss attributable to the portion of the taxable year after October 31, ‘‘(ii) the net long-term capital loss attributable to such portion of the taxable year, or ‘‘(iii) the net short-term capital loss attributable to such portion of the taxable year. ‘‘(D) LATE-YEAR ORDINARY LOSS.—For purposes of this paragraph, the term ‘late-year ordinary loss’ means the excess (if any) of— ‘‘(i) the sum of— ‘‘(I) the specified losses (as defined in section 4982(e)(5)(B)(ii)) attributable to the portion of the taxable year after October 31, plus ‘‘(II) the ordinary losses not described in sub- clause (I) attributable to the portion of the taxable year after December 31, over ‘‘(ii) the sum of— 26 USC 562 note. 26 USC 267 note.
