26 U.S.C. § 692 — Income taxes of members of Armed Forces,

Page 1860 TITLE 26—INTERNAL REVENUE CODE § 692 see section 301(c) of Pub. L. 99–514, set out as a note under section 62 of this title. Amendment by section 1432(a)(3) of Pub. L. 99–514 ap- plicable to generation-skipping transfers (within the meaning of section 2611 of this title) made after Oct. 22, 1986, except as otherwise provided, see section 1433 of Pub. L. 99–514, set out as an Effective Date note under section 2601 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Amendment by Pub. L. 98–369 applicable to taxable years beginning after Dec. 31, 1983, and to carrybacks from such years, see section 475(a) of Pub. L. 98–369, set out as a note under section 21 of this title. EFFECTIVE DATE OF 1981 AMENDMENT Amendment by Pub. L. 97–34 applicable to estates of decedents dying after Dec. 31, 1981, but inapplicable under certain conditions under will executed before date which is 30 days after Aug. 13, 1981, or under trust created by such date, see section 403(e) of Pub. L. 97–34, set out as a note under section 2056 of this title. EFFECTIVE DATE OF 1980 AMENDMENTS AND REVIVAL OF PRIOR LAW For effective date of amendment by section 2(b)(5) of Pub. L. 96–471, see section 6(a)(1) of Pub. L. 96–471, set out as an Effective Date note under section 453 of this title. Pub. L. 96–471, § 6(b), Oct. 19, 1980, 94 Stat. 2256, pro- vided: ‘‘The amendment made by section 3 [amending this section] shall apply in the case of decedents dying after the date of the enactment of this Act [Oct. 19, 1980].’’ Amendment by Pub. L. 96–223 (repealing section 2005(a)(4) of Pub. L. 94–455 and the amendments made thereby, which had amended this section) applicable in respect of decedents dying after Dec. 31, 1976, and ex- cept for certain elections, this title to be applied and administered as if those repealed provisions had not been enacted, see section 401(b), (e) of Pub. L. 96–223, set out as a note under section 1023 of this title. Pub. L. 96–222, title I, § 101(b)(1)(D), Apr. 1, 1980, 94 Stat. 205, provided that: ‘‘The amendment made by sub- section (a)(7) [probably means subsection (a)(8), which amended this section and section 2039 of this title] shall apply with respect to the estates of decedents dying after the date of the enactment of this Act [Apr. 1, 1980].’’ EFFECTIVE DATE OF 1978 AMENDMENT Pub. L. 95–600, title VII, § 702(b)(2), Nov. 6, 1978, 92 Stat. 2925, provided that: ‘‘The amendment made by paragraph (1) [amending this section] shall apply with respect to decedents dying after the date of the enact- ment of this Act [Nov. 6, 1978].’’ EFFECTIVE DATE OF 1976 AMENDMENT Amendment by section 1901(a)(91) of Pub. L. 94–455 ef- fective for taxable years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L. 94–455, set out as a note under section 2 of this title. Amendment by section 1951(b)(10)(A) of Pub. L. 94–455 effective for taxable years beginning after Dec. 31, 1976, see section 1951(d) of Pub. L. 94–455, set out as a note under section 72 of this title. Amendment by section 2005(a)(4)(A), (B) of Pub. L. 94–455 applicable in respect of decedents dying after Dec. 31, 1979, see section 2005(f)(1) of Pub. L. 94–455, set out as a note under section 1015 of this title. For effective date of amendment by section 2006(b)(3) of Pub. L. 94–455, see section 2006(c) of Pub. L. 94–455, set out as an Effective Date note under section 2601 of this title. EFFECTIVE DATE OF 1964 AMENDMENT Amendment by Pub. L. 88–272 applicable to taxable years ending after Dec. 31, 1963, see section 221(e) of Pub. L. 88–272, set out as a note under section 421 of this title. REPEALS Pub. L. 94–455, § 2005(a)(4), cited as a credit to this sec- tion, and the amendments made thereby, were repealed by Pub. L. 96–223, title IV, § 401(a), 94 Stat. 299, resulting in the text of this section reading as it read prior to en- actment of section 2005(a)(4). See Effective Date of 1980 Amendments and Revival of Prior Law note above. SAVINGS PROVISION Pub. L. 94–455, title XIX, § 1951(b)(10)(B), Oct. 4, 1976, 90 Stat. 1839, provided that: ‘‘Notwithstanding subpara- graph (A) [amending this section], any election made under section 691(e) to have subsection (a)(4) of such section apply in the case of an installment obligation shall continue to be effective with respect to taxable years beginning after December 31, 1976. Section 691(c) shall not apply in respect of any amount included in gross income by reason of the preceding sentence. The liability under bond filed under section 44(d) of the In- ternal Revenue Code of 1939 (or corresponding provi- sions of prior law) in respect of which such an election applies is hereby released with respect to taxable years to which such election applies.’’ PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1998 For provisions directing that if any amendments made by subtitle D [§§ 1401–1465] of title I of Pub. L. 104–188 require an amendment to any plan or annuity contract, such amendment shall not be required to be made before the first day of the first plan year begin- ning on or after Jan. 1, 1998, see section 1465 of Pub. L. 104–188, set out as a note under section 401 of this title. PLAN AMENDMENTS NOT REQUIRED UNTIL JANUARY 1, 1994 For provisions directing that if any amendments made by subtitle B [§§ 521–523] of title V of Pub. L. 102–318 require an amendment to any plan, such plan amendment shall not be required to be made before the first plan year beginning on or after Jan. 1, 1994, see section 523 of Pub. L. 102–318, set out as a note under section 401 of this title. § 692. Income taxes of members of Armed Forces, astronauts, and victims of certain terrorist attacks on death (a) General rule In the case of any individual who dies while in active service as a member of the Armed Forces of the United States, if such death occurred while serving in a combat zone (as determined under section 112) or as a result of wounds, dis- ease, or injury incurred while so serving— (1) any tax imposed by this subtitle shall not apply with respect to the taxable year in which falls the date of his death, or with re- spect to any prior taxable year ending on or after the first day he so served in a combat zone; and (2) any tax under this subtitle and under the corresponding provisions of prior revenue laws for taxable years preceding those specified in paragraph (1) which is unpaid at the date of his death (including interest, additions to the tax, and additional amounts) shall not be as- sessed, and if assessed the assessment shall be abated, and if collected shall be credited or re- funded as an overpayment. (b) Individuals in missing status For purposes of this section, in the case of an individual who was in a missing status within Page 1861 TITLE 26—INTERNAL REVENUE CODE § 692 the meaning of section 6013(f)(3)(A), the date of his death shall be treated as being not earlier than the date on which a determination of his death is made under section 556 of title 37 of the United States Code. Except in the case of the combat zone designated for purposes of the Viet- nam conflict, the preceding sentence shall not cause subsection (a)(1) to apply for any taxable year beginning more than 2 years after the date designated under section 112 as the date of ter- mination of combatant activities in a combat zone. (c) Certain military or civilian employees of the United States dying as a result of injuries (1) In general In the case of any individual who dies while a military or civilian employee of the United States, if such death occurs as a result of wounds or injury which was incurred while the individual was a military or civilian employee of the United States and which was incurred in a terroristic or military action, any tax im- posed by this subtitle shall not apply— (A) with respect to the taxable year in which falls the date of his death, and (B) with respect to any prior taxable year in the period beginning with the last taxable year ending before the taxable year in which the wounds or injury were incurred. (2) Terroristic or military action For purposes of paragraph (1), the term ‘‘ter- roristic or military action’’ means— (A) any terroristic activity which a pre- ponderance of the evidence indicates was di- rected against the United States or any of its allies, and (B) any military action involving the Armed Forces of the United States and re- sulting from violence or aggression against the United States or any of its allies (or threat thereof). For purposes of the preceding sentence, the term ‘‘military action’’ does not include train- ing exercises. (3) Treatment of multinational forces For purposes of paragraph (2), any multi- national force in which the United States is participating shall be treated as an ally of the United States. (d) Individuals dying as a result of certain at- tacks (1) In general In the case of a specified terrorist victim, any tax imposed by this chapter shall not apply— (A) with respect to the taxable year in which falls the date of death, and (B) with respect to any prior taxable year in the period beginning with the last taxable year ending before the taxable year in which the wounds, injury, or illness referred to in paragraph (3) were incurred. (2) $10,000 minimum benefit If, but for this paragraph, the amount of tax not imposed by paragraph (1) with respect to a specified terrorist victim is less than $10,000, then such victim shall be treated as having made a payment against the tax imposed by this chapter for such victim’s last taxable year in an amount equal to the excess of $10,000 over the amount of tax not so imposed. (3) Taxation of certain benefits Subject to such rules as the Secretary may prescribe, paragraph (1) shall not apply to the amount of any tax imposed by this chapter which would be computed by only taking into account the items of income, gain, or other amounts attributable to— (A) deferred compensation which would have been payable after death if the indi- vidual had died other than as a specified ter- rorist victim, or (B) amounts payable in the taxable year which would not have been payable in such taxable year but for an action taken after September 11, 2001. (4) Specified terrorist victim For purposes of this subsection, the term ‘‘specified terrorist victim’’ means any dece- dent— (A) who dies as a result of wounds or in- jury incurred as a result of the terrorist at- tacks against the United States on April 19, 1995, or September 11, 2001, or (B) who dies as a result of illness incurred as a result of an attack involving anthrax occurring on or after September 11, 2001, and before January 1, 2002. Such term shall not include any individual identified by the Attorney General to have been a participant or conspirator in any such attack or a representative of such an indi- vidual. (5) Relief with respect to astronauts The provisions of this subsection shall apply to any astronaut whose death occurs in the line of duty, except that paragraph (3)(B) shall be applied by using the date of the death of the astronaut rather than September 11, 2001. (Aug. 16, 1954, ch. 736, 68A Stat. 238; Pub. L. 93–597, § 4(a), Jan. 2, 1975, 88 Stat. 1952; Pub. L. 94–455, title XIX, § 1901(a)(92), Oct. 4, 1976, 90 Stat. 1780; Pub. L. 94–569, § 3(c), Oct. 20, 1976, 90 Stat. 2699; Pub. L. 97–448, title III, § 307(b), Jan. 12, 1983, 96 Stat. 2407; Pub. L. 98–259, § 1(a), Apr. 10, 1984, 98 Stat. 142; Pub. L. 98–369, div. A, title VII, § 722(g)(2), (3), July 18, 1984, 98 Stat. 974; Pub. L. 99–514, title XVII, § 1708(a)(2), Oct. 22, 1986, 100 Stat. 2782; Pub. L. 107–134, title I, §§ 101(a), (c)(1), 113(b), Jan. 23, 2002, 115 Stat. 2428, 2435; Pub. L. 108–121, title I, § 110(a)(1), (3)(A), Nov. 11, 2003, 117 Stat. 1342; Pub. L. 113–295, div. A, title II, § 221(a)(67), Dec. 19, 2014, 128 Stat. 4048.) Editorial Notes AMENDMENTS 2014—Subsec. (a)(1). Pub. L. 113–295 struck out ‘‘after June 24, 1950’’ after ‘‘combat zone’’. 2003—Pub. L. 108–121, § 110(a)(3)(A), inserted ‘‘, astronauts,’’ after ‘‘Forces’’ in section catchline. Subsec. (d)(5). Pub. L. 108–121, § 110(a)(1), added par. (5). 2002—Pub. L. 107–134, § 101(c)(1), amended section catchline generally. Prior to amendment, catchline read as follows: ‘‘Income taxes on members of Armed Forces on death’’. Page 1862 TITLE 26—INTERNAL REVENUE CODE § 692 Subsec. (c). Pub. L. 107–134, § 113(b)(2), struck out ‘‘sustained overseas’’ after ‘‘injuries’’ in heading. Subsec. (c)(1). Pub. L. 107–134, § 113(b)(1), struck out ‘‘outside the United States’’ before ‘‘in a terroristic or military action’’ in introductory provisions. Subsec. (d). Pub. L. 107–134, § 101(a), added subsec. (d). 1986—Subsec. (b). Pub. L. 99–514 amended last sen- tence generally. Prior to amendment, sentence read as follows: ‘‘The preceding sentence shall not cause sub- section (a)(1) to apply for any taxable year beginning— ‘‘(1) after December 31, 1982, in the case of service in the combat zone designated for purposes of the Vietnam conflict, or ‘‘(2) more than 2 years after the date designated under section 112 as the date of termination of com- batant activities in that zone, in the case of any com- bat zone other than that referred to in paragraph (1).’’ 1984—Subsec. (c). Pub. L. 98–259 added subsec. (c). Subsec. (c)(1). Pub. L. 98–369, § 722(g)(2), which di- rected amendment of par. (1) of this section by sub- stituting ‘‘as a result of wounds or injury which was in- curred while the individual was a military or civilian employee of the United States and which was incurred’’ for ‘‘as a result of wounds or injury incurred’’ was exe- cuted to par. (1) of subsec. (c) to reflect the probable in- tent of Congress. Subsec. (c)(2)(A). Pub. L. 98–369, § 722(g)(3), inserted ‘‘which a preponderance of the evidence indicates was’’. 1983—Subsec. (b)(1). Pub. L. 97–448 substituted ‘‘De- cember 31, 1982’’ for ‘‘January 2, 1978’’. 1976—Subsec. (b). Pub. L. 94–569 substituted ‘‘to apply for any taxable year beginning’’ for ‘‘to apply for any taxable year beginning more than 2 years after’’ in pro- visions preceding par. (1), substituted ‘‘after January 2, 1978’’ for ‘‘the date of enactment of this subsection’’ in par. (1), and substituted ‘‘more than 2 years after the date designated’’ for ‘‘the date designated’’ in par. (2). Pub. L. 94–455 substituted ‘‘of members’’ for ‘‘on members’’ in heading. 1975—Subsec. (a). Pub. L. 93–597, § 4(a)(1), (2), des- ignated existing provisions as subsec. (a), added head- ing, and in subsec. (a) as so designated, struck out ‘‘during an induction period (as defined in section 112(c)(5))’’, respectively. Subsec. (b). Pub. L. 93–597, § 4(a)(3), added subsec. (b). Statutory Notes and Related Subsidiaries EFFECTIVE DATE OF 2014 AMENDMENT Amendment by Pub. L. 113–295 effective Dec. 19, 2014, subject to a savings provision, see section 221(b) of Pub. L. 113–295, set out as a note under section 1 of this title. EFFECTIVE DATE OF 2003 AMENDMENT Amendment by Pub. L. 108–121 applicable with re- spect to any astronaut whose death occurs after Dec. 31, 2002, see section 110(a)(4) of Pub. L. 108–121, set out as a note under section 5 of this title. EFFECTIVE DATE OF 2002 AMENDMENT Pub. L. 107–134, title I, § 101(d), Jan. 23, 2002, 115 Stat. 2429, provided that: ‘‘(1) EFFECTIVE DATE.—The amendments made by this section [amending this section and sections 5 and 6013 of this title] shall apply to taxable years ending before, on, or after September 11, 2001. ‘‘(2) WAIVER OF LIMITATIONS.—If refund or credit of any overpayment of tax resulting from the amend- ments made by this section is prevented at any time before the close of the 1-year period beginning on the date of the enactment of this Act [Jan. 23, 2002] by the operation of any law or rule of law (including res judi- cata), such refund or credit may nevertheless be made or allowed if claim therefor is filed before the close of such period.’’ Amendment by section 113(b) of Pub. L. 107–134 appli- cable to taxable years ending on or after Sept. 11, 2001, see section 113(c) of Pub. L. 107–134, set out as a note under section 104 of this title. EFFECTIVE DATE OF 1986 AMENDMENT Amendment by Pub. L. 99–514 applicable to taxable years beginning after Dec. 31, 1982, see section 1708(b) of Pub. L. 99–514, set out as a note under section 2 of this title. EFFECTIVE DATE OF 1984 AMENDMENT Pub. L. 98–369, div. A, title VII, § 722(g)(5), July 18, 1984, 98 Stat. 975, as amended by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ‘‘(A) IN GENERAL.—The amendments made by this subsection [amending this section and enacting and amending provisions set out below] shall take effect as if they were included in the amendments made by sec- tion 1 of Public Law 98–259 [amending this section and enacting provisions set out below]. ‘‘(B) STATUTE OF LIMITATIONS WAIVED.—Notwith- standing section 6511 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954], the time for filing a claim for credit or refund of any overpayment of tax resulting from the amendments made by this subsection shall not expire before the date 1 year after the date of the enactment of this Act [July 18, 1984].’’ Pub. L. 98–259, § 1(b), Apr. 10, 1984, 98 Stat. 143, as amended by Pub. L. 98–369, div. A, title VII, § 722(g)(1), July 18, 1984, 98 Stat. 974; Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ‘‘(1) IN GENERAL.—The amendment made by sub- section (a) [amending this section] shall apply with re- spect to all taxable years (whether beginning before, on, or after the date of enactment of this Act [Apr. 10, 1984]) of individuals dying after November 17, 1978, as a result of wounds or injuries incurred after such date. ‘‘(2) STATUTE OF LIMITATIONS WAIVED.—Notwith- standing section 6511 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954], the time for filing a claim for credit or refund of any overpayment of tax resulting from the amendment made by subsection (a) shall not expire before the date 1 year after the date of the en- actment of this Act.’’ EFFECTIVE DATE OF 1976 AMENDMENT Amendment by Pub. L. 94–455 effective for taxable years beginning after Dec. 31, 1976, see section 1901(d) of Pub. L. 94–455, set out as a note under section 2 of this title. EFFECTIVE DATE OF 1975 AMENDMENT Pub. L. 93–597, § 4(b), Jan. 2, 1975, 88 Stat. 1952, pro- vided that: ‘‘The amendments made by subsection (a) [amending this section] shall apply to taxable years ending on or after February 28, 1961.’’ REFUNDS AND CREDITS OF OVERPAYMENTS FOR TAX- ABLE YEARS ENDING ON OR AFTER FEBRUARY 28, 1961, RESULTING FROM APPLICATION OF PROVISIONS Pub. L. 93–597, § 4(c), Jan. 2, 1975, 88 Stat. 1952, as amended by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ‘‘If the refund or credit of any over- payment for any taxable year ending on or after Feb- ruary 28, 1961, resulting from the application of section 692 of the Internal Revenue Code of 1986 [formerly I.R.C. 1954] (as amended by subsection (a) of this sec- tion) is prevented at any time before the expiration of one year after the date of the enactment of this Act [Jan. 2, 1975] by the operation of any law or rule of law, but would not have been so prevented if claim for re- fund or credit therefor were made on the due date for the return for the taxable year of his death (or any later year), refund or credit of such overpayment may, nevertheless, be made or allowed if claim therefor is filed before the expiration of such one-year period.’’ TREATMENT OF DIRECTOR GENERAL OF MULTINATIONAL FORCE IN SINAI Pub. L. 98–369, div. A, title VII, § 722(g)(4), July 18, 1984, 98 Stat. 974, as amended by Pub. L. 99–514, § 2, Oct. 22, 1986, 100 Stat. 2095, provided that: ‘‘For purposes of Page 1863 TITLE 26—INTERNAL REVENUE CODE § 702 section 692(c) of the Internal Revenue Code of 1986 [for- merly I.R.C. 1954], the Director General of the Multi- national Force and Observers in the Sinai who died on February 15, 1984, shall be treated as if he were a civil- ian employee of the United States while he served as such Director General.’’ Subchapter K—Partners and Partnerships Part I. Determination of tax liability. II. Contributions, distributions, and transfers. III. Definitions. [IV. Repealed.] Editorial Notes AMENDMENTS 2015—Pub. L. 114–74, title XI, § 1101(b)(1), Nov. 2, 2015, 129 Stat. 625, struck out item for part IV ‘‘Special rules for electing large partnerships’’. 1997—Pub. L. 105–34, title XII, § 1221(b), Aug. 5, 1997, 111 Stat. 1008, added item for part IV. PART I—DETERMINATION OF TAX LIABILITY Sec. 701. Partners, not partnership, subject to tax. 702. Income and credits of partner. 703. Partnership computations. 704. Partner’s distributive share. 705. Determination of basis of partner’s interest. 706. Taxable years of partner and partnership. 707. Transactions between partner and partner- ship. 708. Continuation of partnership. 709. Treatment of organization and syndication fees. Editorial Notes AMENDMENTS 1976—Pub. L. 94–455, title II, § 213(b)(2), title XIX, § 1901(b)(23), Oct. 4, 1976, 90 Stat. 1547, 1798, struck out part IV ‘‘Effective date for subchapter’’ in table of parts of subchapter K of chapter 1 and added item 709. § 701. Partners, not partnership, subject to tax A partnership as such shall not be subject to the income tax imposed by this chapter. Persons carrying on business as partners shall be liable for income tax only in their separate or indi- vidual capacities. (Aug. 16, 1954, ch. 736, 68A Stat. 239.) § 702. Income and credits of partner (a) General rule In determining his income tax, each partner shall take into account separately his distribu- tive share of the partnership’s— (1) gains and losses from sales or exchanges of capital assets held for not more than 1 year, (2) gains and losses from sales or exchanges of capital assets held for more than 1 year, (3) gains and losses from sales or exchanges of property described in section 1231 (relating to certain property used in a trade or business and involuntary conversions), (4) charitable contributions (as defined in section 170(c)), (5) dividends with respect to which section 1(h)(11) or part VIII of subchapter B applies, (6) taxes, described in section 901, paid or ac- crued to foreign countries and to possessions of the United States, (7) other items of income, gain, loss, deduc- tion, or credit, to the extent provided by regu- lations prescribed by the Secretary, and (8) taxable income or loss, exclusive of items requiring separate computation under other paragraphs of this subsection. (b) Character of items constituting distributive share The character of any item of income, gain, loss, deduction, or credit included in a partner’s distributive share under paragraphs (1) through (7) of subsection (a) shall be determined as if such item were realized directly from the source from which realized by the partnership, or in- curred in the same manner as incurred by the partnership. (c) Gross income of a partner In any case where it is necessary to determine the gross income of a partner for purposes of this title, such amount shall include his dis- tributive share of the gross income of the part- nership. (d) Cross reference For rules relating to procedures for determining the tax treatment of partnership items see sub- chapter C of chapter 63 (section 6221 and following). (Aug. 16, 1954, ch. 736, 68A Stat. 239; Pub. L. 88–272, title II, § 201(d)(7), Feb. 26, 1964, 78 Stat. 32; Pub. L. 94–455, title XIV, § 1402(b)(1)(L), (2), title XIX, §§ 1901(b)(1)(I)(i), (ii), 1906(b)(13)(A), Oct. 4, 1976, 90 Stat. 1732, 1791, 1834; Pub. L. 96–223, title IV, § 404(b)(5), Apr. 2, 1980, 94 Stat. 307; Pub. L. 97–34, title III, § 301(b)(5), (6)(C), Aug. 13, 1981, 95 Stat. 270; Pub. L. 97–248, title IV, § 402(c)(1), Sept. 3, 1982, 96 Stat. 667; Pub. L. 97–448, title I, § 103(a)(4), Jan. 12, 1983, 96 Stat. 2375; Pub. L. 98–369, div. A, title X, § 1001(b)(9), (e), July 18, 1984, 98 Stat. 1011, 1012; Pub. L. 99–514, title VI, § 612(b)(5), Oct. 22, 1986, 100 Stat. 2250; Pub. L. 108–27, title III, § 302(e)(8), May 28, 2003, 117 Stat. 764.) Editorial Notes AMENDMENTS 2003—Subsec. (a)(5). Pub. L. 108–27 amended par. (5) generally. Prior to amendment, par. (5) read as follows: ‘‘dividends with respect to which there is a deduction under part VIII of subchapter B,’’. 1986—Subsec. (a)(5). Pub. L. 99–514 amended par. (5) generally. Prior to amendment, par. (5) read as follows: ‘‘dividends or interest with respect to which there is an exclusion under section 116 or 128, or a deduction under part VIII of subchapter B,’’. 1984—Subsec. (a)(1), (2). Pub. L. 98–369 substituted ‘‘6 months’’ for ‘‘1 year’’, applicable to property acquired after June 22, 1984, and before Jan. 1, 1988. See Effective Date of 1984 Amendment note below. 1983—Subsec. (a)(5). Pub. L. 97–448 substituted ‘‘an ex- clusion under section 116 or 128,’’ for ‘‘provided an ex- clusion under section 116 or 128’’. 1982—Subsec. (d). Pub. L. 97–248 added subsec. (d). 1981—Subsec. (a)(5). Pub. L. 97–34, § 301(b)(6)(C), in- serted reference to ‘‘interest’’ in heading and text which continued the amendment made by Pub. L. 96–223. Pub. L. 97–34, § 301(b)(5), inserted ‘‘or 128’’ after ‘‘sec- tion 116’’. 1980—Subsec. (a)(5). Pub. L. 96–223 inserted ‘‘or inter- est’’ after ‘‘dividends’’. 1976—Subsec. (a)(1), (2). Pub. L. 94–455, § 1402(b)(2), pro- vided that ‘‘9 months’’ would be changed to ‘‘1 year’’.