2014—Subsec. (b)(3)(E). Pub. L. 113–295 struck out “, 244,” after “sections 243” in cl. (ii) and in concluding provisions.
Subsec. (c)(5). Pub. L. 113–235 substituted “paragraphs (2) and (3) of subsection (a)” for “this section” and inserted “and for activities that improve health care quality” after “clinical services”.
2010—Subsec. (c)(5). Pub. L. 111–148 added par. (5).
1997—Subsec. (b)(1)(A)(i). Pub. L. 105–34, § 1604(d)(2)(A)(i), inserted “and liabilities incurred during the taxable year under cost-plus contracts” before the comma.
Subsec. (b)(1)(A)(ii). Pub. L. 105–34, § 1604(d)(2)(A)(ii), inserted “or in connection with the administration of cost-plus contracts” before the last comma.
1996—Subsec. (c)(4). Pub. L. 104–191 added par. (4).
Effective Date of 2014 Amendment
Amendment by Pub. L. 113–295 not applicable to preferred stock issued before Oct. 1, 1942 (determined in the same manner as under section 247 of this title as in effect before its repeal by Pub. L. 113–295), see section 221(a)(41)(K) of Pub. L. 113–295, set out as a note under section 172 of this title.
Except as otherwise provided in section 221(a) of Pub. L. 113–295, 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.
Pub. L. 113–235, div. N, § 102(b), Dec. 16, 2014, 128 Stat. 2773, provided that:
“The amendments made by this section [amending this section] shall apply to taxable years
beginning after December 31, 2009
Pub. L. 99–514, title X, § 1012(c), Oct. 22, 1986, 100 Stat. 2393, as amended by Pub. L. 100–647, title I, § 1010(b)(1), (2), Nov. 10, 1988, 102 Stat. 3451, provided that:
“(2)Study of fraternal beneficiary associations.—
The Secretary of the Treasury or his delegate
shall conduct a study of organizations
described in section 501(c)(8) of the Internal Revenue Code of 1986
and which received gross
annual insurance premiums in excess of $25,000,000 for the taxable years
of such organizations
which ended during 1984. Not later than January 1, 1988
, the Secretary of the Treasury
shall submit to the Committee on Ways and Means of the House of Representatives
, the Committee on Finance of the Senate
, and the Joint Committee on Taxation the results of such study, together with such recommendations as he determines to be appropriate. The Secretary of the Treasury
shall have authority to require the furnishing of such information as may be necessary to carry out the purposes of this paragraph.
“(3) Special rules for existing blue cross or blue shield organizations.—
“(B)Treatment of certain distributions.—
For purposes of section 833(b)(3)(B), the surplus
of any organization
as of the beginning of its 1st taxable year
beginning after December 31, 1986
, shall be increased by the amount of any distribution (other than to policyholders)
made by such organization
after August 16, 1986
, and before the beginning of such taxable year.
“(4) Other special rules.—
The amendments made by this section shall not apply with respect to that portion
of the business of Mutual of America which is attributable to pension business.
The amendments made by this section shall not apply to that portion
of the business of the Teachers Insurance Annuity
Association-College Retirement Equities Fund which is attributable to pension business.
“(C) The amendments made by this section shall not apply to—
the retirement fund of the YMCA,
the Missouri Hospital Plan
administrative services performed by municipal leagues, and
dental benefit coverage provided by a Delta Dental Plans
with independent professional service providers so long as the provision of such coverage is the principal activity of such organization
For purposes of this paragraph, the term ‘pension business’ means the administration of any plan
described in section 401(a) of the Internal Revenue Code of 1954
[now 1986] which includes a trust
exempt from tax
under section 501(a), any plan
under which amounts are contributed by an individual’s employer for an annuity contract
described in section 403(b) of such Code, any individual retirement plan
described in section 408 of such Code, and any eligible deferred compensation
plan to which section 457(a) of such Code applies.”
[The due date for the report referred to in section 1012(c)(2) of Pub. L. 99–514, set out above, extended to July 1, 1992, by Pub. L. 101–508, title XI, § 11831(b), Nov. 5, 1990, 104 Stat. 1388–559.]
Termination of Certain Exceptions From Rules Relating to Exempt Organizations Which Provide Commercial-Type Insurance
Pub. L. 105–277, div. J, title IV, § 4003(g), Oct. 21, 1998, 112 Stat. 2681–910, provided that:
“Rules similar to the rules of section 1.1502–75(d)(5) of the Treasury Regulations shall apply with respect to any organization
described in section 1042(b) of the 1997 Act [section 1042(b) of Pub. L. 105–34
, set out below].”
Pub. L. 105–34, title X, § 1042, Aug. 5, 1997, 111 Stat. 939, provided that:
“(b)Special Rules.—In the case of an organization to which section 501(m) of the Internal Revenue Code of 1986 applies solely by reason of the amendment made by subsection (a)—
no adjustment shall be made under section 481
(or any other provision) of such Code on account of a change in its method of accounting for its first taxable year
beginning after December 31, 1997
for purposes of determining gain
, the adjusted basis
of any asset held on the 1st day of such taxable year
shall be treated as equal to its fair market value as of such day.
“(c)Reserve Weakening After June 8, 1997.—
Any reserve weakening after June 8, 1997
, by an organization
described in subsection (b) shall be treated as occurring in such organization’
s 1st taxable year
beginning after December 31, 1997