§ 52. Special rules

Legislative history

Reconstructed from this section’s Code source credit and amendment notes, resolved against the local Statutes at Large. Editorial notes are evidence, not the law that made the change.

1. 1977

   Tax Reduction and Simplification Act of 1977

   Pub. L. 95–30 title II § 202(b) · 91 Stat. 126

   Enacted · 26 U.S.C. § 52

   Added Pub. L. 95–30, title II, § 202(b), May 23, 1977, 91 Stat. 143

   Source evidence

   Code source credit
   Added Pub. L. 95–30, title II, § 202(b), May 23, 1977, 91 Stat. 143

   Enacted provision · exact public law section
   (b) Rules for Computing Credit.— Part IV of subchapter A of chapter 1 (relating to credits against tax) is amended by adding at the end thereof the following new subpart: “Subpart D— Rules for Computing Credit for Employment of Certain New Employees “Sec. 51. Amount of credit. “Sec. 52. Special rules. “Sec. 53. Limitation based on amount of tax. “SEC. 51. AMOUNT OF CREDIT. (a) Determination of Amount.— The amount of the credit allowable by section 44B shall be— Supra, “(1) for a taxable year beginning in 1977, an amount equal to 50 percent of the excess of the aggregate unemployment insurance wages paid during 1977 over 102 percent of the aggregate unemployment insurance wages paid during 1976, and “(2) for a taxable year beginning in 1978, an amount equal to 50 percent of the excess of the aggregate unemployment insurance wages paid during 1978 over 102 percent of the aggregate unemployment insurance wages paid during 1977. “(b) Minimum Preceding Year Wages.— For purposes of determining the amount of the credit under subsection (a) with respect to 1977 or 1978, 102 percent of the amount of the aggregate unemployment insurance wages paid during the preceding calendar year shall be deemed to be not less than 50 percent of the amount of such wages paid during 1977 or 1978, as the case may be. “(c) Total Wages Must Increase.— The amount of the credit allowable by section 44B for any taxable year shall not exceed the amount which would be determined for such year under subsection (a) (without regard to subsection (b)) if— “(1) the aggregate amounts taken into account as unemployment insurance wages were determined without any dollar limitation, and “(2) ‘105 percent’ were substituted for ‘102 percent’ in the appropriate paragraph of subsection (a). “(d) $100,000 Per Year Limitation on Credit.— Except as provided in subsection (e), the amount of the credit determined under this subpart for any employer (and the amount of the credit allowable by section 44B to any taxpayer) with respect to any calendar year shall not exceed $100,000. “(e) Additional 10 Percent Credit for Vocational Rehabilitation Referrals.— “(1) In general.— The amount of the credit allowable by section 44B for any taxable year beginning in 1977 or 1978 (determined without regard to this subsection) shall be increased by an amount equal to 10 percent of the unemployment insurance wages paid by the employer to vocational rehabilitation referrals during the calendar year in which such taxable year begins. “(2) Only first year taken into account.— For purposes of this subsection, unemployment insurance wages may be taken into account with respect to any individual— “(A) only to the extent attributable to services rendered during the 1-year period beginning with his first payment of wages by the employer after the beginning of such individual’s rehabilitation plan, and “(B) only if such first payment occurs after December 31, 1976. “(3) Only first $4,200 of wages taken into account for any individual.— For purposes of this subsection, the unemployment insurance wages paid during 1978 which are taken into account with respect to any individual shall not exceed $4,200 reduced by the amount of unemployment insurance wages paid by the employer to such individual during 1977. “(4) 20-percent limitation.— The amount of the credit allowable by reason of this subsection for any taxable year shall not exceed one-fifth of the credit determined for such year under this section without regard to this subsection and subsection (d). “(f) Definitions.— For purposes of this subpart— “(1) Unemployment insurance wages.— Except as otherwise provided in this subpart, the term ‘unemployment insurance wages’ has the meaning given to the term ‘wages’ by section 3306(b), except that, in the case of amounts paid during 1978, ‘$4,200’ shall be substituted for ‘$6,000’ each place it appears in section 3306(b). “(2) Agricultural labor.— If the services performed by any employee for an employer during more than one-half of any pay period (within the meaning of section 3306(d)) taken into account with respect to any calendar year constitute agricultural labor (within the meaning of section 3306(k)), the term ‘unemployment insurance wages’ means, with respect to the remuneration paid by the employer to such employee for such year, an amount equal to so much of such remuneration as constitutes ‘wages’ within the meaning of section 3121(a), except that the contribution and benefit base for each calendar year shall be deemed to be $4,200. “(3) Railway labor.— If more than one-half of the remuneration paid by an employer to an employee during the calendar year is remuneration for service described in section 3306(c) (9), the term ‘unemployment insurance wages’ means, with respect to such employee for such year, an amount equal to % of so much of the remuneration paid to such employee during such year as is subject to contributions under section 8(a) of the Railroad Unemployment Insurance Act (45 U.S.C. 358(a)). “(4) Vocational rehabilitation referral.— The term ‘vocational rehabilitation referral’ means any individual who— “(A) has a physical or mental disability which, for such individual, constitutes or results in a substantial handicap to employment , and “(B) has been referred to the employer upon completion of (or while receiving) rehabilitative services pursuant to— “(i) an individualized written rehabilitation plan under a State plan for vocational rehabilitation services approved under the Rehabilitation Act of 1973, or 29 USC 701 note. “(ii) a program of vocational rehabilitation carried out under chapter 31 of title 38, United States Code. 38 USC 1501. “(g) Rules for Application of Section.— For purposes of this subpart— “(1) Remuneration must be for trade or business employment within united states.— Remuneration paid by an employer to an employee during any calendar year shall be taken into account only if more than one-half of the remuneration so paid is for services performed in the United States in a trade or business of the employer. “(2) Special rule for certain determinations.— Any determination as to whether paragraph (1) of this subsection, or paragraph (2) or (3) of subsection (f). applies with respect to any employee for any calendar year shall be made without regard to subsections (a) and (b) of section 52. “SEC. 52. SPECIAL RULES. “(a) Controlled Group of Corporations.— For purposes of this subpart, all employees of all corporations which are members of the same controlled group of corporations shall be treated as employed by a single employer. In any such case, the credit (if any) allowable by section 44B to each such member shall be its proportionate contribution to the increase in unemployment insurance wages giving rise to Ante, p. 141. such credit. For purposes of this subsection, the term ‘controlled group of corporations’ “Controlled group of corporations.” has the meaning given to such term by section 1563 (a), except that— “(1) ‘more than 50 percent’ shall be substituted for ‘at least 80 percent’ each place it appears in section 1563(a) (1), and “(2) the determination shall be made without regard to subsections (a) (4) and (e) (3) (C) of section 1563. “(b) Employees of Partnerships, Proprietorships, Etc., Which Are Under Common Control.— For purposes of this subpart, under regulations prescribed by the Secretary— “(1) all employees of trades or business (whether or not incorporated) which are under common control shall be treated as employed by a single employer, and “(2) the credit (if any) allowable by section 44B with respect to each trade or business shall be its proportionate contribution to the increase in unemployment insurance wages giving rise to such credit. The regulations prescribed under this subsection shall be based on principles similar to the principles which apply in the case of subsection (a). “(c) Adjustments for Certain Acquisitions, Etc.— Under regulations prescribed by the Secretary— “(1) Acquisitions.— If, after December 31, 1975, an employer acquires the major portion of a trade or business of another person (hereinafter in this paragraph referred to as the ‘precedessor’) or the major portion of a separate unit of a trade or business of a predecessor, then, for purposes of applying this subpart for any calendar year ending after such acquisition, the amount of unemployment insurance wages deemed paid by the. employer during periods before such acquisition shall lie increased by so much of such wages paid by the precedessor with respect to the acquired trade or business as is attributable to the portion of such trade or business acquired by the employer. “(2) Dispositions.— If, after December 31, 1975— “(A) an employer disposes of the major portion of any trade or business of the. employer or the major portion of a separate unit of a trade or business of the employer in a transaction to which paragraph (1) applies, and “(B) the employer furnishes the acquiring person such information as is necessary for the application of paragraph (1), then, for purposes of applying this subpart for any calendar year ending after such disposition, the amount of unemployment insurance wages deemed paid by the employer during periods before such disposition shall be decreased by so much of such wages as is attributable to such trade or business or separate unit. “(d) Tax-Exempt Organizations.— No credit shall be allowed under section 44B to any organization (other than a cooperative described in section 521) which is exempt from income tax under this chapter. “(e) Change in Status From Self-Employed to Employee.— If— “(1) during 1976 or 1977 an individual has net earnings from self-employment (as defined in section 1402(a)) which are attributable to a trade or business, and “(2) for any portion of the succeeding calendar year such individual is an employee of such trade or business, then, for purposes of determining the credit allowable for a taxable year beginning in such succeeding calendar year, the employer’s aggregate unemployment insurance wages for 1976 or 1977. as the case may be. shall be increased by an amount equal to so much of the net earnings referred to in paragraph (1) as does not exceed $4,200. “(f) Subchapter S Corporations.— In the case of an electing small business corporation (as defined insertion 1371)— “(1) the amount of the credit determined under this subpart for any taxable year shall be apportioned pro rata among the persons who are shareholders of such corporation on the last day of such taxable year, and “(2) any person to whom an amount is apportioned under paragraph (1) shall be allowed, subject to section 53, a credit under section 44B for such amount. Ante, p. 141. “(g) Estates and Trusts.— In the case of an estate or trust— “(1) the amount of the credit determined under this subpart for any taxable year shall be apportioned between the estate or trust and the beneficiaries on the basis of the income of the estate or trust allocable to each, “(2) any beneficiary to whom any amount has been apportioned under paragraph (1) shall be allowed, subject to section 53, a credit under section 44B for such amount, and “(3) the $100,000 amount specified in section 51(d) applicable to such estate or trust shall be reduced to an amount which hears the same ratio to $100,000 as the portion of the credit allocable to the estate or trust under paragraph (1) bears to the entire amount of such credit. “(h) Limitations With Respect to Certain Persons.— Under Regulations. regulations prescribed by the Secretary, in the case of— “(1) an organization to which section 593 (relating to reserves for losses on loans) applies, “(2) a regulated investment company or a real estate investment trust subject to taxation under subchapter M (section 851 and following), and “(3) a cooperative organization described in section 1381(a), rules similar to the rules provided in section 46(e) shall apply in determining the amount of the credit under this subpart. “(i) $50,000 Limitation in the Case of Married Individuals Filing Separate Returns.-—Tn the case of a husband or wife who files a separate return, the limitation under section 51(d) shall be $50,000 in lieu of $100,000. This subsection shall not apply if the spouse of the taxpayer has no interest in a trade or business for the taxable year of such spouse which ends within or with the taxpayer’s taxable year. “(j) Certain Short Taxable Years.— If the employer has more than one taxable year beginning in 1977 or 1978, the credit under this subpart shall be determined for the employer’s last taxable year beginning in 1977 or 1978. as the case may be. “SEC. 53. LIMITATION BASED ON AMOUNT OF TAX. “(a) General Rule.— Notwithstanding section 51, the amount of the credit allowed by section 44 B for the taxable year shall not exceed the amount of the tax imposed by this chapter for the taxable year, reduced by the sum of Ante, p. 141. the credits allowable under— “(1) section 33 (relating to foreign tax credit), “(2) section 37 (relating to credit for the elderly), “(3) section 38 (relating to investment in certain depreciable property), “(4) section 40 (relating to expenses of work incentive programs) , “(5) section 41 (relating to contributions to candidates for public office), “(6) section 42 (relating to general tax credit), and “(7) section 44A (relating to expenses for household and dependent care services necessary for gainful employment). For purposes of this subsection, any tax imposed for the taxable year by section 56 (relating to minimum tax for tax preferences), section 72(m) (5) (B) (relating to 10 percent tax on premature distributions to owner-employees), section 408(f) (relating to additional tax on income from certain retirement accounts), section 402(e) (relating to tax on lump-sum distributions), section 531 (relating to accumulated earnings tax), section 541 (relating to personal holding company tax), or section 1378 (relating to tax on certain capital gains of subchapter S corporations), and any additional tax imposed for the taxable year by section 1351(d)(1) (relating to recoveries of foreign expropriation losses), shall not be considered tax imposed by this chapter for such year. “(b) Special Rule for Pass-Thru of Credit.— In the case of a partner in a partnership, a beneficiary of an estate or trust, and a shareholder in a subchapter S corporation, the limitation provided by subsection (a) for the taxable year shall not exceed a limitation separately computed with respect to such person’s interest in such entity by taking an amount which bears the same relationship to such limitation as— “(1) that portion of the person’s taxable income which is allocable or apportionable to the person’s interest in such entity, bears to “(2) the person’s taxable income for such year reduced by his Ante, p. 135. zero bracket amount (determined under section 63(d)), if any. “(c) Carryback and Carryover of Unused Credit.— “(1) Allowance of Credit.— If the amount of the credit determined under section 51 for any taxable year exceeds the limitation provided by subsection (a) for such taxable year (herein-after in this subsection referred to as the ‘unused credit year’), such excess shall be— “(A) a new employee credit carryback to each of the 3 taxable years preceding the unused credit year, and “(B) a new employee credit carryover to each of the 7 taxable years following the unused credit year, and shall be added to the amount allowable as a credit by section 44B for such years. If any portion of such excess is a carryback to a taxable year beginning before January 1, 1977, section 44B shall be deemed to have been in effect for such taxable year for purposes of allowing such carryback as a credit under such section. The entire amount of the unused credit for an unused credit year shall be carried to the earliest of the 10 taxable years to which (by reason of subparagraphs (A) and (B)) such credit may be carried, and then to each of the other 9 taxable years to the extent that, because of the limitation contained in paragraph (2), such unused credit may not be added for a prior taxable year to which such unused credit may be carried. “(2) Limitation.— The amount of the unused credit which may be added under paragraph (1) for any preceding or succeeding taxable year shall not exceed the amount by which the limitation provided by subsection (a) for such taxable year exceeds the sum of— “(A) the credit allowable under section 44B for such taxable Ante, p. 141. year, and “(B) the amounts which, by reason of this subsection, are added to the amount allowable for such taxable year and which are attributable to taxable years preceding the unused credit year.”

2. 1978

   Pub. L. 95–600 § 321(c)(1)(B) · 92 Stat. 2763

   Substituted · 26 U.S.C. § 52(a); 26 U.S.C. § 52(b)

   Pub. L. 95–600, § 321(c)(1)(B), substituted “proportionate share of the wages” for “proportionate contribution to the increase in unemployment insurance wages”

   Source evidence

   Code amendment note
   Subsecs. (a), (b). Pub. L. 95–600, § 321(c)(1)(B), substituted “proportionate share of the wages” for “proportionate contribution to the increase in unemployment insurance wages”.

   Enacted provision · exact public law section
   (B) Subsections (a) and (b) of section 52 are each amended by striking out “proportionate contribution to the increase in unemployment insurance wages” and inserting in lieu thereof “proportionate share of the wages”.

3. 1978

   Pub. L. 95–600 § 321(c)(1)(A) · 92 Stat. 2763

   1. Struck · 26 U.S.C. § 52(c); 26 U.S.C. § 52(d)

      Pub. L. 95–600, § 321(c)(1)(A), struck out subsec. (c) which related to dispositions by an employer

   2. Redesignated · 26 U.S.C. § 52(c); 26 U.S.C. § 52(d)

      Pub. L. 95–600, § 321(c)(1)(A), redesignated subsecs. (d) and (f) as (c) and (d), respectively

   Source evidence

   Code amendment note
   Subsecs. (c), (d). Pub. L. 95–600, § 321(c)(1)(A), struck out subsec. (c) which related to dispositions by an employer, and redesignated subsecs. (d) and (f) as (c) and (d), respectively.

   Enacted provision · exact public law section
   (A) Section 52 (relating to special rules for computing credit for employment of certain new employees) is amended— (i) by striking out subsections (c), (e), (i), and (j), and (ii) by redesignating subsections (d), (f), (g), and (h) as subsections (c), (d), (e), and (f), respectively.

4. 1978

   Pub. L. 95–600 § 321(c)(1)(A) · 92 Stat. 2763

   1. Redesignated · 26 U.S.C. § 52(e)

      Pub. L. 95–600, § 321(c)(1)(A), (C), redesignated subsec. (g) as (e)

   2. Struck · 26 U.S.C. § 52(e)

      Pub. L. 95–600, § 321(c)(1)(A), (C), struck out par. (3) which provided that the $100,000 amount specified in section 51(d) applicable to such estate or trust be reduced to an amount which bears the same ratio to $100,000 as the portion of the credit allocable to the estate or trust under paragraph (1) bears to the entire amount of such credit. Former subsec. (e), which related to a change in status from self-employed to employee, was struck out

   Source evidence

   Code amendment note
   Subsec. (e). Pub. L. 95–600, § 321(c)(1)(A), (C), redesignated subsec. (g) as (e) and struck out par. (3) which provided that the $100,000 amount specified in section 51(d) applicable to such estate or trust be reduced to an amount which bears the same ratio to $100,000 as the portion of the credit allocable to the estate or trust under paragraph (1) bears to the entire amount of such credit. Former subsec. (e), which related to a change in status from self-employed to employee, was struck out.

   Enacted provision · exact public law section
   (A) Section 52 (relating to special rules for computing credit for employment of certain new employees) is amended— (i) by striking out subsections (c), (e), (i), and (j), and (ii) by redesignating subsections (d), (f), (g), and (h) as subsections (c), (d), (e), and (f), respectively.

5. 1978

   Pub. L. 95–600 § 321(c)(1)(A) · 92 Stat. 2763

   Redesignated · 26 U.S.C. § 52(f)(h)

   Pub. L. 95–600, § 321(c)(1)(A), redesignated subsecs. (f) to (h) as (d) to (f), respectively

   Source evidence

   Code amendment note
   Subsecs. (f) to (h). Pub. L. 95–600, § 321(c)(1)(A), redesignated subsecs. (f) to (h) as (d) to (f), respectively.

   Enacted provision · exact public law section
   (A) Section 52 (relating to special rules for computing credit for employment of certain new employees) is amended— (i) by striking out subsections (c), (e), (i), and (j), and (ii) by redesignating subsections (d), (f), (g), and (h) as subsections (c), (d), (e), and (f), respectively.

6. 1978

   Pub. L. 95–600 § 321(c)(1)(A)(i) · 92 Stat. 2763

   Struck · 26 U.S.C. § 52(i)

   Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (i) which related to a $50,000 limitation in the case of married individuals filing separate returns

   Source evidence

   Code amendment note
   Subsec. (i). Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (i) which related to a $50,000 limitation in the case of married individuals filing separate returns.

   Enacted provision · exact public law section
   (i) by striking out subsections (c), (e), (i), and (j), and

7. 1978

   Pub. L. 95–600 § 321(c)(1)(A)(i) · 92 Stat. 2763

   Struck · 26 U.S.C. § 52(j)

   Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (j) which related to certain short taxable years

   Source evidence

   Code amendment note
   Subsec. (j). Pub. L. 95–600, § 321(c)(1)(A)(i), struck out subsec. (j) which related to certain short taxable years.

   Enacted provision · exact public law section
   (i) by striking out subsections (c), (e), (i), and (j), and

8. 1980

   Technical Corrections Act of 1979

   Pub. L. 96–222 title I § 103(a)(5) · 94 Stat. 194

   Substituted · 26 U.S.C. § 52(f)

   Pub. L. 96–222 substituted “subsections (e) and (h) of section 46” for “section 46(e)”

   Source evidence

   Code amendment note
   Subsec. (f). Pub. L. 96–222 substituted “subsections (e) and (h) of section 46” for “section 46(e)”.

   Enacted provision · exact public law section
   (5) Amendment related to section 316 of the act.— Sections 92 Stat. 2829. 26 USC 50B, 52. 50B(f) and 52(f) (and the predecessor of section 52(f), section 52(h)) are each amended by striking out “section 46(e)” and inserting in lieu thereof “subsections (e) and (h) of section 46”.

9. 1982

   Subchapter S Revision Act of 1982

   Pub. L. 97–354 § 5(a)(11) · 96 Stat. 1669

   1. Struck · 26 U.S.C. § 52(d)(f)

      Pub. L. 97–354 struck out subsec. (d) relating to apportionment of credit among shareholders

   2. Redesignated · 26 U.S.C. § 52(d)(f)

      Pub. L. 97–354 redesignated subsecs. (e) and (f) as (d) and (e), respectively

   Source evidence

   Code amendment note
   Subsecs. (d) to (f). Pub. L. 97–354 struck out subsec. (d) relating to apportionment of credit among shareholders, and redesignated subsecs. (e) and (f) as (d) and (e), respectively.

   Enacted provision · exact public law section
   (11) Section 52(d).— Section 52 is amended by striking out 26 USC 52. subsection (d) and by redesignating subsections (e) and (f) as subsections (d) and (e), respectively.

10. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 474(p)(4) · 98 Stat. 494

    Substituted · 26 U.S.C. § 52(a)

    Pub. L. 98–369, § 474(p)(4), substituted “the credit (if any) determined under section 51(a) with respect to each such member” for “the credit (if any) allowable by section 44B to each such member”

    Source evidence

    Code amendment note
    Subsec. (a). Pub. L. 98–369, § 474(p)(4), substituted “the credit (if any) determined under section 51(a) with respect to each such member” for “the credit (if any) allowable by section 44B to each such member”.

    Enacted provision · exact public law section
    (4) Subsection (a) of section 52 is amended by striking out “the credit (if any) allowable by section 44B to each such member” and inserting in lieu thereof “the credit (if any) determined under section 51(a) with respect to each such member”.

11. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 474(p)(5) · 98 Stat. 494

    Substituted · 26 U.S.C. § 52(b)(2)

    Pub. L. 98–369, § 474(p)(5), substituted “the credit (if any) determined under section 51(a)” for “the credit (if any) allowable by section 44B”

    Source evidence

    Code amendment note
    Subsec. (b)(2). Pub. L. 98–369, § 474(p)(5), substituted “the credit (if any) determined under section 51(a)” for “the credit (if any) allowable by section 44B”.

    Enacted provision · exact public law section
    (5) Subsection (b) of section 52 is amended by striking out “the credit (if any) allowable by section 44B” and inserting in lieu thereof “the credit (if any) determined under section 51(a)”.

12. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 474(p)(6) · 98 Stat. 494

    Substituted · 26 U.S.C. § 52(c)

    Pub. L. 98–369, § 474(p)(6), substituted “credit shall be allowed under section 38 for any targeted jobs credit determined under this subpart” for “credit shall be allowed under section 44B”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 98–369, § 474(p)(6), substituted “credit shall be allowed under section 38 for any targeted jobs credit determined under this subpart” for “credit shall be allowed under section 44B”.

    Enacted provision · exact public law section
    (6) Subsection (c) of section 52 is amended by striking out “credit shall be allowed under section 44B” and inserting in lieu thereof “credit shall be allowed under section 38 for any targeted jobs credit determined under this subpart”.

13. 1984

    Tax Reform Act of 1984

    Pub. L. 98–369 § 474(p)(7) · 98 Stat. 494

    Substituted · 26 U.S.C. § 52(d)(2)

    Pub. L. 98–369, § 474(p)(7), substituted “, subject to section 38(c), a credit under section 38(a)” for “, subject to section 53 a credit under section 44B”

    Source evidence

    Code amendment note
    Subsec. (d)(2). Pub. L. 98–369, § 474(p)(7), substituted “, subject to section 38(c), a credit under section 38(a)” for “, subject to section 53 a credit under section 44B”.

    Enacted provision · exact public law section
    (7) Paragraph (2) of section 52(d) is amended by striking out “, subject to section 53, a credit under section 44B” and inserting in lieu thereof “, subject to section 38(c), a credit under section 38(a)”.

14. 1990

    Revenue Reconciliation Act of 1990

    Pub. L. 101–508 title XI § 11813(b)(4) · 104 Stat. 1388

    Substituted · 26 U.S.C. § 52(e)

    Pub. L. 101–508 substituted “section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)” for “section 46” in concluding provisions

    Source evidence

    Code amendment note
    Subsec. (e). Pub. L. 101–508 substituted “section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)” for “section 46” in concluding provisions.

    Enacted provision · exact public law section
    (4) Subsection (e) of section 52 is amended by striking “section 46” and inserting “section 46 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990)”.

15. 1996

    Small Business Job Protection Act of 1996

    Pub. L. 104–188 title I § 1616(b)(2) · 110 Stat. 1755

    1. Redesignated · 26 U.S.C. § 52(e)(1)(3)

       Pub. L. 104–188 redesignated pars. (2) and (3) as (1) and (2), respectively

    2. Struck · 26 U.S.C. § 52(e)(1)(3)

       Pub. L. 104–188 struck out former par. (1) which read as follows: “an organization to which section 593 (relating to reserves for losses on loans) applies,”

    Source evidence

    Code amendment note
    Subsec. (e)(1) to (3). Pub. L. 104–188 redesignated pars. (2) and (3) as (1) and (2), respectively, and struck out former par. (1) which read as follows: “an organization to which section 593 (relating to reserves for losses on loans) applies,”.

    Enacted provision · exact public law section
    (2) Subsection (e) of section 52 is amended by striking paragraph (1) and by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively.

16. 1997

    Pub. L. 105–34 title XVI § 1601(b) · 111 Stat. 788

    Substituted · 26 U.S.C. § 52(c)

    Pub. L. 105–34 substituted “work opportunity credit” for “targeted jobs credit”

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 105–34 substituted “work opportunity credit” for “targeted jobs credit”.

    Enacted provision · exact public law section
    (b) Amendment Related to Subtitle B.— Subsection (c) of section 52 is amended by striking “targeted jobs credit” and inserting “work opportunity credit”.

17. 2011

    VOW to Hire Heroes Act of 2011

    Pub. L. 112–56 title II § 261(e)(1) · 125 Stat. 730

    1. Amended · 26 U.S.C. § 52(c)

       Pub. L. 112–56 designated existing provisions as par. (1)

    2. Inserted · 26 U.S.C. § 52(c)

       Pub. L. 112–56 inserted heading

    3. Added · 26 U.S.C. § 52(c)

       Pub. L. 112–56 added par. (2)

    Source evidence

    Code amendment note
    Subsec. (c). Pub. L. 112–56 designated existing provisions as par. (1), inserted heading, and added par. (2).

    Enacted provision · exact public law section
    (1) In general.— Subsection (c) of section 52 of the Internal Revenue Code of 1986 26 USC 52. is amended— (A) by inserting “(1) In general.—” before “No credit”, and (B) by adding at the end the following new paragraph: “(2) Credit Made Available to Qualified Tax-exempt Organizations Employing Qualified Veterans.— For credit against payroll taxes for employment of qualified veterans by qualified tax-exempt organizations, see section 3111(e).” .

    Effective date note
    Amendment by Pub. L. 112–56 applicable to individuals who begin work for the employer after Nov. 21, 2011, see section 261(g) of Pub. L. 112–56, set out as a note under section 51 of this title.

23 of 23 references resolved to an enrolled provision