Revenue Act of 1992 : report of the Committee on Ways and Means, House of Representatives, (to accompany H.R. 11) together with additional views (including cost estimate of the Congressional Budget Office)

408 Pages·1992·28.5 MB·English

by  United States. Congress. House. Committee on Ways and Means

^
"SEST HOUSEOFREPRESENTATIVES
I
1
REVENUE ACT OF 1992
REPORT
OF THE
COMMITTEE ON WAYS AND MEANS
HOUSE OF REPRESENTATIVES
[To accompany H.R. 11]
together with
ADDITIONAL VIEWS
[Including cost estimate of the Congressional Budget Office]
—
June 30, 1992 Committed to the Committee of the Whole House on the
State of the Union and ordered to be printed
U.S. GOVERNMENT PRINTING OFFICE
56-851 WASHINGTON : 1992

CONTENTS
Page
I. Legislative Background 1
II. Explanation ofProvisions 3
Budget Compliance Provisions (sec. 2) 3
Title I. Provisions Relatingto Urban and Rural Distressed Areas 4
Subtitle A. Enterprise Zone Tax Incentives (sees. 1101-1104, 1111,
1121, and 1131) 4
Subtitle B. Permanent Extension ofCertain ExpiringTax Provisions.. 19
1. Tax credit for low-income rental housing(sec. 1201) 19
2. Targetedjobs tax credit (sec. 1202) 21
3. Qualified mortgage bonds and Mortgage Credit Certificates
(sec. 1203) 22
4. Qualified small-issuebonds (sec. 1204) 24
Subtitle C. Human Resources Amendments 25
1. Modifications totheJOBS program (sees. 1301 and 1302) 25
2. Modifications in the treatment of resources under the AFDC pro-
gram (sees. 1303-1305) 28
Title II. Growth Tax Incentives 30
Subtitle A. Extension ofCertain ExpiringTax Provisions 30
1. Research and experimentation tax credit (sec. 2001) 30
2. Exclusion for employer-provided educational assistance (sec.
2002) 31
3. Employer-provided group legal services (sec. 2003) 32
4. Excise tax on certain vaccines for the Vaccine Injury Compen-
sation TrustFund (sec. 2004) 33
5. Permanent extension of General Fund transfer to Railroad
Retirement Tier 2 Fund (sec. 2005) 35
6. Deduction for health insurance costs ofself-employed individ-
uals (sec. 2006) 36
7. Allocation and apportionment ofresearch expenses 37
Subtitle B. Real Estate Provisions 39
1. Modification of passive loss rules for certain real estate per-
sons (sec. 2101) 39
2. Changes relating to real estate investments by pension funds
and others (sees. 2111-2116) 41
Subtitle C. Minimum Tax Modifications 48
AMT
1. Contributions of appreciated property for purposes (sec.
2201) 48
2. Elimination of ACE depreciation adjustment for corporate
AMT
(sec. 2202) 52
Subtitle D. Luxury Excise Tax and Diesel Fuel Excise Tax on Motor-
boats 54
1. Repeal of luxury excise tax on boats, aircraft, jewelry, and
furs; index luxuryexcise tax on vehicles(sec. 2301) 54
2. Impose excise tax on diesel fuel used in noncommercial motor-
boats(sec. 2302) 55
Subtitle E. Employer Tax Credit for FICA Taxes Paid on Tip Income
(sec. 2401) 56
TitleIII. Revenue-Increase Provisions 57
Subtitle A. General Provisions 57
1. Mark-to-market accounting method for dealers in securities
(sec. 3001) 57
2. Taxtreatmentofcertain FSLICfinancial assistance (sec. 3002) 62
3. Increase recovery period for depreciation of nonresidential
real property(sec. 3003) 67
(Hi)
IV
4. Treatment of pre-contribution gain on certain partnership re- Page
demptions (sec. 3004) 68
5. Deny deduction forclubdues (sec. 3005) 70
6. Five-year extension oftop estate andgifttax rates(sec. 3006)... 70
7. Limit on deduction for movingexpenses (sec. 3007) 71
Subtitle B. Estimated Tax Provisions 73
1. Modify estimated tax requirements for individuals (sec. 3101)... 73
2. Modify estimated tax rules for large corporations (sec. 3102) 74
Subtitle C. Taxable Year Election for Partnerships, S Corporations,
and Personal Service Corporations (sees 3201-3204) 75
Title IV. Simplification Provisions 81
Subtitle A. Provisions Relatingto Individuals 81
1. Repeal supplemental young child credit and supplemental
health insurance credit components of earned income tax
credit and increase basic credit rate of earned income tax
credit for taxpayers with two or more qualifying children
(sec. 4101) 81
2. Rollover ofgain on sale of principal residence in the case of
multiple rollovers and in case of divorce or separation (sec.
4102) 83
3. De minimis exception to passive loss rules (sec. 4103) 84
4. Permit payment oftaxesby credit card (sec. 4104) 85
5. Election by parent to claim unearned income ofcertain chil-
dren on parent's return (sec. 4105) 86
6. Simplified foreign tax credit limitation for individuals (sec.
4106) 87
7. Personal transactions by individuals in foreign currency (sec.
4107) 88
8. Make income tax withholding rules parallel to rules for ex-
clusion from income forcombat pay(sec. 4108) 90
9. Expanded access to simplified incometax returns(sec. 4109)... 91
10. Simplification oftax treatment ofrural letter carriers' vehi-
cle expenses (sec. 4110) 92
11. Exception from luxury excise tax for certain equipment in-
stalled on passenger vehicles for use by disabled individuals
(sec. 4111) : 92
Subtitle B. Pension Simplification 93
Part I——Simplified Distribution Rules (sees. 4201-4203) 93
Part II Increased Access to Pension Plans 98
I. Repeal of limitation on ability of nongovernmental tax-
exempt employers to maintain cash or deferred arrange-
ments (sec. 4211) 98
2. —Duties ofmasterand prototype plan sponsors(sec. 4212).. 99
Part III Miscellaneous Pension Simplification 101
1. Definition ofleasedemployee(sec. 4221) . 101
2. Simplification of nondiscrimination tests applicable
undersections 401 (k)and(m)(sec. 4222) 103
3. Definition of highly compensated employee and family
aggregation rules(sec. 4223) 107
4. Cost-of-livingadjustments(sec. 4224) 109
5. Planscoveringself-employed individuals(sec. 4225)., 109
6. Alternativeoffull-fundinglimitation(sec. 4226) 110
7. Distributions from qualified cash or deferred arrange-
ments maintainedby rural cooperatives(sec. 4227) Ill
8. Special rules forplanscoveringpilots(sec. 4228) 112
9. Elimination of special vesting rule for multi-employer
plans (sec. 4229) 113
10. Treatment of deferred compensation plans of State and
local governments and tax-exempt organizations (sec.
4230) 114
II. Limits on contributions andbenefits undergovernmental
plans(sec. 4231) 115
12. Use of 501(c)(21) black lung trust assets to fund retiree
healthbenefits(sec. 4232) 116
13. Definition ofemployerreversion(sec. 4233) 117
14. Clarification of application of health care continuation
C—rulestosavingsand loan associations(sec. 4234) 118
Subtitle TreatmentofLargePartnerships 119
V
Page
—
Parti General Provisions 119
1. Simplified flow-through for large partnerships (sec. 4301). 119
2. Simplified audit procedures for large partnerships (sec.
4302) 133
3. Advance due date for furnishing information to partners
(sec. 4303) 137
4. Partnership returns on magnetic media (sec. 4304) 138
Part II—Partnership Proceedings UnderTEFRA 139
1. Clarify the treatment of partnership items in deficiency
proceedings (sec. 4311) 139
2. Permit the IRS to rely on partnership returns to deter-
mine the proper audit procedures (sec. 4312) 141
3a. Suspend statute when an untimely petition is filed (sec.
4313(a)) 141
3b. Suspend statute of limitations during bankruptcy pro-
ceedings (sec. 4313(b)) 142
3c. Extend statute of limitations for bankrupt TMPs (sec.
4313(c)) 143
4. Expand small partnership exception from TEFRA (sec.
4314) 144
5. Exclude partial settlements from 1-year assessment rule
(sec. 4315) 145
6. Extend time for filing a request for administrative ad-
justment (sec. 4316) 146
7. Provide innocent spouse relief for TEFRA proceedings
(sec. 4317) 146
8. Determine penalties atthe partnership level (sec. 4318).... 147
9. Clarifyjurisdiction oftheTax Court (sec. 4319) 148
10. Treatment of premature petitions filed by certain part-
ners (sec. 4320) 148
11. Clarify bond requirement for appeals from TEFRA pro-
ceedings (sec. 4321) 149
12. Suspend interest where there is a delay in computational
adjustment resulting from TEFRA settlements (sec.
4322) 150
Subtitle D. Foreign Provisions 150
1. Deferral oftax on income earned through foreign corporations
and exceptions to deferral (sees. 4401-4404) 150
2. Treatment ofcontrolled foreign corporations (sees. 4411-4414).. 185
3. Translation of foreign taxes into U.S. dollar amounts (sec.
4421) 197
4. Foreign tax credit limitation under the alternative minimum
tax (sec. 4422) 202
5. Inbound and outbound transfers (sees. 4423 and 4424) 203
Subtitle E. Treatment ofIntangibles 210
1. Amortization of goodwill and certain other intangibles (sec.
4501) 210
2. Modify special treatment ofcertain liquidation payments (sec.
4502) 230
Subtitle F.—Other Income TaxProvisions 232
Part I Provisions Relatingto Subchapter S Corporations 232
1. Determination of whether S corporation has 1 class of
stock(sec. 4601) 232
2. Authoritytovalidate certain invalid elections (sec. 4602)... 234
3. Treatment of distributions by S corporations during loss
year(sec. 4603) 234
4. Treatment ofS corporations as shareholders in C corpora-
tions (sec. 4604(a)) 237
5. S corporations permitted to hold subsidiaries (sec. 4604(b)). 238
6. Elimination ofpre-1983 earnings and profits ofS corpora-
tions (sec. 4604(c)) 239
7. Treatment of items of income in respect of a decedent
—held by an S corporation (sec. 4604(d)) 239
Part II Accounting Provisions 240
1. Modifications to the look-back method for long-term con-
tracts (sec. 4611) 240
2. Simplified method for applyinguniform cost capitalization
rules (sec. 4612) 243
VI
Part III—Provisions Relating to Regulated Investment Compa- Page
nies 245
1. Repeal the short-short test for regulated investment com-
panies (sec. 4621) 245
2. Require brokers and mutual funds to report basis to cus-
tomers (sec. 4622) 245
3. Permit common trust funds to convertto regulated invest-
mentcompanies withouttaxation (sec. 4623) 248
Part IV—Tax-Exempt Bond Provisions 250
1. Simplification ofarbitrage rebate requirement for govern-
mental bonds (sec. 4631) 250
2. Simplification of compliance with 24-month arbitrage
rebate exception forconstruction bonds(sec. 4632) 251
3. Simultaneous issuance ofcertain discrete issues not aggre-
gated (sec. 4633) 252
4. Repeal of unrelated and disproportionate use limit (sec.
4634) 252
5. Simplification ofarbitrage rebate requirement for smaller
issuers ofgovernmental bonds(sec. 4635) 253
6. Repeal of150-percentofdebtservice limit(sec. 4636) 254
7. Repeal ofexpired provisions (sec. 4637) 254
8. Clarification of definition of "investment-type property"
Part V—(Isnecs.ur46a3n8c)e Provisions 225575
1. Treatment of certain insurance contracts on retired lives
(sec. 4641) 257
2. Treatmentofmodifiedguaranteedcontracts(sec. 4642) 258
Part VI—Other Provisions 260
1. Close partnership taxable year with respect to deceased
partner(sec. 4651) 260
2. Treatment ofbuilt-in losses for purposes ofthe corporate
alternative minimum tax (sec. 4652) 261
Subtitle G. Estate and Gift Tax Provisions 262
1. Waiver of right of recovery for certain marital deduction
property (sec. 4701) 262
2. Inclusion in gross estate of certain gifts made within
three years ofdeath(sec. 4702) 263
3. Definition of qualified terminable interest property (sec.
4703) 263
4. Include fractional share of property qualifying for the
marital deduction in the gross estate(sec. 4704) 264
5. Requirements for qualified domestic trust(sec. 4705) 266
6. Election of special use valuation of farm property for
estate tax purposes (sec. 4706) 266
Subtitle H. Excise Tax Simplification 267
Part I—Fuel Tax Provisions 267
1. Consolidate provisions imposing diesel and aviation fuel
excisetaxes (sec. 4801) 267
2. Permit refund oftax to taxpayer for diesel and aviation
fuel resoldto certain exempt purchasers (sec. 4802(a)) 268
3. Consolidate refund provisions for fuel excise taxes (sec.
4802(b)) 269
4. Repeal waiver requirement for fuel tax refunds for crop-
dustersand other fertilizerapplicators (sec. 4802(c)) 269
5. Authorize exceptions from information reporting for cer-
—tain sales ofdiesel andaviation fuel (sec. 4803) 270
Part II Provisions Relating to Distilled Spirits, Wines, and Beer
(sees. 4811-4821) 270
Part III—Other ExciseTax Provisions 274
1. Authority for IRS to grant exemptions from registration
requirements (sec. 4831) 274
2. Repeal temporary reduction in tax on piggyback trailers
(sec. 4832(a)) 274
3. Expiration of excise tax on deep seabed minerals (sec.
4832(b)) 275
Subtitle I.—Administrative Provisions 275
PartI General Provisions 275
VII
1. Simplify employment tax reporting for household employ- Pase
ees (sec. 4901) 275
2. Simplify estimated tax payment rules for small corpora-
tions (sec. 4902) 276
3. Interest rate on large corporate underpayments (sec. 4903) 277
4. Clarify that reproductions from digital images are repro-
ductions for recordkeeping purposes(sec. 4904) 278
5. Repeal of authority to disclose whether a prospective
juror hasbeen audited (sec. 4905) 278
6. Repeal TEFRA audit rules for Scorporations (sec. 4906) 279
7. Clarify statute of limitations for items from pass-through
entities (sec. 4907) 280
Part II—Tax Court Provisions 281
1. Clarify jurisdiction of Tax Court with respect to overpay-
ment determination (sec. 4911) 281
2. Clarify procedures for administrative cost awards (sec.
4912) 281
3. Clarify Tax Court jurisdiction over interest determina-
tions (sec. 4913) 282
4. Clarify net worth requirements for awards ofadministra-
—tiveor litigation costs (sec. 4914) 282
Part III Permit IRS to Enter into Cooperative Agreements with
State Tax Authorities (sec. 4921) 283
Title V.—Taxpayer Bill ofRights 2 284
Subtitle A. TaxpayerAdvocate 284
1. Establishment ofposition oftaxpayers' advocate within Inter-
nal Revenue Service (sec. 5001) 284
2. Expansion of authority to issue Taxpayer Assistance Orders
(sec. 5002) 286
Subtitle B. Modifications to Installment Agreement Provisions 287
1. Notification of reasons for termination of installment agree-
ments (sec. 5101) 287
2. Administrative review ofdenial ofrequests for, ortermination
of, installment agreements (sec. 5102) 288
3. Running offailure to pay penaltysuspended duringthe period
an installment agreement is in effect(sec. 5103) 288
Subtitle C. Interest 289
1. Expansion ofauthority to abate interest (sec. 5201) 289
2. Extension of interest-free period for payment of tax after
notice and demand (sec. 5202) 289
Subtitle D. Joint Returns 290
1. Disclosure ofcollection activities with respect tojoint returns
(sec. 5301) 290
2. Joint return may be made after separate returns without full
payment oftax (sec. 5302) 290
Subtitle E. Collection Activities 291
1. Modifications to lien and levy provisions (sec. 5401) 291
2. Offers-in-compromise (sec. 5402) 293
3. Notification ofexamination (sec. 5403) 293
4. Modification ofcertain limits on recovery ofcivil damages for
unauthorized collection activities (sec. 5404) 294
5. Designated summons (sec. 5405) 294
Subtitle F. Information Returns 297
1. Phone numbers ofperson providing payee statement required
tobeshown on suchstatement (sec. 5501) 297
2. Civil damages forfraudulent filingofinformation returns (sec.
5502) 297
3. Requirement to verify accuracy of information returns (sec.
5503) 298
Subtitle G. Modification to Penalty for Failure to Collect and Pay
OverTax 298
1. Preliminarynotice requirements (sec. 5601) 298
2. Nopenalty ifpromptnotification ofIRS(sec. 5602) 299
3. Disclosure ofcertain information where more than one person
subjecttopenalty(sec. 5603) 299
4. Penalties relating to failure to collect and pay over tax (sec.
5604) 300
Subtitle H. AwardingofCosts andCertain Fees 302
VIII
Page
1. Motion fordisclosureofinformation(sec. 5701) 302
2. Increased limit on attorneyfees(sec. 5702) 303
3. Failure to agree to extension not taken into account (sec.
5703) 303
4. IRS employees personally liable in certain cases (sec. 5704) 304
Subtitle I. Other Provisions 305
1. Required contentofcertain notices(sec. 5801) 305
2. Treatment of substitute returns for purposes of the penalty
for failure to pay taxes (sec. 5802) 305
3. Relief from retroactive application of Treasury Department
regulations(sec. 5803) 306
4. Required notice ofcertain payments(sec, 5804) 307
5. Unauthorizedenticementofinformation disclosure (sec. 5805) 307
Subtitle J. Form Modifications; Studies 308
PartI—Form Modifications 308
1. Explanation ofcertain provisions (sec. 5901) 308
2. Improved procedures for notifying IRS of change of ad-
dress or name(sec. 5902) 308
3. Rights and responsibilities of divorced individuals (sec.
5903) 309
Part II—Studies 309
1. Pilot program for appeal of enforcement actions (sec.
5911) 309
2. Studyon taxpayerswithspecial needs(sec. 5912) , 310
3. Reports on taxpayer rights education program (sec. 5913) 310
4. Biennial reports on misconduct by IRS employees (sec.
5914) 311
5. Studyofnotices ofdeficiency(sec. 5915) 311
6. Notice and form accuracystudy(sec. 5916) 312
7. IRS employees' suggestions study(see. 5917) 312
Title VI. Technical Corrections 313
Subtitle A. Revenue Provisions 313
...
I. Technical Correctionstothe Revenue Reconciliation Actof1990 313
A. Individual IncomeTaxProvisions 313
1. Minimum tax rate on certain nonresident aliens (sec.
6101(a)(2)) 313
2. Tax rate ofpersonal holdingcompanies (sec. 6101(aX4)).... 313
3. Definition of AGI for the earned income tax credit and
the supplemental earned income tax credit for health
insurance premiums (sec. 6101(a)(5)) 314
B. Excise Tax Provisions 315
1. Application ofthe 2.5-cents-per-gallon tax on fuel used in
rail transportation to States and local governments (sec.
6101(b)(3) 315
2. Deposit of certain aviation tax revenues in Airport and
AirwayTrustFund(sec. 6101(bX5)) 315
3. Small winery production credit and bonding requirements
(Sec. 6101(b)(7),(8)and(9)) 316
4. Floor stocks refunds for certain cigarette taxes (sec.
6101(bX10)) 316
C. Other Revenue-IncreaseProvisionsofthe 1990 Act 317
1. Deposits of Railroad Retirement Tax Act taxes (sec.
6101(c)(3)) 317
2. Treatment of salvage and subrogation of property and
casualtyinsurancecompanies (sec. 6101(c)(4)) 317
3. Information with respect to certain foreign-owned or for-
eign corporations: Suspension of statute of limitations
duringcertainjudicial proceedings(sec. 6101(c)(5)) 318
4. Rate of interest for large corporate underpayments (sec.
6101(c)(6) and(7)) 319
D. ExpiringTaxProvisions .. 320
1. Exclusion for employer-provided educational assistance
(sec. 6101(dXD) 320
2. Research credit provision: Effective date for repeal ofspe-
cial proration rule(sec. 6101(dX2)) 320
E. Energy Tax Provision: Alternative Minimum Tax Adjustment
Based on EnergyPreferences (sec. 6101(e) (2) and(6)): 321
F. Estate TaxFreezes(sec. 6101(f)) 322
IX
Page
G. Miscellaneous Provisions 326
1. Conforming amendments to the repeal of the General
Utilities doctrine (sec. 6101(g) (1) and (2)) 326
2. Prohibited transaction rules (sec. 6101(gX3)) 327
3. Effective date ofLIFO adjustment for purposes ofcomput-
ingadjusted current earnings (sec. 6101(gX4)) 327
4. Low-income housingcredit (sec. 6101(gX5)) 328
H. Expired or Obsolete Provisions ("Deadwood Provisions") (sec.
6101(h)) 329
II. OtherTaxTechnical Corrections 329
A. Hedge Bonds (sec. 6102(b)) 329
B. Withholding on Distributions from U.S Real Property Holding
Companies (sec. 6102(c)) 330
C. Treatment ofCredits Attributable to Working Interests in Oil
andGas Properties (sec. 6102(d)) 331
D. Clarification ofPassive Loss Disposition Rule (sec. 6102(e)) 332
E. Taxation of Excess Inclusions of a Residual Interest in a
REMIC for Taxpayers Subject to Alternative Minimum Tax
With NetOperating Losses (sec. 6102(D) 332
F. Conforming Amendments Relating to Pension Reemployment
Rights ofMembers ofthe Uniformed Services (sec. 6102(j)) 333
G. Exclusion From Income For Combat Zone Compensation (sec.
6102(4X1)) 336
H. Estate Tax Unified Credit Allowed Nonresident Aliens Under
Treaty(sec. 6102(f)(1)) 336
I. Limitation on Deduction for Certain Interest Paid by Corpora-
tion to Related Person (sec. 6102(f)(2)) 338
J. Branch-Level Interest Tax (sec. 6102(f)(3)) 339
K. Determination ofSource in Case ofSales ofInventory Proper-
ty(sec. 6102(f)(4)) 341
L. Repeal ofObsolete Provisions (sec. 6102(f)(5)) 342
M. Clarification ofCertain Stadium Bond Transition Rule in Tax
Reform Act of1986 (sec. 6102(g)) 342
N. Health Care Continuation Rules (sec. 6102(h)) 343
Subtitle B. Technical Corrections Related To Social Security and
Human—Resources, TariffandCustoms 343
Part I Social Security Provisions 343
A. Security Benefits for Disabled Widows (sec. 6201(a)) 343
B. Representative Payee Reform (sec. 6201(b)) 343
C. Coordination of Rules Relating to Fees for Representa-
tives of Claimants for Social Security and SSI Benefits
(sec. 6101(c)) 344
PartDI.I—ElIinmcionmaetiSoencuorfiAtdyvaanndceHduTmaaxnTRreasnosuferrcses(sPerc.ov6i2s0i1o(nds)) 334445
A. Children's Commission ReportingDate (sec. 6211)) 345
B. Other Income Security and Human Resources Provisions
(sees. 6212 and 6213)) 345
Part III. Tariffand Customs Provisions 345
A. Removal ofGDR from Column 2 Rate List (sec. 6221(aXD) 345
B. Tapestry and Upholstery Fabrics (sec. 6221(aX2)) 346
C. Gloves (sec. 6221(a)(3)) 346
D. Agglomerate Stone Floor and Wall Tiles (sec. 6221(aX4)).... 347
E. 2,4-Diaminobenzesulfonic Acid (sec. 6221(a)(5)) 347
F. Machines Used in the Manufacture of Bicycle Parts (sec.
6221(aX6)) 347
G. CopyingMachines and Parts (sec. 6221(aX7)) 348
H. Clarification Regarding the Application ofCustoms User
Fees (sec. 6222) 348
I. Technical Amendments to the Omnibus Trade and Com-
petitiveness Act of1988 (sec. 6223) 349
J. Technical Amendment to the Customs and Trade Act of
1990 (sec. 6224) 349
TitleVII. Income Security and Related Programs 349
Subtitle A. Miscellaneous Improvements in the Old-Age, Survivors,
and Disability Insurance Program 349
1. Misuse of symbols, emblems or names related to the Social
Security Administration, Health Care Financing Administra-
tion and the Department ofHealth and Human Services 349
X
2. Clarification of statutory requirement for public telephone Pase
access to local social securityoffices 352
3. Social securityexclusion forelectionworkers 353
4. Social security coveragefornon-cash agriculturalwages.... 353
5. Use ofsocial securitynumbersforjuryselection 354
6. Authority for optional social security coverage of police offi-
cersand firefighters underaretirementsystem 355
7. Limited exemption from SECA for American ministers work-
ingand resident inCanada 356
8. Totalizationbenefitsandthewindfall provision 357
9. Exclusion of military reservists from application of the gov-
ernment pension offset and the windfall elimination provi-
sion 358
10. Elimination of rounding distortion in the calculation of the
contributionbenefitbases andearningstestexempt amounts 359
11. Repeal offacility-of-payment provision 359
12. Application of subsequent entitlement guarantee to maxi-
mum
familybenefits 360
13. Disclosure ofSocial Security Administration information for
epidemiological research 361
Subtitle B. Human ResourcesAmendments 362
Part I.—FosterCare andChildWelfare 362
1. Permanent extension of foster care independent living
program 362
2. Fosterandadoptive parenttraining 363
3. Childwelfare services program reviews 363
4. Effect of failure to carry out State plan (Suter v. Artist
M.) 364
Part II.—Child SupportEnforcement 367
5. Reports to credit bureaus of persons delinquent in child
support payments 367
—
Part III. Research, Demonstrations, and Studies 367
6. Earlychildhooddevelopment project 367
7. Paymentstocertain privateaid programs 368
8. Measurementand reportingofwelfaredependency 368
9. Extension ofCommission on Interstate Child Support 369
10. Extension ofNational CommissiononChildren 369
11. Secretarial report on the differences in program rules
underthe Food Stamp, AFDC and Medicaidprograms 370
12. Demonstration of independent living services for young
adults 371
13. Extension ofperiod for demonstration projects for evalu-
atingmodel procedures 371
Part IV.—Aid toFamilieswith DependentChildren 372
14. Delay in requirement that outlying areas operate an
AFDC-UPProgram 372
15. Review ofState investment in AFDC program in consid-
eringsettlementofqualitycontrol claims 372
16. Disregard of $2,000 of income received in any year by
Indians from interests individually held in trust or re-
stricted lands 373
17. Encouraginguseoftransitional childcare program 373
18. State option to use retrospective budgeting without
monthly reporting 374
19. Increase in stepparent income disregard 375
20.—Verification ofstatusofcitizens and aliens 375
PartV. Supplemental SecurityIncome 376
21. Elimination of obsolete provisions relating to treatment
oftheearnedincome taxcredit 376
22. Redesignation ofcertain provisions 377
23. Prevention of adverse effects on SSI eligibility for, and
amountof, SSI benefits when spouse or parent ofbenefi-
ciary is absent from the household due to active military
service 377
24. Definition ofdisability for children under age 18 applied
to all individuals under 18 377