108 STAT. 5020 PUBLIC LAW 103-465—DEC. 8, 1994 ments from the plan for the 12 months ending on the last day of such quarter. "(II) SPECIAL RULE.— If the amount determined under clause (i) exceeds an amount equal to 2 times the sum of the adjusted disbursements from the plan for the 36 months ending on the last day of the quarter and an enrolled actuary certifies to the satisfaction of the Secretary that such excess is the result of nonreciuTing circumstances, the base amount with respect to such quarter shall be determined without regard to amounts related to those nonrecurring circumstances. "(iii) DISBURSEME^^^s FROM THE PLAN.— The term 'disbursements from the plan* means all disbursements from the trust, including purchases of annuities, pay- ments of single simis and other benefits, and administrative expenses. "(iv) ADJUSTED DISBURSEMENTS.—The term 'adjusted disbursements' means disbursements from the plan reduced by the product of— "(I) the plan's funded current liability percentage (as defined in subsection (1)(8)) for the plan year, and "(II) the sum of the purchases of annuities, payments of single sums, and such other disbursements as the Secretary shall provide in regulations. "(v) LIQUID ASSETS.— The term liquid assets' means cash, marketable securities and such other assets as specified by the Secretary in regulations. "(vi) QUARTER. — The term 'quarter* means, with respect to any required installment, the 3-month period preceding the month in which the due date for such installment occurs. "(F) REGULATIONS.— The Secretary may prescribe such regulations as are necessary to carry out this paragraph." (B) EXCISE TAX ON UNPAID UQUIDITY SHORTFALL. — 26 USC 4971. (i) Subsection (e) of section 4971 is amended by striking "(a) or (b)" wherever it appears and inserting " (a),(b),or(f). (ii) Section 4971 is amended by redesignating subsection (f) as subsection (g) and adding a new subsection (f) to read as follows: "(f) FAILURE TO PAY LIQUIDITY SHORTFALL. — "(1) IN GENERAL. —In the case of a plan to which section 412(m)(5) applies, there is hereby imposed a tax of 10 percent of the excess (if any) of— "(A) the amount of the Uquidity shortfall for any quarter, over "(B) the amount of such shortfall which is paid by the required installment under section 412(m) for such auarter (but only if such installment is paid on or before tie due date for such installment). "(2) ADDITIONAL TAX.—I f the plan has a Uquidity shortfaU as of the close of any quarter and as of the close of each of the following 4 quarters, there is hereby imposed a tax
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