PUBLIC LAW 105-206-^JULY 22, 1998 112 STAT. 817 (A) by inserting before the period at the end of subparagraph (A) "and increased by the amounts described in subparagraph (C)"; (B) by adding "or" at the end of clause (iii) of subparagraph (B); and (C) by striking all that follows subclause (II) of subparagraph (B)(iv) and inserting the following: "(III) other trades or businesses. For purposes of clause (iv), there shall not be taken into account items which are attributable to a trade or business which consists of the performance of services by the taxpayer as an employee. "(C) CERTAIN AMOUNTS INCLUDED.—An amount is described in this subparagraph if it is— "(i) interest received or accrued during the taxable year which is exempt from tax imposed by this chapter; or "(ii) amounts received as a pension or annuity, and any distributions or payments received from an individual retirement plan, by the taxpayer during the taxable year to the extent not included in gross income. Clause (ii) shall not include any amount which is not includible in gross income by reason of a trustee-to-trustee transfer or a rollover distribution.". (2) Clause (v) of section 32(c)(2)(B) of the 1986 Code is amended by inserting "shall be taken into account" before ", but only". (3) The text of paragraph (3) of section 1085(a) of the 1997 Act is amended to read as follows: "Paragraph (2) of 26 USC 6213. section 6213(g) (relating to the definition of mathematical or clerical errors) is amended by striking "and" at the end of subparagraph (I), by striking the period at the end of subparagraph (J) and inserting ", and", and by inserting after subparagraph (J) the following new subparagraph: "(K) an omission of information required by section 32(k)(2) (relating to taxpayers making improper prior claims of earned income credit).". (q) AMENDMENT RELATED TO SECTION 1088 OF 1997 ACT. — Section 1088(b)(2)(C) of the 1997 Act is amended by inserting "more 26 USC 453C than 1 year" before "after". note, (r) AMENDMENT RELATED TO SECTION 1089 OF 1997 ACT. — Paragraphs (1)(C) and (2)(C) of section 664(d) of the 1986 Code are each amended by adding ", and" at the end. SEC. 6011. AMENDMENTS RELATED TO TITLE XI OF 1997 ACT. (a) AMENDMENT RELATED TO SECTION 1103 OF 1997 ACT. — Paragraph (3) of section 59(a) added by section 1103 of the 1997 Act is redesignated as paragraph (4). (b) AMENDMENTS RELATED TO SECTION 1121 OF 1997 ACT. — (1) Subsection (e) of section 1297 of the 1986 Code is amended by adding at the end the following new paragraph: " (4) TREATMENT OF HOLDERS OF OPTIONS.—Paragraph (1) shall not apply to stock treated as owned by a person by reason of section 1298(a)(4) (relating to the treatment of a person that has an option to acquire stock as owning such stock) unless such person establishes that such stock is owned (within the meaning of section 958(a)) by a United States
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