123STA T . 2 9 9 4PUBLIC LA W 111 – 92 —NOV . 6, 2 0 09 ‘ ‘ (I)theamoun to fs u c h d educt i on att r i b utab l e toana p plicable net operatin g loss w ith respect to which an election is made under section 172 (b)(1)( H ) , or ’ ’ . (c) LOS S FR O MOPE R ATI O N SO F LIFE INS U RAN C E C OMPANIES. —S ubsection (b) of section 8 1 0 of the Internal R e v enue Code of 1 9 8 6 is amended b y adding at the end the following new paragraph
‘‘( 4 ) CARR YB AC K FOR 20 0 8 OR 200 9L OSSES.— ‘‘( A )IN G ENERAL.—In the case of an applicable loss from operations with respect to which the ta x payer has elected the application of this paragraph, paragraph (1)(A) shall be applied by substituting any whole number elected by the taxpayer which is more than 3 and less than 6 for ‘3’. ‘‘( B ) APPLICABLE LOSS FROM OPERATIONS.—For pur - poses of this paragraph, the term ‘applicable loss from operations’ means the taxpayer’s loss from operations for a taxable year ending after D ecember 31, 2007, and begin- ning before J anuary 1, 2010. ‘‘(C) E LECTION.— ‘‘(i) IN GENERAL.—Any election under this para- graph may be made only with respect to 1 taxable year. ‘‘(ii) P ROCE D URE.—Any election under this para- graph shall be made in such manner as may be pre- scribed by the Secretary, and shall be made by the due date (including extension of time) for filing the return for the taxpayer’s last taxable year beginning in 2009. Any such election, once made, shall be irrev- ocable. ‘‘(D) LIMITATION ON AMOUNT OF LOSS CARRYBACK TO 5 T H PRECEDING TA X ABLE YEAR.— ‘‘(i) IN GENERAL.— T he amount of any loss from operations which may be carried bac k to the 5 th tax- able year preceding the taxable year of such loss under subparagraph (A) shall not exceed 50 percent of the taxpayer’s taxable income (computed without regard to the loss from operations for the loss year or any taxable year thereafter) for such preceding taxable year. ‘‘(ii) CARRYBACKS AND CARRYO V ERS TO OTHER TAX- ABLE YEARS.—Appropriate ad j ustments in the applica- tion of the second sentence of paragraph (2) shall be made to take into account the limitation of clause (i).’’. (d) ANTI-ABUSE RULES.—The Secretary of Treasury or the Sec- retary’s designee shall prescribe such rules as are necessary to prevent the abuse of the purposes of the amendments made by this section, including anti-stuffing rules, anti-churning rules (including rules relating to sale-leasebacks), and rules similar to the rules under section 1091 of the Internal Revenue Code of 1986 relating to losses from wash sales. (e) EFFECTIVE DATES.— (1) IN GENERAL.—Except as otherwise provided in this sub- section, the amendments made by this section shall apply to net operating losses arising in taxable years ending after December 31, 2007. Ap p licab ili ty.26USC5 6 no t e . 26 USC 17 2 note. D e f inition. T i m epe r io d . Applicability. 26 USC 8 1 0 .
