PUBLIC LAW 95-618—NOV. 9, 1978
92 STAT. 31!?9
tions (c) and (d) of section 46) with respect to qualified progress expenditures made during such period." (c) SPECIAL LIABILITY—
RULES
FOR A P P L Y I N G
LIMITATION
BASED
26 USC 46.
ON T A X
(1) Subsection (a) of section 46 is amended by adding at the end thereof the following new paragraph: " ( 1 0) SPECIAL RULES I N THE CASE o r ENERGY PROPERTY.—Under
Regulations,
regulations prescribed by the Secretary— " (A) IN GENERAL.—This subsection and subsection (b) shall be applied separately— " (i) first with respect to so much of the credit allowed by section 38 as is not attributable to the energy 26 USC 38. percentage, " ( i i) second with resjpect to so much of the credit allowed by section 38 as ^ attributable to the application of the energy percentage'to energy property (other than solar or wind energy property), and " ( i i i) then with respect to so much of the credit allowed by section 38 as is attributable to the application of the energy percentage to solar or wind energy property. " (B) RULES OF APPLICATION FOR ENERGY PROPERTY OTHER T H A N SOLAR OR WIND ENERGY PROPERTY.—In a p p l y i n g this sub-
section and subsection (b) for taxable years ending after September 30, 1978, with respect to so much of the credit allowed by section 38 as is described in subparagraph (A) (ii)" (i) paragraph (3)(C) shall be applied by substituti n g '100 percent' for '50 percent', " ( i i) paragraph s (7), (8), and (9) shall not apply, and " ( i i i) the liability for tax shall be the amount determined under paragraph (4) reduced by so much of the credit allowed by section 38 as is described in subparagraph (A)(i). "(C)
REFUNDABLE
CREDIT
FOR SOLAR OR WIND
ENERGY
PROPERTY.—In the case of so much of the credit allowed by section 38 as is described in subparagraph (A) (iii) — " (i) paragraph (3) shall not apply, and " ( i i) for purposes of this title (other than section 38, this subpart, and chapter 63), such credit shall be treated 26 USC 31, as if it were allowed by section 39 and not by sec- 6201. tion38." 26 USC 39. (2) Section 6401 (relating to amounts treated as overpay- 26 USC 6401. ments) is amended by a d d i n g a t the end thereof the following new subsection: " (d) CROSS R E F E R E N C E. —
To r rule allowing refund for excess investment credit attributable to solar or wind energy property, see section 46(a) (10) (€)." (d) D E N I A L OF INVESTMENT T A X CREDIT FOR CERTAIN PROPERTY.— (1) A I R CONDITIONING, SPACE HEATERS, E T C. — Subparagraph
(A) of section 48(a)(1) (defining section 38 property) is amended to read as follows: " (A) tangible personal property (other than an a i r conditioning or heating u n i t), or".
26 USC 48.
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