PUBLIC LAW 97-248—SEPT. 3, 1982
96 STAT. 599
but only if such obligations are held under arrangements provided in regulations or otherwise which are designed to assure that such obligations are not delivered to any United States person other than a person described in subparagraph (A), (B), or (C)." (6) DENIAL OF CAPITAL GAIN TREATMENT FOR GAINS ON CERTAIN
OBLIGATIONS NOT IN REGISTERED FORM.—Section 1232 (relating to 26 USC 1232. bonds and other evidences of indebtedness) is amended by redesignating subsection (d) as subsection (e) and by inserting after subsection (c) the following new subsection: "(d) DENIAL OF CAPITAL GAIN TREATMENT FOR GAINS ON CERTAIN OBLIGATIONS NOT IN REGISTERED FORM.—
"(1) IN GENERAL.—If any registration-required obligation is not in registered form, any gain on the sale or other disposition of such obligation shall be treated as ordinary income (unless the issuance of such obligation was subject to tax under section 4701). "(2) DEFINITIONS.—For purposes of this subsection— "(A) REGISTRATION-REQUIRED OBLIGATION.—The term 'registration-required obligation' has the meaning given to such term by section 163(f)(2) except that clause (iv) of subparagraph (A), and subparagraph (B), of such section shall not apply. "(B) REGISTERED FORM.—The term 'registered form' has the same meaning as when used in section 163(0." (c) TECHNICAL AMENDMENTS.—
(1) Subparagraph (A) of section 103(b)(4) (relating to certain 26 USC 103. exempt activities) is amended by striking out "if each obligation issued pursuant to the issue is in registered form and". (2)(A) Paragraph (1) of section 103(h) (relating to certain obligations must be in registered form and not guaranteed or subsidized under an energy program) is amended by striking out subparagraph (A) and by redesignating subparagraphs (B) and (C) as subparagraphs (A) and (B), respectively. (B) The subsection heading for subsection (h) of section 103 is amended by striking out "MUST B E IN REGISTERED FORM AND NOT" and inserting in lieu thereof "MUST NOT B E ".
(3)(A) Subsection 0') of section 103A (relating to other require- 26 USC 103A. ments) is amended by striking out paragraph (1) and by redesignating paragraphs (2) and (3) as paragraphs (1) and (2), respectively. (B) Subparagraph (B) of section 103A(c)(2) (defining qualified mortgage issue) is amended by striking out "and (0 and paragraphs (2) and (3) of subsection (j)" and inserting in lieu thereof "(f), and (J)". (C) Subparagraph (C) of section 103A(c)(2) is amended by striking out ", and paragraph (1) of subsection (j)". (D) Subparagraph (C) of section 103A(c)(3) (defining qualified veterans' mortgage bond) is amended by striking out "subsection (j)(2)" and inserting in lieu thereof "subsection (j)(l)". (4) Subparagraph (A) of section 103A(c)(3) (defining qualified veterans' mortgage bond) is amended by striking out "in registered form". (d) EFFECTIVE DATES.— 26 USC 103 note. (1) IN GENERAL.—Except as otherwise provided in this subsection, the amendments made by this section shall apply to obligations issued after December 31, 1982.
97-200 O—84—pt. 1
21: QL3
�
