# Pub. L. 103-465: changes to the Internal Revenue Code 1994-12-08, 108 Stat. 5002. Source: . ## Legislative history - Bill: [H.R. 5110](https://www.congress.gov/bill/103rd-congress/house-bill/5110) ## § 32: Earned income - § 32(c)(1)(E): Pub. L. 103–465, § 722(a), added subpar. (E). - § 32(c)(2)(B)(iv): Pub. L. 103–465, § 723(a), added cl. (iv). - § 32(c)(3)(D)(i): Pub. L. 103–465, § 742(a), amended heading and text of cl. (i) generally. Prior to amendment, text read as follows: “The requirements of this subparagraph are met if— - § 32(c)(4): Pub. L. 103–465, § 721(a), added par. (4). ## § 401: Qualified pension, profit-sharing, and stock bonus plans - § 401(a)(17)(B): Pub. L. 103–465, § 732(a), reenacted subpar. (B) heading without change and amended text generally. Prior to amendment, text read as follows: - § 401(a)(32): Pub. L. 103–465, § 751(a)(9)(C), which directed amendment of subsec. (a) by adding par. (32) at end, was executed by adding par. (32) after par. (31) to reflect the probable intent of Congress. - § 401(a)(33): Pub. L. 103–465, § 766(b), which directed amendment of subsec. (a) by adding par. (33) at end, was executed by adding par. (33) after par. (32) to reflect the probable intent of Congress. - § 401(a)(34): Pub. L. 103–465, § 776(d), added par. (34). ## § 402: Taxability of beneficiary of employees’ trust - § 402(g)(5): Pub. L. 103–465 inserted before period at end “; except that any increase under this paragraph which is not a multiple of $500 shall be rounded to the next lowest multiple of $500”. ## § 404: Deduction for contributions of an employer to an employees’ trust or annuity plan and compensation under a deferred-payment plan - § 404(g)(4): Pub. L. 103–465 substituted “the Retirement Protection Act of 1994” for “the Single-Employer Pension Plan Amendments Act of 1986”. ## § 408: Individual retirement accounts - § 408(k)(8): Pub. L. 103–465 inserted before period at end “; except that any increase in the $300 amount which is not a multiple of $50 shall be rounded to the next lowest multiple of $50”. ## § 411: Minimum vesting standards - § 411(a)(11)(B): Pub. L. 103–465 reenacted subpar. (B) heading without change and amended text generally. Prior to amendment, text read as follows: ## § 412: Minimum funding standards - § 412(c)(5): Pub. L. 103–465, § 752(a), designated existing provisions as subpar. (A), inserted subpar. heading, and added subpar. (B). - § 412(c)(7)(A): Pub. L. 103–465, § 751(a)(10)(A), inserted “(including the expected increase in current liability due to benefits accruing during the plan year)” after “current liability”. - § 412(c)(7)(B): Pub. L. 103–465, § 751(a)(10)(C), reenacted subpar. (B) heading without change and amended text generally. Prior to amendment, text read as follows: “For purposes of subparagraphs (A) and (D), the term ‘current liability’ has the meaning given such term by subsection (l)(7) (without regard to subparagraph (D) thereof).” - § 412(c)(7): Pub. L. 103–465, § 751(a)(10)(B), added subpar. (E). - § 412(c): Pub. L. 103–465, § 753(a), added par. (12). - § 412: Pub. L. 103–465, § 751(a)(1)(A), (2)(B), in introductory provisions, substituted “to which this subsection applies under paragraph (9)” for “which has an unfunded current liability”, and amended concluding provisions generally. Prior to amendment, concluding provisions read as follows: “Such increase shall not exceed the amount necessary to increase the funded current liability percentage to 100 percent.” - § 412: Pub. L. 103–465, § 751(a)(2)(A), amended cl. (ii) generally. Prior to amendment, cl. (ii) read as follows: “the sum of the charges for such plan year under subparagraphs (B) (other than clauses (iv) and (v) thereof), (C), and (D) of subsection (b)(2), reduced by the sum of the credits for such plan year under subparagraph (B)(i) of subsection (b)(3), plus”. - § 412: Pub. L. 103–465, § 751(a)(3), added subpar. (C). - § 412: Pub. L. 103–465, § 751(a)(7)(B)(i), added subpar. (D). - § 412: Pub. L. 103–465, § 751(a)(4)(A), added subpars. (D) and (E). - § 412: Pub. L. 103–465, § 751(a)(4)(B), (7)(B)(iii), inserted “, the unamortized portion of the additional unfunded old liability, the unamortized portion of each unfunded mortality increase,” after “old liability”. - § 412: Pub. L. 103–465, § 751(a)(5), substituted “.40” for “.25” in cl. (i) and “60” for “35” in cl. (ii). - § 412: Pub. L. 103–465, § 751(a)(6)(A)(i), substituted “greatest of” for “greater of” in introductory provisions. - § 412: Pub. L. 103–465, § 751(a)(6)(A)(ii)–(iv), added cl. (iii). - § 412: Pub. L. 103–465, § 751(a)(6)(B), added subpar. (E). - § 412: Pub. L. 103–465, § 751(a)(7)(A), amended subpar. (C) generally. Prior to amendment, subpar. (C) read as follows: “(C) Interest rates used.—The rate of interest used to determine current liability shall be the rate of interest used under subsection (b)(5).” - § 412: Pub. L. 103–465, § 751(a)(1)(B), added par. (9). - § 412: Pub. L. 103–465, § 751(a)(7)(B)(ii), added par. (10). - § 412: Pub. L. 103–465, § 751(a)(8), added par. (11). - § 412: Pub. L. 103–465, § 754(a), in introductory provisions, inserted “which has a funded current liability percentage (as defined in subsection (l)(8)) for the preceding plan year of less than 100 percent” before “fails” and substituted “the plan year” for “any plan year”. - § 412: Pub. L. 103–465, § 751(a)(6)(C)(i), substituted “greatest of” for “greater of” in introductory provisions. - § 412: Pub. L. 103–465, § 751(a)(6)(C)(ii)–(iv), added subcl. (III). - § 412: Pub. L. 103–465, § 751(a)(9)(A), added par. (5) and redesignated former par. (5) as (6). - § 412: Pub. L. 103–465, § 768(a)(1), inserted at end “This subsection shall not apply to any plan to which section 4021 of the Employee Retirement Income Security Act of 1974 does not apply (as such section is in effect on the date of the enactment of the Retirement Protection Act of 1994).” - § 412: Pub. L. 103–465, § 768(a)(2), reenacted par. (3) heading without change and amended text generally. Prior to amendment, text read as follows: “For purposes of paragraph (1), the amount of the lien shall be equal to the lesser of— - § 412: Pub. L. 103–465, § 768(a)(3), struck out “60th day following the” before “due date”. ## § 415: Limitations on benefits and contribution under qualified plans - § 415(b)(2)(E): Pub. L. 103–465, § 767(b), added cls. (i), (ii), and (v), redesignated former cls. (ii) and (iii) as (iii) and (iv), respectively, and struck out former cl. (i) which read as follows: “For purposes of adjusting any benefit or limitation under subparagraph (B) or (C), the interest rate assumption shall not be less than the greater of 5 percent or the rate specified in the plan.” - § 415(c)(1)(A): Pub. L. 103–465, § 732(b)(2), struck out “(or, if greater, ¼ of the dollar limitation in effect under subsection (b)(1)(A))” after “$30,000”. - § 415(d): Pub. L. 103–465, § 732(b)(1), amended subsec. (d) generally, substituting present provisions for provisions authorizing annual cost-of-living adjustments, outlining base periods, and providing for a freeze on adjustment to defined contribution and benefit limits. ## § 417: Definitions and special rules for purposes of minimum survivor annuity requirements - § 417(e)(3): Pub. L. 103–465 amended par. (3) generally, substituting present provisions for provisions directing that present value be calculated by using a rate no greater than the applicable interest rate or 120 percent of such rate, depending upon amount of vested accrued benefit, and defining “applicable interest rate”. ## § 420: Transfers of excess pension assets to retiree health accounts - § 420(b)(1)(C)(iii): Pub. L. 103–465, § 731(c)(1), substituted “benefits” for “cost”. - § 420(b): Pub. L. 103–465, § 731(a), substituted “2000” for “1995”. - § 420(c)(3): Pub. L. 103–465, § 731(b), amended par. (3) generally, substituting present provisions for provisions outlining minimum cost requirements for plans, providing for elections to compute costs separately, and defining “applicable employer cost” and “cost maintenance period”. - § 420(e)(1)(B): Pub. L. 103–465, § 731(c)(2), reenacted subpar. (B) heading without change and amended text generally. Prior to amendment, text read as follows: “The amount determined under subparagraph (A) shall be reduced by any amount previously contributed to a health benefits account or welfare benefit fund (as defined in section 419(e)(1)) to pay for the qualified current retiree health liabilities. The portion of any reserves remaining as of the close of December 31, 1990, shall be allocated on a pro rata basis to qualified current retiree health liabilities.” - § 420(e)(1)(D): Pub. L. 103–465, § 731(c)(3), substituted “and shall not be subject to the minimum benefit requirements of subsection (c)(3)” for “or in calculating applicable employer cost under subsection (c)(3)(B)”. ## § 731: Extent of recognition of gain or loss on distribution - § 731(c), § 731(d): Pub. L. 103–465 added subsec. (c) and redesignated former subsec. (c) as (d). ## § 737: Recognition of precontribution gain in case of certain distributions to contributing partner - § 737(c)(1): Pub. L. 103–465, § 741(b)(1), amended last sentence generally. Prior to amendment, last sentence read as follows: “Except for purposes of determining the amount recognized under subsection (a), such increase shall be treated as occurring immediately before the distribution.” - § 737(e): Pub. L. 103–465, § 741(b)(2), added subsec. (e). ## § 871: Tax on nonresident alien individuals - § 871(a)(3)(A): Pub. L. 103–465 substituted “85 percent” for “one-half”. ## § 3304: Approval of State laws - § 3304(a)(4)(C): Pub. L. 103–465, § 702(c)(1), inserted “, or the withholding of Federal, State, or local individual income tax,” after “health insurance”. - § 3304(a)(17), § 3304(a)(18), § 3304(a)(19): Pub. L. 103–465, § 702(b), struck out “and” at end of par. (17), added par. (18), and redesignated former par. (18) as (19). ## § 3306: Definitions - § 3306(f)(3), § 3306(f)(4), § 3306(f)(5): Pub. L. 103–465 added par. (3) and redesignated former pars. (3) and (4) as (4) and (5) relating to payment of short-time compensation, respectively. ## § 3402: Income tax collected at source - § 3402(p): Pub. L. 103–465, § 702(a), reenacted heading without change and amended text of subsec. (p) generally. Prior to amendment, text read as follows: “The Secretary is authorized by regulations to provide for withholding— - § 3402(r): Pub. L. 103–465, § 701(a), added subsec. (r). ## § 4971: Taxes on failure to meet minimum funding standards - § 4971(e)(1), § 4971(e)(2)(A): Pub. L. 103–465, § 751(a)(9)(B)(i), substituted “(a), (b), or (f)” for “(a) or (b)”. - § 4971(f), § 4971(g): Pub. L. 103–465, § 751(a)(9)(B)(ii), added subsec. (f) and redesignated former subsec. (f) as (g). ## § 4972: Tax on nondeductible contributions to qualified employer plans - § 4972(c)(6): Pub. L. 103–465 added par. (6). ## § 5001: Imposition, rate, and attachment of tax - § 5001(a)(3), § 5001(a)(4), § 5001(a)(5), § 5001(a)(6), § 5001(a)(7), § 5001(a)(8), § 5001(a)(9), § 5001(a): Pub. L. 103–465 redesignated pars. (4) to (10) as (3) to (9), respectively, and struck out former par. (3), “Imported perfumes containing distilled spirits”, which read as follows: “There is hereby imposed on all perfumes imported into the United States containing distilled spirits a tax of $13.50 per wine gallon, and a proportionate tax at a like rate on all fractional parts of such wine gallon.” ## § 5002: Definitions - § 5002(b)(1), § 5002(b)(2), § 5002(b)(3), § 5002(b)(4), § 5002(b)(5), § 5002(b): Pub. L. 103–465 redesignated pars. (2) to (6) as (1) to (5), respectively, and struck out former par. (1) which provided a cross reference to section 5041(c) of this title for definition of “wine gallon”. ## § 5005: Persons liable for tax - § 5005(f)(3): Pub. L. 103–465, § 136(c)(2)(A), substituted “section 5001(a)(5) and (6)” for “section 5001(a)(6) and (7)”. - § 5005(f)(4): Pub. L. 103–465, § 136(c)(2)(B), substituted “section 5001(a)(4)” for “section 5001(a)(5)”. ## § 5007: Collection of tax on distilled spirits - § 5007(b): Pub. L. 103–465, § 136(c)(3), amended subsec. (b) generally, striking out provisions relating to collection and deposit as internal revenue collections of taxes on imported perfumes containing distilled spirits. - § 5007(c)(3): Pub. L. 103–465, § 136(c)(4), substituted “section 5001(a)(4), (5), and (6)” for “section 5001(a)(5), (6), and (7)”. ## § 5061: Method of collecting tax - § 5061(b)(1): Pub. L. 103–465, § 136(c)(5), amended par. (1) generally. Prior to amendment, par. (1) read as follows: “section 5001(a)(5), (6), or (7),”. - § 5061(d)(4): Pub. L. 103–465, § 712(b)(1), added par. (4). Former par. (4) redesignated (5). - § 5061(d)(5): Pub. L. 103–465, § 712(b), redesignated par. (4) as (5), substituted “due date” for “14th day” in heading, and inserted “(or the immediately following day where the due date described in paragraph (4) falls on a Sunday)” before period at end. ## § 5111: Eligibility - § 5111: Pub. L. 103–465 substituted “flavoring extracts, or perfume” for “or flavoring extracts”. ## § 5112: Registration and regulation - § 5112: Pub. L. 103–465 substituted “flavoring extracts, or perfume” for “or flavoring extracts”. ## § 5114: Drawback - § 5114(c)(1): Pub. L. 103–465 substituted “flavoring extracts, or perfume” for “or flavoring extracts”. ## § 5703: Liability for tax and method of payment - § 5703(b)(2)(D): Pub. L. 103–465, § 712(c)(1), added subpar. (D). Former subpar. (D) redesignated (E). - § 5703(b)(2)(E): Pub. L. 103–465, § 712(c), redesignated subpar. (D) as (E), substituted “due date” for “14th day” in heading, and inserted “(or the immediately following day where the due date described in subparagraph (D) falls on a Sunday)” before period at end. ## § 6051: Receipts for employees - § 6051(a)(10): Pub. L. 103–465 added par. (10). ## § 6109: Identifying numbers - § 6109(e): Pub. L. 103–465 substituted “dependents” for “certain dependents” in heading and amended text generally. Prior to amendment, text read as follows: “If— ## § 6302: Mode or time of collection - § 6302(e): Pub. L. 103–465, § 712(d), reenacted heading without change and amended text generally. Prior to amendment, text read as follows: “If, under regulations prescribed by the Secretary, a person is required to make deposits of any tax imposed by section 4251 or subsection (a) or (b) of section 4261 with respect to amounts considered collected by such person during any semimonthly period, such deposit shall be made not later than the 3rd day (not including Saturdays, Sundays, or legal holidays) after the close of the 1st week of the 2nd semimonthly period following the period to which such amounts relate.” - § 6302(f): Pub. L. 103–465, § 712(a), substituted “certain excise taxes” for “taxes on gasoline and diesel fuel” in heading and amended text generally. Prior to amendment, text read as follows: ## § 6621: Determination of rate of interest - § 6621(a)(1): Pub. L. 103–465 inserted concluding provisions. ## § 6654: Failure by individual to pay estimated income tax - § 6654(d)(2)(D): Pub. L. 103–465 added subpar. (D). ## § 6655: Failure by corporation to pay estimated income tax - § 6655(e)(4): Pub. L. 103–465 added par. (4). ## § 6662: Imposition of accuracy-related penalty on underpayments - § 6662(d)(2)(C)(i): Pub. L. 103–465, § 744(b)(1), substituted “In the case of any item of a taxpayer other than a corporation which is” for “In the case of any item” in introductory provisions. - § 6662(d)(2)(C)(ii): Pub. L. 103–465, § 744(a), added cl. (ii). Former cl. (ii) redesignated (iii). - § 6662(d)(2)(C): Pub. L. 103–465, § 744(a), (b)(2), redesignated cl. (ii) as (iii) and substituted “this subparagraph” for “clause (i)” in introductory provisions. ## § 7652: Shipments to the United States - § 7652(g): Pub. L. 103–465 substituted “flavoring extracts, or perfume” for “or flavoring extracts” in introductory provisions.