# Pub. L. 99-272: changes to the Internal Revenue Code 1986-04-07, 100 Stat. 287. Source: . ## Legislative history - Bill: [H.R. 3128](https://www.congress.gov/bill/99th-congress/house-bill/3128) ## § 86: Social security and tier 1 railroad retirement benefits - § 86(d)(4): Pub. L. 99–272, § 13204(a), in amending par. (4) generally, designated existing provisions as introductory clause of par. (4), struck out “a monthly benefit under section 3(a), 3(f)(3), 4(a), or 4(f) of the Railroad Retirement Act of 1974”, and added cls. (A) and (B). - § 86(d)(5): Pub. L. 99–272, § 12111(b), added par. (5). ## § 103: Interest on State and local bonds - § 103(b): Pub. L. 99–272 struck out par. (11) relating to pollution control facilities acquired by regional pollution control authorities. ## § 106: Contributions by employer to accident and health plans - § 106: Pub. L. 99–272 designated existing provisions as subsec. (a) and added subsec. (a) heading and subsec. (b). ## § 132: Certain fringe benefits - § 132(f)(3): Pub. L. 99–272, § 13207(a)(1), added par. (3). - § 132(h): Pub. L. 99–272, § 13207(b)(1), added par. (6). ## § 162: Trade or business expenses - § 162(i): Pub. L. 99–272, § 10001(d), substituted “Coverage relating to end stage renal disease” for “General rule” in heading. - § 162(i): Pub. L. 99–272, § 10001(a), added par. (2) and redesignated former par. (2) as (3). - § 162(k): Pub. L. 99–272, § 10001(c), added subsec. (k). Former subsec. (k) redesignated (l). - § 162(l): Pub. L. 99–272, § 10001(c), redesignated former subsec. (k), relating to cross references, as (l). ## § 402: Taxability of beneficiary of employees’ trust - § 402(a): Pub. L. 99–272 added subpar. (G) relating to payments from certain pension plan termination trusts. ## § 404: Deduction for contributions of an employer to an employees’ trust or annuity plan and compensation under a deferred-payment plan - § 404(g)(3): Pub. L. 99–272, § 11011(c)(1), amended par. (3) generally. Prior to the amendment, par. (3), coordination with subsection (a), read as follows: “Any payment described in paragraph (1) shall (subject to the last sentence of subsection (a)(1)(A)) be deductible under this section when paid.” - § 404(g)(4): Pub. L. 99–272, § 11011(c)(2), added par. (4). ## § 412: Minimum funding standards - § 412(d)(1): Pub. L. 99–272, § 11015(b)(2)(A), inserted provision that the interest rate used for purposes of computing the amortization charge described in section 412(b)(2)(C) for a variance granted under this subsection be the rate determined under section 6621(b). - § 412(e): Pub. L. 99–272, § 11015(b)(2)(B), inserted provision that the interest rate applicable under any arrangement entered into by the Secretary in connection with an extension granted under this subsection be the rate determined under section 6621(b). - § 412: Pub. L. 99–272, § 11015(a)(2), substituted in heading “Requirements relating to waivers and extensions” for “Benefits may not be increased during waiver or extension period” and in par. (1) heading “Benefits may not be increased during waiver or extension period” for “In general”, and added par. (3). - § 412: Pub. L. 99–272, § 11016(c)(4), added par. (4). ## § 501: Exemption from tax on corporations, certain trusts, etc. - § 501(c)(24): Pub. L. 99–272 added par. (24). ## § 521: Exemption of farmers’ cooperatives from tax - § 521(b)(6): Pub. L. 99–272 added par. (6). ## § 871: Tax on nonresident alien individuals - § 871(a)(3): Pub. L. 99–272 inserted at end “For treatment of certain citizens of possessions of the United States, see section 932(c).” ## § 1388: Definitions; special rules - § 1388(j), § 1388(k): Pub. L. 99–272 added subsec. (j) and redesignated former subsec. (j) as (k). ## § 1402: Definitions - § 1402(b): Pub. L. 99–272 substituted “medicare qualified government employment (as defined in section 3121(u)(3))” for “medicare qualified Federal employment (as defined in section 3121(u)(2))”. ## § 3121: Definitions - § 3121(b)(20): Pub. L. 99–272, § 13303(c)(2), as amended by Pub. L. 100–647, § 8016(a)(4)(A), (C), inserted “(other than service described in paragraph (3)(A))” after “service”. - § 3121(i)(5): Pub. L. 99–272, § 12112(b), substituted “shall not include” for “shall, subject to the provisions of subsection (a)(1) of this section, include”. - § 3121(u): Pub. L. 99–272, § 13205(a)(1), amended subsec. (u) generally, substantially expanding and revising its provisions by extending the application of hospital insurance tax to State and local employment. ## § 3122: Federal service - § 3122: Pub. L. 99–272 substituted “including such service which is medicare qualified government employment (as defined in section 3121(u)(3))” for “including service which is medicare qualified Federal employment (as defined in section 3121(u)(2))”. ## § 3125: Returns in the case of governmental employees in States, Guam, American Samoa, and the District of Columbia - § 3125: Pub. L. 99–272 inserted “States” in section catchline, added subsec. (a), and redesignated former subsecs. (a) to (c) as (b) to (d), respectively. ## § 3304: Approval of State laws - § 3304(a)(4)(D): Pub. L. 99–272 added subpar. (D). ## § 3306: Definitions - § 3306(c)(1)(B): Pub. L. 99–272, § 13303(a), as amended by Pub. L. 100–647, § 1018(u)(50), substituted “January 1, 1988” for “January 1, 1986”. - § 3306(f)(3): Pub. L. 99–272, § 12401(b)(2), added par. (3). ## § 3321: Imposition of tax - § 3321(c): Pub. L. 99–272 amended subsec. (c) generally. Prior to amendment subsec. (c) read as follows: ## § 3322: Definitions - § 3322(a): Pub. L. 99–272, § 13301(d)(1), struck out “and before 1990, and” after “1986” in par. (2) and struck out par. (3) relating to the period beginning on Jan. 1, 1990, and ending on Sept. 30, 1990. - § 3322(b): Pub. L. 99–272, § 13301(d)(2), substituted “The basic rate under section 3321(c)(1)(A) of the tax imposed by section 3321 shall not apply” for “The tax imposed by this chapter shall not apply” in introductory provision, and inserted “made before October 1, 1985,” in par. (1). ## § 4121: Imposition of tax - § 4121(a): Pub. L. 99–272, § 13203(a), amended subsec. (a) generally. Prior to amendment subsec. (a) read as follows: “There is hereby imposed on coal sold by the producer a tax at the rates of— - § 4121(b): Pub. L. 99–272, § 13203(a), amended subsec. (b) generally. Prior to amendment subsec. (b), limitation on tax, read as follows: “The amount of the tax imposed by subsection (a) with respect to a ton of coal shall not exceed 2 percent of the price at which such ton of coal is sold by the producer.” - § 4121: Pub. L. 99–272, § 13203(c), substituted “Reduction in amount of tax” for “Temporary increase in amount of tax” in heading and amended par. (1) generally. Prior to amendment par. (1) read as follows: “Effective with respect to sales after December 31, 1981, and before the temporary increase termination date— ## § 5701: Rate of tax - § 5701(e), § 5701(f): Pub. L. 99–272 added subsec. (e) and redesignated former subsec. (e) as (f). ## § 5702: Definitions - § 5702(c): Pub. L. 99–272, § 13202(b)(2), inserted reference to smokeless tobacco. - § 5702(d): Pub. L. 99–272, § 13202(b)(3), inserted references to smokeless tobacco. - § 5702(n): Pub. L. 99–272, § 13202(b)(4), added subsec. (n). ## § 6205: Special rules applicable to certain employment taxes - § 6205(a)(5): Pub. L. 99–272 added par. (5). ## § 6413: Special rules applicable to certain employment taxes - § 6413(a)(5): Pub. L. 99–272, § 13205(a)(2)(E)(i), added par. (5). - § 6413(c)(2)(D), § 6413(c)(2)(E), § 6413(c)(2)(F): Pub. L. 99–272, § 13205(a)(2)(E)(ii)(I), substituted “3125(b)”, “3125(c)”, and “3125(d)” for “3125(a)”, “3125(b)”, and “3125(c)”, respectively, in subpars. (D), (E), and (F), respectively. - § 6413(c)(2)(G): Pub. L. 99–272, § 13205(a)(2)(E)(ii)(II), added subpar. (G).