,i  #aac? ,,congress  #a/ ,session  ,h4 
,r4 #bjhd  ,,9 ,,! ,,h\se ,,(           
,,repres5tatives  ,may #bb1 #bjac ,mr4  
,delaney 7= himself1 ,mr4 ,b>r1 ,mr4    
,b]a ( ,cali=nia1 ,mr4 ,c>ney1 ,mr4     
,cole1 ,mr4 ,connolly1 ,mr4 ,rodney     
,davis ( ,ill9ois1 ,mr4 ,fitzpatrick1   
,ms4 ,gabb>d1 ,mr4 ,g>cia1 ,mr4 ,gibson1
 ,mr4 ,johnson ( ,ohio1 ,mr4 ,joyce1    
,mr4 ,k5n$y1 ,mr4 ,k9d1 ,mr4 ,k9z+] (   
,ill9ois1 ,mr4 ,mess]1 ,mr4 ,moran1 ,mr4
 ,murphy ( ,florida1 ,mr4 ,pet]s (      
,cali=nia1 ,mr4 ,pitt5g]1 ,mr4 ,polis1  
,mr4 ,rupp]sb]g]1 ,ms4 ,s9ema1 ,mr4     
,/iv]s1 ,mr4 ,turn]1 & ,mr4 ,yoho7      
introduc$ ! foll[+ bill2 :i* 0 ref]r$ to
 ! ,committee on ,transportation &      
,infra/ructure1 & 9 addition to !       
,committee on ,ways & ,means1 = a p]iod 
to be subsequ5tly det]m9$ by ! ,speak]1 
9 ea* case = consid]ation ( su*         
provisions z fall )9 ! jurisdiction ( ! 
committee conc]n$  ,a ,,bill  ,to       
e/abli% ! ,am]ican ,infra/ructure ,fund1
 to provide bond gu>antees & make loans 

to ,/ates1 local gov]nm5ts1 & non-pr(it 
infra/ructure provid]s = inve/m5ts 9    
c]ta9 infra/ructure projects1 & to      
provide equity inve/m5ts 9 su* projects1
 & = o!r purposes4  #a4 ,%ort title ,?is
 ,act may be cit$ z ! ,p>tn]%ip to      
,build ,am]ica ,act ( #bjac4  #b4       
,am]ican ,infra/ructure ,fund  7a7      
,am]ican ,infra/ructure ,fund  7#a7 ,9  
g5]al ,!re is e/abli%$ a :olly own$     
,gov]nm5t corporation to be call$ !     
,am]ican ,infra/ructure ,fund 7,,aif7-- 
7,a7 :i* %all be head$ by ! ,bo>d (     
,tru/ees e/abli%$ "u subsection 7b72    
7,b7 :i* may h sep>ate sub-acc\nts or   
subsidi>ies = funds us$ to make loans1  
bond gu>antees1 & equity inve/m5ts "u   
?is section & funds us$ to make bond    
gu>antees "u ?is section2  7,c7 :i* %all
 be available to ! ,,aif to pay = ! co/s
 ( c>ry+ out ?is section1 includ+ !     
comp5sation ( ! ,bo>d & o!r employees ( 
! ,,aif2 &  7,d7 ! funds ( :i* may be   
inve/$ by ! ,bo>d 9 su* mann] z ! ,bo>d 
det]m9es appropriate4  7#b7 ,deposits to

 ,,aif ,all funds receiv$ f bond        
issuances1 loan paym5ts1 bond gu>antee  
fees1 & any o!r funds receiv$ 9 c>ry+   
out ?is section %all be held by ,,aif4  
7#c7 ,limitations ,! *>t] ( ! ,,aif %all
 limit its activities to ^? activities  
describ$ z ! mission ( ! ,bo>d "u       
subsection 7b77#b74  7#d7 ,ov]sight ,!  
,,aif %all regi/] ) ! ,securities &     
,ex*ange ,commission & ! ,secret>y %all 
report to ,congress annually z to :e!r !
 ,,aif is fulfill+ ! mission ( ! ,bo>d  
"u subsection 7b77#b74  7#e7 ,treatm5t (
 ,,aif ,title #ca1 ,unit$ ,/ates ,code1 
is am5d$ 9 ea* ( sections #iajg7;c77#c7 
& #iajh7;d77#b7--  7,a7 by ins]t+ !     
,am]ican ,infra/ructure ,fund1 aft] !   
,regional ,banks = ,coop]atives12 &     
7,b7 by /rik+ ^? banks & ins]t+ ^?      
entities4  7b7 ,bo>d ( ,tru/ees  7#a7 ,9
 g5]al ,!re is e/abli%$ a ,bo>d (       
,tru/ees ( ! ,,aif 7! ,bo>d71 :i* %all  
be compos$ ( #aa memb]s1 ( :i* at lea/  
#d mu/ be risk managem5t exp]ts1 z      
c]tifi$ by ! ,bo>d1 hav+ sub/antial     

exp]i5ce 9 bond gu>antees or municipal  
cr$it4  7#b7 ,mission ,! ,mission ( !   
,bo>d is--  7,a7 to op]ate ! ,,aif & its
 subsidi>ies to be a l[ co/ provid] (   
bond gu>antees1 loans1 & equity         
inve/m5ts to ,/ate & local gov]nm5ts &  
non-pr(it infra/ructure provid]s = bo?  
urban & rural non-pr(it infra/ructure   
projects t provide a positive economic  
impact & to meet su* o!r /&>ds z ! ,bo>d
 may develop2  7,b7 to op]ate ! ,,aif 9 
a self-su/a9+ mann] s z to all[ ! ,,aif 
to repay its infra/ructure bonds :5 due2
  7,c7 to n h a pr(it motive1 b seek at 
all times to pursue its mission (       
provid+ l[ co/ bond gu>antees & loans   
:ile cov]+ its co/s1 res]ves z may be   
ne$$1 & apply+ prud5t und]writ+ /&>ds2  
7,d7 to only consid] projects put =? by 
,/ate & local gov]nm5ts & n to seek     
projects directly2  7,e7 to at all times
 make cle> t no taxpay] money supports !
 ,,aif or ev] w2 &  7,f7 to engage 9 no 
o!r activities o!r ?an ^? p]mitt$ "u ?is
 section4  7#c7 ,memb]%ip  7,a7         

,presid5tially-appo9t$ memb]s ,except z 
provid$ "u subp>agraph 7,c71 #d memb]s (
 ! ,bo>d %all be appo9t$ by ! ,presid5t1
 by & ) ! advice & cons5t ( ! ,s5ate1 & 
s]ve = a t]m ( #g ye>s4  7,b7           
,additional memb]s ,except z provid$ "u 
subp>agraph 7,c71 #g memb]s ( ! ,bo>d   
%all be appo9t$ by ! curr5t memb]s ( !  
,bo>d appo9t$ pursuant to ?is           
subp>agraph or subp>agraph 7,c77ii71 &  
s]ve = a t]m ( #g ye>s4  7,c7 ,initial  
memb]s ,! ,bo>d %all initially consi/ ( 
! foll[+ memb]s1 :o %all be appo9t$ n   
lat] ?an ! end ( ! #fj-;day p]iod beg9n+
 on ! date t bonds are issu$ "u         
subsection 7e73  7i7 ,f\r memb]s1       
appo9t$ by ! ,presid5t1 by & ) ! advice 
& cons5t ( ! ,s5ate4  7ii7 ,sev5        
additional memb]s1 appo9t$ "o ea* by !  
sev5 entities pur*as+ ! l>ge/ am\nt (   
bonds 7by aggregate face am\nt ( bonds  
pur*as$7 "u subsection 7e74  7,d7       
,/agg]$ t]ms ,! memb]s ( ! ,bo>d %all   
s]ve /agg]$ t]ms1 ) #b ea* ( ! initial  
memb]s ( ! ,bo>d s]v+ = t]ms ( #d1 #e1  

#f1 #g1 & #h ye>s1 respectively1 & !    
initial ,*air select$ "u subp>agraph    
7,e7 s]v+ = #i ye>s4 ,! decision ( :i*  
,bo>d memb]s1 o!r ?an ! ,*air1 s]ve =   
:i* initial t]ms %all be made by !      
memb]s ( ! ,bo>d draw+ lots4  7,e7 ,*air
 ,! memb]s ( ! ,bo>d %all *oose #a memb]
 to s]ve z ! ,*air ( ! ,bo>d = a t]m (  
#g ye>s1 except t ! initial ,*air %all  
s]ve = a t]m ( #g ye>s1 z describ$ "u   
subp>agraph 7,d74  7,f7 ,vacancies ,any 
memb] ( ! ,bo>d appo9t$ to fill a       
vacancy occurr+ be=e ! expiration ( !   
t]m to :i* t memb]'s pr$ecessor 0       
appo9t$ %all be appo9t$ only = ! rema9d]
 ( ! t]m4  7,g7 ,cont9uation ( s]vice   
,ea* memb] ( ! ,bo>d may cont9ue to s]ve
 aft] ! expiration ( ! t]m ( (fice to   
:i* t memb] 0 appo9t$ until a successor 
has be5 appo9t$4  7,h7 ,conflicts (     
int]e/ ,no memb] ( ! ,bo>d may h a      
f9ancial int]e/ 91 or be employ$ by1 a  
,qualifi$ ,infra/ructure ,project       
7,,qip7 relat$ to assi/ance provid$ "u  
?is section or any entity t has pur*as$ 

bonds "u subsection 7e74 ,own+ municipal
 cr$it ( any ,/ate or local gov]nm5t or 
own+ ! securities ( a div]sifi$ company 
t engages 9 infra/ructure activities1   
provid$ ^? activities con/itute less ?an
 #bj p]c5t ( ! company's rev5ues1 or    
inve/+ 9 broadly held inve/m5t funds    
%all n be deem$ to create a conflict (  
int]e/4 ,! ,bo>d may issue regulations  
to def9e t]ms us$ "u ?is subp>agraph4   
7#d7 ,comp5sation ,! memb]s ( ! ,bo>d   
%all be comp5sat$ at an am\nt to be set 
by ! ,bo>d1 b "u no circum/ances may su*
 comp5sation be high] ?an ! rate        
prescrib$ = level ,,iv ( ! ,executive   
,s*$ule "u section #ecae ( title #e1    
,unit$ ,/ates ,code4  7#e7 ,/aff ,!     
,bo>d %all employ & set comp5sation =   
su* /aff z ! ,bo>d det]m9es z is        
necess>y to c>ry out ! activities &     
mission ( ! ,,aif1 & su* /aff may be    
paid )\t reg>d to ! provisions ( *apt]  
#ea & sub*apt] ,,iii ( *apt] #ec1 ,unit$
 ,/ates ,code1 relat+ to classification 
& ,g5]al ,s*$ule pay rates4  7#f7       

,proc$ures ,! ,bo>d %all e/abli% su*    
proc$ures z are necess>y to c>ry out ?is
 section4  7#g7 ,corporate gov]nance    
/&>ds  7,a7 ,bo>d committees g5]ally ,! 
,bo>d %all ma9ta9 all ( ! committees    
requir$ to be ma9ta9$ by ! bo>d (       
directors ( an issu] li/$ on ! ,new     
,york ,/ock ,ex*ange z ( ! date ( !     
enactm5t ( ?is section4  7,b7 ,risk     
managem5t committee ,! ,bo>d %all ma9ta9
 a risk managem5t committee1 :i* %all-- 
7i7 consi/ ( #d memb]s ( ! ,bo>d1 ) !   
initial #d memb]s consi/+ ( #b memb]s   
appo9t$ "u p>agraph 7#c77;,c77i7 & #b   
memb]s appo9t$ "u p>agraph              
7#c77;,c77ii72  7ii7 employ additional  
/aff :o are c]tifi$ by ! ,bo>d z hav+   
significant & relevant exp]i5ce 9       
insurance und]writ+ & cr$it risk        
managem5t2 &  7iii7 e/abli% ! risk      
managem5t policies us$ by ! ,bo>d4  7,c7
 ,/&>ds ,! ,bo>d %all1 to ! ext5t       
practicable1 foll[ all /&>ds ) respect  
to corporate gov]nance t are requir$ to 
be foll[$ by ! bo>d ( directors ( an    

issu] li/$ on ! ,new ,york ,/ock        
,ex*ange z ( ! date ( ! enactm5t ( ?is  
section4  7c7 ,infra/ructure inve/m5t   
7#a7 ,9 g5]al ,! ,,aif %all provide bond
 gu>antees to debt issu$ by ,/ate &     
local gov]nm5ts & non-pr(it             
infra/ructure provid]s1 make loans to   
,/ates1 local gov]nm5ts1 & non-pr(it    
infra/ructure provid]s1 & make equity   
inve/m5ts 9 projects sponsor$ by ,/ate &
 local gov]nm5ts & non-pr(it            
infra/ructure provid] to help ,qualifi$ 
,infra/ructure ,projects 7,q,i,ps74 ,!  
,,aif may n make any loans or provide   
bond gu>anties to =-pr(it entities4     
7#b7 ,qualifi$ ,infra/ructure ,projects 
,a project qualifies z a ,,qip "u ?is   
section if--  7,a7 ! project involves ! 
con/ruction1 ma9t5ance1 improvem5t1 or  
repair ( a transportation1 en]gy1 wat]1 
communications1 or educational facility2
 &  7,b7 ! recipi5t ( bond gu>antees1   
loans1 equity inve/m5ts1 or any o!r     
f9anc+ te*nique au?oriz$ "u ?is ,act    
provides writt5 assurances prescrib$ by 

! ,,aif t ! project w be p]=m$ 9        
compliance ) ! requirem5ts ( all ,f$]al 
laws t w\ld o!rwise apply to simil>     
projects to :i* ! ,unit$ ,/ates is a    
p>ty4  7#c7 ,application = assi/ance    
7,a7 ,9 g5]al ,a ,/ate or local gov]nm5t
 t wi%es to receive a loan or bond      
gu>antee "u ?is section %all submit an  
application to ! ,bo>d 9 su* =m & mann] 
& conta9+ su* in=mation z ! ,bo>d may   
require4  7,b7 ,requirem5t = non-pr(it  
infra/ructure provid]s to apply ?r\gh   
,/ate or local gov]nm5ts ,a non-pr(it   
infra/ructure provid] may only receive a
 bond gu>antee1 loan1 or equity inve/m5t
 "u ?is section if ! ,/ate or local     
gov]nm5t = ! jurisdiction 9 :i* !       
non-pr(it infra/ructure provid] is      
locat$ submits an application pursuant  
to subp>agraph 7,a7 on behalf ( su*     
non-pr(it infra/ructure provid]4  7#d7  
,limitations on s+le ,/ate aw>ds  7,a7  
,annual limitation ,! ,bo>d %all set an 
annual limit1 z a p]c5tage ( total      
assi/ance provid$ "u ?is section dur+ a 

ye>1 on ! am\nt ( assi/ance a s+le ,/ate
 7includ+ local gov]nm5ts & o!r         
non-pr(it infra/ructure provid]s )9 su* 
,/ate7 may receive 9 assi/ance provid$  
"u ?is section4  7,b7 ,cumulative       
limitation ,! ,bo>d %all set a limit1 z 
a p]c5tage ( total assi/ance provid$ "u 
?is section out/&+ at any "o "t1 on !   
am\nt ( assi/ance a s+le ,/ate 7includ+ 
local gov]nm5ts & o!r non-pr(it         
infra/ructure provid]s )9 su* ,/ate7 may
 receive 9 assi/ance provid$ "u ?is     
section4  7#e7 ,loan specifications     
,loans made "u ?is section %all h su*   
maturity & c>ry su* int]e/ rate z !     
,bo>d det]m9es appropriate4  7#f7 ,bond 
gu>antee ,! ,bo>d %all *>ge su* fees =  
,bond gu>antees made "u ?is section z ! 
,bo>d det]m9es appropriate4  7#g7       
,equity inve/m5ts ,) respect to a ,,qip1
 ! am\nt ( an equity inve/m5t made by ! 
,,aif 9 su* ,,qip may n exce$ #bj p]c5t 
( ! total co/ ( ! ,,qip4  7#h7          
,public-private p>tn]%ip requirem5ts ,at
 lea/ #be p]c5t ( ! assi/ance provid$ "u

 ?is section %all be provid$ to ,q,i,ps 
= :i* at lea/ #bj p]c5t ( ! f9anc+ = su*
 ,q,i,ps comes f private debt or equity4
  7#i7 ,prohibition on pr9cipal =giv5ess
 ,) respect to a loan made "u ?is       
section1 ! ,bo>d may n =give any am\nt (
 pr9cipal on su* loan4  7d7 ,am]ican    
,infra/ructure ,bonds  7#a7 ,9 g5]al ,! 
,secret>y %all1 n lat] ?an ! end ( !    
#ij-;day p]iod foll[+ ! date ( !        
enactm5t ( ?is section & act+ ?r\gh !   
,,aif1 issue bonds1 to be call$ ,am]ican
 ,infra/ructure ,bonds1 ! proce$s f :i* 
%all be deposit$ into ! ,,aif4  7#b7    
,=ms & d5om9ations2 int]e/ ,am]ican     
,infra/ructure ,bonds %all--  7,a7 be 9 
su* =ms & d5om9ations z det]m9$ by !    
,secret>y1 & %all h a #ej-ye> maturity2 
&  7,b7 be> int]e/ ( #a p]c5t4  7#c7 ,no
 full fai? & cr$it ,int]e/ & pr9cipal   
paym5ts paid to hold]s ( ,am]ican       
,infra/ructure ,bonds %all be paid f !  
,,aif1 to ! ext5t funds are available1 &
 %all n be back$ by ! full fai? & cr$it 
( ! ,unit$ ,/ates4  7#d7 ,am\nt ( bonds 

,! aggregate face am\nt ( ! bonds issu$ 
"u ?is subsection %all be               
#ej1jjj1jjj1jjj4  7#e7 ,sale ( ,am]ican 
,infra/ructure ,bonds  7,a7 ,competitive
 bidd+ process ,! ,secret>y %all sell ! 
#ej1jjj1jjj1jjj ( ,am]ican              
,infra/ructure ,bonds--  7i7 ?r\gh a    
competitive bidd+ process t enc\rages   
aggressive bidd+2  7ii7 9 a mann] s z to
 ensure t !re are at lea/ #g diff]5t    
un-affiliat$ pur*as]s2 &  7iii7 )       
prospective pur*as]s bidd+ on h[ l[ ( a 
multipli] !y w accept 7= purposes (     
subsection 7b77#a7 ( section #iff ( !   
,int]nal ,rev5ue ,code ( #aihf7 :5      
pur*as+ ! ,am]ican ,infra/ructure       
,bonds1 = purposes ( apply+ ! =eign     
e>n+s exclusion describ$ "u t section4  
7,b7 ,limitation ,! multipli] describ$  
"u subp>agraph 7,a77iii7 may n be great]
 ?an #f4  7#f7 ,reimbursem5t ( co/s ,!  
,bo>d %all repay ! ,secret>y1 f funds 9 
! ,,aif1 = ! co/s to ! ,secret>y 9 c>ry+
 out ?is subsection4  7e7 ,additional   
bonds  7#a7 ,9 g5]al ,! ,bo>d may issue 

su* o!r bonds z ! ,bo>d det]m9es        
appropriate1 ! proce$s f :i* %all be    
deposit$ into ! ,,aif4  7#b7 ,no full   
fai? & cr$it ,int]e/ & pr9cipal paym5ts 
paid to hold]s ( bonds issu$ pursuant to
 p>agraph 7#a7 %all be paid f ! ,,aif1  
to ! ext5t funds are available1 & %all n
 be back$ by ! full fai? & cr$it ( !    
,unit$ ,/ates4  7f7 ,def9itions ,=      
purposes ( ?is section3  7#a7 ,bond     
gu>antee ,! t]m bond gu>antee has !     
mean+ giv5 ! t]m loan gu>antee "u       
section #ejb ( ! ,f$]al ,cr$it ,re=m    
,act ( #aiij 7#b ,u4,s4,c4 #ffa;a74     
7#b7 ,co/ ,) respect to a loan or a bond
 gu>antee1 ! t]m co/ has ! mean+ giv5   
su* t]m "u section #ejb ( ! ,f$]al      
,cr$it ,re=m ,act ( #aiij 7#b ,u4,s4,c4 
#ffa;a74  7#c7 ,non-pr(it infra/ructure 
provid] ,! t]m non-pr(it infra/ructure  
provid] means a non-pr(it entity t seeks
 to f9ance a ,,qip4  7#d7 ,loan ,! t]m  
loan has ! mean+ giv5 ! t]m direct loan 
"u section #ejb ( ! ,f$]al ,cr$it ,re=m 
,act ( #aiij 7#b ,u4,s4,c4 #ffa;a74     

7#e7 ,secret>y ,! t]m ,secret>y means ! 
,secret>y ( ! ,treasury4  7#f7 ,/ate ,! 
t]m ,/ate means ea* ( ! sev]al ,/ates1 !
 ,di/rict ( ,columbia1 any t]ritory or  
possession ( ! ,unit$ ,/ates1 & ea*     
f$]ally recogniz$ ,indian tribe4  #c4   
,=eign e>n+s exclusion = pur*ase (      
infra/ructure bonds  7a7 ,9 g5]al       
,subp>t ,f ( "p ,,iii ( sub*apt] ,n (   
*apt] #a ( ! ,int]nal ,rev5ue ,code (   
#aihf is am5d$ by add+ at ! end ! foll[+
 new section3  #iff4 ,=eign e>n+s       
exclusion = pur*ase ( infra/ructure     
bonds  7a7 ,exclusion ,9 ! case ( a     
corporation :i* is a ,unit$ ,/ates      
%>ehold] & = :i* ! election "u ?is      
section is 9 effect = ! taxable ye>1    
gross income does n include an am\nt    
equal to ! qualifi$ ca% divid5d am\nt4  
7b7 ,qualifi$ ca% divid5d am\nt ,=      
purposes ( ?is section1 ! t]m qualifi$  
ca% divid5d am\nt means an am\nt ( ! ca%
 divid5ds :i* are receiv$ dur+ a taxable
 ye> by su* %>ehold] f controll$ =eign  
corporations equal to--  7#a7 !         

multipli] det]m9$ "u section #b7;d77#e7 
( ! ,p>tn]%ip to ,build ,am]ica ,act (  
#bjac = su* %>ehold]1 multipli$ by  7#b7
 ! face am\nt ( qualifi$ infra/ructure  
bonds acquir$ at its orig9al issue      
7directly or ?r\gh an und]writ]7 by su* 
%>ehold]4  7c7 ,limitations  7#a7 ,9    
g5]al ,! am\nt ( divid5ds tak5 into     
acc\nt "u subsection 7a7 = a taxable ye>
 %all n exce$ ! less] (--  7,a7 ! ca%   
divid5ds receiv$ by ! taxpay] = su*     
taxable ye>1 or  7,b7 ! am\nt %[n on !  
applicable f9ancial /atem5t z e>n+s     
p]man5tly re9ve/$ outside ! ,unit$      
,/ates4  7#b7 ,divid5ds mu/ be          
extraord9>y ,! am\nt ( divid5ds tak5    
into acc\nt "u subsection 7a7 %all n    
exce$ ! excess 7if any7 (--  7,a7 ! ca% 
divid5ds receiv$ dur+ ! taxable ye> by  
su* %>ehold] f controll$ =eign          
corporations1 ov]  7,b7 ! annual av]age 
= ! base p]iod ye>s ( ! ca% divid5ds    
receiv$ dur+ ea* base p]iod ye> by su*  
%>ehold] f controll$ =eign corporations4
  7#c7 ,r$uction ( b5efit if increase 9 

relat$ p>ty indebt$ness ,! am\nt (      
divid5ds :i* w\ld 7b = ?is p>agraph7 be 
tak5 into acc\nt "u subsection 7a7 %all 
be r$uc$ by ! excess 7if any7 (--  7,a7 
! am\nt ( indebt$ness ( ! controll$     
=eign corporation to any relat$ p]son 7z
 def9$ 9 section #ied7;d77#c77 z ( !    
close ( ! taxable ye> = :i* ! election  
"u ?is section is 9 effect1 ov]  7,b7 ! 
am\nt ( indebt$ness ( ! controll$ =eign 
corporation to any relat$ p]son 7z s    
def9$7 z ( ! close ( ! prec$+ taxable   
ye>4  ,all controll$ =eign corporations 
) respect to :i* ! taxpay] is a ,unit$  
,/ates %>ehold] %all be treat$ z #a     
controll$ =eign corporation = purposes (
 ?is subsection4 ,! ,secret>y may       
prescribe su* regulations z may be      
necess>y or appropriate to prev5t !     
avoidance ( ! purposes ( ?is subsection1
 includ+ regulations :i* provide t ca%  
divid5ds %all n be tak5 into acc\nt "u  
subsection 7a7 to ! ext5t su* divid5ds  
are attributable to ! direct or indirect
 transf] 7includ+ ?r\gh ! use ( int]v5+ 

entities or capital contributions7 ( ca%
 or o!r prop]ty f a relat$ p]son 7z s   
def9$7 to a controll$ =eign corporation4
  7d7 ,def9itions & special rules ,=    
purposes ( ?is section--  7#a7 ,qualifi$
 infra/ructure bonds ,! t]m qualifi$    
infra/ructure bond means a bond issu$ "u
 section #b7;d7 ( ! ,p>tn]%ip to ,build 
,am]ica ,act ( #bjac4  7#b7 ,applicable 
f9ancial /atem5t ,! t]m applicable      
f9ancial /atem5t means1 ) respect to a  
taxable ye>--  7,a7 ) respect to a      
,unit$ ,/ates %>ehold] :i* is requir$ to
 file a f9ancial /atem5t ) ! ,securities
 & ,ex*ange ,commission 7or :i* is      
includ$ 9 su* a /atem5t s fil$ by ano!r 
p]son71 ! mo/ rec5t audit$ annual       
f9ancial /atem5t 7includ+ ! notes :i* =m
 an integral "p ( su* /atem5t7 ( su*    
%>ehold] 7or :i* includes su*           
%>ehold]7--  7i7 :i* 0 s fil$ = su*     
taxable ye>1 &  7ii7 :i* is c]tifi$ z   
be+ prep>$ 9 accordance ) g5]ally       
accept$ acc\nt+ pr9ciples1 &  7,b7 )    
respect to any o!r ,unit$ ,/ates        

%>ehold]1 ! mo/ rec5t audit$ f9ancial   
/atem5t 7includ+ ! notes :i* =m an      
integral "p ( su* /atem5t7 ( su*        
%>ehold] 7or :i* includes su*           
%>ehold]7--  7i7 :i* is c]tifi$ z be+   
prep>$ 9 accordance ) g5]ally accept$   
acc\nt+ pr9ciples1 &  7ii7 :i* is us$ = 
! purposes ( a /atem5t or report--  7,i7
 to cr$itors1  7,,ii7 to %>ehold]s1 or  
7,,iii7 = any o!r sub/antial nontax     
purpose4  7#c7 ,base p]iod ye>s  7,a7 ,9
 g5]al ,! base p]iod ye>s are ! #c      
taxable ye>s--  7i7 :i* are among ! #e  
mo/ rec5t prec$+ taxable ye>s end+ be=e 
! taxable ye>1 &  7ii7 :i* are det]m9$  
by disreg>d+--  7,i7 #a taxable ye> =   
:i* ! am\nt describ$ 9 subsection       
7c77#b77;,b7 is ! l>ge/1 &  7,,ii7 #a   
taxable ye> = :i* su* am\nt is !        
smalle/4  7,b7 ,%ort] p]iod ,if !       
taxpay] has few] ?an #e taxable ye>s    
end+ be=e ! taxable ye>1 !n 9 lieu (    
apply+ subp>agraph 7,a71 ! base p]iod   
ye>s %all include all ! taxable ye>s ( !
 taxpay] end+ be=e su* taxable ye>4     

7,c7 ,m]g]s1 acquisitions1 etc  7i7 ,9  
g5]al ,rules simil> to ! rules (        
subp>agraphs 7,a7 & 7,b7 ( section      
#da7;f77#c7 %all apply = purposes ( ?is 
p>agraph4  7ii7 ,sp9-(fs1 etc ,if !re is
 a di/ribution to :i* section #cee 7or s
 mu* ( section #cef z relates to section
 #cee7 applies dur+ ! #e-ye> p]iod      
ref]r$ to 9 subp>agraph 7,a77i7 & !     
controll$ corporation 7)9 ! mean+ (     
section #cee7 is a ,unit$ ,/ates        
%>ehold]--  7,i7 ! controll$ corporation
 %all be treat$ z be+ 9 exi/5ce dur+ !  
p]iod t ! di/ribut+ corporation 7)9 !   
mean+ ( section #cee7 is 9 exi/5ce1 &   
7,,ii7 = purposes ( apply+ subsection   
7c77#b7 to ! controll$ corporation & !  
di/ribut+ corporation1 am\nts describ$ 9
 subsection 7c77#b77;,b7 :i* are receiv$
 or includible by ! di/ribut+           
corporation or controll$ corporation 7z 
! case may be7 be=e ! di/ribution ref]r$
 to 9 subclause 7,i7 f a controll$ =eign
 corporation %all be allocat$ betwe5 su*
 corporations 9 proportion to _!        

respective int]e/s z ,unit$ ,/ates      
%>ehold]s ( su* controll$ =eign         
corporation imm$iately aft] su*         
di/ribution4  ,subclause 7,,ii7 %all n  
apply if nei!r ! controll$ corporation  
nor ! di/ribut+ corporation is a ,unit$ 
,/ates %>ehold] ( su* controll$ =eign   
corporation imm$iately aft] su*         
di/ribution4  7#d7 ,divid5d ,! t]m      
divid5d %all n include am\nts includible
 9 gross income z a divid5d "u section  
#gh1 #cfg1 or #abdh4 ,9 ! case ( a      
liquidation "u section #ccb to :i*      
section #cfg7;b7 applies1 ! prec$+      
s5t5ce %all n apply to ! ext5t ! ,unit$ 
,/ates %>ehold] actually receives ca% z 
"p ( ! liquidation4  7#e7 ,coord9ation )
 divid5d receiv$ d$uction ,no d$uction  
%all be all[$ "u section #bdc or #bde = 
any divid5d :i* is exclud$ f income by  
subsection 7a74  7#f7 ,controll$ gr\ps  
,all ,unit$ ,/ates %>ehold]s :i* are    
memb]s ( an affiliat$ gr\p fil+ a       
consolidat$ return "u section #aeja %all
 be treat$ z "o ,unit$ ,/ates %>ehold]4 

7#g7 ,report+ ,! ,secret>y %all require 
by regulation or o!r guidance ! report+ 
( su* in=mation z ! ,secret>y may       
require to c>ry out ?is section4  7e7   
,d5ial ( =eign tax cr$it2 d5ial ( c]ta9 
exp5ses  7#a7 ,=eign tax cr$it  7,a7 ,9 
g5]al ,no cr$it %all be all[$ "u section
 #ija = any taxes paid or accru$ 7or    
treat$ z paid or accru$7 ) respect to ! 
exclud$ portion ( any divid5d4  7,b7    
,d5ial ( d$uction ( relat$ tax ,no      
d$uction %all be all[$ "u ?is *apt] =   
any tax = :i* cr$it is n all[able by    
reason ( ! prec$+ s5t5ce4  7#b7 ,exp5ses
 ,no d$uction %all be all[$ = exp5ses   
directly allocable to ! excludable      
portion describ$ 9 p>agraph 7#a74  7#c7 
,excludable portion ,= purposes (       
p>agraph 7#a71 unless ! taxpay] o!rwise 
specifies1 ! excludable portion ( any   
divid5d or o!r am\nt is ! am\nt :i* be>s
 ! same ratio to ! am\nt ( su* divid5d  
or o!r am\nt z ! am\nt exclud$ f income 
"u subsection 7a7 = ! taxable ye> be>s  
to ! am\nt describ$ 9 subsection        

7c77#b77;,a7 = su* ye>4  7#d7           
,coord9ation ) section #gh ,section #gh 
%all n apply to any tax :i* is n        
all[able z a cr$it "u section #ija by   
reason ( ?is subsection4  7f7 ,election 
,to h section apply ,a taxpay] may elect
 to h ?is section apply = any taxable   
ye>4  4  7b7 ,cl]ical am5dm5t ,! table (
 sections = subp>t ,f ( "p ,,iii (      
sub*apt] ,n ( *apt] #a ( su* ,code is   
am5d$ by add+ at ! end ! foll[+ new     
item3  ,sec4 #iff4 ,=eign e>n+s         
exclusion = pur*ase ( infra/ructure     
bonds4  4  7c7 ,effective date ,!       
am5dm5ts made by ?is section %all apply 
to divid5ds receiv$ = taxable ye>s end+ 
aft] ! date ( ! enactm5t ( ?is ,act4