S.Amdt. 4437

SA 4437. Mr. NELSON of Florida (for himself, Ms. Landrieu, Mr. Wicker, Mr. Vitter, Mr. Cochran, and Mr. Shelby) submitted an amendment intended to be proposed to amendment SA 4402 proposed by Mr. Reid (for Mr. Baucus (for himself, Ms. Landrieu, and Mr. Reid)) to the bill H.R. 5297, to create the Small Business Lending Fund Program to direct the Secretary of the Treasury to make capital investments in eligible institutions in order to increase the availability of credit for small businesses, to amend the Internal Revenue Code of 1986 to provide tax incentives for small business job creation, and for other purposes; which was ordered to lie on the table; as follows:

At the end of subtitle A of title II, add the following:-

PART V--OTHER PROVISIONS-

SEC. ____. 5-YEAR NET OPERATING LOSS CARRYBACK FOR CERTAIN OIL SPILL-RELATED LOSSES.-

(a) Extension of Net Operating Loss Carryback Period.--Paragraph (1) of section 172(b) of the Internal Revenue Code of 1986 is amended by adding at the end the following new subparagraph:-

“(K) Certain oil spill-related losses.--In the case of a taxpayer which has a qualified oil spill loss (as defined in subsection (k)) for a taxable year, such qualified oil spill loss shall be a net operating loss carryback to each of the 5 taxable years preceding the taxable year of such loss.”.-

(b) Qualified Oil Spill Loss.--Section 172 of the Internal Revenue Code of 1986 is amended by redesignating subsection (k) as subsection (l) and by inserting after subsection (j) the following new subsection:-

“(k) Rules Relating to Qualified Oil Spill Losses.--For purposes of this section---

“(1) Qualified oil spill losses.---

“(A) In general.--Except as otherwise provided in this paragraph, the term ‘qualified oil spill loss' means the lesser of---

“(i) the excess of---

“(I) the amount of losses in a taxable year ending after April 20, 2010, and before October 1, 2011, incurred by a commercial or charter fishing business operating in the Gulf of Mexico or a Gulf of Mexico tourism-related business attributable to the discharge of oil that began in 2010 in connection with the explosion on, and sinking of, the mobile offshore drilling unit Deepwater Horizon, over-

“(II) amounts received during such taxable year as payments for lost profits and earning capacity under section 1002(b)(2)(E) of the Oil Pollution Act of 1990 (33 U.S.C. 2702(b)(2)(E)), by insurance, or otherwise, or-

“(ii) the amount of the net operating loss for such taxable year.-

“(B) Safe harbor for certain small businesses.--In the case of---

“(i) any commercial or charter fishing business operating in the Gulf of Mexico, or-

“(ii) any Gulf of Mexico tourism-related business,--the gross receipts of which for any taxable year ending after April 20, 2010, and before October 1, 2011, do not exceed $5,000,000, such term means the amount of the net operating loss of such business for such taxable year.-

“(C) Coordination with qualified disaster losses.--Such term shall not include any qualified disaster loss (as defined in subsection (j)).-

“(2) Coordination with subsection (b)(2).--For purposes of applying subsection (b)(2), a qualified oil spill loss for any taxable year shall be treated in a manner similar to the manner in which a specified liability loss is treated.-

“(3) Election.--Any taxpayer entitled to a 5-year carryback under subsection (b)(1)(K) from any loss year may elect to have the carryback period with respect to such loss year determined without regard to subsection (b)(1)(K). Such election shall be made in such manner as may be prescribed by the Secretary and shall be made by the due date (including extensions of time) for filing the taxpayer's return for the taxable year of the net operating loss. Such election, once made for any taxable year, shall be irrevocable for such taxable year.-

“(4) Gulf of mexico tourism-related business.--For purposes of this subsection---

“(A) In general.--The term ‘Gulf of Mexico tourism-related business' means a hotel, lodging, recreation, entertainment, or restaurant business located in a Gulf Coast community.-

“(B) Gulf coast community.--The term ‘Gulf Coast community' means any county or parish in the States of Louisiana, Mississippi, Alabama, or Florida which borders the Gulf of Mexico.”.-

(c) Effective Date.---

(1) In general.--Except as otherwise provided in this subsection, the amendments made by this section shall apply to net operating losses arising in taxable years ending after April 20, 2010.-

(2) Transition rule.--In the case of a net operating loss for a taxable year ending after April 20, 2010, and before the date of the enactment of this Act---

(A) any election made under section 172(b)(3) of such Code with respect to such loss may (notwithstanding such section) be revoked before the applicable date, and-

(B) any application under section 6411(a) of such Code with respect to such loss shall be treated as timely filed if filed before the applicable date.

For purposes of this paragraph, the term “applicable date” means the date which is 60 days after the date of the enactment of this Act.