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PUBLIC LAW 115–97—DEC. 22, 2017 131 STAT. 2141

(1) SUBSECTION (a).—The amendments made by subsection 26 USC 864 note.
(a) shall apply to sales, exchanges, and dispositions on or after
November 27, 2017.
(2) SUBSECTION (b).—The amendment made by subsection 26 USC 1446
(b) shall apply to sales, exchanges, and dispositions after note.
December 31, 2017.
SEC. 13502. MODIFY DEFINITION OF SUBSTANTIAL BUILT-IN LOSS IN
THE CASE OF TRANSFER OF PARTNERSHIP INTEREST.
(a) IN GENERAL.—Paragraph (1) of section 743(d) is to read 26 USC 743.
as follows:
‘‘(1) IN GENERAL.—For purposes of this section, a partner-
ship has a substantial built-in loss with respect to a transfer
of an interest in the partnership if—
‘‘(A) the partnership’s adjusted basis in the partnership
property exceeds by more than $250,000 the fair market
value of such property, or
‘‘(B) the transferee partner would be allocated a loss
of more than $250,000 if the partnership assets were sold
for cash equal to their fair market value immediately after
such transfer.’’.
(b) EFFECTIVE DATE.—The amendments made by this section 26 USC 743 note.
shall apply to transfers of partnership interests after December
31, 2017.
SEC. 13503. CHARITABLE CONTRIBUTIONS AND FOREIGN TAXES TAKEN
INTO ACCOUNT IN DETERMINING LIMITATION ON
ALLOWANCE OF PARTNER’S SHARE OF LOSS.
(a) IN GENERAL.—Subsection (d) of section 704 is amended—
(1) by striking ‘‘A partner’s distributive share’’ and inserting
the following:
‘‘(1) IN GENERAL.—A partner’s distributive share’’,
(2) by striking ‘‘Any excess of such loss’’ and inserting
the following:
‘‘(2) CARRYOVER.—Any excess of such loss’’, and
(3) by adding at the end the following new paragraph:
‘‘(3) SPECIAL RULES.—
‘‘(A) IN GENERAL.—In determining the amount of any
loss under paragraph (1), there shall be taken into account
the partner’s distributive share of amounts described in
paragraphs (4) and (6) of section 702(a).
‘‘(B) EXCEPTION.—In the case of a charitable contribu-
tion of property whose fair market value exceeds its
adjusted basis, subparagraph (A) shall not apply to the
extent of the partner’s distributive share of such excess.’’.
(b) EFFECTIVE DATE.—The amendments made by this section 26 USC 704 note.
shall apply to partnership taxable years beginning after December
31, 2017.
SEC. 13504. REPEAL OF TECHNICAL TERMINATION OF PARTNERSHIPS.
(a) IN GENERAL.—Paragraph (1) of section 708(b) is amended—
(1) by striking ‘‘, or’’ at the end of subparagraph (A) and
all that follows and inserting a period, and
(2) by striking ‘‘only if—’’ and all that follows through
‘‘no part of any business’’ and inserting the following: ‘‘only
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if no part of any business’’.
(b) CONFORMING AMENDMENT.—