To amend the Internal Revenue Code of 1986 to modify the order in which the business credits are taken into account by corporations.

In general— Section 38(c)(6)(E) of the Internal Revenue Code of 1986 is amended by adding “and” at the end of clause (i), by striking clauses (ii) and (iii), and by adding at the end the following new clause:

Effective date— The amendments made by this section shall apply to taxable years ending after the date of the enactment of this Act with respect to credits arising in taxable years ending before, on, or after such date.