118 STAT. 1629 PUBLIC LAW 108–357—OCT. 22, 2004 ‘‘(8) QUALIFIED INTELLECTUAL PROPERTY CONTRIBUTION.— For purposes of this subsection, the term ‘qualified intellectual property contribution’ means any charitable contribution of qualified intellectual property— ‘‘(A) the amount of which taken into account under this section is reduced by reason of subsection (e)(1), and ‘‘(B) with respect to which the donor informs the donee at the time of such contribution that the donor intends to treat such contribution as a qualified intellectual prop erty contribution for purposes of this subsection and section 6050L. ‘‘(9) QUALIFIED INTELLECTUAL PROPERTY.—For purposes of this subsection, the term ‘qualified intellectual property’ means property described in subsection (e)(1)(B)(iii) (other than prop erty contributed to or for the use of an organization described in subsection (e)(1)(B)(ii)). ‘‘(10) OTHER SPECIAL RULES.— ‘‘(A) APPLICATION OF LIMITATIONS ON CHARITABLE CON TRIBUTIONS.—Any increase under this subsection of the deduction provided under subsection (a) shall be treated for purposes of subsection (b) as a deduction which is attributable to a charitable contribution to the donee to which such increase relates. ‘‘(B) NET INCOME DETERMINED BY DONEE.—The net income taken into account under paragraph (3) shall not exceed the amount of such income reported under section 6050L(b)(1). ‘‘(C) DEDUCTION LIMITED TO 12 TAXABLE YEARS.—Except as may be provided under subparagraph (D)(i), this sub section shall not apply with respect to any qualified intellec tual property contribution for any taxable year of the donor after the 12th taxable year of the donor which ends on or after the date of such contribution. ‘‘(D) REGULATIONS.—The Secretary may issue regula tions or other guidance to carry out the purposes of this subsection, including regulations or guidance— ‘‘(i) modifying the application of this subsection in the case of a donor or donee with a short taxable year, and ‘‘(ii) providing for the determination of an amount to be treated as net income of the donee which is properly allocable to qualified intellectual property in the case of a donee who uses such property to further a purpose or function constituting the basis of the donee’s exemption under section 501 (or, in the case of a governmental unit, any purpose described in sec tion 170(c)) and does not possess a right to receive any payment from a third party with respect to such property.’’. (c) REPORTING REQUIREMENTS.— (1) IN GENERAL.—Section 6050L (relating to returns relating to certain dispositions of donated property) is amended to read as follows: ‘‘SEC. 6050L. RETURNS RELATING TO CERTAIN DONATED PROPERTY. ‘‘(a) DISPOSITIONS OF DONATED PROPERTY.—
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