Section 11Sec./Art. 11

Section 39 of the National Internal Revenue Code of 1997, as amended, is hereby further amended to read as follows:

"Section 39. Capital Gains and Losses. -

x x x

(C) Limitation on Capital Losses. - Losses from sales or exchange of capital assets shall be allowed only to the extent of the gains from such sales or exchanges. If a dealer in securities, or other entity or financial intermediary duly licensed by the appropriate government regulatory agencies to trade in securities, sells any bond, debenture, note, or certificate or other evidence of indebtedness issued by any corporation (including one issued by a government or political subdivision thereof), with interest coupons or in registered form, any loss resulting from such sale shall not be subject to the foregoing limitation and shall not be included in determining the applicability of such limitation to other losses.

x x x."