A bill to amend section 4940 of the Internal Revenue Code of 1954 with respect to private operating foundations the principal activity of which is the operation of long-term care facilities.

(Measure passed Senate, amended)

Amends the Internal Revenue Code to reduce the excise tax on the investment income of domestic private foundations from four percent to two percent.

Extends until January 1, 1983, provisions of the Tax Reform Act of 1976 which exclude from gross income a discharge of indebtedness under certain student loan programs.

Increases the limitation on the excise tax credit for State gaming taxes on coin-operated devices from 80 to 95 percent. Repeals the Federal excise tax on slot machines and other coin-operated gaming devices for taxable years beginning after June 30, 1980.

Extends until December 31, 1978, provisions of the Tax Reduction and Simplification Act of 1977 which permit certain kinds of family farming corporations to continue to use the cash basis of accounting for tax purposes.

Allows an income tax credit for a portion of the expenses incurred for the residential installations of insulation, solar and other renewable energy equipment, heating improvements and energy-conserving components between April 20, 1977, and January 1, 1986.