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Section 202 of this Act, except that, for tax years ending on or after December 31, 2023, a deduction shall be allowed in computing base income for distributions to a retired partner to the extent that the partner's distributions are exempt from tax under Section 203(a)(2)(F) of this Act. In addition, the following modifications shall not apply: (i) the standard exemption allowed under Section 204; (ii) the deduction for net losses allowed under Section 207; (iii) in the case of an S corporation, the modification under Section 203(b)(2)(S); and (iv) in the case of a partnership, the modifications under Section 203(d)(2)(H) and Section 203(d)(2)(I). (B) Special rule for tiered partnerships. If a taxpayer making the election under paragraph (1) is a partner of another taxpayer making the election under paragraph (1), net income shall be computed as provided in subparagraph (A), except that the taxpayer shall subtract its distributive share of the net income of the electing partnership (including its distributive share of the net income of the electing partnership derived as a distributive share from electing partnerships in which it is a partner). SB3019 Enrolled LRB104 20255 HLH 33706 b Public Act 104-0468