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PUBLIC LAW 103-66—AUG. 10, 1993 107 STAT. 471 **(D) EXCEPTION FOR EXISTING BINDING CONTRACTS.— The term 'applicable employee remimeration' shall not include any remuneration payable under a written binding contract which was in effect on February 17, 1993, and which was not modified thereafter in any material respect before such remuneration is paid. "(E) REMUNERATION.—^For purposes of this paragraph, the term 'remimeration' includes any remuneration (includ- ing benefits) in any medium other than cash, but shall not include— "(i) any payment referred to in so much of section 3121(aX5) as precedes subparagraph (E) thereof, and "(ii) any benefit provided to or on behalf of an employee if at the time such benefit is provided it is reasonable to believe that the employee will be able to exclude such benefit from gross income imder this chapter. For purposes of clause (i), section 3121(aX5) shall be applied without regard to section 3121(vXl). "(F) COORDINATION WITH DISALLOWED GOLDEN PARA- CHUTE PAYMENTS.—^The dollar limitation contained in para- graph (1) shall be reduced (but not below zero) by ihe amount (if any) which would have been included in the applicable employee remuneration of the covered employee for the taxable year but for being disallowed under section 2800." (b) EFFECTIVE DATE.—^The amendment made by subsection (a) 26 use 162 note. shall apply to amounts which would otherwise be deductible for taxable years beginning on or after January 1,1994. SEC. 13212. REDUCTION IN COMPENSATION TAKEN INTO ACCOUNT IN DETERMINING CONTRIBUTIONS AND BENEFITS UNDER QUALIFIED RETIREMENT PLANS. (a) QUAUFICATION REQUIREMENT.— (1) IN GENERAL.—Section 401(aX17) is amended— 26 USC 40i. (A) by striking "$200,000" in the first sentence and inserting ^$150,000^, (B) by striking the second sentence, and (C) by adding at the end the following new subpara- graph: "(B) COST-OF-LIVING ADJUSTMENT.— "(i) IN GENERAL.—If, for any calendar year after 1994, Uie excess (if cmy) of— "(I) $150,000, increased by the cost-of-living adjustment for the calendar year, over "(II) the dollar amount in effect under subparagraph (A) for taxable years beginning in the calendar year, is equal to or greater than $10,000, then the $150,000 amount under subparagraph (A) (as previously adjusted under this subparagraph) for any taxable year beginning in any subsequent calendar year shall be increased by the amount of such excess, rounded to the next lowest multiple of $10,000. "(ii) COST-OF-LIVING ADJUSTMENT.—^The cost-of-liv- ing acljustment for any calendar year shall be the acQustment made imder section 415(d) for such cal-