assistance zone which is acquired by the taxpayer by purchase (as defined in section 179(d)(2)) during such period, if such property was unoccupied and had been deemed condemned, neglected, or derelict as of the time of acquisition by the taxpayer. (B) Qualified taxpayer For purposes of this paragraph, the term qualified taxpayer means a taxpayer other than an excepted taxpayer (within the meaning of section 1397H(g)). . 4. Increase in start-up expenditures for community economic assistance zone businesses Paragraph (3) of section 195(b) of the Internal Revenue Code of 1986 is amended to read as follows: (3) Special rule for community economic assistance zone businesses In the case of any start-up expenditures made within a community economic assistance zone during the period the designation of such zone is in effect under section 1397G— (A) such expenditures shall be treated separately from other start-up expenditures of the taxpayer for the taxable year, and (B) in determining the deduction under paragraph (1) with respect to such expenditures within such zone, paragraph (1)(A)(ii) shall be applied— (i) by substituting $30,000 for $5,000 , and (ii) by substituting $120,000 for $50,000 . . 5. Increase in new markets tax credit designation for community economic assistance zones Subsection (f) of section 45D of the Internal Revenue Code of 1986 is amended— (1) by striking The limitation in paragraph (2) and inserting Except as provided in paragraph (3), the limitation , (2) by redesignating paragraph (3) as paragraph (4), (3) by inserting after paragraph (2) the following new paragraph: (3) Allocation of limitation for calendar years after 2016 (A) In general In the case of any calendar year described in paragraph (1)(G) beginning after December 31, 2016, the limitation under paragraph (1) shall be increased by $500,000,000, and such increase shall be allocated as provided in paragraph (2) among qualified community development entities located in community economic assistance areas. (B) Community economic