of section 4271(c) shall apply. (c) Transportation by related persons In the case of transportation of property by the taxpayer or a person related to the taxpayer, the fair market value of such transportation shall be the amount which would be paid for transporting such property if such property were transported by an unrelated person, determined on an arms’ length basis. (d) Definitions For purposes of this subchapter— (1) Taxable ground transportation (A) In general The term taxable ground transportation means transportation of property by— (i) freight rail, or (ii) commercial motor vehicle (as defined in section 31101(1) of title 49, United States Code) for a distance of more than 50 miles. (B) Passenger baggage excluded For purposes of subparagraph (A), the term property does not include baggage accompanying a passenger traveling on an established line. (2) Related person A person (hereinafter in this paragraph referred to as the related person ) is related to any person if— (A) the related person bears a relationship to such person specified in section 267(b) or 707(b)(1), or (B) the related person and such person are engaged in trades or businesses under common control (within the meaning of subsections (a) and (b) of section 52). For purposes of the preceding sentence, in applying sections 267(b) and 707(b)(1), 10 percent shall be substituted for 50 percent . (e) Exemption for United States and possessions and State and local governments The tax imposed by subsection (a) shall not apply to the transportation of property purchased for the exclusive use of the United States, or any State or political subdivision thereof. . (b) Credits or refunds to persons who collected certain taxes Section 6415 of such Code is amended by striking or 4271 each place it appears and inserting 4271, or 4286 . (c) Regulations Not later than 180 days after the date of the enactment of this Act, the Secretary of the Treasury shall issue regulations to carry out the amendments made by this section. (d) Effective date The