by striking subparagraphs (B) through (F) and inserting the following: (B) Eligible disaster loss (i) In general For purposes of subparagraph (A)(i), the term eligible disaster loss means— (I) in the case of a taxpayer which is a small business, net operating losses attributable to federally declared disasters (as defined by section 165(i)(5)), and (II) in the case of a taxpayer engaged in the trade or business of farming, net operating losses attributable to such federally declared disasters. (ii) Small business For purposes of this subparagraph, the term small business means a corporation or partnership which meets the gross receipts test of section 448(c) (determined by substituting $5,000,000 for $25,000,000 each place it appears therein) for the taxable year in which the loss arose (or, in the case of a sole proprietorship, which would meet such test if such proprietorship were a corporation). (iii) Trade or business of farming For purposes of this subparagraph, the trade or business of farming shall include the trade or business of— (I) operating a nursery or sod farm, or (II) the raising or harvesting of trees bearing fruit, nuts, or other crops, or ornamental trees. For purposes of subclause (II), an evergreen tree which is more than 6 years old at the time severed from the roots shall not be treated as an ornamental tree. . (B) Section 172 is amended by striking subsections (f), (g), and (h). (c) Limitation of net operating loss to 90 percent of taxable income (1) In general Section 172(a) is amended to read as follows: (a) Deduction allowed There shall be allowed as a deduction for the taxable year an amount equal to the lesser of— (1) the aggregate of the net operating loss carryovers to such year, plus the net operating loss carrybacks to such year, or (2) 90 percent of taxable income computed without regard to the deduction allowable under this section. For purposes of this subtitle, the term net operating loss deduction means the deduction allowed by this subsection. . (2) Coordination of