(11) The deduction under section 251 shall not be allowed. . (3) Clerical amendment The table of sections for part VIII of subchapter B of chapter 1 of such Code is amended by adding at the end the following new item: Sec. 251. Income attributable to domestic textile production activities. . (4) Effective date The amendments made by this subsection shall apply to taxable years beginning after the date of the enactment of this Act. (c) Deduction for reused and recycled textiles (1) In general Part VI of subchapter B of the Internal Revenue Code of 1986 is amended by adding at the end the following new section: 199B. Textile reuse and recycling activity income (a) In general There shall be allowed a deduction equal to 15 percent of the qualified textile reuse and recycling activity income of the taxpayer for the taxable year. (b) Qualified textile reuse and recycling activity income For purposes of this section— (1) In general The term qualified textile reuse and recycling activity income means the excess (if any) of— (A) the gross income of the taxpayer derived in the course of a trade or business from— (i) the resale, repair, rental, or remanufacturing of finished textile products, (ii) the transformation of otherwise unsalable textile fiber products into new finished or unfinished goods, (iii) the collection of textile fiber products, (iv) the sorting of finished textile products and textile fiber products for activities described in clause (i) or (ii), and (v) the preparation of textile fiber products for activities described in clause (ii), over (B) the deductions (including taxes) properly allocable to such gross income. (2) Finished textile products The term finished textile products has the meaning given such term under section 139J(c). (3) Textile fiber products The term textile fiber products has the meaning given such term under section 139K(c). (c) Special rules (1) Application to partnerships and S corporations In the case of a partnership or S corporation— (A) this section shall be applied at the