the Secretary, in the case of a specified asset to which this subsection applies, subsection (a) shall not apply to the extent that both the sale or other disposition of such asset and the acquisition of (or the entering into of the contract or option to acquire or long notional principal contract in respect of) are— (A) directly related to the business needs of a trade or business of the taxpayer (other than the trade or business of trading specified assets described in subsection (g)(2)), or (B) part of a hedging transaction (as defined in section 1221(b)(2) or 988(d)(2)). (2) Specified asset to which this subsection applies To the extent provided by the Secretary, this subsection applies to assets described in subsection (g)(2). (i) Regulations The Secretary shall prescribe such regulations or other guidance as may be necessary to carry out the purposes of this section, including regulations or other guidance for determining whether specified assets are substantially identical. . (b) Conforming amendments (1) Section 1223(3) of the Internal Revenue Code of 1986 is amended— (A) by striking stock or securities the first place it appears and inserting specified assets (as defined in section 1091(g)) , (B) by striking stock or securities the second and third place it appears and inserting specified assets (as so defined) , and (C) by striking (or the contract or option to acquire which) and inserting (or the entering into of a contract or option to acquire or long notional principal contract in respect of which) . (2) Section 6045(g)(2)(B) of such Code is amended— (A) in clause (i)(I)— (i) by striking security (other than stock and inserting covered security (other than stock , and (ii) by striking stock sold or transferred and inserting covered security sold or transferred , and (B) in clause (ii)— (i) by striking stock or securities and inserting specified assets , and (ii) by striking identical securities and inserting identical specified assets (as defined in section 1091(g)) . (3) The table of sections for