Still the reference doesn't make sense.

For the 1986 Code:

Chapter 1 has Subchapter A thru  Y - Subchapter E being "Accounting periods and methods of accounting".

Chapter 2 - Tax on Self-employment Income has  three section (Sec 1401 thru 1403).  NO subchapter.

Section 1341(a)(5)(B):

.....

For purposes of paragraph (5)(B), the corresponding provisions of the Internal Revenue Code of 1939 shall be chapter 1 of such code (other than subchapter E, relating to self-employment income) and subchapter E of chapter 2 of such code.

The above would make sense if it said: (It would (i) exclude the accounting period per Subchapter E due to the nature of the claim of right repayment; and (ii) include Self-employment tax for the credit.)

For purposes of paragraph (5)(B), the corresponding provisions of the Internal Revenue Code of 1939 shall be chapter 1 of such code (other than subchapter E) and chapter 2 of such code (relating to self-employment income).

.....  Still digging into it.  The 1939 Code right before 1954.  

@BobKamman  really appreciate your input!!