Authorizes the President, upon making specified determinations, to: (1) exempt a proposed cooperation agreement with India from AEA requirements for maintenance of IAEA safeguards for nuclear materials in peaceful nuclear activities; (2) waive a certain additional export criterion and procedures; and (3) waive mandatory termination of nuclear exports based upon specified conduct that occurred before July 18, 2005. Includes among the determinations conditioning such waivers that: (1) India is taking necessary steps to secure nuclear and other sensitive materials and technology; and (2) the NSG has decided by consensus to permit supply to India of nuclear items covered by NSG guidelines. Requires the President's report to congressional committees on such determinations to include a summary of: (1) the plan provided by India to the United States and the IAEA to separate civil and military nuclear facilities, materials, and programs, and the declaration identifying India's civil facilities to be placed under IAEA safeguards; and (2) the agreement entered into between India and the IAEA requiring the application of safeguards to India's civil nuclear facilities, together with a description of the progress toward full implementation as well as toward conclusion and implementation of an Additional Protocol between India and the IAEA. Requires the report to describe steps taken by India to: (1) work with the United States for a multilateral treaty banning production of fissile material for nuclear weapons; (2) prevent the spread of nuclear-related technology; (3) secure materials and technology applicable for the development, acquisition, or manufacture of weapons of mass destruction and the means to deliver them through the application of comprehensive export control legislation and regulations, and through harmonization with and adherence to specified international guidelines, compliance with United Nations Security Council Resolution 1540, and participation in the Proliferation Security Initiative; and (4) ensure that U.S. civil nuclear cooperation with India will not in any way assist India's nuclear weapons program. Sets forth restrictions on nuclear transfers. Sets conditions for: (1) termination of nuclear transfers to India; (2) exports, reexports, transfers, and retransfers to India regarding enrichment, reprocessing, and heavy water production; and (3) a nuclear export accountability program. States that the Nuclear Regulatory Commission (NRC) may only issue licenses for the export or reexport to India of any equipment, components, or materials related to the enrichment of uranium, the reprocessing of spent nuclear fuel, or the production of heavy water if specified requirements are met. Permits approval of such exports or reexports only if: (1) the end user is a multinational facility participating in an IAEA-approved program to provide alternatives to national fuel cycle capabilities, or is a facility participating in, and the export or reexport is associated with, a bilateral or multinational program to develop a proliferation-resistant fuel cycle; (2) measures are in place to ensure that no sensitive nuclear technology will be diverted to persons, facilities, or programs not under IAEA safeguards; and (3) the President determines that the export or reexport will not improve India's military ability to produce nuclear weapons or fissile material. Directs the President to ensure that all appropriate measures are taken to maintain accountability with respect to nuclear materials, equipment, and technology sold, leased, exported, or reexported to India and to ensure U.S. compliance with Article I of the NPT. Includes among such measures: (1) obtaining and implementing assurances and conditions pursuant to the export licensing authorities of the NRC and the Department of Commerce and the authorizing authorities of the Department of Energy (DOE); (2) a reporting and accounting system for technology transfers, including any retransfers in India, authorized by the DOE pursuant to the AEA; and (3) alternate safeguards conforming with IAEA standards and practices in the event the IAEA is unable to implement safeguards required by a U.S.-India agreement. States that such measures shall be implemented to provide reasonable assurances of recipient compliance with the requirements of any U.S.-issued licenses regarding such exports (including those relating to the use, retransfer, safe handling, secure transit, and storage of such exports). Requires the President to submit to Congress: (1) specified information on India's nuclear activities; (2) an annual implementation and compliance report, including an analysis of whether U.S. Civil nuclear cooperation with India assists India's nuclear weapons program; and (3) a detailed description of progress toward India's full participation in the Proliferation Security Initiative and formal commitment to its Statement of Interdiction Principles.