S. 1703Senate108th Congress (2003-2005)In Committee

Local Railroad Rehabilitation and Investment Act of 2003

Introduced October 2, 2003

Legislative Activity

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2 earlier actions
SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance. (text of measure as introduced: CR S12381)

October 2, 2003

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SenateIntro Referral

Introduced in Senate

October 2, 2003

SenateIntro Referral

Sponsor introductory remarks on measure. (CR S12380-12381)

October 2, 2003

SenateIntro Referral

Read twice and referred to the Committee on Finance. (text of measure as introduced: CR S12381)

October 2, 2003

Floor Debate

8 members

What members said about S. 1703 on the floor

3 Republicans5 Democrats
Richard J. Durbin
Sen. Richard J. DurbinD-IL · Oct 2, 2003

Mr. President, the USA PATRIOT Act, the counterterrorism bill that the Bush administration pushed through Congress after the September 11 terrorist attacks, has been the focus of much controversy in…

Susan M. Collins
Sen. Susan M. CollinsR-ME · Oct 2, 2003

Mr. President, I am pleased to join my colleagues Senators Pryor, Coleman and Bingaman in introducing the ``Keeping Families Together Act.'' Among other provisions, our bill authorizes a new,…

Gordon H. Smith
Sen. Gordon H. SmithR-OR · Oct 2, 2003

Mr. President, I rise today to speak about the need for consistent tax treatment of employer-provided health insurance for domestic partners. Today, Senator Bob Graham and I are introducing the…

Russell D. Feingold
Sen. Russell D. FeingoldD-WI · Oct 2, 2003

Mr. President, today I will introduce in the Senate the Reasonable Notice and Search Act. This bill addresses the provision of the USA PATRIOT Act that has caused perhaps the most concern among…

Edward M. Kennedy
Sen. Edward M. KennedyD-MA · Oct 2, 2003

Mr. President, it's a privilege to join my colleagues in introducing the Employment Non-Discrimination Act of 2003. Civil rights is the unfinished business of our nation. Title VII of the Civil…

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Gordon H. Smith
Sen. Gordon H. SmithR-OR · Oct 2, 2003

Mr. President, I rise today with Senators Wyden, Brownback, Specter, and Burns to introduce the Local Railroad Rehabilitation and Investment Act. The bill provides a Federal tax credit for short line…

Joseph I. Lieberman
Sen. Joseph I. LiebermanD-CT · Oct 2, 2003

Mr. President, I am delighted to join with Senators Kennedy, Chafee, Jeffords and many other colleagues as an original cosponsor of this important legislation, the Employment Non- Discrimination Act…

Larry E. Craig
Sen. Larry E. CraigR-ID · Oct 2, 2003

Mr. President, I rise today on behalf of myself and Senators Durbin, Crapo, Feingold, Sununu, and Bingaman, to introduce the Security and Freedom Ensured Act of 2003, which we call the SAFE Act. This…

Debbie Stabenow
Sen. Debbie StabenowD-MI · Oct 2, 2003

Mr. President, I rise today to introduce the Providing Our Support to Troops or POST Act of 2003. This bill would provide free mailing privileges for letters and packages sent from within the United…

Bill Text

Latest available legislative text

Reading Mode
Latest
Introduced in SenateIssued October 2, 2003
        [Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1703 Introduced in Senate (IS)]

108th CONGRESS
1st Session
S. 1703

To amend the Internal Revenue Code of 1986 to provide a credit against
income tax for expenditures for the maintenance of railroad tracks of
Class II and Class III railroads.

_______________________________________________________________________

IN THE SENATE OF THE UNITED STATES

October 2, 2003

Mr. Smith introduced the following bill; which was read twice and
referred to the Committee on Finance

_______________________________________________________________________

A BILL

To amend the Internal Revenue Code of 1986 to provide a credit against
income tax for expenditures for the maintenance of railroad tracks of
Class II and Class III railroads.

Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

This Act may be cited as the ``Local Railroad Rehabilitation and
Investment Act of 2003''.

SEC. 2. CREDIT FOR MAINTENANCE OF RAILROAD TRACK.

(a) In General.--Subpart D of part IV of subchapter A of chapter 1
of the Internal Revenue Code of 1986 (relating to business-related
credits) is amended by adding at the end the following new section:

``SEC. 45G. RAILROAD TRACK MAINTENANCE CREDIT.

``(a) General Rule.--For purposes of section 38, the railroad track
maintenance credit determined under this section for the taxable year
is the amount of qualified railroad track maintenance expenditures paid
or incurred by the taxpayer during the taxable year.
``(b) Limitation.--The credit allowed under subsection (a) shall
not exceed the product of--
``(1) $10,000, and
``(2) the number of miles of railroad track owned or leased
by the taxpayer as of the close of the taxable year.
``(c) Qualified Railroad Track Maintenance Expenditures.--For
purposes of this section, the term `qualified railroad track
maintenance expenditures' means expenditures (whether or not otherwise
chargeable to capital account) for maintaining railroad track
(including roadbed, bridges, and related track structures) owned or
leased by the taxpayer of Class II or Class III railroads (as
determined by the Surface Transportation Board).
``(d) Controlled Groups.--For purposes of subsection (b), rules
similar to the rules of paragraph (1) of section 41(f) shall apply for
purposes of this subsection.
``(e) Basis Adjustment.--For purposes of this subtitle, if a credit
is allowed under this section with respect to any railroad track, the
basis of such track shall be reduced by the amount of the credit so
allowed.
``(f) Application of Section.--This section shall apply to
qualified railroad track maintenance expenditures paid or incurred
during taxable years beginning after December 31, 2003, and before
January 1, 2009.
``(g) Credit Transferability.--
``(1) In general.--Any credit allowable under this section
may be transferred as provided in this subsection, and the
determination as to whether the credit is allowable shall be
made without regard to the tax-exempt status of the transferor.
``(2) Transfer to eligible taxpayer.--Any credit
transferred under paragraph (1) shall be transferred to an
eligible taxpayer. Any credit so transferred shall be allowed
to the transferee, but the transferee may not assign such
credit to any other person.
``(3) Eligible taxpayer.--For purposes of this subsection,
the term `eligible taxpayer' means--
``(A) any person who transports property using the
rail facilities of the taxpayer or who furnishes
railroad-related property or services to the taxpayer,
and
``(B) any Class II or Class III railroad.
``(4) Minimum price for transfer.--No transfer shall be
allowed under this subsection unless the transferor receives
compensation for the credit transfer equal to at least 50
percent of the amount of credit transferred. The excess of the
amount of credit transferred over the compensation received by
the transferor for such transfer shall be included in the gross
income of the transferee.''.
(b) Limitation on Carryback.--Section 39(d) of the Internal Revenue
Code of 1986 (relating to transition rules) is amended by adding at the
end the following new paragraph:
``(11) No carryback of railroad track maintenance credit
before effective date.--No portion of the unused business
credit for any taxable year which is attributable to the
railroad track maintenance credit determined under section 45G
may be carried to a taxable year beginning before January 1,
2004.''.
(c) Conforming Amendments.--
(1) Section 38(b) of the Internal Revenue Code of 1986
(relating to general business credit) is amended by striking
``plus'' at the end of paragraph (14), by striking the period
at the end of paragraph (15) and inserting ``, plus'', and by
adding at the end the following new paragraph:
``(16) the railroad track maintenance credit determined
under section 45G(a).''.
(2) Subsection (a) of section 1016 of such Code is amended
by striking ``and'' at the end of paragraph (27), by striking
the period at the end of paragraph (28) and inserting ``,
and'', and by adding at the end the following new paragraph:
``(29) in the case of railroad track with respect to which
a credit was allowed under section 45G, to the extent provided
in section 45G(e).''.
(d) Clerical Amendment.--The table of sections for subpart D of
part IV of subchapter A of chapter 1 of the Internal Revenue Code of
1986 is amended by inserting after the item relating to section 45F the
following new item:

``Sec. 45G. Railroad track maintenance
credit.''.
(e) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2003.
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