I
109th CONGRESS
2d Session
H. R. 5856
IN THE HOUSE OF REPRESENTATIVES
July 20, 2006
Ms. DeLauro (for herself, Mr. Boswell, Ms. Kaptur, Mr. Skelton, Mr. Brown of Ohio, Mr. Grijalva, and Ms. McCollum of Minnesota) introduced the following bill; which was referred to the Committee on Ways and Means
A BILL
To amend the Internal Revenue Code of 1986 to allow the allocation of the alternative fuel vehicle refueling property credit to patrons of agricultural cooperatives.
Allocation of alternative fuel vehicle refueling property credit to patrons of agricultural cooperatives
In general
Subsection (e) of section 30C of the Internal Revenue Code of 1986 (relating to special rules) is amended by adding at the end the following new paragraph:
Allocation of credit to patrons of agricultural cooperative
Election to allocate
In general
In the case of an eligible cooperative organization, any portion of the credit determined under subsection (a) for the taxable year may, at the election of the organization, be apportioned among patrons of the organization on the basis of the amount of business done by the patrons during the taxable year.
Form and effect of election
An election under clause (i) for any taxable year shall be made on a timely filed return for such year. Such election, once made, shall be irrevocable for such taxable year. Such election shall not take effect unless the organization designates the apportionment as such in a written notice mailed to its patrons during the payment period described in section 1382(d).
Treatment of organizations and patrons
The amount of the credit apportioned to any patrons under subparagraph (A)—
shall not be included in the amount determined under subsection (a) with respect to the organization for the taxable year, and
shall be included in the amount determined under subsection (a) for the first taxable year of each patron ending on or after the last day of the payment period (as defined in section 1382(d)) for the taxable year of the organization or, if earlier, for the taxable year of each patron ending on or after the date on which the patron receives notice from the cooperative of the apportionment.
Special rules for decrease in credits for taxable year
If the amount of the credit of a cooperative organization determined under subsection (a) for a taxable year is less than the amount of such credit shown on the return of the cooperative organization for such year, an amount equal to the excess of—
such reduction, over
the amount not apportioned to such patrons under subparagraph (A) for the taxable year,
Eligible cooperative defined
For purposes of this section the term eligible cooperative means a cooperative organization described in section 1381(a) which is owned more than 50 percent by agricultural producers or by entities owned by agricultural producers. For this purpose an entity owned by an agricultural producer is one that is more than 50 percent owned by agricultural producers.
.
Conforming amendment
The last sentence of section 55(c)(1) of such Code is
amended by inserting 30C(e)(6),
after
section
.
Effective date
The amendments made by this section shall apply to taxable years of cooperative organizations ending after the date of the enactment of this Act.