II
111th CONGRESS
1st Session
S. 929
IN THE SENATE OF THE UNITED STATES
April 29, 2009
Mr. Leahy (for himself and Mr. Sanders) 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 Federal income tax credit for the purchase of certain nonroad equipment powered by alternative power sources.
Credit for certain nonroad equipment
Allowance of credit
Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 25D the following new section:
Credit for certain nonroad equipment
Allowance of credit
In the case of an individual, there shall be allowed as a credit against the tax imposed by this chapter an amount equal to 25 percent of the qualified nonroad equipment expenses for the taxable year.
Limitation
The credit allowed under subsection (a) shall not exceed $1,000.
Qualified nonroad equipment expenses
For purposes of this section—
In general
The term qualified nonroad equipment expenses means the cost of any alternative power nonroad equipment the original use of which commences with the taxpayer and which is placed in service by the taxpayer during the taxable year.
Alternative power nonroad equipment
The term alternative power nonroad equipment means any equipment that is primarily used for lawn, garden, or forestry purposes, and that—
is powered by a motor drawing current from solar power, electricity, or rechargeable or replaceable batteries,
has a hybrid-electric drive train or cutting system which is powered by a generator or electrical storage device combined with a small engine, or
is powered by alternative power sources and—
is regulated by the Environmental Protection Agency as a new, spark-ignition engine under part 1054 of title 40, Code of Federal Regulations (or any successor regulation), and
is certified by the Environmental Protection Agency as having an engine family that emits no more than 50 percent of the number of grams per kilowatt hour of regulated pollutants allowable under Phase 3 of the exhaust emissions standards under section 103 of part 1054 of title 40, Code of Federal Regulations (or any successor regulation), relating to handheld engines, or section 105 of such part, relating to nonhandheld engines, whichever is applicable.
Alternative power sources
The term alternative power sources means any alternative fuel as determined by the Secretary, in coordination with the Office of Energy Efficiency and Renewable Energy.
.
Conforming amendments
Section
24(b)(3)(B) of the Internal Revenue Code of 1986 is amended by striking
and 25B
and inserting , 25B, and 25E
.
Section
25(e)(1)(C)(ii) of such Code is amended by inserting 25E,
after
25D,
.
Section 25B(g)(2)
of such Code is amended by striking section 23
and inserting
sections 23 and 25E
.
Section 904(i) of
such Code is amended by striking and 25B
and inserting
25B, and 25E
.
Section
1400C(d)(2) of such Code is amended by striking and 25D
and
inserting 25D, and 25E
.
Clerical amendment
The table of sections for subpart A 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 25D the following new item:
Sec. 25E. Credit for certain nonroad equipment.
.
Effective date
The amendments made by this section shall apply to purchases made after the date of the enactment of this Act.