← Back to Bills
S. 203Senate116th Congress (2019-2021)In Committee

BRACE Act of 2019

Sponsored by Mike CrapoSen. Mike Crapo (R-ID)
Introduced January 24, 2019

AI-Generated Summary

Updated April 14, 2026 at 12:49 AM UTC

The Building Rail Access for Customers and the Economy (BRACE) Act of 2019 makes the railroad track maintenance tax credit permanent. By changing the Internal Revenue Code, it allows railroads and other eligible taxpayers to continue claiming the credit for track‑maintenance expenses without an expiration date. The law applies to expenses incurred after December 31, 2017 and includes a short‑term provision for certain assignments made in 2018.

Key Provisions

  • Amends Section 45G of the Internal Revenue Code by removing subsection (f), which previously set an expiration, thereby making the railroad track maintenance credit permanent.
  • Specifies that the credit applies to expenditures paid or incurred for taxable years beginning after December 31, 2017.
  • Provides a safe‑harbor rule for assignments under paragraph (2) of Section 45G(b) for taxable years beginning on or after January 1, 2018 and before January 1, 2019, treating them as effective if a written agreement is entered into within 90 days after the Act’s enactment.

Legislative Activity

Stay on top of the latest movement without scrolling through every action

1 earlier action
SenateIntro Referral Latest Action

Read twice and referred to the Committee on Finance.

Finance Committee

January 24, 2019

View full timeline
SenateIntro Referral

Introduced in Senate

January 24, 2019

SenateIntro Referral

Read twice and referred to the Committee on Finance.

Finance Committee

January 24, 2019

Bill Text

Latest available legislative text

Reading Mode
Latest
Raw Text PDF XML
Introduced in SenateIssued January 24, 2019

II

116th CONGRESS

1st Session

S. 203

IN THE SENATE OF THE UNITED STATES

January 24, 2019

Mr. Crapo (for himself, Mr. Wyden, Mr. Roberts, Mr. Schumer, Mr. Thune, Ms. Stabenow, Mr. Isakson, Mr. Casey, Mr. Inhofe, Mr. Blumenthal, Mr. Moran, and Mr. Wicker) 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 permanently extend the railroad track maintenance credit, and for other purposes.

1.

Short title

This Act may be cited as the Building Rail Access for Customers and the Economy Act of 2019 or the BRACE Act of 2019.

2.

Railroad track maintenance credit made permanent

(a)

In general

Section 45G of the Internal Revenue Code of 1986 is amended by striking subsection (f).

(b)

Effective date

(1)

In general

The amendment made by subsection (a) shall apply to expenditures paid or incurred during taxable years beginning after December 31, 2017.

(2)

Safe harbor assignments

Assignments, including related expenditures paid or incurred, under paragraph (2) of section 45G(b) of the Internal Revenue Code of 1986 for taxable years beginning on or after January 1, 2018, and before January 1, 2019, shall be treated as effective as of the close of such taxable year if made pursuant to a written agreement entered into not later than 90 days after the date of the enactment of this Act.