II

106TH CONGRESS

1ST SESSION S. 1230

To amend the Internal Revenue Code of 1986 to encourage the production

and use of clean-fuel vehicles, and for other purposes.

IN THE SENATE OF THE UNITED STATES

JUNE 16, 1999

Mrs. BOXER 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 encourage

the production and use of clean-fuel vehicles, and for

other purposes.

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled,

3 SECTION 1. SHORT TITLE; AMENDMENT OF 1986 CODE.

4 (a) SHORT TITLE.—This Act may be cited as the

5 ‘‘Electric Vehicle Consumer Incentive Tax Act of 1999’’.

6 (b) REFERENCE TO 1986 CODE.—Except as other7 wise expressly provided, whenever in this Act an amend8 ment or repeal is expressed in terms of an amendment

9 to, or repeal of, a section or other provision, the reference
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1 shall be considered to be made to a section or other provi2 sion of the Internal Revenue Code of 1986.

3 SEC. 2. GOVERNMENTAL USE RESTRICTION MODIFIED FOR

4 ELECTRIC VEHICLES.

5 (a) IN GENERAL.—Paragraph (3) of section 30(d)

6 (relating to special rules) is amended by inserting ‘‘(with7 out regard to paragraph (4)(A)(i) thereof)’’ after ‘‘section

8 50(b)’’.

9 (b) CONFORMING AMENDMENT.—Paragraph (5) of

10 section 179A(e) (relating to other definitions and special

11 rules) is amended by inserting ‘‘(without regard to para12 graph (4)(A)(i) thereof in the case of a qualified electric

13 vehicle described in subclause (I) or (II) of subsection

14 (b)(1)(A)(iii) of this section)’’ after ‘‘section 50(b)’’.

15 (c) EFFECTIVE DATE.—The amendments made by

16 this section shall apply to property placed in service on

17 or after the date of enactment of this Act.

18 SEC. 3. LARGE ELECTRIC TRUCKS, VANS, AND BUSES ELIGI19 BLE FOR DEDUCTION FOR CLEAN-FUEL VEHI20 CLES.

21 (a) IN GENERAL.—Paragraph (3) of section 179A(c)

22 (defining qualified clean-fuel vehicle property) is amended

23 by inserting ‘‘, other than any vehicle described in sub24 clause (I) or (II) of subsection (b)(1)(A)(iii)’’ after ‘‘sec25 tion 30(c))’’.
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1 (b) DENIAL OF CREDIT.—Subsection (c) of section

2 30 (relating to credit for qualified electric vehicles) is

3 amended by adding at the end the following new para4 graph:

5 ‘‘(3) DENIAL OF CREDIT FOR VEHICLES FOR

6 WHICH DEDUCTION ALLOWABLE.—The term ‘quali7 fied electric vehicle’ shall not include any vehicle de8 scribed in subclause (I) or (II) of section

9 179A(b)(1)(A)(iii).’’

10 (c) EFFECTIVE DATE.—The amendments made by

11 this section shall apply to property placed in service on

12 or after the date of enactment of this Act.

13 SEC. 4. ELECTRIC VEHICLE CREDIT AMOUNT AND APPLICA14 TION AGAINST ALTERNATIVE MINIMUM TAX.

15 (a) IN GENERAL.—Subsection (a) of section 30 (re16 lating to credit for qualified electric vehicles) is amended

17 by striking ‘‘10 percent of’’.

18 (b) APPLICATION AGAINST ALTERNATIVE MINIMUM

19 TAX.—Section 30(b) (relating to limitations) is amended

20 by striking paragraph (3).

21 (c) EFFECTIVE DATE.—The amendments made by

22 this section shall apply to taxable years beginning after

23 December 31, 1998.
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1 SEC. 5. EXTENSION OF CREDIT FOR QUALIFIED ELECTRIC

2 VEHICLES.

3 (a) IN GENERAL.—Section 30(e) (relating to the ter4 mination of the credit) is amended by striking ‘‘December

5 31, 2004’’ and inserting ‘‘December 31, 2008’’.

6 (b) CONFORMING AMENDMENT.—Section 30(b)(2)

7 (relating to the phaseout of the credit) is amended by

8 striking ‘‘December 31, 2001’’ and inserting ‘‘December

9 31, 2005’’ and by striking ‘‘2002’’, ‘‘2003’’, and ‘‘2004’’

10 and inserting ‘‘2006’’, ‘‘2007’’, and ‘‘2008’’, respectively.

11 (c) EFFECTIVE DATE.—The amendments made by

12 this section shall take effect on the date of the enactment

13 of this Act.

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