I 

114TH CONGRESS 

1ST SESSION H. R. 1901 

To amend the Internal Revenue Code of 1986 to phaseout and repeal the 

credit for electricity produced from certain renewable resources, to reduce 

the corporate income tax, and for other purposes. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 21, 2015 

Mr. MARCHANT (for himself, Mr. POMPEO, Mr. SAM JOHNSON of Texas, Mr. 

PERRY, Mr. FLORES, Mr. SHUSTER, and Mr. SCALISE) 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 phaseout 

and repeal the credit for electricity produced from certain 

renewable resources, to reduce the corporate income tax, 

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. 

4 This Act may be cited as the ‘‘PTC Elimination Act’’. 


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1 SEC. 2. PHASEOUT AND REPEAL OF CREDIT FOR ELEC2 TRICITY PRODUCED FROM CERTAIN RENEW3 ABLE RESOURCES. 

4 (a) REDUCTION OF CREDIT AND PHASEOUT

5 AMOUNTS.— 

6 (1) IN GENERAL.—Section 45(b) of the Internal 

7 Revenue Code of 1986 is amended by striking para8 graph (2). 

9 (2) CONFORMING AMENDMENTS.—Section 

10 45(e)(2) of such Code is amended— 

11 (A) by striking ‘‘the inflation adjustment 

12 factor and’’ in subparagraph (A), and 

13 (B) by striking subparagraph (B) and re14 designating subparagraph (C) as subparagraph 

15 (B). 

16 (3) EFFECTIVE DATE.—The amendments made 

17 by this subsection shall apply to electricity, and re18 fined coal, produced and sold after December 31, 

19 2015. 

20 (b) SPECIAL RULE FOR DETERMINING BEGINNING

21 OF CONSTRUCTION.— 

22 (1) IN GENERAL.—Section 45(e) of such Code 

23 is amended by adding at the end the following new 

24 paragraph: 

25 ‘‘(12) SPECIAL RULE FOR DETERMINING BE26 GINNING OF CONSTRUCTION.—For purposes of subVerDate Sep 11 2014 00:29 Apr 25, 2015 Jkt 049200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H1901.IH H1901

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1 section (d) and section 48(a)(5), the construction of 

2 any facility, modification, improvement, addition, or 

3 other property shall not be treated as beginning be4 fore any date unless there is a continuous program 

5 of construction which begins, and makes significant 

6 progress, before such date and ends on the date that 

7 such property is placed in service.’’. 

8 (2) EFFECTIVE DATE.—The amendment made 

9 by this subsection shall apply to taxable years begin10 ning before, on, or after the date of the enactment 

11 of this Act. 

12 (c) REPEAL OF CREDIT.— 

13 (1) IN GENERAL.—Subpart D of part IV of 

14 subchapter A of chapter 1 of such Code is amended 

15 by striking section 45 (and by striking the item re16 lating to such section in the table of sections for 

17 such subpart). 

18 (2) CONFORMING AMENDMENTS.— 

19 (A) Section 38(b) of such Code is amended 

20 by striking paragraph (8). 

21 (B) Section 45J of such Code is amended 

22 by adding at the end the following new sub23 section: 

24 ‘‘(f) REFERENCES TO SECTION 45.—Any reference 

25 in this section to any provision of section 45 shall be treatVerDate Sep 11 2014 00:29 Apr 25, 2015 Jkt 049200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\H1901.IH H1901

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1 ed as a reference to such provision as in effect immediately 

2 before its repeal.’’. 

3 (C) Section 45K(g)(2) of such Code is 

4 amended by striking subparagraph (E). 

5 (D) Section 48 of such Code is amended 

6 by adding at the end the following new sub7 section: 

8 ‘‘(e) REFERENCES TO SECTION 45.—Any reference 

9 in this section to any provision of section 45 shall be treat10 ed as a reference to such provision as in effect immediately 

11 before its repeal.’’. 

12 (E) Section 54(d)(2)(A) of such Code is 

13 amended by inserting ‘‘(as in effect immediately 

14 before its repeal)’’ after ‘‘section 45(d)’’. 

15 (F) Section 54C(d)(1) of such Code is 

16 amended by inserting ‘‘(as in effect immediately 

17 before its repeal)’’ after ‘‘section 45(d)’’. 

18 (G) Section 54D(f)(1)(A)(iv) of such Code 

19 is amended by inserting ‘‘(as in effect imme20 diately before its repeal)’’ after ‘‘section 45(d)’’. 

21 (H) Section 55(c)(1) of such Code is 

22 amended by striking ‘‘45(e)(11)(C),’’. 

23 (3) EFFECTIVE DATE.—The amendments made 

24 by this subsection shall apply to electricity, and reVerDate Sep 11 2014 00:29 Apr 25, 2015 Jkt 049200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\H1901.IH H1901

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1 fined coal, produced and sold after December 31, 

2 2025. 

3 (d) SENSE OF CONGRESS REGARDING FURTHER EX4 TENSION.—It is the sense of the Congress that the credit 

5 under section 45 of the Internal Revenue Code of 1986 

6 should be allowed to expire and should not be extended 

7 beyond the expiration dates specified in such section as 

8 of the date of the enactment of this Act. 

9 SEC. 3. REDUCTION OF CORPORATE INCOME TAX. 

10 (a) IN GENERAL.—Section 11 of the Internal Rev11 enue Code of 1986 is amended by adding at the end the 

12 following new subsection: 

13 ‘‘(e) REDUCTION.— 

14 ‘‘(1) IN GENERAL.—In the case of any taxable 

15 year beginning more than 1 year after the date of 

16 the enactment of this subsection, the amount of tax 

17 otherwise imposed under this section with respect to 

18 any taxpayer for such taxable year shall be reduced 

19 by the applicable percentage of such amount. 

20 ‘‘(2) APPLICABLE PERCENTAGE.—For purposes 

21 of this subsection— 

22 ‘‘(A) IN GENERAL.—The term ‘applicable 

23 percentage’ means the percentage which the 

24 Secretary estimates will result in— 


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1 ‘‘(i) a decrease in revenues to the 

2 Treasury for the fiscal year which includes 

3 the date of the enactment of this sub4 section and the 10 subsequent fiscal years, 

5 which is equal to 

6 ‘‘(ii) the increase in such revenues for 

7 such taxable years by reason of the amend8 ments made by section 2 of the PTC 

9 Elimination Act. 

10 ‘‘(B) SINGLE PERCENTAGE.—The percent11 age under subparagraph (A) shall be deter12 mined by the Secretary not later than the date 

13 which is 1 year after the date of the enactment 

14 of this subsection and shall apply for all taxable 

15 years to which paragraph (1) applies.’’. 

16 (b) EFFECTIVE DATE.—The amendment made by 

17 this section shall apply to taxable years beginning more 

18 than 1 year after the date of the enactment of this Act. 

Æ 


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