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[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 1591 Introduced in Senate (IS)]

110th CONGRESS
  1st Session
                                S. 1591

To amend the Internal Revenue Code of 1986 to allow full expensing for 
   the cost of qualified refinery property in the year in which the 
   property is placed in service, and to classify petroleum refining 
       property as 5-year property for purposes of depreciation.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             June 12, 2007

   Mr. Hatch 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 allow full expensing for 
   the cost of qualified refinery property in the year in which the 
   property is placed in service, and to classify petroleum refining 
       property as 5-year property for purposes of depreciation.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Refinery Investment Tax Assistance 
Act of 2007''.

SEC. 2. FULL EXPENSING FOR QUALIFIED REFINERY PROPERTY.

    (a) In General.--Subsection (a) of section 179C of the Internal 
Revenue Code of 1986 (relating to election to expense certain 
refineries) is amended by striking ``50 percent of''.
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect as if included in section 1323 of the Energy Policy Act of 
2005.

SEC. 3. PETROLEUM REFINING PROPERTY TREATED AS 5-YEAR PROPERTY.

    (a) In General.--Subparagraph (B) of section 168(e)(3) of the 
Internal Revenue Code of 1986 (relating to 5-year property) is amended 
by striking ``and'' at the end of clause (v), by striking the period at 
the end of clause (vi)(III) and inserting ``, and'', and by adding at 
the end the following new clause:
                            ``(vii) any petroleum refining property.''.
    (b) Petroleum Refining Property.--Section 168(i) of such Code is 
amended by adding at the end the following new paragraph:
            ``(18) Petroleum refining property.--
                    ``(A) In general.--The term `petroleum refining 
                property' means any asset for petroleum refining, 
                including assets used for the distillation, 
                fractionation, and catalytic cracking of crude 
                petroleum into gasoline and its other components.
                    ``(B) Asset must meet environmental laws.--Such 
                term shall not include any property which does not meet 
                all applicable environmental laws in effect on the date 
                such property was placed in service. For purposes of 
                the preceding sentence, a waiver under the Clean Air 
                Act shall not be taken into account in determining 
                whether the applicable environmental laws have been 
                met.
                    ``(C) Special rule for mergers and acquisitions.--
                Such term shall not include any property with respect 
                to which a deduction was taken under subsection 
                (e)(3)(B) by any other taxpayer in any preceding 
                year.''.
    (c) Effective Date.--
            (1) In general.--The amendments made by this section shall 
        apply to property placed in service after the date of the 
        enactment of this Act.
            (2) Exception.--The amendments made by this section shall 
        not apply to any property with respect to which the taxpayer 
        has entered into a binding contract for the construction 
        thereof on or before the date of the enactment of this Act.
                                 <all>
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