I 

108TH CONGRESS 

2D SESSION H. R. 4209

To amend the Internal Revenue Code of 1986 to allow a credit for the 

purchase of idling reduction systems for diesel-powered on-highway vehicles. 

IN THE HOUSE OF REPRESENTATIVES 

APRIL 22, 2004

Ms. GRANGER 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 allow a 

credit for the purchase of idling reduction systems for 

diesel-powered on-highway vehicles.

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 ‘‘Idling Reduction Tax 

5 Credit Act of 2004’’. 

6 SEC. 2. IDLING REDUCTION TAX CREDIT. 

7 (a) IN GENERAL.—Subpart D of part IV of sub8 chapter A of chapter 1 of the Internal Revenue Code of 

9 1986 (relating to business-related credits) is amended by 

10 adding at the end the following new section: 
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1 ‘‘SEC. 45G. IDLING REDUCTION CREDIT. 

2 ‘‘(a) GENERAL RULE.—For purposes of section 38, 

3 the idling reduction tax credit determined under this sec4 tion for the taxable year is an amount equal to 50 percent 

5 of the amount paid or incurred for each qualifying idling 

6 reduction device placed in service by the taxpayer during 

7 the taxable year. 

8 ‘‘(b) LIMITATION.—The maximum amount allowed as 

9 a credit under subsection (a) shall not exceed $3,500 per 

10 device. 

11 ‘‘(c) DEFINITIONS.—For purposes of subsection 

12 (a)—

13 ‘‘(1) QUALIFYING IDLING REDUCTION DE14 VICE.—The term ‘qualifying idling reduction device’ 

15 means any device or system of devices that—

16 ‘‘(A) is installed on a heavy-duty diesel17 powered on-highway vehicle, 

18 ‘‘(B) is designed to provide to such vehicle 

19 those services (such as heat, air conditioning, or 

20 electricity) that would otherwise require the op21 eration of the main drive engine while the vehi22 cle is temporarily parked or remains stationary, 

23 ‘‘(C) the original use of which commences 

24 with the taxpayer, 

25 ‘‘(D) is acquired for use by the taxpayer 

26 and not for resale, and 
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1 ‘‘(E) is certified by the Secretary of En2 ergy, in consultation with the Administrator of 

3 the Environmental Protection Agency and the 

4 Secretary of Transportation, to reduce long-du5 ration idling of such vehicle at a motor vehicle 

6 rest stop or other location where such vehicles 

7 are temporarily parked or remain stationary. 

8 ‘‘(2) HEAVY-DUTY DIESEL-POWERED ON-HIGH9 WAY VEHICLE.—The term ‘heavy-duty diesel-pow10 ered on-highway vehicle’ means any vehicle, ma11 chine, tractor, trailer, or semi-trailer propelled or 

12 drawn by mechanical power and used upon the high13 ways in the transportation of passengers or prop14 erty, or any combination thereof determined by the 

15 Federal Highway Administration. 

16 ‘‘(3) LONG-DURATION IDLING.—The term ‘long17 duration idling’ means the operation of a main drive 

18 engine, for a period greater than 15 consecutive 

19 minutes, where the main drive engine is not engaged 

20 in gear. Such term does not apply to routine stop21 pages associated with traffic movement or conges22 tion. 

23 ‘‘(d) NO DOUBLE BENEFIT.—For purposes of this 

24 section—
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1 ‘‘(1) REDUCTION IN BASIS.—if a credit is deter2 mined under this section with respect to any prop3 erty by reason of expenditures described in sub4 section (a), the basis of such property shall be re5 duced by the amount of the credit so determined. 

6 ‘‘(2) OTHER DEDUCTIONS AND CREDITS.—No 

7 deduction or credit shall be allowed under any other 

8 provision of this chapter with respect to the amount 

9 of the credit determined under this section. 

10 ‘‘(e) ELECTION NOT TO CLAIM CREDIT.—This sec11 tion shall not apply to a taxpayer for any taxable year 

12 if such taxpayer elects to have this section not apply for 

13 such taxable year.’’. 

14 (b) CREDIT TO BE PART OF GENERAL BUSINESS

15 CREDIT.—Subsection (b) of section 38 of such Code (re16 lating to general business credit) is amended by striking 

17 ‘‘plus’’ at the end of paragraph (14), by striking the period 

18 at the end of paragraph (15) and inserting ‘‘, plus’’ , and 

19 by adding at the end the following new paragraph: 

20 ‘‘(16) the idling reduction tax credit determined 

21 under section 45G(a).’’. 

22 (c) CONFORMING AMENDMENTS.—

23 (1) The table of sections for subpart D of part 

24 IV of subchapter A of chapter 1 of such Code is 
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1 amended by inserting after the item relating to sec2 tion 45F the following new item:

‘‘Sec. 45G. Idling reduction credit.’’.

3 (2) Section 1016(a) of such Code is amended 

4 by striking ‘‘and’’ at the end of paragraph (27), by 

5 striking the period at the end of paragraph (28) and 

6 inserting ‘‘, and’’, and by adding at the end the fol7 lowing: 

8 ‘‘(29) in the case of a facility with respect to 

9 which a credit was allowed under section 45G, to the 

10 extent provided in section 45G(d)(A).’’. 

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

12 this section shall apply to taxable years beginning after 

13 December 31, 2003. 

14 SEC. 3. DETERMINATION OF CERTIFICATION STANDARDS 

15 BY SECRETARY OF ENERGY FOR CERTIFYING 

16 IDLING REDUCTION DEVICES. 

17 Not later than 6 months after the date of the enact18 ment of this Act and in order to reduce air pollution and 

19 fuel consumption, the Secretary of Energy, in consultation 

20 with the Administrator of the Environmental Protection 

21 Agency and the Secretary of Transportation, shall publish 

22 the standards under which the Secretary, in consultation 

23 with the Administrator of the Environmental Protection 

24 Agency and the Secretary of Transportation, will, for pur25 poses of section 45G of the Internal Revenue Code of 1986 
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1 (as added by section 2 of this Act), certify the idling re2 duction devices which will reduce long-duration idling of 

3 vehicles at motor vehicle rest stops or other locations 

4 where such vehicles are temporarily parked or remain sta5 tionary in order to reduce air pollution and fuel consump6 tion.

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