II 

111TH CONGRESS 

2D SESSION S. 3014 

To amend the Internal Revenue Code of 1986 to allow companies to utilize 

existing alternative minimum tax credits to create and maintain United 

States jobs, and for other purposes. 

IN THE SENATE OF THE UNITED STATES 

FEBRUARY 22, 2010 

Ms. STABENOW (for herself, Mr. HATCH, Mr. SCHUMER, Ms. SNOWE, and Mr. 

BROWN of Ohio) 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 companies to utilize existing alternative minimum tax credits 

to create and maintain United States jobs, 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 ‘‘American Job Creation 

5 and Investment Act’’. 


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1 SEC. 2. ELECTION TO TEMPORARILY UTILIZE UNUSED AMT 

2 CREDITS DETERMINED BY DOMESTIC WAGES 

3 AND DOMESTIC INVESTMENT. 

4 (a) IN GENERAL.—Section 53 of the Internal Rev5 enue Code of 1986 is amended by adding at the end the 

6 following new subsection: 

7 ‘‘(g) ELECTION FOR CORPORATIONS WITH UNUSED

8 CREDITS.— 

9 ‘‘(1) IN GENERAL.—If a corporation elects to 

10 have this subsection apply, then notwithstanding any 

11 other provision of law, the limitation imposed by 

12 subsection (c) for any such taxable year shall be in13 creased by the AMT credit adjustment amount. 

14 ‘‘(2) AMT CREDIT ADJUSTMENT AMOUNT.— 

15 For purposes of paragraph (1), the term ‘AMT cred16 it adjustment amount’ means with respect to any 

17 taxable year beginning in 2010 or 2011, the lesser 

18 of— 

19 ‘‘(A) a corporation’s minimum tax credit 

20 determined under subsection (b), or 

21 ‘‘(B) the sum of— 

22 ‘‘(i) 20 percent of new qualifying do23 mestic compensation paid during such tax24 able year, determined by taking into ac25 count not more than $100,000 for each 

26 employee, plus 


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1 ‘‘(ii) 20 percent of new domestic in2 vestments made during such taxable year, 

3 plus 

4 ‘‘(iii) 10 percent of qualifying domes5 tic compensation paid during the preceding 

6 taxable year, determined by taking into ac7 count not more than $100,000 for each 

8 employee. 

9 ‘‘(3) QUALIFYING DOMESTIC COMPENSATION.— 

10 For purposes of this subsection, the term ‘qualifying 

11 domestic compensation’ means, with respect to any 

12 person for any taxable year of such person, the sum 

13 of the amounts described in paragraphs (3), (8), and 

14 (9) of section 6051(a) paid by such person with re15 spect to employment of citizens or residents of the 

16 United States (within the meaning of section 

17 7701(a)(30)(A)) by such person during the calendar 

18 year ending during such taxable year. 

19 ‘‘(4) NEW QUALIFYING DOMESTIC COMPENSA20 TION.—For purposes of this subsection, the term 

21 ‘new qualifying domestic compensation’ means quali22 fying domestic compensation paid with respect to 

23 employment of individuals the hiring date (or, in the 

24 case of furloughed employees, the recall date) of 

25 whom occurs during the taxable year. For purposes 


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1 of the preceding sentence, rules similar to the rules 

2 of section 51(i)(1) shall apply. 

3 ‘‘(5) NEW DOMESTIC INVESTMENTS.—For pur4 poses of this subsection, the term ‘new domestic in5 vestments’ means the cost of qualified property (as 

6 defined in section 168(k)(2)(A)(i))— 

7 ‘‘(A) the original use of which commences 

8 with the taxpayer during the taxable year, and 

9 ‘‘(B) which is placed in service in the 

10 United States by the taxpayer during such tax11 able year. 

12 ‘‘(6) SPECIAL MAINTENANCE OF WORKFORCE

13 RULE.— 

14 ‘‘(A) IN GENERAL.—In any taxable year 

15 beginning in 2011, paragraph (2)(B)(iii) shall 

16 apply only if the taxpayer’s qualifying domestic 

17 compensation in such taxable year is at least 

18 100 percent of such compensation in the pre19 ceding taxable year. 

20 ‘‘(B) ACQUISITIONS, ETC.—For purposes 

21 of subparagraph (A), in determining the quali22 fying domestic compensation for the preceding 

23 taxable year, rules similar to the rules under 

24 subparagraphs (A) and (B) of section 41(f)(3) 

25 shall apply to adjust the compensation for acVerDate Nov 24 2008 23:08 Feb 22, 2010 Jkt 089200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6201 E:\BILLS\S3014.IS S3014

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1 quisitions and dispositions (taxable or other2 wise) of any major portion of a trade or busi3 ness or any major portion of a separate unit of 

4 a trade or business. 

5 ‘‘(7) CREDIT REFUNDABLE.—For purposes of 

6 subsections (b) and (c) of section 6401, the aggre7 gate increase in the credits allowable under part IV 

8 of subchapter A for any taxable year resulting from 

9 the application of this subsection shall be treated as 

10 allowed under subpart C of such part (and not to 

11 any other subpart). 

12 ‘‘(8) ELECTION.— 

13 ‘‘(A) IN GENERAL.—An election under this 

14 subsection shall be made at such time and in 

15 such manner as prescribed by the Secretary, 

16 and once effective, may be revoked only with 

17 the consent of the Secretary. 

18 ‘‘(B) INTERIM ELECTIONS.—Until such 

19 time as the Secretary prescribes a manner for 

20 making an election under this subsection, a tax21 payer is treated as having made a valid election 

22 by providing written notification to the Sec23 retary and the Commissioner of Internal Rev24 enue of such election. 


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1 ‘‘(9) AGGREGATION RULE.—For purposes of 

2 this subsection— 

3 ‘‘(A) all corporations which are members 

4 of an affiliated group of corporations filing a 

5 consolidated tax return, and 

6 ‘‘(B) all partnerships in which more than 

7 50 percent of the capital and profits interest in 

8 the partnership are owned by the corporation 

9 (directly or indirectly) at all times during the 

10 taxable year in which an election under this 

11 subsection is in effect, 

12 shall be treated as a single corporation. 

13 ‘‘(10) APPLICATION TO PARTNERSHIPS.—In the 

14 case of a partnership— 

15 ‘‘(A) this subsection shall be applied at the 

16 partner level, and 

17 ‘‘(B) each partner shall be treated as hav18 ing for the taxable year an amount equal to 

19 such partner’s allocable share of the qualifying 

20 domestic compensation, new qualifying domestic 

21 compensation, and new domestic investments of 

22 the partnership for such taxable year (as deter23 mined under regulations prescribed by the Sec24 retary). 


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1 ‘‘(11) NO DOUBLE BENEFIT.—Notwithstanding 

2 clause (iii)(II) of section 172(b)(1)(H), any taxpayer 

3 which has previously made an election under such 

4 section shall be deemed to have revoked such elec5 tion by the making of its first election under this 

6 subsection. 

7 ‘‘(12) REGULATIONS.—The Secretary may issue 

8 such regulations or other guidance as may be nec9 essary or appropriate to carry out the purposes of 

10 this subsection, including to prevent fraud and abuse 

11 under this subsection. 

12 ‘‘(13) TERMINATION.—This subsection shall not 

13 apply to any taxable year that begins after Decem14 ber 31, 2011.’’. 

15 (b) QUICK REFUND OF REFUNDABLE CREDIT.—Sec16 tion 6425 of the Internal Revenue Code of 1986 is amend17 ed by adding at the end the following new subsection: 

18 ‘‘(e) ALLOWANCE OF AMT CREDIT ADJUSTMENT

19 AMOUNT.—The amount of an adjustment under this sec20 tion as determined under subsection (c)(2) for any taxable 

21 year may be increased to the extent of the corporation’s 

22 AMT credit adjustment amount determined under section 

23 53(g) for such taxable year.’’. 


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

2 this section shall apply to taxable years beginning after 

3 December 31, 2009. 

Æ 


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