FAST Electricity Act

To amend the Internal Revenue Code of 1986 to expand existing tax credits to include non-passenger electric-powered vehicles, associated recharging and refueling infrastructure, and for other purposes. 1. Short title This Act may be cited as the Fueling America's Security and Transportation with Electricity Act of 2021 FAST Electricity Act 2. Credit for qualified electric transportation options (a) In general Section 30D (1) in the heading, by striking plug-in electric drive motor electric (2) by adding at the end the following new subsection: (h) Credit allowed for qualified electric transportation options (1) In general In the case of a qualified electric transportation option— (A) there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the applicable percentage of the cost of the qualified electric transportation option placed in service by the taxpayer during the taxable year, (B) the amount of the credit allowed under subparagraph (A) shall be treated as a credit allowed under subsection (a), and (C) the requirements described in subsection (f)(7) shall not apply. (2) Applicable percentage For purposes of paragraph (1)(A), the applicable percentage shall be— (A) in the case of a qualified electric transportation option placed in service after December 31, 2021, and before January 1, 2028, 30 percent, (B) in the case of a qualified electric transportation option placed in service during a calendar year after 2027 and before 2033, the applicable percentage determined under this paragraph for the preceding calendar year, reduced by 5 percentage points, and (C) in the case of a qualified electric transportation option placed in service after calendar year 2032, 0 percent. (3) Qualified electric transportation option (A) In general For purposes of this subsection, the term qualified electric transportation option (i) the original use of which commences with the taxpayer, (ii) is acquired for use or lease by the taxpayer and not for resale, (iii) is capable of moving passengers, cargo, or property, (iv) is powered by an integrated, on-board electric propulsion system that— (I) is the primary source of propulsion, (II) is capable of powering the vehicle (including any of its components and accessories) for not less than 2/3 (III) in the case of a vehicle which derives any of its power from the on-board combustion of a fuel, uses a renewable fuel, (v) was manufactured for sale in commercial quantities with a reasonable expectation of profit, (vi) is in compliance with any applicable safety or air quality standards, as determined by the Secretary in coordination with the Secretary of Transportation, the Secretary of Homeland Security, and the Administrator of the Environmental Protection Agency, and (vii) is not a new qualified plug-in electric drive motor vehicle (as defined in subsection (d)(1)), unless the vehicle— (I) has a gross vehicle weight rating of not less than 3,000 pounds and not more than 14,000 pounds, (II) has no more than 2 seats, including the driver’s seat, (III) uses the majority of its interior space to carry cargo, (IV) is primarily used for delivering commercial cargo, and (V) does not use any energy which is derived from the on-board combustion of a fuel. (B) On-board electric propulsion system For purposes of this subsection, the term on-board electric propulsion system (i) 1 or more on-board traction batteries which— (I) are integrated or swappable, and (II) have an aggregate capacity (as defined in subsection (d)(4)) of not less than 8 kilowatt hours, or (ii) an on-board power source other than a battery with an electrical output capacity equivalent of not less than 8 kilowatt hours, as determined by the Secretary. (C) Renewable fuel For purposes of this paragraph, the term renewable fuel (i) Ethanol. (ii) Biodiesel (as defined in section 40A(d)(1)). (iii) Advanced biofuel (as defined in section 211(o)(1)(B) of the Clean Air Act ( 42 U.S.C. 7545(o)(1)(B) (iv) Renewable natural gas. (v) Hydrogen. (4) Exclusion For purposes of paragraph (1)(A), the cost of the qualified electric transportation option shall not include any cost relating to any component or feature which— (A) is not integral to the qualified electric transportation option, or (B) does not contribute to improving the efficiency or range of the electric propulsion of the qualified electric transportation option. . (b) Conforming amendments (1) Section 38(b)(30) plug-in electric drive motor electric (2) Section 48C(c)(1)(A)(i)(VI) of such Code is amended by inserting or qualified electric transportation options new qualified plug-in electric drive motor vehicles (3) The item relating to section 30D in the table of sections for subpart B of part IV of subchapter A of chapter 1 of such Code is amended to read as follows: Sec. 30D. New Qualified Electric Vehicles. . (c) Effective date The amendments made by this section shall apply to property placed in service after December 31, 2021. 3. Credit for qualified electric vehicle recharging property (a) In general Section 30C (1) in subsection (a)— (A) by inserting the sum of equal to (B) by inserting and the applicable percentage of the cost of any qualified electric vehicle recharging property placed in service (2) in subsection (c)(2), by striking subparagraph (C), (3) in subsection (e)(2), by inserting or qualified electric vehicle recharging property qualified alternative fuel vehicle refueling property (4) by redesignating subsections (f) and (g) as subsections (g) and (h), respectively, (5) by inserting after subsection (e) the following: (f) Qualified electric vehicle recharging property (1) In general For purposes of this section, the term qualified electric vehicle recharging property (A) recharging or repowering of any qualified electric transportation option or new qualified plug-in electric drive motor vehicle (as defined in section 30D), or (B) storage and dispensing of hydrogen fuel into the fuel tank of a vehicle with an on-board electric propulsion system (as defined in section 30D(h)(3)(B)), but only if the storage and dispensing of the fuel is at the point where such fuel is delivered to the vehicle. (2) Applicable percentage For purposes of subsection (a), in the case of any qualified electric vehicle recharging property, the applicable percentage shall be— (A) in the case of any property placed in service after December 31, 2021, and before January 1, 2028, 30 percent, (B) in the case of any property placed in service during a calendar year after 2028 and before 2033, the applicable percentage determined under this paragraph for the preceding calendar year, reduced by 5 percentage points, and (C) in the case of any property placed in service after calendar year 2032, 0 percent. (3) Termination For purposes of any qualified electric vehicle recharging property, this section shall not apply to any property placed in service after December 31, 2032. , and (6) in subsection (h), as redesignated by paragraph (4)— (A) in the heading, by inserting for qualified alternative fuel vehicle refueling property Termination (B) by striking property qualified alternative fuel vehicle refueling property (b) Effective date The amendments made by this section shall apply to property placed in service after December 31, 2021. 4. Loan guarantees for transportation electrification domestic manufacturing capacity Section 136 of the Energy Independence and Security Act of 2007 ( 42 U.S.C. 17013 (1) in subsection (a)— (A) in paragraph (1)— (i) in subparagraph (C), by striking the period at the end and inserting ; and (ii) by redesignating subparagraphs (A) through (C) as clauses (i) through (iii), respectively, and indenting appropriately; (iii) in the matter preceding clause (i) (as so redesignated), by striking means an ultra means— (A) an ultra ; and (iv) by adding at the end the following: (B) a medium-duty vehicle or a heavy-duty vehicle that exceeds 125 percent of the greenhouse gas emissions and fuel efficiency standards established by the final rule entitled Greenhouse Gas Emissions and Fuel Efficiency Standards for Medium- and Heavy-Duty Engines and Vehicles—Phase 2 ; (B) in paragraph (3)— (i) in subparagraph (A), by inserting , qualified electric transportation options, or qualified electric vehicle recharging properties advanced technology vehicles (ii) in subparagraph (B), by striking or advanced technology vehicles , advanced technology vehicles, qualified electric transportation options, or qualified electric vehicle recharging properties (C) in paragraph (4), by inserting , qualified electric transportation options, or qualified electric vehicle recharging properties advanced technology vehicles (D) by redesignating paragraphs (4) and (5) as paragraphs (6) and (7), respectively; and (E) by inserting after paragraph (3) the following: (4) Qualified electric transportation option The term qualified electric transportation option section 30D(h)(3)(A) (5) Qualified electric vehicle recharging property The term qualified electric vehicle recharging property section 30C(f) ; (2) in subsection (b)— (A) in the matter preceding paragraph (1), by inserting qualified electric transportation option manufacturers, qualified electric vehicle recharging property manufacturers, and component suppliers (B) in paragraph (1)— (i) in subparagraph (B), by striking or (ii) in subsection (C), by striking and (iii) by adding at the end the following: (D) qualified electric transportation options; or (E) qualified electric vehicle recharging properties; and ; and (C) in paragraph (2), by inserting qualified electric transportation options, qualified electric vehicle recharging properties, and qualifying components (3) in subsection (c), by striking December 30, 2020 December 31, 2030 (4) in subsection (g), in the first sentence, by inserting , qualified electric transportation options, or qualified electric vehicle recharging properties (5) in subsection (h)(1), by striking subparagraph (B) and inserting the following: (B) manufactures— (i) ultra efficient vehicles; (ii) automobiles or components of automobiles; (iii) qualified electric transportation options or components of qualified electric transportation options; or (iv) qualified electric vehicle recharging properties or components of qualified electric vehicle recharging properties. ; and (6) in subsection (i), by striking fiscal years 2008 through 2012 fiscal years 2021 through 2032

Summary: Fueling America's Security and Transportation with Electricity Act of 2021 or the FAST Electricity Act This bill expands the tax credit for plug-in electric drive motor vehicles to include a 30% credit for additional electric transportation options capable of moving passengers, cargo, or property and powered by an integrated, on-board electric propulsion system. It also allows a credit for recharging and hydrogen refueling property and provides loan guarantees for transportation electrification domestic manufacturing facilities.