Fuel Cell and Hydrogen Infrastructure Act of 2014

To amend the Internal Revenue Code of 1986 to increase, expand, and extend the credit for hydrogen-related alternative fuel vehicle refueling property and to increase the investment credit for more efficient fuel cells. 1. Short title This Act may be cited as the Fuel Cell and Hydrogen Infrastructure Act of 2014 2. Expansion of credit for hydrogen-related alternative fuel vehicle refueling property (a) Increase in credit percentage Subsection (a) of section 30C (50 percent in the case of property relating to hydrogen) 30 percent (b) No dollar limitation Subsection (b) of section 30C The preceding sentence shall not apply in the case of property related to hydrogen. . (c) Credit allowable for refueling property for certain motor vehicles designed for carrying or towing loads (1) In general Subsection (c) of section 30C and (2) with respect to property described in section 179A(d)(3)(A) for the storage or dispensing of fuel at least 85 percent of the volume of which consists of hydrogen, the reference to motor vehicles in section 179A(d)(3)(A) includes specified off-highway vehicles, and . (2) Specified off-highway vehicles defined Subsection (e) of section 30C of such Code is amended by adding at the end the following new paragraph: (7) Specified off-highway vehicles For purposes of subsection (c)(2)— (A) In general The term specified off-highway vehicles (B) Exceptions Such term does not include— (i) farm tractors, trench diggers, power shovels, bulldozers, road graders or rollers, and similar equipment which does not carry or tow a load, and (ii) any vehicle that operates exclusively on a rail or rails. . (d) Credit for hydrogen property extended through 2016 Paragraph (1) of section 30C(g) December 31, 2014 December 31, 2016 (e) Effective date (1) In general The amendments made by subsections (a) and (c) shall apply to property placed in service after the date of the enactment of this Act in taxable years ending after such date. (2) Repeal of limitation The amendment made by subsection (b) shall apply to taxable years beginning after the date of the enactment of this Act. (3) Hydrogen refueling property The amendment made by subsection (d) shall apply to property placed in service after December 31, 2014. 3. Increased investment credit for more efficient fuel cells (a) Increased percentage (1) In general Subparagraph (A) of section 48(a)(2) and (ii) 40 percent in the case of qualified fuel cell property used in a combined heat and power system having an energy efficiency percentage (as defined in section 48(c)(3)(C)) of at least 60 percent but less than 70 percent, (iii) 50 percent in the case of qualified fuel cell property used in such a system having an energy efficiency percentage (as so defined) of 70 percent or more, and . (2) Conforming amendments (A) Subclause (I) of section 48(a)(2)(A)(i) of such Code is amended by inserting not described in clause (ii) or (iii) (B) Clause (iv) of section 48(a)(2)(A) of such Code, as redesignated by paragraph (1), is amended by striking to which clause (i) does not apply to which none of the preceding clauses apply (b) Increased maximum credit Subparagraph (B) of section 48(c)(1) of such Code is amended to read as follows: (B) Limitation In the case of qualified fuel cell property placed in service during the taxable year, the credit otherwise determined under subsection (a) for such year with respect to such property shall not exceed an amount equal to— (i) in the case of property described in subsection (a)(2)(A)(i)(I), $1,500 for each 0.5 kilowatt of capacity of such property, (ii) in the case of property described in subsection (a)(2)(A)(ii), $2,000 for each 0.5 kilowatt of capacity of such property, and (iii) in the case of property described in subsection (a)(2)(A)(iii), $2,500 for each 0.5 kilowatt of capacity of such property. . (c) Effective date The amendments made by this section shall apply to taxable years beginning after the date of the enactment of this Act.

Summary: Fuel Cell and Hydrogen Infrastructure Act of 2014 - Amends the Internal Revenue Code, with respect to the tax credit for alternative fuel vehicle refueling property expenditures, to: (1) increase the rate of such credit from 30% to 50% for hydrogen-related alternative fuel vehicles, (2) eliminate the dollar limitation on such credit for hydrogen-related vehicles, (3) allow such credit for off-highway motor vehicles designed for carrying or towing loads, and (4) extend such credit through 2016 for property related to hydrogen. Increases the 30% energy tax credit for investment in fuel cell property to: (1) 40% for fuel cell property used in a combined heat and power system having an energy efficiency percentage of at least 60% but less than 70%, and (2) 50% for fuel cell property having an energy efficiency percentage of 70% or more. Increases the maximum dollar amount of the energy tax credit for investment in qualified fuel cell property.