E-Car Act

To amend the Internal Revenue Code of 1986 to extend and modify the tax credit for electric vehicle recharging property. 1. Short title This Act may be cited as the Electric Charging And Refueling Act E–Car Act 2. Extension and modification of credit for electric car recharging property (a) In general Section 30C 30C. Electric vehicle charging and refueling property credit (a) Credit allowed There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 50 percent of the cost of any qualified electric vehicle recharging or refueling property placed in service by the taxpayer during the taxable year. (b) Limitation The credit allowed under subsection (a) with respect to all qualified electric vehicle recharging property placed in service by the taxpayer during the taxable year at a location shall not exceed— (1) in the case of a property of a character subject to an allowance for depreciation, the greater of— (A) $100,000, or (B) $10,000 multiplied by the number of devices placed in service at the location by the taxpayer during the taxable year, and (2) $2,000 in any other case. (c) Definitions For purposes of this section— (1) Qualified electric vehicle recharging or refueling property The term qualified electric vehicle recharging property (A) such property is— (i) of a character subject to the allowance for depreciation, or (ii) installed on property which is used as the principal residence (within the meaning of section 121) of the taxpayer, (B) the original use of such property begins with the taxpayer, (C) such property is for the recharging or refueling of motor vehicles propelled by electricity, including property providing electricity for plug-in electric drive vehicles and property providing hydrogen for fuel cell electric vehicles, and (D) such property includes related property providing electricity for such recharging or is otherwise necessary for such recharging or refueling property. (2) Device The term device (d) Application with other credits (1) Business credit treated as part of general business credit So much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to property of a character subject to an allowance for depreciation shall be treated as a credit listed in section 38(b) for such taxable year (and not allowed under subsection (a)). (2) Personal credit For purposes of this title, the credit allowed under subsection (a) for any taxable year (after the application of paragraph (1))— (A) shall be treated as a credit allowable under subpart A for such taxable year, and (B) shall not exceed the excess of— (i) the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over (ii) the sum of the credits allowable under subpart A (other than this section and sections 25D and 30D) and section 27 for the taxable year. (e) Special rules For purposes of this section— (1) Reduction in basis For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed (determined without regard to subsection (d)). (2) Property used by tax-exempt entity In the case of any qualified electric vehicle recharging property the use of which is described in paragraph (3) or (4) of section 50(b) (including use by an Indian tribal government) and which is not subject to a lease, the person who sold such property to the person or entity using such property shall be treated as the taxpayer that placed such property in service, but only if such person clearly discloses to such person or entity in a document the amount of any credit allowable under subsection (a) with respect to such property (determined without regard to subsection (d)). (3) Property used outside United States not qualified No credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1) or with respect to the portion of the cost of any property taken into account under section 179. (4) Election not to take credit No credit shall be allowed under subsection (a) for any property if the taxpayer elects not to have this section apply to such property. (5) Recapture rules Rules similar to the rules of section 179A(e)(4) shall apply. (6) Joint ownership of qualified electric vehicle recharging property (A) In general Any qualified electric vehicle recharging property shall not fail to be treated as such property solely because such property is placed in service with respect to 2 or more dwelling units. (B) Limits applied separately In the case of any qualified electric vehicle recharging property which is placed in service with respect to 2 or more dwelling units, this section (other than this subparagraph) shall be applied separately with respect to the portion of such property attributable to each such dwelling unit. . (b) Conforming amendment Clause (ii) of section 30D(c)(2)(B) of such Code is amended by striking section 25D sections 25D and 30C (c) Effective date (1) In general Except as provided in paragraph (2), the amendments made by this section shall apply to property placed in service after December 31, 2013. (2) Hydrogen refueling property The amendments made by this subsection shall apply to hydrogen property placed in service after December 31, 2014.

Summary: Electric Charging and Refueling Actor the E-Car Act Amends the Internal Revenue Code to replace the tax credit for qualified alternative fuel vehicle refueling property expenditures with a tax credit for 50% of the cost of any qualified electric vehicle recharging or refueling property that is: (1) installed on property used as the principal residence of the taxpayer, and (2) for the recharging or refueling of motor vehicles propelled by electricity.