I
106TH CONGRESS
1ST SESSION
H. R. 1303
To amend the Internal Revenue Code of 1986 to allow a credit against
income tax for dry cleaning equipment which uses reduced amounts
of hazardous substances.
IN THE HOUSE OF REPRESENTATIVES
MARCH 25, 1999
Mr. CAMP (for himself and Mr. PRICE of North Carolina) 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 against income tax for dry cleaning equipment
which uses reduced amounts of hazardous substances.
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ‘‘Dry Cleaning Environ-
mental Tax Credit Act of 1999’’.
SEC. 2. CREDIT FOR DRY CLEANING EQUIPMENT USING RE-
DUCED 
AMOUNTS 
OF 
HAZARDOUS 
SUB-
STANCES.
(a) IN GENERAL.—Section 46 of the Internal Rev-
enue Code of 1986 (relating to amount of investment cred-
it) is amended by striking ‘‘and’’ at the end of paragraph
(2), by striking the period at the end of paragraph (3)
and inserting ‘‘, and’’, and by adding at the end thereof
the following paragraph:
‘‘(4) the dry cleaning equipment credit.’’
(b) DRY CLEANING EQUIPMENT CREDIT.—Section
48 of such Code is amended by adding at the end the fol-
lowing new subsection:
‘‘(c) DRY CLEANING EQUIPMENT USING REDUCED
AMOUNTS OF HAZARDOUS SUBSTANCES.—
‘‘(1) IN GENERAL.—For purposes of section 46,
the dry cleaning equipment credit for any taxable
year is 20 percent of the basis of each qualified dry
cleaning property placed in service during the tax-
able year.
‘‘(2) LIMITATION.—The credit under this sub-
section for the taxable year shall apply to only one
qualified dry cleaning property placed in service dur-
ing such year at each business premise of the tax-
payer.
‘‘(3) QUALIFIED DRY CLEANING PROPERTY.—
For purposes of this subsection, the term ‘qualified
dry cleaning property’ means equipment designed
primarily to dry clean clothing and other fabric if—
‘‘(A) such equipment does not use any haz-
ardous solvent as the primary process solvent,
‘‘(B) the original use of such property
commences with the taxpayer, and
‘‘(C) with respect to which depreciation (or
amortization in lieu of depreciation) is allow-
able.
‘‘(4) HAZARDOUS SOLVENT.—For purposes of
paragraph (3)—
‘‘(A) IN GENERAL.—The term ‘hazardous
solvent’ means any solvent any portion of which
consists of a chlorinated solvent, a petroleum-
based solvent, or any other hazardous or regu-
lated substance.
‘‘(B) EXCEPTION.—Such term shall not in-
clude any solvent—
‘‘(i) not more than 10 percent of
which consists of petroleum or petroleum
derivatives, and
‘‘(ii) which does not contain any sub-
stance determined by the Administrator of
the Environmental Protection Agency, the
Director of the National Institute for Oc-
cupational Safety and Health, the Director
of the International Agency for Research
on Cancer, the Director of the National In-
stitute of Environmental Health Sciences’
National Toxicology Program, or the direc-
tor of any other appropriate Federal agen-
cy to possess—
‘‘(I) carcinogenic potential in hu-
mans, or
‘‘(II) 
bioaccumulative 
prop-
erties.’’
(c) CLERICAL AMENDMENTS.—
(1) The section heading for section 48 of such
Code is amended to read as follows:
‘‘SEC. 48. ENERGY CREDIT; REFORESTATION CREDIT; DRY
CLEANING EQUIPMENT CREDIT.’’
(2) The item relating to section 48 in the table
of sections for subpart E of part IV of subchapter
A of chapter 1 of such Code is amended to read as
follows:
‘‘Sec. 48. Energy credit; reforestation credit; dry cleaning equip-
ment credit.’’