‘‘(D) at least the retread tire percentage of 
the total weight of the rubber in the retread 
portion of the tire is attributable to recycled 
rubber powder. 
‘‘(4) RECYCLED CONTENT PERCENTAGES.—The 
new tire percentage and the retread tire percentage 
shall be determined in accordance with the following 
table: 
‘‘If the tire is purchased 
during— 
The new 
tire 
percentage 
is— 
The retread 
tire 
percentage 
is— 
the 1st year after the date of the enactment of 
this section ..........................................................
the 2nd such year ...................................................
the 3rd such year ....................................................
the 4th such year ....................................................
the 5th such year ....................................................
‘‘(5) RECYCLED RUBBER POWDER.—The term 
‘recycled rubber powder’ means recycled vulcanizate 
particulate rubber at a size classification of 80 mesh 
or finer as defined in the ASTM standard D5603– 
01. 
‘‘(e) CONTROLLED GROUPS.—For purposes of this 
section, all persons treated as a single employer under sub-
section (a) or (b) of section 52 or subsection (m) or (o) 
of section 414 shall be treated as one person, and the dol-
lar limitation applicable under subsection (b) for any tax-
able year shall be allocated among such persons in propor-
tion to their purchases of qualified tires during such year. 
VerDate Nov 24 2008 
02:23 Apr 07, 2009
Jkt 079200
PO 00000
Frm 00006
Fmt 6652
Sfmt 6201
E:\BILLS\H1888.IH
H1888
wwoods2 on PRODPC68 with BILLS
‘‘(f) BASIS ADJUSTMENT.—For purposes of this sub-
title, if a credit is determined under this section with re-
spect to any tire, the basis of such tire shall be reduced 
by the amount of the credit so allowed. 
‘‘(g) APPLICATION OF SECTION.—This section shall 
apply to tires purchased during the 5-year period begin-
ning on the day after the date of the enactment of this 
section.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Subsection (b) of section 38 of such Code 
is amended by striking ‘‘plus’’ at the end of para-
graph (34), by striking the period at the end of 
paragraph (35) and inserting ‘‘, plus’’, and by add-
ing at the end the following new paragraph: 
‘‘(36) in the case of an eligible taxpayer (as de-
fined in section 45R(b)), the recycled rubber tire 
credit determined under section 45R(a).’’. 
(2) Subsection (a) of section 1016 of such Code 
is amended by striking ‘‘and’’ at the end of para-
graph (36), by striking the period at the end of 
paragraph (37) and inserting ‘‘, and’’, and by add-
ing at the end the following new paragraph: 
‘‘(38) to the extent provided in section 
45R(f).’’. 
VerDate Nov 24 2008 
02:23 Apr 07, 2009
Jkt 079200
PO 00000
Frm 00007
Fmt 6652
Sfmt 6201
E:\BILLS\H1888.IH
H1888
wwoods2 on PRODPC68 with BILLS
(3) The table of sections for subpart D of part 
IV of subchapter A of chapter 1 of such Code is 
amended by adding at the end the following new 
item: 
‘‘Sec. 45R. Purchases by vehicle fleet operators of tires made from recycled 
rubber.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to purchases made after the date 
of the enactment of this Act in taxable years ending after 
such date. 
Æ 
VerDate Nov 24 2008 
02:23 Apr 07, 2009
Jkt 079200
PO 00000
Frm 00008
Fmt 6652
Sfmt 6301
E:\BILLS\H1888.IH
H1888
wwoods2 on PRODPC68 with BILLS