H. R. 6—442
the amount determined under subparagraph (A) as the 
amount of such expenditures made by such individual 
during such calendar year bears to the aggregate of such 
expenditures made by all of such individuals during such 
calendar year. 
‘‘(C) Subparagraphs (A) and (B) shall be applied sepa-
rately with respect to expenditures described in paragraphs 
(1), (2), and (3) of subsection (d). 
‘‘(5) TENANT-STOCKHOLDER IN COOPERATIVE HOUSING COR-
PORATION.—In the case of an individual who is a tenant-stock-
holder (as defined in section 216) in a cooperative housing 
corporation (as defined in such section), such individual shall 
be treated as having made his tenant-stockholder’s propor-
tionate share (as defined in section 216(b)(3)) of any expendi-
tures of such corporation. 
‘‘(6) CONDOMINIUMS.— 
‘‘(A) IN GENERAL.—In the case of an individual who 
is a member of a condominium management association 
with respect to a condominium which the individual owns, 
such individual shall be treated as having made the individ-
ual’s proportionate share of any expenditures of such 
association. 
‘‘(B) CONDOMINIUM
MANAGEMENT
ASSOCIATION.—For 
purposes of this paragraph, the term ‘condominium 
management association’ means an organization which 
meets the requirements of paragraph (1) of section 528(c) 
(other than subparagraph (E) thereof) with respect to a 
condominium project substantially all of the units of which 
are used as residences. 
‘‘(7) ALLOCATION IN CERTAIN CASES.—If less than 80 percent 
of the use of an item is for nonbusiness purposes, only that 
portion of the expenditures for such item which is properly 
allocable to use for nonbusiness purposes shall be taken into 
account. 
‘‘(8) WHEN EXPENDITURE MADE; AMOUNT OF EXPENDITURE.— 
‘‘(A) IN GENERAL.—Except as provided in subparagraph 
(B), an expenditure with respect to an item shall be treated 
as made when the original installation of the item is com-
pleted. 
‘‘(B) EXPENDITURES
PART
OF
BUILDING
CONSTRUC-
TION.—In the case of an expenditure in connection with 
the construction or reconstruction of a structure, such 
expenditure shall be treated as made when the original 
use of the constructed or reconstructed structure by the 
taxpayer begins. 
‘‘(9) 
PROPERTY
FINANCED
BY
SUBSIDIZED
ENERGY 
FINANCING.—For purposes of determining the amount of 
expenditures made by any individual with respect to any 
dwelling unit, there shall not be taken into account expendi-
tures which are made from subsidized energy financing (as 
defined in section 48(a)(4)(C)). 
‘‘(f) BASIS ADJUSTMENTS.—For purposes of this subtitle, if a 
credit is allowed under this section for any expenditure with respect 
to any property, the increase in the basis of such property which 
would (but for this subsection) result from such expenditure shall 
be reduced by the amount of the credit so allowed.
H. R. 6—443
‘‘(g) TERMINATION.—The credit allowed under this section shall 
not apply to property placed in service after December 31, 2007.’’. 
(b) CONFORMING AMENDMENTS.— 
(1) Section 23(c) is amended by striking ‘‘this section and 
section 1400C’’ and inserting ‘‘this section, section 25D, and 
section 1400C’’. 
(2) Section 25(e)(1)(C) is amended by striking ‘‘this section 
and sections 23 and 1400C’’ and inserting ‘‘other than this 
section, section 23, section 25D, and section 1400C’’. 
(3) Section 1400C(d) is amended by striking ‘‘this section’’ 
and inserting ‘‘this section and section 25D’’. 
(4) Section 1016(a), as amended by this Act, is amended 
by striking ‘‘and’’ at the end of paragraph (33), by striking 
the period at the end of paragraph (34) and inserting ‘‘, and’’, 
and by adding at the end the following new paragraph: 
‘‘(35) to the extent provided in section 25D(f), in the case 
of amounts with respect to which a credit has been allowed 
under section 25D.’’. 
(5) The table of sections for subpart A of part IV of sub-
chapter A of chapter 1, as amended by this Act, is amended 
by inserting after the item relating to section 25C the following 
new item:
‘‘Sec. 25D. Residential energy efficient property.’’.
(c) EFFECTIVE DATES.—The amendments made by this section 
shall apply to property placed in service after December 31, 2005, 
in taxable years ending after such date. 
SEC. 1336. CREDIT FOR BUSINESS INSTALLATION OF QUALIFIED FUEL 
CELLS 
AND 
STATIONARY 
MICROTURBINE 
POWER 
PLANTS. 
(a) IN GENERAL.—Section 48(a)(3)(A) (defining energy property) 
is amended by striking ‘‘or’’ at the end of clause (i), by adding 
‘‘or’’ at the end of clause (ii), and by inserting after clause (ii) 
the following new clause: 
‘‘(iii) qualified fuel cell property or qualified micro-
turbine property,’’. 
(b) QUALIFIED FUEL CELL PROPERTY; QUALIFIED MICROTURBINE 
PROPERTY.—Section 48 (relating to energy credit) is amended by 
adding at the end the following new subsection: 
‘‘(c) QUALIFIED FUEL CELL PROPERTY; QUALIFIED MICROTURBINE 
PROPERTY.—For purposes of this subsection— 
‘‘(1) QUALIFIED FUEL CELL PROPERTY.— 
‘‘(A) IN GENERAL.—The term ‘qualified fuel cell prop-
erty’ means a fuel cell power plant which— 
‘‘(i) has a nameplate capacity of at least 0.5 kilo-
watt of electricity using an electrochemical process, 
and 
‘‘(ii) has an electricity-only generation efficiency 
greater than 30 percent. 
‘‘(B) LIMITATION.—In the case of qualified fuel cell prop-
erty placed in service during the taxable year, the credit 
otherwise determined under paragraph (1) for such year 
with respect to such property shall not exceed an amount 
equal to $500 for each 0.5 kilowatt of capacity of such 
property. 
‘‘(C) FUEL
CELL
POWER
PLANT.—The term ‘fuel cell 
power plant’ means an integrated system comprised of