‘‘SEC. 45K. CREDIT FOR CERTAIN SALES OF LIFESAVING 
VACCINES. 
‘‘(a) IN GENERAL.—For purposes of section 38, the 
lifesaving vaccine sale credit determined under this section 
with respect to a taxpayer for the taxable year is an 
amount equal to the amount of qualified vaccine sales for 
the taxable year. 
‘‘(b) QUALIFIED VACCINE SALES.—For purposes of 
this section— 
‘‘(1) IN GENERAL.—The term ‘qualified vaccine 
sales’ means the aggregate amount paid to the tax-
payer for a qualified sale. 
‘‘(2) QUALIFIED SALE.— 
‘‘(A) IN
GENERAL.—The term ‘qualified 
sale’ means a sale of a qualified vaccine— 
‘‘(i) to a nonprofit organization or to 
a government of any foreign country (or 
instrumentality of such a government), and 
‘‘(ii) for distribution in a developing 
country. 
‘‘(B) DEVELOPING
COUNTRY.—For pur-
poses of this paragraph, the term ‘developing 
country’ means a country which the Secretary 
determines to be a country with a lower middle 
income or less (as such term is used by the
International Bank for Reconstruction and De-
velopment). 
‘‘(3) QUALIFIED VACCINE.—The term ‘qualified 
vaccine’ means any vaccine and microbicide— 
‘‘(A) 
which 
is 
described 
in 
section 
45J(b)(2), and 
‘‘(B) which is approved as a new drug 
after the date of the enactment of this para-
graph by— 
‘‘(i) the Food and Drug Administra-
tion, 
‘‘(ii) the World Health Organization, 
or 
‘‘(iii) the appropriate authority of a 
country included in the list under section 
802(b)(1) of the Federal Food, Drug, and 
Cosmetic Act. 
‘‘(c) LIMIT ON AMOUNT OF CREDIT.—The maximum 
amount of the credit allowable under subsection (a) with 
respect to a sale shall not exceed the portion of the limita-
tion amount allocated under subsection (d) with respect 
to such sale. 
‘‘(d) NATIONAL LIMITATION ON AMOUNT OF CRED-
ITS.—
‘‘(1) IN GENERAL.—Except as provided in para-
graph (3), there is a lifesaving vaccine sale credit 
limitation amount for each calendar year equal to— 
‘‘(A) $100,000,000 for each of years 2006 
through 2010, and 
‘‘(B) $125,000,000 for each of years 2011 
through 2012. 
‘‘(2) ALLOCATION OF LIMITATION.— 
‘‘(A) IN GENERAL.—The limitation amount 
under paragraph (1) shall be allocated for any 
calendar year by the Administrator of the 
United States Agency for International Devel-
opment (referred to in this section as the ‘Ad-
ministrator’) among organizations with an ap-
plication approved by the Administrator in ac-
cordance with subparagraph (B). 
‘‘(B) APPLICATION
FOR
ALLOCATION.— 
The Administrator shall prescribe the proce-
dures for an application for an allocation under 
this subsection and the factors to be taken into 
account in making such allocations. Such appli-
cations shall be made at such time and in such 
form and manner as the Administrator shall 
prescribe and shall include a detailed plan for 
distribution of the vaccine.
‘‘(3) CARRYOVER OF UNUSED LIMITATION.—If 
the limitation amount under paragraph (1) for any 
calendar year exceeds the aggregate amount allo-
cated under paragraph (2), such limitation for the 
following calendar year shall be increased by the 
amount of such excess. No amount may be carried 
under the preceding sentence to any calendar year 
after 2024. 
‘‘(e) SPECIAL RULES.—For purposes of this section, 
rules similar to the rules of section 41(f)(2) shall apply.’’. 
(b) INCLUSION IN GENERAL BUSINESS CREDIT.— 
Section 38(b) of the Internal Revenue Code of 1986 (relat-
ing to current year business credit), as amended by section 
4(b), is amended by striking ‘‘plus’’ at the end of para-
graph (19), by striking the period at the end of paragraph 
(20) and inserting ‘‘, plus’’, and by adding at the end the 
following new paragraph: 
‘‘(21) the lifesaving vaccine sale credit deter-
mined under section 45K.’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986, as amended by sec-
tion 2(c), is amended by adding at the end the following 
new item: 
‘‘Sec. 45K. Credit for certain sales of lifesaving vaccines.’’.