I
107TH CONGRESS
1ST SESSION
H. R. 1438
To amend the Internal Revenue Code of 1986 to allow a credit against
income tax for taxpayers owning certain commercial power takeoff vehicles.
IN THE HOUSE OF REPRESENTATIVES
APRIL 4, 2001
Mr. COLLINS 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 taxpayers owning certain
commercial power takeoff vehicles.
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 ‘‘Fuel Tax Equalization
Credit for Substantial Power Takeoff Vehicles Act’’.
SEC. 2. CREDIT FOR TAXPAYERS OWNING COMMERCIAL
POWER TAKEOFF VEHICLES.
(a) IN GENERAL.—Subpart D of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of
1986 (relating to business-related credits) is amended by
adding at the end the following new section:
‘‘SEC. 45E. COMMERCIAL POWER TAKEOFF VEHICLES
CREDIT.
‘‘(a) GENERAL RULE.—For purposes of section 38,
the amount of the commercial power takeoff vehicles credit
determined under this section for the taxable year is $250
for each qualified commercial power takeoff vehicle owned
by the taxpayer as of the close of the calendar year in
which or with which the taxable year of the taxpayer ends.
‘‘(b) DEFINITIONS.—For purposes of this section—
‘‘(1) QUALIFIED COMMERCIAL POWER TAKEOFF
VEHICLE.—The term ‘qualified commercial power
takeoff vehicle’ means any highway vehicle described
in paragraph (2) which is propelled by any fuel sub-
ject to tax under section 4041 or 4081 if such vehi-
cle is used in a trade or business or for the produc-
tion of income (and is licensed and insured for such
use).
‘‘(2) HIGHWAY VEHICLE DESCRIBED.—A high-
way vehicle is described in this paragraph if such ve-
hicle is—
‘‘(A) designed to engage in the daily collec-
tion of refuse or recyclables from homes or
businesses and is equipped with a mechanism
under which the vehicle’s propulsion engine pro-
vides the power to operate a load compactor, or
‘‘(B) designed to deliver ready mixed con-
crete on a daily basis and is equipped with a
mechanism under which the vehicle’s propulsion
engine provides the power to operate a mixer
drum to agitate and mix the product en route
to the delivery site.
‘‘(c) EXCEPTION FOR VEHICLES USED BY GOVERN-
MENTS, ETC.—No credit shall be allowed under this sec-
tion for any vehicle owned by any person at the close of
a calendar year if such vehicle is used at any time during
such year by—
‘‘(1) the United States or an agency or instru-
mentality thereof, a State, a political subdivision of
a State, or an agency or instrumentality of one or
more States or political subdivisions, or
‘‘(2) an organization exempt from tax under
section 501(a).
‘‘(d) DENIAL OF DOUBLE BENEFIT.—The amount of
any deduction under this subtitle for any tax imposed by
subchapter B of chapter 31 or part III of subchapter A
of chapter 32 for any taxable year shall be reduced (but
not below zero) by the amount of the credit determined
under this subsection for such taxable year.’’.
(b) CREDIT MADE PART OF GENERAL BUSINESS
CREDIT.—Subsection (b) of section 38 of the Internal
Revenue Code of 1986 (relating to general business credit)
is amended by striking ‘‘plus’’ at the end of paragraph
(12), by striking the period at the end of paragraph (13)
and inserting ‘‘, plus’’, and by adding at the end the fol-
lowing new paragraph:
‘‘(14) the commercial power takeoff vehicles
credit under section 45E(a).’’.
(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 is amended by add-
ing at the end the following new item:
‘‘Sec. 45E. Commercial power takeoff vehicles credit.’’.
(d) EFFECTIVE DATE.—The amendments made by
this section shall apply to taxable years ending after De-
cember 31, 2000.
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