I 
111TH CONGRESS 
1ST SESSION H. R. 2069 
To amend the Internal Revenue Code of 1986 to provide a credit for the 
purchase of new motor vehicles. 
IN THE HOUSE OF REPRESENTATIVES 
APRIL 23, 2009 
Mr. HOEKSTRA 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 provide 
a credit for the purchase of new motor 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 ‘‘Credit for New Cars 
Act of 2009’’. 
SEC. 2. CREDIT FOR NEW MOTOR VEHICLE PURCHASES. 
(a) IN GENERAL.—Subpart B of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 (relating to other credits) is amended by adding at 
the end the following new section: 
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‘‘SEC. 30E. NEW MOTOR VEHICLES. 
‘‘(a) ALLOWANCE OF CREDIT.—There shall be al-
lowed as a credit against the tax imposed by this chapter 
for the taxable year an amount equal to $3,000 with re-
spect to each qualified motor vehicle placed in service by 
the taxpayer during the taxable year. 
‘‘(b) LIMITATION ON VALUE OF VEHICLES TAKEN 
INTO ACCOUNT.—No credit shall be allowed under sub-
section (a) with respect to any vehicle the fair market 
value of which equals or exceeds $40,000 (determined im-
mediately before such vehicle is placed in service by the 
taxpayer). 
‘‘(c) LIMITATIONS WITH RESPECT
TO BUSINESS 
CREDIT.— 
‘‘(1) 50 PERCENT OF CREDIT ALLOWED.—50 
percent of so much of the credit which would be al-
lowed under subsection (a) for any taxable year (de-
termined without regard to this subsection) that is 
attributable to qualfied motor vehicles of a character 
subject to an allowance for depreciation shall be 
treated as a credit listed in section 38(b) for such 
taxable year (and not allowed under subsection (a)). 
‘‘(2) NOT MORE THAN 2 VEHICLES TAKEN INTO 
ACCOUNT.—Not more than 2 qualified motor vehi-
cles may be taken into account under paragraph (1). 
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sections 23, 25D, 30, and 30D) and section 27 
for the taxable year. 
‘‘(e) QUALIFIED MOTOR VEHICLE.—For purposes of 
this section— 
‘‘(1) IN GENERAL.—The term ‘qualified motor 
vehicle’ means a motor vehicle— 
‘‘(A) the original use of which commences 
with the taxpayer, 
‘‘(B) which is acquired for use or lease by 
the taxpayer and not for resale, and 
‘‘(C) which is made by a manufacturer, 
‘‘(D) the final assembly of which is in the 
United States, 
‘‘(E) which is treated as a motor vehicle 
for purposes of title II of the Clean Air Act, 
and 
‘‘(F) which has a gross vehicle weight rat-
ing of not more than 8,500 pounds. 
‘‘(2) MOTOR VEHICLE; MANUFACTURER.—The 
terms ‘motor vehicle’ and ‘manufacturer’ have the 
meaning given such terms in section 30D(d). 
‘‘(f) SPECIAL RULES.—For purposes of this sec-
tion— 
‘‘(1) REDUCTION IN BASIS.—For purposes of 
this subtitle, the basis of any property for which a 
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credit is allowable under subsection (a) shall be re-
duced by the amount of such credit so allowed (de-
termined without regard to subsections (c) and (d)). 
‘‘(2) NO
DOUBLE
BENEFIT.—The amount of 
any deduction or other credit allowable under this 
chapter for a qualified motor vehicle shall be reduced 
by the amount of credit allowed under subsection (a) 
for such vehicle (determined without regard to sub-
sections (c) and (d)). 
‘‘(3) PROPERTY USED BY TAX-EXEMPT ENTI-
TY.—In the case of a vehicle the use of which is de-
scribed in paragraph (3) or (4) of section 50(b) and 
which is not subject to a lease, the person who sold 
such vehicle to the person or entity using such vehi-
cle shall be treated as the taxpayer that placed such 
vehicle in service, but only if such person clearly dis-
closes to such person or entity in a document the 
amount of any credit allowable under subsection (a) 
with respect to such vehicle (determined without re-
gard to subsections (c) and (d)). Property to which 
this paragraph applies shall be treated for purposes 
of subsections (c) and (d) as property of a character 
subject to an allowance for depreciation. 
‘‘(4) PROPERTY USED OUTSIDE UNITED STATES 
NOT QUALIFIED.—No credit shall be allowable under 
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subsection (a) with respect to any property referred 
to in section 50(b)(1). 
‘‘(5) RECAPTURE.—The Secretary shall, by reg-
ulations, provide for recapturing the benefit of any 
credit allowable under subsection (a) with respect to 
any property which ceases to be property eligible for 
such credit. 
‘‘(6) ELECTION
TO
NOT
TAKE
CREDIT.—No 
credit shall be allowed under subsection (a) for any 
vehicle if the taxpayer elects not to have this section 
apply to such vehicle. 
‘‘(7) INTERACTION
WITH
AIR
QUALITY
AND 
MOTOR VEHICLE SAFETY STANDARDS.—Unless oth-
erwise provided in this section, a motor vehicle shall 
not be considered eligible for a credit under this sec-
tion unless such vehicle is in compliance with— 
‘‘(A) the applicable provisions of the Clean 
Air Act for the applicable make and model year 
of the vehicle (or applicable air quality provi-
sions of State law in the case of a State which 
has adopted such provision under a waiver 
under section 209(b) of the Clean Air Act), and 
‘‘(B) the motor vehicle safety provisions of 
sections 30101 through 30169 of title 49, 
United States Code. 
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‘‘(g) TERMINATION.—No credit shall be allowed 
under this section with respect to any vehicle placed in 
service after December 31, 2009.’’. 
(b) CREDIT MADE PART OF GENERAL BUSINESS 
CREDIT.—Section 38(b) of such Code is amended by strik-
ing ‘‘plus’’ at the end of paragraph (34), by striking the 
period at the end of paragraph (35) and inserting ‘‘, plus’’, 
and by adding at the end the following new paragraph: 
‘‘(36) the portion of the new motor vehicle cred-
it to which section 30E(c) applies.’’. 
(c) CONFORMING AMENDMENTS.— 
(1)(A) Section 24(b)(3)(B) of such Code is 
amended by striking ‘‘and 30D’’ and inserting 
‘‘30D, and 30E’’. 
(B) Section 25(e)(1)(C)(ii) of such Code is 
amended by inserting ‘‘30E,’’ after ‘‘30D,’’. 
(C) Section 25B(g)(2) of such Code is amended 
by striking ‘‘and 30D’’ and inserting ‘‘, 30D, and 
30E’’. 
(D) Section 26(a)(1) of such Code is amended 
by striking ‘‘and 30D’’ and inserting ‘‘30D, and 
30E’’. 
(E) Section 904(i) of such Code is amended by 
striking ‘‘and 30D’’ and inserting ‘‘30D, and 30E’’. 
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(F) Section 1400C(d)(2) of such Code is 
amended by striking ‘‘and 30D’’ and inserting 
‘‘30D, and 30E’’. 
(2) Section 1016(a) of such Code is amended 
by striking ‘‘and’’ at the end of paragraph (36), by 
striking the period at the end of paragraph (37) and 
inserting ‘‘, and’’, and by adding at the end the fol-
lowing new paragraph: 
‘‘(38) to the extent provided in section 
30E(f)(1).’’. 
(3) Section 6501(m) of such Code is amended 
by inserting ‘‘30E(f)(6),’’ after ‘‘30D(e)(4),’’. 
(4) The table of sections for subpart B of part 
IV of subchapter A of chapter 1 of such Code is 
amended by adding at the end the following new 
item: 
‘‘Sec. 30E. New motor vehicles.’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to vehicles acquired after Decem-
ber 31, 2008, in taxable years ending after such date. 
(e) APPLICATION
OF
EGTRRA SUNSET.—The 
amendment made by subsection (c)(1)(A) shall be subject 
to title IX of the Economic Growth and Tax Relief Rec-
onciliation Act of 2001 in the same manner as the provi-
sion of such Act to which such amendment relates. 
Æ 
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