I 
109TH CONGRESS 
1ST SESSION H. R. 3273 
To amend the Internal Revenue Code of 1986 to allow a deduction for 
flexible fuel vehicles. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 13, 2005 
Mr. SAXTON (for himself and Mr. GERLACH) 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 
deduction for flexible fuel vehicles. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. DEDUCTION FOR FLEXIBLE FUEL VEHICLES. 
(a) IN GENERAL.—Paragraph (1) of section 179A(a) 
of the Internal Revenue Code of 1986 is amended by strik-
ing ‘‘and’’ at the end of subparagraph (A), by striking 
the period at the end of subparagraph (B) and inserting 
‘‘, and’’, and by inserting after subparagraph (B) the fol-
lowing new subparagraph: 
‘‘(C) any qualified flexible fuel vehicle.’’.
(b) QUALIFIED FLEXIBLE FUEL VEHICLE.—Section 
179A of such Code is amended by redesignating sub-
sections (e) and (f) as subsections (f) and (g) and by in-
serting after subsection (d) the following new subsection: 
‘‘(e) QUALIFIED FLEXIBLE FUEL VEHICLE.—For 
purposes of this section— 
‘‘(1) IN GENERAL.—The term ‘qualified flexible 
fuel vehicle’ means, subject to the limitation of para-
graph (3), a motor vehicle produced by an original 
equipment manufacturer which meets the require-
ments of paragraph (2) and is designed so that vehi-
cle is propelled by an engine which can use each of 
the following to propel the vehicle: 
‘‘(A) Gasoline. 
‘‘(B) One or more fuels at least 85 percent 
of which is 1 or more of the following: meth-
anol, ethanol, any other alcohol, or ether. 
‘‘(C) Any combination of gasoline and one 
or more of the fuels described in subparagraph 
(B). 
‘‘(2) OTHER REQUIREMENTS.—A vehicle meets 
the requirements of this paragraph if— 
‘‘(A) the vehicle is acquired for use by the 
taxpayer and not for resale, and
‘‘(B) the original use of the vehicle com-
mences with the taxpayer. 
‘‘(3) LIMITATION.—A qualified flexible fuel ve-
hicle shall be taken into account for purposes of this 
section only to the extent of the portion of the basis 
of such vehicle which is attributable to an engine 
which may use the fuels described in paragraph (1), 
to the storage or delivery to the engine of such fuels, 
or to the exhaust of gases from combustion of such 
fuels. 
‘‘(4) EXCEPTIONS.—The term ‘qualified flexible 
fuel vehicle’ does not include any qualified electric 
vehicle (as defined in section 30(c)) or any vehicle 
to which subsection (a)(1)(A) applies.’’. 
(c) CONFORMING AMENDMENTS.— 
(1) Paragraph (2) of section 179A(a) of such 
Code is amended by striking ‘‘If a vehicle’’ and in-
serting ‘‘If a vehicle to which paragraph (1)(A) ap-
plies’’. 
(2) Paragraph (1) of section 179A(b) of such 
Code is amended— 
(A) in the heading for such paragraph, by 
inserting ‘‘AND QUALIFIED FLEXIBLE FUEL VE-
HICLES’’ after ‘‘PROPERTY’’,
(B) in subparagraph (A), by striking ‘‘sub-
section (a)(1)(A)’’ and inserting ‘‘subpara-
graphs (A) and (C) of subsection (a)(1)’’, and 
(C) in the heading for subparagraph (B), 
by inserting ‘‘FOR QUALIFIED CLEAN-FUEL VE-
HICLE PROPERTY’’ after ‘‘PHASEOUT’’. 
(d) TERMINATION.—Subsection (g) of section 179A 
of such Code (relating to termination), as redesignated by 
this section, is amended to read as follows: 
‘‘(g) TERMINATION.— This section shall not apply 
to— 
‘‘(1) any qualified clean-fuel vehicle property or 
any qualified clean-fuel vehicle refueling property 
placed in service after December 31, 2006, or 
‘‘(2) any qualified flexible fuel vehicle placed in 
service after December 31, 2010.’’. 
(e) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
the date of the enactment of this Act. 
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