Green VAN Act of 2021
Bill: H.R.5180 | Sponsor: Rep. Beyer, Donald S., Jr. (D-VA)
Policy area: Taxation

Summary:
Green Vehicle Adoption Nationwide Act of 2021 or the Green VAN Act of 2021
This bill allows a new tax credit through 2031 for an amount equal to 30% of the basis of a qualified commercial electric vehicle. A qualified commercial electric vehicle must meet certain eligibility requirements, and must be mobile machinery and primarily propelled by an electric motor that draws electricity from a battery that (1) has a capacity of not less than 30 kilowatt hours, (2) is capable of being recharged from an external source of electricity, and (3) is not powered or charged by an internal combustion engine.

To amend the Internal Revenue Code of 1986 to establish a tax credit 
  for qualified commercial electric vehicles, and for other purposes.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Green Vehicle Adoption Nationwide 
Act of 2021'' or the ``Green VAN Act of 2021''.

SEC. 2. QUALIFIED COMMERCIAL ELECTRIC VEHICLES.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
is amended by adding at the end the following new section:

``SEC. 45U. CREDIT FOR QUALIFIED COMMERCIAL ELECTRIC VEHICLES.

    ``(a) In General.--For purposes of section 38, the qualified 
commercial electric vehicle credit for any taxable year is an amount 
equal to the sum of the credit amounts determined under subsection (b) 
with respect to each qualified commercial electric vehicle placed in 
service by the taxpayer during the taxable year.
    ``(b) Per Vehicle Amount.--The amount determined under this 
subsection with respect to any qualified commercial electric vehicle 
shall be equal to 30 percent of the basis of such vehicle.
    ``(c) Qualified Commercial Electric Vehicle.--For purposes of this 
section, the term `qualified commercial electric vehicle' means any 
vehicle which--
            ``(1) meets the requirements of subparagraphs (A), (B), and 
        (C) of section 36C(c)(1),
            ``(2) either--
                    ``(A) meets the requirements of subparagraph (D) of 
                section 36C(c)(1), or
                    ``(B) is mobile machinery, as defined in section 
                4053(8),
            ``(3) is primarily propelled by an electric motor which 
        draws electricity from a battery which--
                    ``(A) has a capacity of not less than 30 kilowatt 
                hours,
                    ``(B) is capable of being recharged from an 
                external source of electricity, and
                    ``(C) is not powered or charged by an internal 
                combustion engine, and
            ``(4) is of a character subject to the allowance for 
        depreciation.
    ``(d) Special Rules.--
            ``(1) In general.--Rules similar to the rules under 
        subsections (d) of section 36C shall apply for purposes of this 
        section.
            ``(2) Property used by tax-exempt entity.--In the case of a 
        vehicle the use of which is described 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 
        vehicle shall be treated as the taxpayer that placed such 
        vehicle in service, but only if such person clearly discloses 
        to such person or entity in a document the amount of any credit 
        allowable under subsection (a) with respect to such vehicle.
    ``(e) VIN Number Requirement.--No credit shall be determined under 
subsection (a) with respect to any vehicle unless the taxpayer includes 
the vehicle identification number of such vehicle on the return of tax 
for the taxable year.
    ``(f) Termination.--No credit shall be determined under this 
section with respect to any vehicle acquired after December 31, 
2031.''.
    (b) Conforming Amendments.--
            (1) Section 38(b) is amended by striking paragraph (30) and 
        inserting the following:
            ``(30) the qualified commercial electric vehicle credit 
        determined under section 45U,''.
            (2) Section 6213(g)(2), as amended by the preceding 
        provisions of this Act, is amended--
                    (A) in subparagraph (S), by striking ``and'' at the 
                end,
                    (B) in subparagraph (T), by striking the period at 
                the end and inserting ``, and'', and
                    (C) by adding at the end the following:
                    ``(U) an omission of a correct vehicle 
                identification number required under section 45U(e) 
                (relating to commercial electric vehicle credit) to be 
                included on a return.''.
            (3) The table of sections for subpart D of part IV of 
        subchapter A of chapter 1 is amended by adding at the end the 
        following new item:

``Sec. 45U. Qualified commercial electric vehicle credit.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to vehicles acquired after December 31, 2021.
                                 <all>