117th CONGRESS 1st Session |
To amend the Internal Revenue Code of 1986 to provide for a credit for zero-emission buses.
March 1, 2021
Ms. Cortez Masto introduced the following bill; which was read twice and referred to the Committee on Finance
To amend the Internal Revenue Code of 1986 to provide for a credit for zero-emission buses.
Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,
This Act may be cited as the “Green Bus Tax Credit Act of 2021”.
SEC. 2. Credit for zero-emission buses.
(a) In general.—Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by adding at the end the following new section:
“SEC. 45U. Zero-emission bus credit.
“(a) Allowance of credit.—For purposes of section 38, in the case of a manufacturer of a zero-emission bus, the zero-emission bus credit determined under this section for a taxable year is an amount equal to 10 percent of the sum of the sale price of each zero-emission bus sold by such taxpayer during such taxable year.
“(b) Limitation.—The sale price of a zero-emission bus may not be taken into account under subsection (a) to the extent such price exceeds $1,000,000.
“(c) Zero-Emission bus.—For purposes of this section—
“(1) IN GENERAL.—The term ‘zero-emission bus’ means a motor vehicle which—
“(A) has a gross vehicle weight rating of not less than 14,000 pounds,
“(B) is not powered or charged by an internal combustion engine,
“(C) is propelled solely by an electric motor which draws electricity from a battery or fuel cell,
“(D) is designed to carry 15 or more passengers, and
“(E) satisfies the requirements established under section 5323(j) of title 49, United States Code.
“(2) MOTOR VEHICLE; MANUFACTURER.—The term ‘motor vehicle’ and ‘manufacturer’ have the meaning given such terms in paragraphs (2) and (3) of section 30D(d), respectively.
“(1) SALE PRICE.—For purposes of this section, the sale price of a zero-emission bus shall be reduced by any rebate or other incentive given before, on, or after the date of the sale.
“(2) DOMESTIC USE.—No credit shall be allowed under subsection (a) with respect to a zero-emission bus to a manufacturer who knows or has reason to know that such vehicle will not be used primarily in the United States or a possession of the United States.
“(3) REGULATIONS.—The Secretary shall prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section, including procedures for manufacturers to certify compliance with the requirements under subsection (c)(1)(E) and to conduct audits with respect to vehicles for which a credit is allowed under this section to ensure such requirements have been satisfied.
“(e) Termination.—This section shall not apply to sales after December 31, 2026.”.
(b) Credit made part of general business credit.—Subsection (b) of section 38 of such Code is amended by striking “plus” at the end of paragraph (32), by striking the period at the end of paragraph (33) and inserting “, plus”, and by adding at the end the following new paragraph:
“(34) the zero-emission bus credit determined under section 45U.”.
(c) Clerical amendment.—The table of sections for subpart D of part IV of subchapter A of chapter 1 of such Code is amended by adding at the end the following new item:
“Sec. 45U. Zero-emission bus credit.”.
(d) Effective date.—The amendments made by this section shall apply to sales after the date of the enactment of this Act.