American
Recovery and Reinvestment Act of 2009 -
Electric Vehicles
| PART V - Plug-In Electric Drive Motor Vehicles SEC. 1141. CREDIT FOR NEW QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES. (a) IN GENERAL.—Section 30D is amended to read as follows: ‘‘SEC. 30D. NEW QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES. ‘‘(a) ALLOWANCE OF CREDIT.—There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to the sum of the credit amounts determined under subsection (b) with respect to each new qualified plug-in electric drive motor vehicle placed in service by the taxpayer during the taxable year. ‘‘(b) PER VEHICLE DOLLAR LIMITATION.— ‘‘(1) IN GENERAL.—The amount determined under this subsection with respect to any new qualified plug-in electric drive motor vehicle is the sum of the amounts determined under paragraphs (2) and (3) with respect to such vehicle. ‘‘(2) BASE AMOUNT.—The amount determined under this paragraph is $2,500. ‘‘(3) BATTERY CAPACITY.—In the case of a vehicle which draws propulsion energy from a battery with not less than 5 kilowatt hours of capacity, the amount determined under this paragraph is $417, plus $417 for each kilowatt hour of capacity in excess of 5 kilowatt hours. The amount determined under this paragraph shall not exceed $5,000. ‘‘(c) APPLICATION WITH OTHER CREDITS.— ‘‘(1) BUSINESS CREDIT TREATED AS PART OF GENERAL BUSINESS CREDIT.—So much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to property 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) PERSONAL CREDIT.— ‘‘(A) IN GENERAL.—For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year. ‘‘(B) LIMITATION BASED ON AMOUNT OF TAX.—In the case of a taxable year to which section 26(a)(2) does not apply, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall not exceed the excess of— ‘‘(i) the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over ‘‘(ii) the sum of the credits allowable under subpart A (other than this section and sections 23 and 25D) and section 27 for the taxable year. ‘‘(d) NEW QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE.—For purposes of this section— ‘‘(1) IN GENERAL.—The term ‘new qualified plug-in electric drive motor vehicle’ means a motor vehicle— |
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‘‘(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, ‘‘(C) which is made by a manufacturer, ‘‘(D) which is treated as a motor vehicle for purposes
of title II of the Clean Air Act, ‘‘(E) which has a gross vehicle weight rating of less than 14,000 pounds, and
‘‘(F) which is propelled to a significant extent by an electric motor which draws electricity from a battery which—
‘‘(i) has a capacity of not less than 4 kilowatt hours, and ‘‘(ii) is capable of being recharged from an external source of electricity.
‘‘(2) MOTOR VEHICLE.—The term ‘motor vehicle’ means any vehicle which is manufactured primarily for use on public streets, roads, and highways (not including a vehicle operated exclusively on a rail or rails) and which has at least 4 wheels.
‘‘(3) MANUFACTURER.—The term ‘manufacturer’ has the meaning given such term in regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.).
‘‘(4) BATTERY CAPACITY.—The term ‘capacity’ means, with respect to any battery, the quantity of electricity which the battery is capable of storing, expressed in kilowatt hours, as measured from a 100 percent state of charge to a 0 percent state of charge. ‘‘(e) LIMITATION ON NUMBER OF NEW QUALIFIED PLUG-IN ELEC
TRIC DRIVE MOTOR VEHICLES ELIGIBLE FOR CREDIT.—
‘‘(1) IN GENERAL.—In the case of a new qualified plug-in electric drive motor vehicle sold during the phaseout period, only the applicable percentage of the credit otherwise allowable under subsection (a) shall be allowed.
‘‘(2) PHASEOUT PERIOD.—For purposes of this subsection, the phaseout period is the period beginning with the second calendar quarter following the calendar quarter which includes the first date on which the number of new qualified plug-in electric drive motor vehicles manufactured by the manufacturer of the vehicle referred to in paragraph (1) sold for use in the United States after December 31, 2009, is at least 200,000.
‘‘(3) APPLICABLE PERCENTAGE.—For purposes of paragraph (1), the applicable percentage is— ‘‘(A) 50 percent for the first 2 calendar quarters of the phaseout period, ‘‘(B) 25 percent for the 3d and 4th calendar quarters of the phaseout period, and ‘‘(C) 0 percent for each calendar quarter thereafter.
‘‘(4) CONTROLLED GROUPS.—Rules similar to the rules of section 30B(f)(4) shall apply for purposes of this subsection. ‘‘(f) SPECIAL RULES.—
‘‘(1) BASIS REDUCTION.—For purposes of this subtitle, the basis of any property for which a credit is allowable under
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subsection (a) shall be reduced by the amount of such credit so allowed.
‘‘(2) NO DOUBLE BENEFIT.—The amount of any deduction or other credit allowable under this chapter for a new qualified plug-in electric drive motor vehicle shall be reduced by the amount of credit allowed under subsection (a) for such vehicle.
‘‘(3) 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 (determined without regard to subsection (c)).
‘‘(4) PROPERTY USED OUTSIDE UNITED STATES NOT QUALI-FIED.—No credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1).
‘‘(5) RECAPTURE.—The Secretary shall, by regulations, 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 NOT TO TAKE CREDIT.—No credit shall be allowed under subsection (a) for any vehicle if the taxpayer elects to not have this section apply to such vehicle.
‘‘(7) INTERACTION WITH AIR QUALITY AND MOTOR VEHICLE SAFETY STANDARDS.—A motor vehicle shall not be considered eligible for a credit under this section 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 provisions 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.’’.
(b)
CONFORMING AMENDMENTS.— (1) Section 30B(d)(3)(D) is amended by striking ‘‘subsection
(d)
thereof’’ and inserting ‘‘subsection (c) thereof’’.
(2)
Section 38(b)(35) is amended by striking ‘‘30D(d)(1)’’ and inserting ‘‘30D(c)(1)’’.
(3)
Section 1016(a)(25) is amended by striking ‘‘section 30D(e)(4)’’ and inserting ‘‘section 30D(f)(1)’’.
(4)
Section 6501(m) is amended by striking ‘‘section 30D(e)(9)’’ and inserting ‘‘section 30D(e)(4)’’.
(c) EFFECTIVE DATE.—The amendments made by this section shall apply to vehicles acquired after December 31, 2009.
SEC. 1142. CREDIT FOR CERTAIN PLUG-IN ELECTRIC VEHICLES.
(a) IN GENERAL.—Section 30 is amended to read as follows:
‘‘SEC. 30. CERTAIN PLUG-IN ELECTRIC VEHICLES.
‘‘(a) ALLOWANCE OF CREDIT.—There shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 10 percent of the cost of any qualified plug-in electric vehicle placed in service by the taxpayer during the taxable year.
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‘‘(b) PER VEHICLE DOLLAR LIMITATION.—The amount of the credit allowed under subsection (a) with respect to any vehicle shall not exceed $2,500.
‘‘(c) APPLICATION WITH OTHER CREDITS.—
‘‘(1) BUSINESS CREDIT TREATED AS PART OF GENERAL BUSINESS CREDIT.—So much of the credit which would be allowed under subsection (a) for any taxable year (determined without regard to this subsection) that is attributable to property 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) PERSONAL CREDIT.—
‘‘(A) IN GENERAL.—For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.
‘‘(B) LIMITATION BASED ON AMOUNT OF TAX.—In the case of a taxable year to which section 26(a)(2) does not apply, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall not exceed the excess of—
‘‘(i) the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over
‘‘(ii) the sum of the credits allowable under subpart A (other than this section and sections 23, 25D, and 30D) and section 27 for the taxable year.
‘‘(d) QUALIFIED PLUG-IN ELECTRIC VEHICLE.—For purposes of this section— ‘‘(1) IN GENERAL.—The term ‘qualified plug-in electric vehicle’ means a specified 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, ‘‘(C) which is made by a manufacturer, ‘‘(D) which is manufactured primarily for use on public
streets, roads, and highways, ‘‘(E) which has a gross vehicle weight rating of less than 14,000 pounds, and
‘‘(F) which is propelled to a significant extent by an electric motor which draws electricity from a battery which—
‘‘(i) has a capacity of not less than 4 kilowatt hours (2.5 kilowatt hours in the case of a vehicle with 2 or 3 wheels), and
‘‘(ii) is capable of being recharged from an external source of electricity. ‘‘(2) SPECIFIED VEHICLE.—The term ‘specified vehicle’ means any vehicle which—
‘‘(A) is a low speed vehicle within the meaning of section 571.3 of title 49, Code of Federal Regulations (as in effect on the date of the enactment of the American Recovery and Reinvestment Tax Act of 2009), or
‘‘(B) has 2 or 3 wheels.
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‘‘(3) MANUFACTURER.—The term ‘manufacturer’ has the meaning given such term in regulations prescribed by the Administrator of the Environmental Protection Agency for purposes of the administration of title II of the Clean Air Act (42 U.S.C. 7521 et seq.).
‘‘(4) BATTERY CAPACITY.—The term ‘capacity’ means, with respect to any battery, the quantity of electricity which the battery is capable of storing, expressed in kilowatt hours, as measured from a 100 percent state of charge to a 0 percent state of charge. ‘‘(e) SPECIAL RULES.—
‘‘(1) BASIS REDUCTION.—For purposes of this subtitle, the basis of any property for which a credit is allowable under subsection (a) shall be reduced by the amount of such credit so allowed.
‘‘(2) NO DOUBLE BENEFIT.—The amount of any deduction or other credit allowable under this chapter for a new qualified plug-in electric drive motor vehicle shall be reduced by the amount of credit allowable under subsection (a) for such vehicle.
‘‘(3) 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 (determined without regard to subsection (c)).
‘‘(4) PROPERTY USED OUTSIDE UNITED STATES NOT QUALI-FIED.—No credit shall be allowable under subsection (a) with respect to any property referred to in section 50(b)(1).
‘‘(5) RECAPTURE.—The Secretary shall, by regulations, 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 NOT TO TAKE CREDIT.—No credit shall be allowed under subsection (a) for any vehicle if the taxpayer elects to not have this section apply to such vehicle. ‘‘(f) TERMINATION.—This section shall not apply to any vehicle
acquired after December 31, 2011.’’.
(b) CONFORMING AMENDMENTS.—
(1)(A) Section 24(b)(3)(B) is amended by inserting ‘‘30,’’ after ‘‘25D,’’.
(B)
Section 25(e)(1)(C)(ii) is amended by inserting ‘‘30,’’ after ‘‘25D,’’.
(C)
Section 25B(g)(2) is amended by inserting ‘‘30,’’ after ‘‘25D,’’.
(D)
Section 26(a)(1) is amended by inserting ‘‘30,’’ after ‘‘25D,’’.
(E)
Section 904(i) is amended by striking ‘‘and 25B’’ and inserting ‘‘25B, 30, and 30D’’.
(F)
Section 1400C(d)(2) is amended by striking ‘‘and 25D’’ and inserting ‘‘25D, and 30’’.
(2)
Paragraph (1) of section 30B(h) is amended to read as follows:
‘‘(1) MOTOR VEHICLE.—The term ‘motor vehicle’ means any vehicle which is manufactured primarily for use on public
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streets, roads, and highways (not including a vehicle operated exclusively on a rail or rails) and which has at least 4 wheels.’’.
(3) Section 30C(d)(2)(A) is amended by striking ‘‘, 30,’’. (4)(A) Section 53(d)(1)(B) is amended by striking clause
(iii) and redesignating clause (iv) as clause (iii).
(B)
Subclause (II) of section 53(d)(1)(B)(iii), as so redesignated, is amended by striking ‘‘increased in the manner provided in clause (iii)’’. (5) Section 55(c)(3) is amended by striking ‘‘30(b)(3),’’.
(6)
Section 1016(a)(25) is amended by striking ‘‘section 30(d)(1)’’ and inserting ‘‘section 30(e)(1)’’.
(7)
Section 6501(m) is amended by striking ‘‘section 30(d)(4)’’ and inserting ‘‘section 30(e)(6)’’.
(8)
The item in the table of sections for subpart B of part IV of subchapter A of chapter 1 is amended to read as follows:
‘‘Sec. 30. Certain plug-in electric vehicles.’’.
(c)
EFFECTIVE DATE.—The amendments made by this section shall apply to vehicles acquired after the date of the enactment of this Act.
(d)
TRANSITIONAL RULE.—In the case of a vehicle acquired after the date of the enactment of this Act and before January 1, 2010, no credit shall be allowed under section 30 of the Internal Revenue Code of 1986, as added by this section, if credit is allowable under section 30D of such Code with respect to such vehicle.
(e)
APPLICATION OF EGTRRA SUNSET.—The amendment made by subsection (b)(1)(A) shall be subject to title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 in the same manner as the provision of such Act to which such amendment relates.
SEC. 1143. CONVERSION KITS.
(a)
IN GENERAL.—Section 30B (relating to alternative motor vehicle credit) is amended by redesignating subsections (i) and
(j)
as subsections (j) and (k), respectively, and by inserting after subsection (h) the following new subsection: ‘‘(i) PLUG-IN CONVERSION CREDIT.—
‘‘(1) IN GENERAL.—For purposes of subsection (a), the plug-in conversion credit determined under this subsection with respect to any motor vehicle which is converted to a qualified plug-in electric drive motor vehicle is 10 percent of so much of the cost of the converting such vehicle as does not exceed $40,000.
‘‘(2) QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLE.— For purposes of this subsection, the term ‘qualified plug-in electric drive motor vehicle’ means any new qualified plug-in electric drive motor vehicle (as defined in section 30D, determined without regard to whether such vehicle is made by a manufacturer or whether the original use of such vehicle commences with the taxpayer).
‘‘(3) CREDIT ALLOWED IN ADDITION TO OTHER CREDITS.— The credit allowed under this subsection shall be allowed with respect to a motor vehicle notwithstanding whether a credit has been allowed with respect to such motor vehicle under this section (other than this subsection) in any preceding taxable year.
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‘‘(4) TERMINATION.—This subsection shall not apply to conversions made after December 31, 2011.’’.
(b)
CREDIT TREATED AS PART OF ALTERNATIVE MOTOR VEHICLE CREDIT.—Section 30B(a) is amended by striking ‘‘and’’ at the end of paragraph (3), by striking the period at the end of paragraph
(4)
and inserting ‘‘, and’’, and by adding at the end the following new paragraph: ‘‘(5) the plug-in conversion credit determined under subsection (i).’’.
(c)
NO RECAPTURE FOR VEHICLES CONVERTED TO QUALIFIED PLUG-IN ELECTRIC DRIVE MOTOR VEHICLES.—Paragraph (8) of section 30B(h) is amended by adding at the end the following: ‘‘, except that no benefit shall be recaptured if such property ceases to be eligible for such credit by reason of conversion to a qualified plug-in electric drive motor vehicle.’’.
(d)
EFFECTIVE DATE.—The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act.
SEC. 1144. TREATMENT OF ALTERNATIVE MOTOR VEHICLE CREDIT AS A PERSONAL CREDIT ALLOWED AGAINST AMT.
(a) IN GENERAL.—Paragraph (2) of section 30B(g) is amended to read as follows: ‘‘(2) PERSONAL CREDIT.—
‘‘(A) IN GENERAL.—For purposes of this title, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall be treated as a credit allowable under subpart A for such taxable year.
‘‘(B) LIMITATION BASED ON AMOUNT OF TAX.—In the case of a taxable year to which section 26(a)(2) does not apply, the credit allowed under subsection (a) for any taxable year (determined after application of paragraph (1)) shall not exceed the excess of—
‘‘(i) the sum of the regular tax liability (as defined in section 26(b)) plus the tax imposed by section 55, over
‘‘(ii) the sum of the credits allowable under subpart A (other than this section and sections 23, 25D, 30, and 30D) and section 27 for the taxable year.’’.
(b) CONFORMING AMENDMENTS.—
(1)(A) Section 24(b)(3)(B), as amended by this Act, is amended by inserting ‘‘30B,’’ after ‘‘30,’’.
(B)
Section 25(e)(1)(C)(ii), as amended by this Act, is amended by inserting ‘‘30B,’’ after ‘‘30,’’.
(C)
Section 25B(g)(2), as amended by this Act, is amended by inserting ‘‘30B,’’ after ‘‘30,’’.
(D)
Section 26(a)(1), as amended by this Act, is amended by inserting ‘‘30B,’’ after ‘‘30,’’.
(E)
Section 904(i), as amended by this Act, is amended by inserting ‘‘30B,’’ after ‘‘30’’.
(F)
Section 1400C(d)(2), as amended by this Act, is amended by striking ‘‘and 30’’ and inserting ‘‘30, and 30B’’.
(2)
Section 30C(d)(2)(A), as amended by this Act, is amended by striking ‘‘sections 27 and 30B’’ and inserting ‘‘section 27’’.
(3) Section 55(c)(3) is amended by striking ‘‘30B(g)(2),’’.
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(c)
EFFECTIVE DATE.—The amendments made by this section shall apply to taxable years beginning after December 31, 2008.
(d)
APPLICATION OF EGTRRA SUNSET.—The amendment made by subsection (b)(1)(A) shall be subject to title IX of the Economic Growth and Tax Relief Reconciliation Act of 2001 in the same manner as the provision of such Act to which such amendment relates.
PART VI—PARITY FOR TRANSPORTATION FRINGE BENEFITS
SEC. 1151. INCREASED EXCLUSION AMOUNT FOR COMMUTER TRANSIT BENEFITS AND TRANSIT PASSES.
(a) IN GENERAL.—Paragraph (2) of section 132(f) is amended
by adding at the end the following flush sentence: ‘‘In the case of any month beginning on or after the date of the enactment of this sentence and before January 1, 2011, subparagraph (A) shall be applied as if the dollar amount therein were the same as the dollar amount in effect for such month under subparagraph (B).’’.
(b) EFFECTIVE DATE.—The amendment made by this section shall apply to months beginning on or after the date of the enactment of this section.
