Emergency Generators for Electric Needs (E-GEN) Act of 2005 - Amends the Internal Revenue Code to allow a tax credit for 75% of the cost, subject to certain dollar limitations, of purchasing and installing an emergency generator.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4348 Introduced in House (IH)]
109th CONGRESS
1st Session
H. R. 4348
To amend the Internal Revenue Code of 1986 to allow a tax credit for
the purchase and installation of emergency generators.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
November 16, 2005
Mr. Hastings of Florida (for himself and Mr. Wexler) 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 tax credit for
the purchase and installation of emergency generators.
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 ``Emergency Generators for Electric
Needs (E-GEN) Act of 2005''.
SEC. 2. CREDIT FOR PURCHASE AND INSTALLATION OF EMERGENCY GENERATORS.
(a) In General.--Subpart B 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. 30D. EMERGENCY GENERATOR CREDIT.
``(a) Credit Allowed.--There shall be allowed as a credit against
the tax imposed by this chapter for the taxable year an amount equal to
75 percent of the amount paid or incurred by the taxpayer for the
purchase and installation of any emergency generator placed in service
by the taxpayer during the taxable year.
``(b) Dollar Limitation.--The credit allowed under subsection (a)
with respect to any emergency generator shall not exceed--
``(1) $60,000 in the case of an emergency generator placed
in service by a character subject to an allowance for
depreciation, and
``(2) $2,500 in any other case.
``(c) Emergency Generator.--For purposes of this section, the term
`emergency generator' means an electrical generator purchased and
installed for the purpose of providing emergency electric power to a
taxpayer that otherwise purchases electric power from a utility.
``(d) 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 an emergency
generator placed in service by 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.--The credit allowed under subsection
(a) (after the application of paragraph (1)) for any taxable
year shall not exceed the excess (if any) of--
``(A) the regular tax reduced by the sum of the
credits allowable under subpart A and sections 27, 30,
30B, and 30C, over
``(B) the tentative minimum tax for the taxable
year.
``(e) Basis Reduction.--For purposes of this subtitle, if a credit
is allowed under this section for any expenditure with respect to any
property, the increase in the basis of such property which would (but
for this subsection) result from such expenditure shall be reduced by
the amount of the credit so allowed.
``(f) Property Used Outside United States, Etc., not Qualified.--No
credit shall be allowed under subsection (a) with respect to any
property referred to in section 50(b)(1) or with respect to the portion
of the cost of any property taken into account under section 179.
``(g) Denial of Double Benefit.--No credit shall be allowed under
subsection (a) for any expense for which a deduction or credit is
allowed under any other provision of this chapter.
``(h) Election not to Have Section Apply.--A taxpayer may elect not
to have this section apply with respect to an emergency generator
placed in service by the taxpayer during the taxable year.''.
(b) Conforming Amendments.--
(1) 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 following new paragraph:
``(38) to the extent provided in section 30D(e), in the
case of amounts with respect to which a credit has been allowed
under section 30D.''.
(2) Subsection (b) of section 38 of such Code is amended by
striking ``and'' at the end of paragraph (25), by striking the
period at the end of paragraph (26) and inserting ``, and'',
and by adding at the end the following new paragraph:
``(27) the portion of the emergency generator credit to
which section 30D(d)(1) applies.''.
(3) Section 55(c)(2) of such Code is amended by inserting
``30D(d)(2)'' after ``30(b)(3),''.
(4) Section 6501(m) of such Code is amended by inserting
``30D(h),'' before ``40(f),''.
(5) 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. 30D. Emergency generator credit.''.
(c) Effective Date.--The amendments made by this section shall
apply to property placed in service after the date of the enactment of
this Act, in taxable years ending after such date.
<all>
Introduced in House
Introduced in House
Sponsor introductory remarks on measure. (CR E2374)
Referred to the House Committee on Ways and Means.
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