Energy Star Homes Act of 2006

Energy Star Homes Act of 2006 - Amends the Internal Revenue Code to allow homeowners a $10,000 tax credit for the purchase of an energy star qualified home (a home meeting certain energy saving requirements established by the Environmental Protection Agency). Terminates such credit after 2008.

[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4856 Introduced in House (IH)]







109th CONGRESS
  2d Session
                                H. R. 4856

    To amend the Internal Revenue Code of 1986 to allow a credit to 
              homeowners for Energy Star qualified homes.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 2, 2006

   Ms. Bean 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 credit to 
              homeowners for Energy Star qualified homes.

    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 ``Energy Star Homes Act of 2006''.

SEC. 2. ENERGY STAR HOME CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code (relating to business related credits) is 
amended by inserting after section 45M the following new section:

``SEC. 45N. ENERGY STAR HOME CREDIT.

    ``(a) Allowance of Credit.--For purposes of section 38, in the case 
of a homeowner, the Energy Star home credit for the taxable year is 
$10,000 for each Energy Star qualified home which--
            ``(1) is owned by the homeowner for use as a residence by 
        such homeowner during the taxable year, and
            ``(2) meets the energy saving requirements of subsection 
        (c) for the first time during such taxable year.
    ``(b) Definitions.--For purposes of this section--
            ``(1) Energy star qualified home.--The term `Energy Star 
        qualified home' means a dwelling unit--
                    ``(A) located in the United States,
                    ``(B) the construction of which is substantially 
                completed after the date of the enactment of this 
                section, and
                    ``(C) which meets the energy saving requirements of 
                subsection (c).
            ``(2) Construction.--The term `construction' includes 
        substantial reconstruction and rehabilitation.
    ``(c) Energy Saving Requirements.--A dwelling unit meets the energy 
saving requirements of this subsection if such unit meets the 
requirements established by the Administrator of the Environmental 
Protection Agency under the Energy Star Labeled Homes program as in 
effect on the date of the enactment of this section.
    ``(d) Basis Adjustment.--For purposes of this subtitle, if a credit 
is allowed under this section in connection with any expenditure for 
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 determined.
    ``(e) Termination.--This section shall not apply to an Energy Star 
qualified home which meets the energy saving requirements of subsection 
(c) for the first time during a taxable year beginning after December 
31, 2008.''.
    (b) Conforming Amendments.--
            (1) Section 38(b) of such Code is amended by striking 
        ``and'' at the end of paragraph (29), by striking the period at 
        the end of paragraph (30) and inserting ``, and'', and by 
        adding at the end the following:
            ``(31) the Energy Star home credit determined under section 
        45N(a).''.
            (2) The table of sections for subpart D of part IV of 
        subchapter A of chapter 1 of such Code is amended by inserting 
        after the item relating to section 45M the following new item:

``Sec. 45N. Energy Star home credit.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2005.
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