American TEOS Act of 2006 - Amends the Internal Revenue Code to expand the tax credit for alcohol used as fuel to include ethanol used in tetra ethyl ortho silicate (TEOS) production.
[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5958 Introduced in House (IH)]
109th CONGRESS
2d Session
H. R. 5958
To amend the Internal Revenue Code of 1986 to allow a credit against
income tax for the use of ethanol in tetra ethyl ortho silicate (TEOS)
production.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 28, 2006
Mr. Schwarz of Michigan 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 against
income tax for the use of ethanol in tetra ethyl ortho silicate (TEOS)
production.
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 ``American TEOS Act of 2006''.
SEC. 2. CREDIT FOR USE OF ETHANOL IN TEOS PRODUCTION.
(a) In General.--Section 40 of the Internal Revenue Code of 1986
(relating to alcohol used as fuel) is amended--
(1) in paragraph (3) of subsection (a) by striking the
period and inserting ``, plus'' and by adding at the end of
subsection (a) the following new paragraph:
``(4) the ethanol in TEOS production credit.'',
(2) in subsection (b)--
(A) in the heading by striking ``and Small Ethanol
Producer Credit'' and inserting ``Small Ethanol
Producer Credit, and Ethanol in TEOS Production
Credit'', and
(B) by adding at the end the following new
paragraph:
``(6) Ethanol in teos production credit.--
``(A) In general.--The ethanol in TEOS production
credit for any taxable year is 51 cents for each gallon
of alcohol which is ethanol that is used by the
taxpayer in the production of tetra ethyl ortho
silicate (TEOS) which is sold by the taxpayer producing
such chemical to any person during such taxable year.
``(B) Sale must be in trade or business, etc.--
Alcohol used in the production of tetra ethyl ortho
silicate (TEOS) shall be taken into account--
``(i) only if the sale described in
subparagraph (A) is in a trade or business of
the taxpayer, and
``(ii) for the taxable year in which such
sale occurs.
``(C) Small credit for lower proof ethanol.--In the
case of any alcohol with a proof which is at least 150
but less than 190, subparagraph (A) shall be applied by
substituting `37.78 cents' for `51 cents'.
``(D) Denial of double benefit.--In determining the
amount of the credit described in this paragraph, a
taxpayer shall not take into account any amount of
alcohol that is taken into account in determining the
amount of a credit described in paragraph (1), (2), or
(4).'',
(3) in subsection (d)(3)(A)(i), by inserting ``other than
the ethanol in TEOS production credit described in subsection
(b)(6)'' after ``any credit'', and
(4) in subsection (d)(3)(B)(i), by inserting ``other than
the ethanol in TEOS production credit described in subsection
(b)(6)'' after ``any credit''.
(b) Effective Date.--The amendments made by this section shall
apply to tetra ethyl ortho silicate (TEOS) sold in taxable years
beginning after December 31, 2006.
<all>
Introduced in House
Introduced in House
Referred to the House Committee on Ways and Means.
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