HR 1814 IHCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to provide a credit to certain agriculture-related businesses for the cost of protecting certain chemicals.CommentsClose CommentsPermalink

March 29, 2007

Mr. LEWIS of Kentucky (for himself, Mr. PAUL, Mr. DAVIS of Kentucky, Mr. ROGERS of Kentucky, Mr. GINGREY, Mr. SKELTON, Mrs. MCMORRIS RODGERS, Mr. MCCAUL of Texas, Mr. WHITFIELD, Mr. REHBERG, Mrs. CUBIN, Mr. MARSHALL, Mr. LATHAM, Mr. MCINTYRE, and Mr. SCOTT of Georgia) introduced the following bill; which was referred to the Committee on Ways and MeansCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to provide a credit to certain agriculture-related businesses for the cost of protecting certain chemicals.CommentsClose CommentsPermalink

Be it enacted by the Senate and House of Representatives of the United States of America in Congress assembled,CommentsClose CommentsPermalink

SECTION 1. SHORT TITLE.

This Act may be cited as the `Agricultural Business Security Tax Credit Act of 2007'.CommentsClose CommentsPermalink

SEC. 2. AGRICULTURAL CHEMICALS SECURITY CREDIT.

(a) In General- Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 (relating to business related credits) is amended by adding at the end the following new section:CommentsClose CommentsPermalink

`SEC. 45N. AGRICULTURAL CHEMICALS SECURITY CREDIT.

`(a) In General- For purposes of section 38, in the case of an eligible agricultural business, the agricultural chemicals security credit determined under this section for the taxable year is 30 percent of the qualified security expenditures for the taxable year.CommentsClose CommentsPermalink





`(b) Facility Limitation- The amount of the credit determined under subsection (a) with respect to any facility for any taxable year shall not exceed--CommentsClose CommentsPermalink





`(1) $100,000, reduced by,CommentsClose CommentsPermalink





`(2) the aggregate amount of credits determined under subsection (a) with respect to such facility for the 5 prior taxable years.CommentsClose CommentsPermalink





`(c) Annual Limitation- The amount of the credit determined under subsection (a) with respect to any taxpayer for any taxable year shall not exceed $2,000,000.CommentsClose CommentsPermalink





`(d) Qualified Chemical Security Expenditure- For purposes of this section, the term `qualified chemical security expenditure' means, with respect to any eligible agricultural business for any taxable year, any amount paid or incurred by such business during such taxable year for--CommentsClose CommentsPermalink





`(1) employee security training and background checks,CommentsClose CommentsPermalink





`(2) limitation and prevention of access to controls of specified agricultural chemicals stored at the facility,CommentsClose CommentsPermalink





`(3) tagging, locking tank valves, and chemical additives to prevent the theft of specified agricultural chemicals or to render such chemicals unfit for illegal use,CommentsClose CommentsPermalink





`(4) protection of the perimeter of specified agricultural chemicals,CommentsClose CommentsPermalink





`(5) installation of security lighting, cameras, recording equipment, and intrusion detection sensors,CommentsClose CommentsPermalink





`(6) implementation of measures to increase computer or computer network security,CommentsClose CommentsPermalink





`(7) conducting a security vulnerability assessment,CommentsClose CommentsPermalink





`(8) implementing a site security plan, andCommentsClose CommentsPermalink





`(9) such other measures for the protection of specified agricultural chemicals as the Secretary may identify in regulation.CommentsClose CommentsPermalink





Amounts described in the preceding sentence shall be taken into account only to the extent that such amounts are paid or incurred for the purpose of protecting specified agricultural chemicals.CommentsClose CommentsPermalink





`(e) Eligible Agricultural Business- For purposes of this section, the term `eligible agricultural business' means any person in the trade or business of--CommentsClose CommentsPermalink





`(1) selling agricultural products, including specified agricultural chemicals, at retail predominantly to farmers and ranchers, orCommentsClose CommentsPermalink





`(2) manufacturing, formulating, distributing, transporting, or aerially applying specified agricultural chemicals.CommentsClose CommentsPermalink





`(f) Specified Agricultural Chemical- For purposes of this section, the term `specified agricultural chemical' means--CommentsClose CommentsPermalink





`(1) any fertilizer commonly used in agricultural operations which is listed under--CommentsClose CommentsPermalink





`(A) section 302(a)(2) of the Emergency Planning and Community Right-to-Know Act of 1986,CommentsClose CommentsPermalink





`(B) section 101 of part 172 of title 49, Code of Federal Regulations, orCommentsClose CommentsPermalink





`(C) part 126, 127, or 154 of title 33, Code of Federal Regulations, andCommentsClose CommentsPermalink





`(2) any pesticide (as defined in section 2(u) of the Federal Insecticide, Fungicide, and Rodenticide Act), including all active and inert ingredients thereof, which is customarily used on crops grown for food, feed, or fiber.CommentsClose CommentsPermalink





`(g) Controlled Groups- Rules similar to the rules of paragraphs (1) and (2) of section 41(f) shall apply for purposes of this section.CommentsClose CommentsPermalink





`(h) Regulations- The Secretary may prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section, including regulations which--CommentsClose CommentsPermalink





`(1) provide for the proper treatment of amounts which are paid or incurred for purpose of protecting any specified agricultural chemical and for other purposes, andCommentsClose CommentsPermalink





`(2) provide for the treatment of related properties as one facility for purposes of subsection (b).CommentsClose CommentsPermalink





`(i) Termination- This section shall not apply to any amount paid or incurred after December 31, 2010.'.CommentsClose CommentsPermalink





(b) Credit Allowed as Part of General Business Credit- Section 38(b) of such Code is amended by striking `plus' at the end of paragraph (25), by striking the period at the end of paragraph (26) and inserting `, plus', and by adding at the end the following new paragraph:CommentsClose CommentsPermalink





`(27) in the case of an eligible agricultural business (as defined in section 45J(e)), the agricultural chemicals security credit determined under section 45N(a).'.CommentsClose CommentsPermalink





(c) Denial of Double Benefit- Section 280C of such Code is amended by adding at the end the following new subsection:CommentsClose CommentsPermalink





`(e) Credit for Security of Agricultural Chemicals- No deduction shall be allowed for that portion of the expenses (otherwise allowable as a deduction) taken into account in determining the credit under section 45N for the taxable year which is equal to the amount of the credit determined for such taxable year under section 45N(a).'.CommentsClose CommentsPermalink





(d) 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:CommentsClose CommentsPermalink





`Sec. 45N. Agricultural chemicals security credit.'.CommentsClose CommentsPermalink





(e) Effective Date- The amendments made by this section shall apply to amounts paid or incurred after December 31, 2005.CommentsClose CommentsPermalink