‘(a) In General- In the case of a qualified taxpayer, there shall be allowed against the tax imposed by this chapter for the taxable year an amount equal to the qualified State and local automobile sales taxes paid by the taxpayer with respect to the purchase of a qualified vehicle in such taxable year.
‘(b) Limitation- For purposes of subsection (a), the purchase price taken into account for purposes of determining qualified State and local automobile sales taxes shall not exceed $50,000.
‘(c) Qualified State and Local Automobile Sales Taxes- For purposes of this section--
‘(1) IN GENERAL- The term ‘qualified State and local automobile sales taxes’ means any general sales tax in effect on January 1, 2009, imposed on the purchase of a qualified vehicle.
‘(2) GENERAL SALES TAX- The term ‘general sales tax’ has the meaning given such term by section 164(b)(5), determined without regard to subparagraph (F) thereof.
‘(3) QUALIFIED VEHICLE- The term ‘qualified vehicle’ means a motor vehicle (as defined in section 30(c)(2)) which does not have more than 2 axles.
‘(d) Qualified Taxpayer- For purposes of this section--
‘(1) IN GENERAL- The term ‘qualified taxpayer’ means--
‘(A) an individual, and
‘(B) a person who employed an average of less than 50 employees on business days during the taxable year.
‘(2) CONTROLLED GROUPS- For purposes of paragraph (1)(B), all persons treated as a single employer under subsection (b), (c), (m), or (o) of section 414 shall be treated as a single employer.
‘(e) No Double Benefit- The amount of the credit allowed under subsection (a) with respect to any vehicle shall be reduced by the amount of the deduction allowed under section 164 for such vehicle for the taxable year.
‘(f) Election To Not Take Credit- No credit shall be allowed under subsection (a) for any vehicle if the taxpayer elects not to have this section apply to such vehicle.
‘(g) 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.
‘(h) Termination- This section shall not apply with respect to any property purchased after December 31, 2010.’.
(b) Conforming Amendments-
(1)(A) Section 24(b)(3)(B) of such Code is amended by striking ‘and 30D’ and inserting ‘30D, and 30E’.
(B) Section 25(e)(1)(C)(ii) of such Code is amended by inserting ‘30E,’ after ‘30D,’.
(C) Section 25B(g)(2) of such Code is amended by striking ‘and 30D’ and inserting ‘, 30D, and 30E’.
(D) Section 26(a)(1) of such Code is amended by striking ‘and 30D’ and inserting ‘30D, and 30E’.
(E) Section 1400C(d)(2) of such Code is amended by striking ‘and 30D’ and inserting ‘30D, and 30E’.
(2) Section 6501(m) of such Code is amended by inserting ‘30E(f),’ after ‘30D(e)(9),’.
(3) The table of sections for subpart B of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 30D the following new item:
‘Sec. 30E. Sales tax on purchase of automobile.’.
(c) Effective Date- The amendments made by this section shall apply to vehicles purchased after December 31, 2008.
U.S. Congress - Text of H.R.100 as Introduced in House Commonsense Auto Recovery Act of 2009
