HR 6182 IHCommentsClose CommentsPermalink

112th CONGRESSCommentsClose CommentsPermalink

2d SessionCommentsClose CommentsPermalink

H. R. 6182CommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to extend and expand the credit for qualifying advanced energy projects, and for other purposes.CommentsClose CommentsPermalink

IN THE HOUSE OF REPRESENTATIVESCommentsClose CommentsPermalink

July 25, 2012CommentsClose CommentsPermalink

Mr. THOMPSON of California (for himself, Mr. LEVIN, Mr. RANGEL, Mr. STARK, Mr. MCDERMOTT, Mr. LEWIS of Georgia, Mr. NEAL, Mr. BECERRA, Mr. DOGGETT, Mr. LARSON of Connecticut, Mr. BLUMENAUER, Mr. KIND, Mr. PASCRELL, Ms. BERKLEY, and Mr. CROWLEY) introduced the following bill; which was referred to the Committee on Ways and MeansCommentsClose CommentsPermalink

A BILLCommentsClose CommentsPermalink

To amend the Internal Revenue Code of 1986 to extend and expand the credit for qualifying advanced energy projects, and for other purposes.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 ‘American Advanced Energy Manufacturing Jobs Act of 2012’.CommentsClose CommentsPermalink

SEC. 2. EXTENSION AND EXPANSION OF THE QUALIFYING ADVANCED ENERGY PROJECT CREDIT.

(a) Certain Projects Eligible for Credit Without Limitation-CommentsClose CommentsPermalink





(1) IN GENERAL- Subsection (a) of section 48C of the Internal Revenue Code of 1986 is amended by striking ‘an amount equal to’ and all that follows and inserting ‘an amount equal to the sum of--CommentsClose CommentsPermalink





‘(1) 30 percent of the basis of the statutory advanced energy property placed in service by the taxpayer during such taxable year, plusCommentsClose CommentsPermalink





‘(2) 30 percent of the qualified investment for such taxable year which respect to any qualifying advanced energy project of the taxpayer.’.CommentsClose CommentsPermalink





(2) STATUTORY ADVANCED ENERGY PROPERTY- Subsection (c) of section 48C of such Code is amended by adding at the end the following new paragraph:CommentsClose CommentsPermalink





‘(3) STATUTORY ADVANCED ENERGY PROPERTY-CommentsClose CommentsPermalink





‘(A) IN GENERAL- The term ‘statutory advanced energy property’ means any eligible property used exclusively to manufacture or fabricate--CommentsClose CommentsPermalink





‘(i) equipment which uses solar energy to generate electricity,CommentsClose CommentsPermalink





‘(ii) fuel cell power plants (as defined in section 48(c)(1)(C)), orCommentsClose CommentsPermalink





‘(iii) systems for the electro-chemical storage of electricity (other than lead-acid batteries) for use--CommentsClose CommentsPermalink





‘(I) in electric or hybrid-electric motor vehicles, orCommentsClose CommentsPermalink





‘(II) in connection with electric grids.CommentsClose CommentsPermalink





‘(B) TERMINATION- Such term shall not include any property for any period after December 31, 2016.’.CommentsClose CommentsPermalink





(3) DENIAL OF DOUBLE BENEFIT- Subsection (e) of section 48C of such Code is amended by adding at the end the following: ‘Statutory advanced energy property shall not be taken into account in determining the qualified investment in any qualifying advanced energy project.’.CommentsClose CommentsPermalink





(b) Extension and Modification of the Qualifying Advanced Energy Project Program-CommentsClose CommentsPermalink





(1) ADDITIONAL LIMITATION AMOUNT TO BE COMPETITIVELY ALLOCATED BY SECRETARY- Subparagraph (B) of section 48C(d)(1) of such Code is amended to read as follows:CommentsClose CommentsPermalink





‘(B) LIMITATION- The total amount of qualified investments which may be designated under such program shall not exceed the amount which will result in the total amount of credits allowed under such program being equal to the sum of the following amounts:CommentsClose CommentsPermalink





‘(i) 2009 LIMITATION AMOUNT- $2,300,000,000.CommentsClose CommentsPermalink





‘(ii) 2012 LIMITATION AMOUNT- $3,000,000,000.’.CommentsClose CommentsPermalink





(2) MANUFACTURING OF PROPERTY USED TO PRODUCE COMPOSITE UTILITY POLES- Clause (i) of section 48C(c)(1)(A) of such Code is amended by striking ‘or’ at the end of subclause (VI), by redesignating subclause (VII) as subclause (VIII), and by inserting after subclause (VI) the following new subclause:CommentsClose CommentsPermalink





‘(VII) utility poles or supports made from composite materials which are comprised of at least 15 percent recycled materials and are fully recyclable,’.CommentsClose CommentsPermalink





(3) PREFERENCE IN SELECTION CRITERIA FOR MANUFACTURING- Paragraph (3) of section 48C(d) of such Code is amended by striking ‘and’ at the end of subparagraph (A), by striking the period at the end of subparagraph (B) and inserting ‘, and’, and by adding at the end the following new subparagraph:CommentsClose CommentsPermalink





‘(C) shall give the lowest priority to projects which merely assemble components.’.CommentsClose CommentsPermalink





(c) Conforming Amendments-CommentsClose CommentsPermalink





(1) Paragraph (3) of section 48C(b) of such Code is amended to read as follows:CommentsClose CommentsPermalink





‘(3) LIMITATION- The amount which is treated as a qualified investment for all taxable years with respect to any qualifying advanced manufacturing project shall not exceed the amount designated by the Secretary under subsection (d).’.CommentsClose CommentsPermalink





(2) Subparagraph (A) of section 48C(c)(2) of such Code is amended by inserting ‘in the case of a qualifying advanced energy project,’ before ‘which is necessary’.CommentsClose CommentsPermalink





(3) Subparagraph (A) of section 48C(d)(2) of such Code is amended--CommentsClose CommentsPermalink





(A) by striking ‘during the 2-year period’ and inserting ‘during the--CommentsClose CommentsPermalink





‘(i) in the case of an allocation from the limitation described in paragraph (1)(B)(i), the 2-year period’,CommentsClose CommentsPermalink





(B) by striking the period at the end and inserting ‘, or’, andCommentsClose CommentsPermalink





(C) by adding at the end the following new clause:CommentsClose CommentsPermalink





‘(ii) in the case of an allocation from the limitation described in paragraph (1)(B)(ii), the 1-year period beginning on the date of the enactment of this clause.’.CommentsClose CommentsPermalink





(4) Paragraph (4) of section 48C(d) of such Code is amended--CommentsClose CommentsPermalink





(A) by striking all that precedes subparagraph (A) and inserting the following:CommentsClose CommentsPermalink





‘(4) PERIODIC REVIEW AND REDISTRIBUTION- At such times as the Secretary determines appropriate--’, andCommentsClose CommentsPermalink





(B) by striking ‘Not later than 4 years after the date of the enactment of this section, the’ in subparagraph (A) and inserting ‘The’.CommentsClose CommentsPermalink





(5) Clause (v) of section 49(a)(1)(C) of such Code is amended by inserting ‘which is statutory advanced energy property (as defined in section 48C(c)(3)) or’ after ‘the basis of any property’.CommentsClose CommentsPermalink





(d) Effective Date- The amendments made by this section shall apply to periods after the date of the enactment of this Act, under rules similar to the rules of section 48(m) of the Internal Revenue Code of 1986 (as in effect on the day before the date of the enactment of the Revenue Reconciliation Act of 1990).CommentsClose CommentsPermalink

SEC. 3. MODIFICATIONS OF FOREIGN TAX CREDIT RULES APPLICABLE TO MAJOR INTEGRATED OIL COMPANIES WHICH ARE DUAL CAPACITY TAXPAYERS.

(a) In General- Section 901 of the Internal Revenue Code of 1986 is amended by redesignating subsection (n) as subsection (o) and by inserting after subsection (m) the following new subsection:CommentsClose CommentsPermalink





‘(n) Special Rules Relating to Major Integrated Oil Companies Which Are Dual Capacity Taxpayers-CommentsClose CommentsPermalink





‘(1) GENERAL RULE- Notwithstanding any other provision of this chapter, any amount paid or accrued by a dual capacity taxpayer which is a major integrated oil company (as defined in section 167(h)(5)(B)) to a foreign country or possession of the United States for any period shall not be considered a tax--CommentsClose CommentsPermalink





‘(A) if, for such period, the foreign country or possession does not impose a generally applicable income tax, orCommentsClose CommentsPermalink





‘(B) to the extent such amount exceeds the amount (determined in accordance with regulations) which--CommentsClose CommentsPermalink





‘(i) is paid by such dual capacity taxpayer pursuant to the generally applicable income tax imposed by the country or possession, orCommentsClose CommentsPermalink





‘(ii) would be paid if the generally applicable income tax imposed by the country or possession were applicable to such dual capacity taxpayer.CommentsClose CommentsPermalink





Nothing in this paragraph shall be construed to imply the proper treatment of any such amount not in excess of the amount determined under subparagraph (B).CommentsClose CommentsPermalink





‘(2) DUAL CAPACITY TAXPAYER- For purposes of this subsection, the term ‘dual capacity taxpayer’ means, with respect to any foreign country or possession of the United States, a person who--CommentsClose CommentsPermalink





‘(A) is subject to a levy of such country or possession, andCommentsClose CommentsPermalink





‘(B) receives (or will receive) directly or indirectly a specific economic benefit (as determined in accordance with regulations) from such country or possession.CommentsClose CommentsPermalink





‘(3) GENERALLY APPLICABLE INCOME TAX- For purposes of this subsection--CommentsClose CommentsPermalink





‘(A) IN GENERAL- The term ‘generally applicable income tax’ means an income tax (or a series of income taxes) which is generally imposed under the laws of a foreign country or possession on income derived from the conduct of a trade or business within such country or possession.CommentsClose CommentsPermalink





‘(B) EXCEPTIONS- Such term shall not include a tax unless it has substantial application, by its terms and in practice, to--CommentsClose CommentsPermalink





‘(i) persons who are not dual capacity taxpayers, andCommentsClose CommentsPermalink





‘(ii) persons who are citizens or residents of the foreign country or possession.’.CommentsClose CommentsPermalink





(b) Effective Date-CommentsClose CommentsPermalink





(1) IN GENERAL- The amendments made by this section shall apply to taxes paid or accrued in taxable years ending after the date of the enactment of this Act.CommentsClose CommentsPermalink





(2) CONTRARY TREATY OBLIGATIONS UPHELD- The amendments made by this section shall not apply to the extent contrary to any treaty obligation of the United States.CommentsClose CommentsPermalink

SEC. 4. LIMITATION ON DEDUCTION FOR INTANGIBLE DRILLING AND DEVELOPMENT COSTS OF MAJOR INTEGRATED OIL COMPANIES.

(a) In General- Section 263(c) of the Internal Revenue Code of 1986 is amended by adding at the end the following new sentence: ‘This subsection shall not apply to amounts paid or incurred by a taxpayer in any taxable year in which such taxpayer is a major integrated oil company (as defined in section 167(h)(5)(B)).’.CommentsClose CommentsPermalink





(b) Effective Date- The amendment made by this section shall apply to amounts paid or incurred in taxable years ending after the date of the enactment of this Act.CommentsClose CommentsPermalink