[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3791 Introduced in House (IH)]

103d CONGRESS
  2d Session
                                H. R. 3791

To amend the Internal Revenue Code of 1986 to provide an exemption from 
  the gas guzzler tax for automobiles that are lengthened by certain 
                          small manufacturers.


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                    IN THE HOUSE OF REPRESENTATIVES

                            February 3, 1994

Mr. Jefferson 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 provide an exemption from 
  the gas guzzler tax for automobiles that are lengthened by certain 
                          small manufacturers.

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

SECTION 1. EXEMPTION FROM GAS GUZZLER TAX FOR AUTOMOBILES THAT ARE 
              LENGTHENED BY CERTAIN SMALL MANUFACTURERS.

    (a) General Rule.--Paragraph (5) of section 4064(b) of the Internal 
Revenue Code of 1986 (defining manufacturer) is amended by adding at 
the end the following new subparagraphs:
                    ``(C) Exception for certain small manufacturers.--
                Notwithstanding subparagraph (B), a person shall not be 
                treated as a manufacturer of any automobile if--
                            ``(i) such person would (but for this 
                        subparagraph) be so treated solely by reason of 
                        lengthening an existing automobile, and
                            ``(ii) such person is a small manufacturer 
                        (as defined in subparagraph (D)) for the model 
                        year in which such lengthening occurs.
                    ``(D) Small manufacturer defined.--
                            ``(i) In general.--For purposes of this 
                        paragraph, the term `small manufacturer' means 
                        any manufacturer--
                                    ``(I) who manufactured (whether or 
                                not in the United States) fewer than 
                                10,000 automobiles in the second model 
                                year preceding the model year for which 
                                the determination under subparagraph 
                                (C) is being made, and
                                    ``(II) who can reasonably be 
                                expected to manufacture (whether or not 
                                in the United States) fewer than 10,000 
                                automobiles in the model year for which 
                                the determination under subparagraph 
                                (C) is being made.
                            ``(ii) Special rule.--For purposes of 
                        clause (i)--
                                    ``(I) Manufacturer.--The meaning of 
                                the term `manufacturer' shall be 
                                determined without regard to 
                                subparagraphs (A) and (C).
                                    ``(II) Controlled groups.--Person 
                                who are members of the same controlled 
                                group of corporations shall be treated 
                                as one manufacturer. For purposes of 
                                the preceding sentence, the term 
                                `controlled group of corporations' has 
                                the meaning given to such term by 
                                section 1563(a); except that `more than 
                                50 percent' shall be substituted for 
                                `at least 80 percent' each place it 
                                appears in section 1563(a).''
    (b) Effective Date.--The amendment made by subsection (a) shall 
take effect on the date of the enactment of this Act.

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