[Congressional Bills 103th Congress]
[From the U.S. Government Publishing Office]
[S. 2117 Introduced in Senate (IS)]

103d CONGRESS
  2d Session
                                S. 2117

    To amend the Internal Revenue Code of 1986 to exclude from the 
application of the luxury automobile excise tax the value of components 
  required for a vehicle to be powered by clean-burning fuel, and for 
                            other purposes.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 16, 1994

  Mrs. Boxer introduced the following bill; which was read twice and 
                  referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
    To amend the Internal Revenue Code of 1986 to exclude from the 
application of the luxury automobile excise tax the value of components 
  required for a vehicle to be powered by clean-burning fuel, and for 
                            other purposes.

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

SECTION 1. EXCLUSION OF CLEAN-FUEL VEHICLE COMPONENTS FROM APPLICATION 
              OF LUXURY AUTOMOBILE EXCISE TAX.

    (a) In General.--Subparagraph (B) of section 4002(d)(1) of the 
Internal Revenue Code of 1986 (relating to determination of price) is 
amended by striking ``and'' at the end of clause (ii), and by inserting 
after clause (iii) the following new clause:
                            ``(iv) the value of--
                                    ``(I) any qualified clean-fuel 
                                vehicle property (within the meaning of 
                                section 179A(c)) to the extent of the 
                                basis described in paragraph (1)(B) of 
                                such section, or
                                    ``(II) any component of such 
                                passenger vehicle to the extent such 
                                component enables such vehicle to 
                                qualify as a qualified electric vehicle 
                                (as defined in section 30(c)(1)(A)), 
                                and''.
    (b) Separate Purchase of Parts and Accessories.--Paragraph (3) of 
section 4003(a) of the Internal Revenue Code of 1986 (relating to 
separate purchase of vehicle and parts and accessories therefor) is 
amended by striking ``or'' at the end of subparagraph (B), by 
redesignating subparagraph (C) as subparagraph (D), and by inserting 
after subparagraph (B) the following new subparagraph:
                    ``(C) the part or accessory installed--
                            ``(i) is described in paragraph (1)(A) of 
                        section 179A(c) with respect to a qualified 
                        clean-fuel vehicle property (within the meaning 
                        of section 179A(c)), or
                            ``(ii) enables the vehicle to qualify as a 
                        qualified electric vehicle (as defined in 
                        section 30(c)(1)(A)), or''.
    (c) Effective Date.--The amendments made by this section shall 
apply to sales and installations occurring--
            (1) on or after the date of the enactment of this Act, and
            (2) before the earlier of--
                    (A) the date the tax imposed under section 4001 of 
                the Internal Revenue Code of 1986 no longer applies, or
                    (B) January 1, 2005.

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