[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2423 Introduced in House (IH)]







106th CONGRESS
  1st Session
                                H. R. 2423

  To amend the Internal Revenue Code of 1986 to repeal the motor fuel 
                    excise taxes on intercity buses.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              July 1, 1999

  Mr. Camp (for himself and Mr. Neal of Massachusetts) 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 repeal the motor fuel 
                    excise taxes on intercity buses.

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

SECTION 1. REPEAL OF MOTOR FUEL EXCISE TAXES ON INTERCITY BUSES.

    (a) Repeal of Reduction of Refund.--Subsection (b) of section 6427 
of the Internal Revenue Code of 1986 (relating to fuels not used for 
taxable purposes) is amended by striking paragraph (2) and by 
redesignating paragraph (3) as paragraph (2).
    (b) Repeal of Higher Rates of Tax.--
            (1) Clause (iii) of section 4041(a)(1)(C) of such Code is 
        amended to read as follows:
                            ``(iii) Exemption from tax for certain 
                        buses.--No tax shall be imposed by this 
                        paragraph on any fuel sold for use or used in a 
                        use described in section 6427(b)(1) (after the 
                        application of section 6427(b)(2)).''
            (2) Subparagraph (B) of section 4041(a)(3) of such Code is 
        amended to read as follows:
                    ``(B) Bus uses.--No tax shall be imposed by this 
                paragraph on any sale for use, or use--
                            ``(i) in an automobile bus while engaged in 
                        transportation described in section 
                        6427(b)(1)(B), or
                            ``(ii) in any qualified local bus while 
                        engaged in furnishing (for compensation) 
                        intracity passenger land transportation--
                                    ``(I) which is available to the 
                                general public, and
                                    ``(II) which is scheduled and along 
                                regular routes.
                ``For purposes of this subparagraph, the term 
                `qualified local bus' means any local bus which has a 
                seating capacity of at least 20 adults (not including 
                the driver) and which is under contract (or is 
                receiving more than a nominal subsidy) from any State 
                or local government (as defined in section 4221(d)) to 
                furnish such transportation.''
    (c) Effective Date.--The amendments made by this section shall take 
effect on the date of the enactment of this Act.
                                 <all>