[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4958 Introduced in House (IH)]







106th CONGRESS
  2d Session
                                H. R. 4958

 To amend the Internal Revenue Code of 1986 to allow a credit against 
  income tax for a portion of the cost of converting from the use of 
      heating oil to natural gas or to a renewable energy source.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             July 25, 2000

  Ms. Slaughter (for herself and Mr. Barton of Texas) 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 allow a credit against 
  income tax for a portion of the cost of converting from the use of 
      heating oil to natural gas or to a renewable energy source.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Heating Fuel Cost Relief Act of 
2000''.

SEC. 2. CREDIT FOR COST OF CONVERTING FROM HEATING OIL USE TO USE OF 
              NATURAL GAS OR A RENEWABLE ENERGY SOURCE.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 30B. HEATING OIL CONVERSION COSTS.

    ``(a) In General.--There shall be allowed as a credit against the 
tax imposed by this chapter for the taxable year an amount equal to 20 
percent of the cost of heating oil conversion property placed in 
service by the taxpayer during the taxable year.
    ``(b) Maximum Credit.--The credit allowed by this section for any 
taxable year shall not exceed $1,000.
    ``(c) Heating Oil Conversion Property.--For purposes of this 
section--
            ``(1) In general.--The term `heating oil conversion 
        property' means--
                    ``(A) property designed to modify existing heating 
                equipment which uses heating oil as a fuel so that such 
                equipment will use natural gas or a renewable energy 
                source, and
                    ``(B) property which uses natural gas or a 
                renewable energy source and which replaces existing 
                heating equipment which uses heating oil for such 
                purposes.
            ``(2) Renewable energy source.--The term `renewable energy 
        source' means energy derived from solar, wind, geothermal 
        deposits, biomass, or landfill gas.
    ``(d) Application With Other Credits.--The credit allowed by 
subsection (a) for any taxable year shall not exceed the excess (if 
any) of--
            ``(1) the regular tax for the taxable year reduced by the 
        sum of the credits allowable under subpart A and the preceding 
        sections of this subpart, over
            ``(2) the tentative minimum tax for the taxable year.
    ``(e) Basis Adjustment.--For purposes of this subtitle, if a credit 
is allowed under this section for any expenditure with respect to any 
property, the increase in the basis of such property which would (but 
for this subsection) result from such expenditure shall be reduced by 
the amount of the credit so allowed.''
    (b) Conforming Amendments.--
            (1) Subsection (a) of section 1016 of such Code is amended 
        by striking ``and'' at the end of paragraph (25), by striking 
        the period at the end of paragraph (26) and inserting ``; 
        and'', and by adding at the end the following new paragraph:
            ``(27) to the extent provided in section 30B(e), in the 
        case of amounts with respect to which a credit has been allowed 
        under section 30B.''
            (2) 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 30A the following new item:

                              ``Sec. 30B. Heating oil conversion 
                                        costs.''
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2000.
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