[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 1939 Introduced in Senate (IS)]







106th CONGRESS
  1st Session
                                S. 1939

 To amend the Internal Revenue Code of 1986 to allow a credit against 
  income tax for dry cleaning equipment which uses reduced amounts of 
                         hazardous substances.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                           November 17, 1999

   Mr. Helms 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 allow a credit against 
  income tax for dry cleaning equipment which uses reduced amounts of 
                         hazardous substances.

    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 ``Small Business Pollution Prevention 
and Opportunity Act''.

SEC. 2. CREDIT FOR DRY CLEANING EQUIPMENT USING REDUCED AMOUNTS OF 
              HAZARDOUS SUBSTANCES.

    (a) In General.--Section 46 of the Internal Revenue Code of 1986 
(relating to amount of investment credit) is amended by striking 
``and'' at the end of paragraph (2), by striking the period at the end 
of paragraph (3) and inserting ``, and'', and by adding at the end the 
following paragraph:
            ``(4) the dry cleaning equipment credit.''
    (b) Dry Cleaning Equipment Credit.--Section 48 of such Code is 
amended by adding at the end the following new subsection:
    ``(c) Dry Cleaning Equipment Using Reduced Amounts of Hazardous 
Substances.--
            ``(1) In general.--For purposes of section 46, the dry 
        cleaning equipment credit for any taxable year is 20 percent of 
        the basis of each qualified dry cleaning property placed in 
        service during the taxable year.
            ``(2) Limitation.--The credit under this subsection for the 
        taxable year shall apply to only one qualified dry cleaning 
        property placed in service during such year at each business 
        premise of the taxpayer.
            ``(3) Qualified dry cleaning property.--For purposes of 
        this subsection, the term `qualified dry cleaning property' 
        means equipment designed primarily to dry clean clothing and 
        other fabric if--
                    ``(A) such equipment does not use any hazardous 
                solvent as the primary process solvent,
                    ``(B) the original use of such property commences 
                with the taxpayer, and
                    ``(C) with respect to which depreciation (or 
                amortization in lieu of depreciation) is allowable.
            ``(4) Hazardous solvent.--For purposes of paragraph (3)--
                    ``(A) In general.--The term `hazardous solvent' 
                means any solvent any portion of which consists of a 
                chlorinated solvent, a petroleum-based solvent, or any 
                other hazardous or regulated substance.
                    ``(B) Exception.--Such term shall not include any 
                solvent--
                            ``(i) not more than 10 percent of which 
                        consists of petroleum or petroleum derivatives, 
                        and
                            ``(ii) which does not contain any substance 
                        determined by the Administrator of the 
                        Environmental Protection Agency, the Director 
                        of the National Institute for Occupational 
                        Safety and Health, the Director of the 
                        International Agency for Research on Cancer, 
                        the Director of the National Institute of 
                        Environmental Health Sciences' National 
                        Toxicology Program, or the director of any 
                        other appropriate Federal agency to possess--
                                    ``(I) carcinogenic potential in 
                                humans, or
                                    ``(II) bioaccumulative properties.
            ``(5) Termination.--This subsection shall not apply to 
        property placed in service after December 31, 2004.''
    (c) Clerical Amendments.--
            (1) The section heading for section 48 of such Code is 
        amended to read as follows:

``SEC. 48. ENERGY CREDIT; REFORESTATION CREDIT; DRY CLEANING EQUIPMENT 
              CREDIT.''

            (2) The item relating to section 48 in the table of 
        sections for subpart E of part IV of subchapter A of chapter 1 
        of such Code is amended to read as follows:

                              ``Sec. 48. Energy credit; reforestation 
                                        credit; dry cleaning equipment 
                                        credit.''
    (d) Effective Date.--The amendments made by this section shall 
apply to property placed in service on or after January 1, 1999.
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