[Congressional Bills 106th Congress]
[From the U.S. Government Publishing Office]
[S. 2587 Introduced in Senate (IS)]







106th CONGRESS
  2d Session
                                  S.2587

 To amend the Internal Revenue Code of 1986 to simplify the excise tax 
                         on heavy truck tires.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 18, 2000

 Mr. Nickles (for himself and Mr. Voinovich) introduced the following 
          bill; which was referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to simplify the excise tax 
                         on heavy truck tires.

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

SECTION 1. SIMPLIFICATION OF EXCISE TAX ON HEAVY TRUCK TIRES.

    (a) Tax Based on Tire Load Capacity Not Weight.--Subsection (a) of 
section 4071 of the Internal Revenue Code of 1986 (relating to 
imposition of tax on tires) is amended to read as follows:
    ``(a) Imposition and Rate of Tax.--There is hereby imposed on tires 
of the type used on highway vehicles, if wholly or in part made of 
rubber, sold by the manufacturer, producer, or importer a tax equal to 
8 cents for each 10 pounds of the tire load capacity in excess of 3500 
pounds.''.
    (b) Tire Load Capacity.--Subsection (c) of section 4071 of such 
Code is amended to read as follows:
    ``(c) Tire Load Capacity.--For purposes of this section, tire load 
capacity is the maximum load rating labeled on the tire pursuant to 
section 571.109 or 571.119 of title 49, Code of Federal Regulations. In 
the case of any tire that is marked for both single and dual loads, the 
higher of the 2 shall be used for purposes of this section.''.
    (c) Tires to Which Tax Applies.--Subsection (b) of section 4072 of 
such Code (defining tires of the type used on highway vehicles) is 
amended by striking ``tires of the type'' the second place it appears 
and all that follows and inserting ``tires--
            ``(1) of the type used on--
                    ``(A) motor vehicles which are highway vehicles, or
                    ``(B) vehicles of the type used in connection with 
                motor vehicles which are highway vehicles, and
            ``(2) marked for highway use pursuant to section 571.109 or 
        571.119 of title 49, Code of Federal Regulations.''.
    (d) Effective Date.--The amendments made by this section shall take 
effect on January 1 of the first calendar year which begins more than 
30 days after the date of the enactment of this Act.
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