1.This Act may be cited as the
Household Energy and Taxpayer
Assistance Act of 2005
.
2.Low-income Home
Energy Assistance ProgramIn
addition to any amounts otherwise appropriated for the program authorized under
the Low-Income Home Energy Assistance Act of 1981 (42 U.S.C. 8621 et seq.) for
fiscal year 2006, there is appropriated, out of any money in the Treasury of
the United States not otherwise appropriated, an additional $2,917,000,000 for
fiscal year 2006 for such program (other than the program authorized under
section 2604(e) of such Act (42 U.S.C. 8623(e)).
3.Refundable tax
credit for residential energy cost assistance
(a)Subpart C of part IV of subchapter A of chapter 1 of the
Internal Revenue Code of 1986 (relating to refundable credits) is amended by
redesignating section 36 as section 37 and by inserting after section 35 the
following new section:
36.Credit for
residential energy cost assistance
(a)In the case of any individual, there shall be allowed as a
credit against the tax imposed by this subtitle for the taxable year an amount
equal to 20 percent of the qualified residential energy costs of the taxpayer
during such taxable year.
(b)The credit allowed under this section with respect to
any taxpayer for any taxable year shall not exceed the excess (if any) of $200
($300 in the case of a joint return) over the aggregate credits allowed under
this section with respect to such taxpayer for all prior taxable years.
(c)Definitions and
special rulesFor purposes of this section—
(1)The term qualified residential energy
costs means, with respect to any principal residence of the taxpayer
located in the United States, the costs paid or incurred by the taxpayer for
the period beginning after September 31, 2005, and ending before October 1,
2006, for any energy utility and home energy fuel.
(2)The amount of qualified residential energy costs which may
be taken into account with respect to such period shall be reduced by any
amount received by the taxpayer during such period for any residential energy
cost under the Low-Income Home Energy Assistance program under title XXVI of
the Omnibus Budget Reconciliation Act of 1981 (42 U.S.C. 8621 et seq.).
(3)The term principal residence has the same
meaning as in section 121, except that—
(A)no ownership
requirement shall be imposed, and
(B)the principal
residence must be used by the taxpayer as the taxpayer’s residence during the
taxable year.
(4)Certain persons
not eligibleThis section shall not apply to any individual with
respect to whom a deduction under section 151 is allowable to another taxpayer
for a taxable year beginning in the calendar year in which such individual’s
taxable year begins.
(5)The application of this section to homeowners
associations (as defined in section 528(c)(1)) or members of such associations,
and tenant-stockholders in cooperative housing corporations (as defined in
section 216), shall be allowed by allocation, apportionment, or otherwise, to
the individuals paying, directly or indirectly, for the qualified residential
energy cost so incurred.
(d)The
Secretary may prescribe such regulations and other guidance as may be necessary
or appropriate to carry out this
section.
.
(b)
(1)Section
1324(b)(2) of title 31, United States Code, is amended by striking
or
before enacted
and by inserting before the
period at the end , or from section 36 of such Code
.
(2)The table of
sections for subpart C of part IV of subchapter A of chapter 1 of the Internal
Revenue Code of 1986 is amended by striking the item relating to section 35 and
by adding at the end the following new items:
Sec. 36. Credit for residential energy
cost assistance.
Sec. 37. Overpayments of
tax.
.
(c)The amendments made by this section shall apply to taxable
years beginning after December 31, 2004.