110th CONGRESS 2d Session H. R. 6049 In the Senate of the United States, September 23 (legislative day, September 17), 2008. Amendment:

That the bill from the House of Representatives (H.R. 6049) entitled An Act to amend the Internal Revenue Code of 1986 to provide incentives for energy production and conservation, to extend certain expiring provisions, to provide individual income tax relief, and for other purposes., do pass with the following

Strike all after the enacting clause and insert the following:

1.

Short title, etc

(a)

Short title

This Act may be cited as the Energy Improvement and Extension Act of 2008. (b)

Reference

Except as otherwise expressly provided, whenever in this Act an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986. (c)

Table of contents

The table of contents for this Act is as follows: Sec. 1. Short title, etc. TITLE I—Energy production incentives Subtitle A—Renewable energy incentives Sec. 101. Renewable energy credit. Sec. 102. Production credit for electricity produced from marine renewables. Sec. 103. Energy credit. Sec. 104. Energy credit for small wind property. Sec. 105. Energy credit for geothermal heat pump systems. Sec. 106. Credit for residential energy efficient property. Sec. 107. New clean renewable energy bonds. Sec. 108. Credit for steel industry fuel. Sec. 109. Special rule to implement FERC and State electric restructuring policy. Subtitle B—Carbon mitigation and coal provisions Sec. 111. Expansion and modification of advanced coal project investment credit. Sec. 112. Expansion and modification of coal gasification investment credit. Sec. 113. Temporary increase in coal excise tax; funding of Black Lung Disability Trust Fund. Sec. 114. Special rules for refund of the coal excise tax to certain coal producers and exporters. Sec. 115. Tax credit for carbon dioxide sequestration. Sec. 116. Certain income and gains relating to industrial source carbon dioxide treated as qualifying income for publicly traded partnerships. Sec. 117. Carbon audit of the tax code. TITLE II—Transportation and domestic fuel security provisions Sec. 201. Inclusion of cellulosic biofuel in bonus depreciation for biomass ethanol plant property. Sec. 202. Credits for biodiesel and renewable diesel. Sec. 203. Clarification that credits for fuel are designed to provide an incentive for United States production. Sec. 204. Extension and modification of alternative fuel credit. Sec. 205. Credit for new qualified plug-in electric drive motor vehicles. Sec. 206. Exclusion from heavy truck tax for idling reduction units and advanced insulation. Sec. 207. Alternative fuel vehicle refueling property credit. Sec. 208. Certain income and gains relating to alcohol fuels and mixtures, biodiesel fuels and mixtures, and alternative fuels and mixtures treated as qualifying income for publicly traded partnerships. Sec. 209. Extension and modification of election to expense certain refineries. Sec. 210. Extension of suspension of taxable income limit on percentage depletion for oil and natural gas produced from marginal properties. Sec. 211. Transportation fringe benefit to bicycle commuters. TITLE III—Energy conservation and efficiency provisions Sec. 301. Qualified energy conservation bonds. Sec. 302. Credit for nonbusiness energy property. Sec. 303. Energy efficient commercial buildings deduction. Sec. 304. New energy efficient home credit. Sec. 305. Modifications of energy efficient appliance credit for appliances produced after 2007. Sec. 306. Accelerated recovery period for depreciation of smart meters and smart grid systems. Sec. 307. Qualified green building and sustainable design projects. Sec. 308. Special depreciation allowance for certain reuse and recycling property. TITLE IV—Revenue provisions Sec. 401. Limitation of deduction for income attributable to domestic production of oil, gas, or primary products thereof. Sec. 402. Elimination of the different treatment of foreign oil and gas extraction income and foreign oil related income for purposes of the foreign tax credit. Sec. 403. Broker reporting of customer’s basis in securities transactions. Sec. 404. 0.2 percent FUTA surtax. Sec. 405. Increase and extension of Oil Spill Liability Trust Fund tax.

B

Tax extenders and alternative minimum tax relief

1.

Short title; amendment of 1986 Code; table of contents

(a)

Short title

This division may be cited as the Tax Extenders and Alternative Minimum Tax Relief Act of 2008. (b)

Amendment of 1986 Code

Except as otherwise expressly provided, whenever in this division an amendment or repeal is expressed in terms of an amendment to, or repeal of, a section or other provision, the reference shall be considered to be made to a section or other provision of the Internal Revenue Code of 1986. (c)

Table of contents

The table of contents of this division is as follows: DIVISION B—Tax extenders and alternative minimum tax relief Sec. 1. Short title; amendment of 1986 Code; table of contents. TITLE I—Alternative minimum tax relief Sec. 101. Extension of alternative minimum tax relief for nonrefundable personal credits. Sec. 102. Extension of increased alternative minimum tax exemption amount. Sec. 103. Increase of AMT refundable credit amount for individuals with long-term unused credits for prior year minimum tax liability, etc. TITLE II—Extension of individual tax provisions Sec. 201. Deduction for State and local sales taxes. Sec. 202. Deduction of qualified tuition and related expenses. Sec. 203. Deduction for certain expenses of elementary and secondary school teachers. Sec. 204. Additional standard deduction for real property taxes for nonitemizers. Sec. 205. Tax-free distributions from individual retirement plans for charitable purposes. Sec. 206. Treatment of certain dividends of regulated investment companies. Sec. 207. Stock in RIC for purposes of determining estates of nonresidents not citizens. Sec. 208. Qualified investment entities. TITLE III—Extension of business tax provisions Sec. 301. Extension and modification of research credit. Sec. 302. New markets tax credit. Sec. 303. Subpart F exception for active financing income. Sec. 304. Extension of look-thru rule for related controlled foreign corporations. Sec. 305. Extension of 15-year straight-line cost recovery for qualified leasehold improvements and qualified restaurant improvements; 15-year straight-line cost recovery for certain improvements to retail space. Sec. 306. Modification of tax treatment of certain payments to controlling exempt organizations. Sec. 307. Basis adjustment to stock of S corporations making charitable contributions of property. Sec. 308. Increase in limit on cover over of rum excise tax to Puerto Rico and the Virgin Islands. Sec. 309. Extension of economic development credit for American Samoa. Sec. 310. Extension of mine rescue team training credit. Sec. 311. Extension of election to expense advanced mine safety equipment. Sec. 312. Deduction allowable with respect to income attributable to domestic production activities in Puerto Rico. Sec. 313. Qualified zone academy bonds. Sec. 314. Indian employment credit. Sec. 315. Accelerated depreciation for business property on Indian reservations. Sec. 316. Railroad track maintenance. Sec. 317. Seven-year cost recovery period for motorsports racing track facility. Sec. 318. Expensing of environmental remediation costs. Sec. 319. Extension of work opportunity tax credit for Hurricane Katrina employees. Sec. 320. Extension of increased rehabilitation credit for structures in the Gulf Opportunity Zone. Sec. 321. Enhanced deduction for qualified computer contributions. Sec. 322. Tax incentives for investment in the District of Columbia. Sec. 323. Enhanced charitable deductions for contributions of food inventory. Sec. 324. Extension of enhanced charitable deduction for contributions of book inventory. Sec. 325. Extension and modification of duty suspension on wool products; wool research fund; wool duty refunds. TITLE IV—Extension of tax administration provisions Sec. 401. Permanent authority for undercover operations. Sec. 402. Permanent authority for disclosure of information relating to terrorist activities. TITLE V—Additional tax relief and other tax provisions Subtitle A—General provisions Sec. 501. $8,500 income threshold used to calculate refundable portion of child tax credit. Sec. 502. Provisions related to film and television productions. Sec. 503. Exemption from excise tax for certain wooden arrows designed for use by children. Sec. 504. Income averaging for amounts received in connection with the Exxon Valdez litigation. Sec. 505. Certain farming business machinery and equipment treated as 5-year property. Sec. 506. Modification of penalty on understatement of taxpayer’s liability by tax return preparer. Subtitle B—Paul Wellstone and Pete Domenici Mental Health Parity and Addiction Equity Act of 2008 Sec. 511. Short title. Sec. 512. Mental health parity. TITLE VI—Other provisions Sec. 601. Secure rural schools and community self-determination program. Sec. 602. Transfer to abandoned mine reclamation fund. TITLE VII—Disaster relief Subtitle A—Heartland and Hurricane Ike disaster relief Sec. 701. Short title. Sec. 702. Temporary tax relief for areas damaged by 2008 Midwestern severe storms, tornados, and flooding. Sec. 703. Reporting requirements relating to disaster relief contributions. Sec. 704. Temporary tax-exempt bond financing and low-income housing tax relief for areas damaged by Hurricane Ike. Subtitle B—National disaster relief Sec. 706. Losses attributable to federally declared disasters. Sec. 707. Expensing of Qualified Disaster Expenses. Sec. 708. Net operating losses attributable to federally declared disasters. Sec. 709. Waiver of certain mortgage revenue bond requirements following federally declared disasters. Sec. 710. Special depreciation allowance for qualified disaster property. Sec. 711. Increased expensing for qualified disaster assistance property. Sec. 712. Coordination with Heartland disaster relief. TITLE VIII—Spending reductions and appropriate revenue raisers for new tax relief policy Sec. 801. Nonqualified deferred compensation from certain tax indifferent parties.

. (b)

Forest receipt payments to eligible states and counties

(1)

Act of May 23, 1908

The sixth paragraph under the heading FOREST SERVICE in the Act of May 23, 1908 (16 U.S.C. 500) is amended in the first sentence by striking twenty-five percentum and all that follows through shall be paid and inserting the following: an amount equal to the annual average of 25 percent of all amounts received for the applicable fiscal year and each of the preceding 6 fiscal years from each national forest shall be paid. (2)

Weeks law

Section 13 of the Act of March 1, 1911 (commonly known as the Weeks Law) (16 U.S.C. 500) is amended in the first sentence by striking twenty-five percentum and all that follows through shall be paid and inserting the following: an amount equal to the annual average of 25 percent of all amounts received for the applicable fiscal year and each of the preceding 6 fiscal years from each national forest shall be paid. (c)

Payments in lieu of taxes

(1)

In general

Section 6906 of title 31, United States Code, is amended to read as follows:

6906.

Funding

For each of fiscal years 2008 through 2012— (1)each county or other eligible unit of local government shall be entitled to payment under this chapter; and (2)sums shall be made available to the Secretary of the Interior for obligation or expenditure in accordance with this chapter.

. (2)

Conforming amendment

The table of sections for chapter 69 of title 31, United States Code, is amended by striking the item relating to section 6906 and inserting the following: 6906. Funding. . (3)

Budget scorekeeping

(A)

In general

Notwithstanding the Budget Scorekeeping Guidelines and the accompanying list of programs and accounts set forth in the joint explanatory statement of the committee of conference accompanying Conference Report 105–217, the section in this title regarding Payments in Lieu of Taxes shall be treated in the baseline for purposes of section 257 of the Balanced Budget and Emergency Deficit Control Act of 1985 (as in effect prior to September 30, 2002), and by the Chairmen of the House and Senate Budget Committees, as appropriate, for purposes of budget enforcement in the House and Senate, and under the Congressional Budget Act of 1974 as if Payment in Lieu of Taxes (14–1114–0–1–806) were an account designated as Appropriated Entitlements and Mandatories for Fiscal Year 1997 in the joint explanatory statement of the committee of conference accompanying Conference Report 105–217. (B)

Effective date

This paragraph shall remain in effect for the fiscal years to which the entitlement in section 6906 of title 31, United States Code (as amended by paragraph (1)), applies.

602.

Transfer to abandoned mine reclamation fund

Subparagraph (C) of section 402(i)(1) of the Surface Mining Control and Reclamation Act of 1977 (30 U.S.C. 1232(i)(1)) is amended by striking and $9,000,000 on October 1, 2009 and inserting $9,000,000 on October 1, 2009, and $9,000,000 on October 1, 2010.

Secretary