110 HR 824 IH: To amend the Internal Revenue Code of 1986 to classify U.S. House of Representatives 2007-02-05 text/xml EN Pursuant to Title 17 Section 105 of the United States Code, this file is not subject to copyright protection and is in the public domain.

I 110th CONGRESS 1st Session H. R. 824 IN THE HOUSE OF REPRESENTATIVES February 5, 2007 Mr. Weller of Illinois 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 classify ethanol and biodiesel refining property as 7-year property for purposes of the accelerated cost recovery system.

1.

7-year depreciation of ethanol and biodiesel refining property

(a)

In general

Subparagraph (C) of section 168(e)(3) of the Internal Revenue Code of 1986 (relating to 7-year property) is amended by striking and at the end of clause (iv), by redesignating clause (v) as clause (vi), and by inserting after clause (iv) the following new clause: (v)any ethanol or biodiesel refining property. . (b)

Ethanol or biodiesel refining property

Section 168(i) of such Code is amended by adding at the end the following new paragraph: (18)

Ethanol or biodiesel refining property

The term ethanol and biodiesel refining property means— (A)property used to produce biodiesel (as defined in section 40A(d)(1)), and (B)property used to produce ethanol other than from petroleum, natural gas, or coal (including lignite). . (c)

Alternative depreciation system

The table contained in section 168(g)(3)(B) of such Code (relating to special rule for certain property assigned to classes) is amended by inserting after the item relating to subparagraph (C)(iv) the following new item: (C)(v)7 . (d)

Alternative minimum tax

Subparagraph (B) of section 56(a)(1) of such Code is amended by striking section 168(e)(3)(C)(iv) and inserting clause (iv) or (v) of section 168(e)(3)(C). (e)

Effective date

(1)

In general

The amendments made by this section shall apply to property placed in service after the date of the enactment of this Act. (2)

Exception

The amendments made by this section shall not apply to any property with respect to which the taxpayer or a related party has entered into a binding contract for the construction thereof on or before such date, or, in the case of self-constructed property, has started construction on or before such date.