[Congressional Bills 110th Congress]
[From the U.S. Government Publishing Office]
[S. 3025 Introduced in Senate (IS)]







110th CONGRESS
  2d Session
                                S. 3025

 To amend the Internal Revenue Code of 1986 to allow a credit against 
            tax for the purchase of a flexible fuel vehicle.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                              May 15, 2008

   Mr. Thune 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 
            tax for the purchase of a flexible fuel vehicle.

    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 ``Flex Fuel for All Americans Act''.

SEC. 2. FLEXIBLE FUEL MOTOR VEHICLE CREDIT.

    (a) Allowance of Credit.--
            (1) In general.--Section 30B of the Internal Revenue Code 
        of 1986 is amended by redesignating subsections (i) and (j) as 
        subsections (j) and (k), respectively, and by inserting after 
        subsection (h) the following new subsection:
    ``(i) New Qualified Flexible Fuel Motor Vehicle Credit.--
            ``(1) In general.--The new qualified flexible fuel motor 
        vehicle credit determined under this subsection is an amount 
        equal to $1,000 for each new qualified flexible fuel motor 
        vehicle placed in service by the taxpayer during the taxable 
        year.
            ``(2) Increased amount for optimum flexible fuel 
        vehicles.--In the case of a new qualified flexible fuel motor 
        vehicle which is an optimum flexible fuel vehicle, the dollar 
        amount in effect under paragraph (1) shall be increased by 
        $500.
            ``(3) New qualified flexible fuel motor vehicle.--For 
        purposes of this subsection, the term `new qualified flexible 
        fuel motor vehicle' means any motor vehicle--
                    ``(A) which is capable of operating on--
                            ``(i) both gasoline and either--
                                    ``(I) a blend of 85 percent ethanol 
                                fuel and 15 percent gasoline, or
                                    ``(II) a blend of 85 percent 
                                methanol fuel and 15 percent gasoline, 
                                or
                            ``(ii) both diesel fuel and a blend of 20 
                        percent biodiesel and 80 percent diesel fuel,
                    ``(B) the original use of which commences with the 
                taxpayer,
                    ``(C) which is acquired by the taxpayer for use or 
                lease, but not for resale, and
                    ``(D) which is made by a manufacturer.
            ``(4) Optimum flexible fuel vehicle.--For purposes of this 
        subsection, the term `optimum flexible fuel vehicle' means a 
        new qualified flexible fuel motor vehicle which is certified by 
        the Environmental Protection Agency--
                    ``(A) in the case of a motor vehicle described in 
                paragraph (3)(A)(i), to achieve an efficiency 
                (determined in miles per gallon) when using a blend 
                described in subclause (I) or (II) of paragraph 
                (3)(A)(i) equal to or greater than the efficiency 
                achieved by such vehicle when using gasoline alone, and
                    ``(B) in the case of a motor vehicle described in 
                paragraph (3)(A)(ii), to achieve an efficiency 
                (determined in miles per gallon) when using a blend 
                described in paragraph (3)(A)(ii) equal to or greater 
                than the efficiency achieved by such vehicle when using 
                diesel fuel alone.''.
            (2) Conforming amendment.--Section 30B(a) of such Code is 
        amended by striking ``and'' at the end of paragraph (3), by 
        striking the period at the end of paragraph (4) and inserting 
        ``, and'', and by adding at the end the following new 
        paragraph:
            ``(5) the new qualified flexible fuel motor vehicle credit 
        determined under subsection (i).''.
    (b) Termination.--Subsection (k) of section 30B of the Internal 
Revenue Code of 1986, as redesignated by subsection (a), is amended by 
striking ``and'' and the end of paragraph (3), by striking the period 
at the end of paragraph (4) and inserting ``, and'', and by adding at 
the end the following new paragraph:
            ``(5) in the case of a new qualified flexible fuel motor 
        vehicle (as described in subsection (i)), December 31, 2015.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property placed in service after December 31, 2008, in taxable 
years ending after such date.
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