[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 3235 Introduced in House (IH)]
111th CONGRESS
1st Session
H. R. 3235
To amend the Internal Revenue Code of 1986 to allow a credit against
income tax for the use of ethanol in tetra ethyl ortho silicate (TEOS)
production.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
July 16, 2009
Mr. Schauer introduced the following bill; which was referred to the
Committee on Ways and Means
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A BILL
To amend the Internal Revenue Code of 1986 to allow a credit against
income tax for the use of ethanol in tetra ethyl ortho silicate (TEOS)
production.
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 ``American Commercial Ethanol Fairness
Act of 2009''.
SEC. 2. CREDIT FOR USE OF ETHANOL IN TEOS PRODUCTION.
(a) In General.--Subsection (a) of section 40 of the Internal
Revenue Code of 1986 (relating to alcohol used as fuel) is amended by
striking the period at the end of paragraph (4) and inserting ``,
plus'' and by adding after paragraph (4) the following new paragraph:
``(5) the ethanol in TEOS production credit.''.
(b) Ethanol in TEOS Production Credit.--Subsection (b) of section
40 of such Code (defining alcohol mixture credit, alcohol credit, and
small ethanol producer credit) is amended by adding at the end the
following new paragraph:
``(7) Ethanol in teos production credit.--
``(A) In general.--The ethanol in TEOS production
credit for any taxable year is 45 cents for each gallon
of alcohol which is ethanol that is used by the
taxpayer in the production of tetra ethyl ortho
silicate (TEOS) which is sold by the taxpayer producing
such chemical to any person during such taxable year.
``(B) Sale must be in trade or business, etc.--
Alcohol used in the production of tetra ethyl ortho
silicate (TEOS) shall be taken into account--
``(i) only if such tetra ethyl ortho
silicate (TEOS) is manufactured in the United
States,
``(ii) only if the sale described in
subparagraph (A) is in a trade or business of
the taxpayer, and
``(iii) for the taxable year in which such
sale occurs.
``(C) Small credit for lower proof ethanol.--In the
case of any alcohol with a proof which is at least 150
but less than 190, subparagraph (A) shall be applied by
substituting `33.33 cents' for `45 cents'.
``(D) Denial of double benefit.--In determining the
amount of the credit described in this paragraph, a
taxpayer shall not take into account any amount of
alcohol that is taken into account in determining the
amount of a credit described in paragraph (1), (2),
(4), or (6).''.
(c) Conforming Amendments.--
(1) Section 40(d)(3)(A)(i) of such Code is amended by
inserting ``other than the ethanol in TEOS production credit
described in subsection (b)(7)'' after ``any credit'', and
(2) Section 40(d)(3)(B)(i) of such Code is amended by
inserting ``other than the ethanol in TEOS production credit
described in subsection (b)(7)'' after ``any credit''.
(3) The heading for section 40(b) of such Code is amended
by striking ``and Small Ethanol Producer Credit'' and inserting
``Small Ethanol Producer Credit, and Ethanol in TEOS Production
Credit''.
(d) Effective Date.--The amendments made by this section shall
apply to tetra ethyl ortho silicate (TEOS) sold in taxable years
beginning after December 31, 2008.
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