[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4494 Introduced in House (IH)]

111th CONGRESS
  2d Session
                                H. R. 4494

   To amend the Internal Revenue Code of 1986 to allow a credit for 
                     lightweight coal freight cars.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 21, 2010

Mr. Davis 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 allow a credit for 
                     lightweight coal freight cars.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. LIGHTWEIGHT COAL FREIGHT CAR CREDIT.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 (relating to business related 
credits) is amended by adding at the end the following new section:

``SEC. 45R. LIGHTWEIGHT COAL FREIGHT CAR CREDIT.

    ``(a) In General.--For purposes of section 38, in the case of a 
taxpayer who is engaged in the trade or business of transporting coal 
by rail or financing freight cars for use in such a trade or business, 
the lightweight coal freight car credit determined under this section 
for any taxable year shall be an amount equal to 30 percent of the 
basis of each eligible lightweight coal freight car placed in service 
by the taxpayer during the taxable year.
    ``(b) Eligible Lightweight Coal Freight Car.--For purposes of this 
section--
            ``(1) In general.--The term `eligible lightweight coal 
        freight car' means any freight car--
                    ``(A) designed to carry coal by rail,
                    ``(B) the tare weight of which does not exceed 
                50,000 pounds, and
                    ``(C) substantially all of the manufacturing of 
                which occurred in the United States.
            ``(2) Substantially all.--Substantially all of the 
        manufacturing of a freight car shall be treated as having 
        occurred in the United States if--
                    ``(A) the cost of the freight car's components 
                produced in the United States is more than 80 percent 
                of the cost of all components of the freight car, and
                    ``(B) final assembly of the freight car occurs in 
                the United States.
    ``(c) Basis Adjustment.--For purposes of this subtitle, if a credit 
is allowed under this section with respect to any freight car, the 
basis of such car shall be reduced by the amount of the credit so 
allowed.
    ``(d) Termination.--This section shall not apply to any freight car 
placed in service after December 31, 2013.''.
    (b) Credit Made Part of General Business Credit.--Subsection (b) of 
section 38 of such Code is amended by striking ``plus'' at the end of 
paragraph (34), by striking the period at the end of paragraph (35) and 
inserting ``, plus'', and by adding at the end the following new 
paragraph:
            ``(36) the lightweight coal freight car credit determined 
        under section 45R(a).''.
    (c) Conforming Amendments.--Subsection (a) of section 1016 of such 
Code is amended by striking ``and'' at the end of paragraph (35), by 
striking the period at the end of paragraph (36) and inserting ``, 
and'', and by adding at the end the following new paragraph:
            ``(37) to the extent provided in section 45R(c).''.
    (d) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by adding 
at the end the following new item:

``Sec. 45R. Lightweight coal freight car credit.''.
    (e) Effective Date.--The amendments made by this section shall 
apply to freight cars placed in service after the date of the enactment 
of this Act.
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