[Congressional Bills 111th Congress]
[From the U.S. Government Publishing Office]
[S. 929 Introduced in Senate (IS)]

111th CONGRESS
  1st Session
                                 S. 929

To amend the Internal Revenue Code of 1986 to provide a Federal income 
  tax credit for the purchase of certain nonroad equipment powered by 
                       alternative power sources.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                             April 29, 2009

Mr. Leahy (for himself and Mr. Sanders) 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 provide a Federal income 
  tax credit for the purchase of certain nonroad equipment powered by 
                       alternative power sources.

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

SECTION 1. CREDIT FOR CERTAIN NONROAD EQUIPMENT.

    (a) Allowance of Credit.--Subpart A of part IV of subchapter A of 
chapter 1 of the Internal Revenue Code of 1986 is amended by inserting 
after section 25D the following new section:

``SEC. 25E. CREDIT FOR CERTAIN NONROAD EQUIPMENT.

    ``(a) Allowance of Credit.--In the case of an individual, there 
shall be allowed as a credit against the tax imposed by this chapter an 
amount equal to 25 percent of the qualified nonroad equipment expenses 
for the taxable year.
    ``(b) Limitation.--The credit allowed under subsection (a) shall 
not exceed $1,000.
    ``(c) Qualified Nonroad Equipment Expenses.--For purposes of this 
section--
            ``(1) In general.--The term `qualified nonroad equipment 
        expenses' means the cost of any alternative power nonroad 
        equipment the original use of which commences with the taxpayer 
        and which is placed in service by the taxpayer during the 
        taxable year.
            ``(2) Alternative power nonroad equipment.--The term 
        `alternative power nonroad equipment' means any equipment that 
        is primarily used for lawn, garden, or forestry purposes, and 
        that--
                    ``(A) is powered by a motor drawing current from 
                solar power, electricity, or rechargeable or 
                replaceable batteries,
                    ``(B) has a hybrid-electric drive train or cutting 
                system which is powered by a generator or electrical 
                storage device combined with a small engine, or
                    ``(C) is powered by alternative power sources and--
                            ``(i) is regulated by the Environmental 
                        Protection Agency as a new, spark-ignition 
                        engine under part 1054 of title 40, Code of 
                        Federal Regulations (or any successor 
                        regulation), and
                            ``(ii) is certified by the Environmental 
                        Protection Agency as having an engine family 
                        that emits no more than 50 percent of the 
                        number of grams per kilowatt hour of regulated 
                        pollutants allowable under Phase 3 of the 
                        exhaust emissions standards under section 103 
                        of part 1054 of title 40, Code of Federal 
                        Regulations (or any successor regulation), 
                        relating to handheld engines, or section 105 of 
                        such part, relating to nonhandheld engines, 
                        whichever is applicable.
            ``(3) Alternative power sources.--The term `alternative 
        power sources' means any alternative fuel as determined by the 
        Secretary, in coordination with the Office of Energy Efficiency 
        and Renewable Energy.''.
    (b) Conforming Amendments.--
            (1) Section 24(b)(3)(B) of the Internal Revenue Code of 
        1986 is amended by striking ``and 25B'' and inserting ``, 25B, 
        and 25E''.
            (2) Section 25(e)(1)(C)(ii) of such Code is amended by 
        inserting ``25E,'' after ``25D,''.
            (3) Section 25B(g)(2) of such Code is amended by striking 
        ``section 23'' and inserting ``sections 23 and 25E''.
            (4) Section 904(i) of such Code is amended by striking 
        ``and 25B'' and inserting ``25B, and 25E''.
            (5) Section 1400C(d)(2) of such Code is amended by striking 
        ``and 25D'' and inserting ``25D, and 25E''.
    (c) Clerical Amendment.--The table of sections for subpart A of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by inserting after the item relating to section 25D the 
following new item:

``Sec. 25E. Credit for certain nonroad equipment.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to purchases made after the date of the enactment of this Act.
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