[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5194 Introduced in House (IH)]

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114th CONGRESS
  2d Session
                                H. R. 5194

 To amend the Internal Revenue Code of 1986 to allow a credit against 
    tax for costs incurred by certain businesses for drug disposal 
                               programs.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 11, 2016

Mr. Blumenauer 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 against 
    tax for costs incurred by certain businesses for drug disposal 
                               programs.

    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 ``Safe Drug Disposal Tax Credit Act of 
2016''.

SEC. 2. DRUG DISPOSAL PROGRAM CREDIT.

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

``SEC. 45S. DRUG DISPOSAL PROGRAM CREDIT.

    ``(a) General Rule.--For purposes of section 38, in the case of an 
eligible entity, the drug disposal program credit determined under this 
section for a taxable year is 30 percent of the qualified drug disposal 
program costs of such entity for the taxable year.
    ``(b) Definitions.--For purposes of this section--
            ``(1) Qualified drug disposal program costs.--The term 
        `qualified drug disposal program costs' means amounts paid or 
        incurred by an eligible entity for establishing or maintaining 
        a drug disposal site, including amounts for materials for such 
        site, outreach and training about the use of such site, and 
        safe disposal of drugs collected at such site.
            ``(2) Drug disposal site.--The term `drug disposal site' 
        means a location where individuals can, free of charge, deposit 
        drugs to be disposed of legally.
            ``(3) Eligible entity.--The term `eligible entity' means an 
        entity authorized under the Controlled Substances Act to 
        dispose of controlled substances.
            ``(4) Drug.--The term `drug' has the meaning given such 
        term in section 201 of the Federal Food, Drug, and Cosmetic Act 
        and includes a biological product, as defined in section 351 of 
        the Public Health Service Act.
    ``(c) Basis Adjustment.--If a credit is determined under this 
section with respect to any property, the basis of such property shall 
be reduced by the amount of the credit so determined.''.
    (b) Conforming Amendments.--
            (1) Section 38(b) of such Code is amended by striking 
        ``plus'' at the end of paragraph (35), by striking the period 
        at the end of paragraph (36) and inserting ``, plus'', and by 
        adding at the end the following new paragraph:
            ``(37) in the case of an eligible entity (as defined in 
        section 45S(b)), the drug disposal program credit determined 
        under section 45S.''.
            (2) Section 1016(a) of such Code is amended by striking 
        ``and'' at the end of paragraph (36), by striking the period at 
        the end of paragraph (37) and inserting ``, and'', and by 
        adding at the end the following new paragraph:
            ``(38) in the case of property with respect to which a 
        credit was allowed under section 45S, to the extent provided in 
        section 45S(c).''.
    (c) Clerical Amendment.--The table of sections for subpart D of 
part IV of subchapter A of chapter 1 of such Code is amended by 
inserting after the item relating to section 45R the following new 
item:

``Sec. 45S. Drug disposal program credit.''.
    (d) Effective Date.--The amendments made by this section apply with 
respect to taxable years beginning after December 31, 2016.
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