[Congressional Record Volume 144, Number 78 (Tuesday, June 16, 1998)]
[Senate]
[Pages S6425-S6426]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




   ASSISTIVE AND UNIVERSALLY DESIGNED TECHNOLOGY IMPROVEMENT ACT FOR 
                     INDIVIDUALS WITH DISABILITIES

                                 ______
                                 

                        BOND AMENDMENT NO. 2708

  (Ordered referred to the Committee on Labor and Human Resources.)
  Mr. BOND submitted an amendment intended to be proposed by him to the 
bill (S. 2173) to amend the Rehabilitation Act of 1973 to provide for 
research and development of assistance technology and universally 
designed technology, and for other purposes; as follows:

       At the end of the bill add the following:

     SEC. 8. TAX INCENTIVES FOR ASSISTIVE TECHNOLOGY.

       (a) Assistive Technology Development Business Tax Credit.--
       (1) 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:

     ``SEC. 45D. CREDIT FOR ASSISTIVE TECHNOLOGY.

       ``(a) General Rule.--For purposes of section 38, the 
     assistive technology credit of any taxpayer for any taxable 
     year is an amount equal to so much of the qualified assistive 
     technology expenses paid or incurred by the taxpayer during 
     such year as does not exceed $100,000.
       ``(b) Qualified Assistive Technology Expenses.--For 
     purposes of this section--
       ``(1) In general.--The term `qualified assistive technology 
     expenses' means expenses for the design, development, and 
     fabrication of assistive technology devices.
       ``(2) Assistive technology device.--The term `assistive 
     technology device' means any item, piece of equipment, or 
     product system, including any item acquired commercially off 
     the shelf and modified or customized by the taxpayer, that is 
     used to increase, maintain, or improve functional 
     capabilities of individuals with disabilities.
       ``(3) Individuals with disabilities.--The term `individuals 
     with disabilities'' has the meaning given the term by section 
     3 of the Technology Related Assistance for Individuals with 
     Disabilities Act of 1988 (29 U.S.C. 2202).
       ``(c) No Double Benefit.--Any amount taken into account 
     under section 41 may not be taken into account under this 
     section.
       ``(d) Termination.--This section shall not apply to any 
     amount paid or incurred after December 31, 2003.''.
       (2) Credit treated as business credit.--Section 38(b) of 
     the Internal Revenue Code of 1986 (relating to current year 
     business credit) is amended by striking ``plus'' at the end 
     of paragraph (11), by striking the period at the end of 
     paragraph (12) and inserting ``, plus'', and by adding at the 
     end the following:
       ``(13) the assistive technology credit determined under 
     section 45D(a).''.
       (3) Transitional rule.--Section 39(d) of the Internal 
     Revenue Code of 1986 (relating to transitional rules) is 
     amended by adding at the end the following:
       ``(9) No carryback of section 45D credit before effective 
     date.--No portion of the unused business credit for any 
     taxable year which is attributable to the assistive 
     technology credit determined under section 45D(a) may be 
     carried back to a taxable year ending before January 1, 
     1999.''.
       (4) Clerical amendment.--The table of sections for 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:

``Sec. 45D. Credit for assistive technology.''.

       (5) Evaluation of effectiveness of credit.--The Secretary 
     of the Treasury shall evaluate the effectiveness of the 
     assistive technology credit under section 45D of the Internal 
     Revenue Code of 1986, as added by this subsection, and report 
     to the Congress the results of such evaluation not later than 
     January 1, 2003.
       (b) Expansion of Architectural and Transportation Barrier 
     Removal Deduction.--
       (1) In general.--Section 190 of the Internal Revenue Code 
     of 1986 is amended--
       (A) by inserting ``and qualified communications barrier 
     removal expenses'' after ``removal expenses'' in subsections 
     (a)(1),
       (B) by adding at the end of subsection (b) the following:
       ``(4) Qualified communications barrier removal expenses.--
       ``(A) In general.--The term `qualified communications 
     barrier removal expense' means a communications barrier 
     removal expense with respect to which the taxpayer 
     establishes, to the satisfaction of the Secretary, that the 
     resulting removal of any such barrier meets the standards 
     promulgated by the Secretary and set forth in regulations 
     prescribed by the Secretary. Such term shall not include the 
     costs of general communications system upgrades or periodic 
     replacements that do not heighten accessibility as the 
     primary purpose and result of such replacements.

[[Page S6426]]

       ``(B) Communications barrier removal expenses.--The term 
     `communications barrier removal expense' means an expenditure 
     for the purpose of identifying and implementing alternative 
     technologies or strategies to remove those features of the 
     physical, information-processing, telecommunications 
     equipment or other technologies that limit the ability of 
     handicap individuals to obtain, process, retrieve, or 
     disseminate information that nonhandicapped individuals in 
     the same or similar setting would ordinarily be expected and 
     be able to obtain, retrieve, manipulate, or disseminate.'', 
     and
       (C) by striking ``and transportation'' in the heading and 
     inserting ``, transportation, and communications''.
       (2) Conforming amendment.--The item relating to section 190 
     in the table of sections for part VI of subchapter B of 
     chapter 1 of the Internal Revenue Code of 1986 is amended by 
     striking ``and transportation'' and inserting ``, 
     transportation, and communications''.
       (c) Expansion of Work Opportunity Credit.--Section 51(c) of 
     the Internal Revenue Code of 1986 (defining wages) is amended 
     by redesignating paragraph (4) as paragraph (5) and by 
     inserting after paragraph (3) the following:
       ``(4) Assistive technology expenses.--
       ``(A) In general.--The term `wages' includes expenses 
     incurred in the acquisition and use of technology--
       ``(i) to facilitate the employment of any individual, 
     including a vocational rehabilitation referral; or
       ``(ii) to provide a reasonable accommodation for any 
     employee who is a qualified individual with a disability, as 
     such terms are defined in section 101 of the Americans with 
     Disabilities Act of 1990 (42 U.S.C. 12111).
       ``(B) Regulations.--The Secretary shall by regulation 
     provide rules for allocating expenses described in 
     subparagraph (A) among individuals employed by the 
     employer.''.
       (d) Effective Date.--The amendments made by this section 
     shall apply to taxable years beginning after December 31, 
     1998.

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