Bill Summary
This bill is proposing to amend the Internal Revenue Code of 1986 in order to modify the limitations on the credit for plug-in electric drive motor vehicles. This would include reducing the credit by $500 during the transition period and phasing out the credit for vehicles sold after a certain number have been manufactured. The bill also includes an extension of the credit for new qualified fuel cell motor vehicles. This would apply to vehicles sold after the date of enactment of the bill.
Possible Impacts
1. If this bill is passed, people who purchase plug-in electric drive motor vehicles could receive a tax credit, making these vehicles more affordable for them.
2. The bill could also affect the sales of these vehicles, as there is a limitation on the number of new qualified plug-in electric drive motor vehicles that can receive the credit. This may impact the demand for these vehicles and the overall market for them.
3. Additionally, the bill extends the credit for new qualified fuel cell motor vehicles, which could incentivize people to purchase these types of vehicles. This could lead to an increase in the production and availability of fuel cell motor vehicles.
[Congressional Bills 116th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2256 Introduced in House (IH)]
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116th CONGRESS
1st Session
H. R. 2256
To amend the Internal Revenue Code of 1986 to modify limitations on the
credit for plug-in electric drive motor vehicles, and for other
purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 10, 2019
Mr. Kildee (for himself, Mr. Blumenauer, Mr. Higgins of New York, Ms.
Sewell of Alabama, Mr. Beyer, Mr. Suozzi, Mr. Panetta, Mrs. Murphy, Mr.
Gomez, and Mr. Danny K. 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 modify limitations on the
credit for plug-in electric drive motor vehicles, and for other
purposes.
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 ``Driving America Forward Act''.
SEC. 2. MODIFICATION OF LIMITATIONS ON NEW QUALIFIED PLUG-IN ELECTRIC
DRIVE MOTOR VEHICLE CREDIT.
(a) In General.--Subsection (e) of section 30D of the Internal
Revenue Code of 1986 is amended to read as follows:
``(e) Limitation on Number of New Qualified Plug-In Electric Drive
Motor Vehicles Eligible for Credit.--
``(1) In general.--In the case of any new qualified plug-in
electric drive motor vehicle sold after the date of the
enactment of the Driving America Forward Act--
``(A) if such vehicle is sold during the transition
period, the amount determined under subsection (b)(2)
shall be reduced by $500, and
``(B) if such vehicle is sold during the phaseout
period, only the applicable percentage of the credit
otherwise allowable under subsection (a) shall be
allowed.
``(2) Transition period.--For purposes of this subsection,
the transition period is the period subsequent to the first
date on which the number of new qualified plug-in electric
drive motor vehicles manufactured by the manufacturer of the
vehicle referred to in paragraph (1) sold for use in the United
States after December 31, 2009, is at least 200,000.
``(3) Phaseout period.--
``(A) In general.--For purposes of this subsection,
the phaseout period is the period beginning with the
second calendar quarter following the calendar quarter
which includes the first date on which the number of
new qualified plug-in electric drive motor vehicles
manufactured by the manufacturer of the vehicle
referred to in paragraph (1) sold for use in the United
States after December 31, 2009, is at least 600,000.
``(B) Applicable percentage.--For purposes of
paragraph (1)(B), the applicable percentage is--
``(i) 50 percent for the first calendar
quarter of the phaseout period, and
``(ii) 0 percent for each calendar quarter
thereafter.
``(C) Exclusion of sale of certain vehicles.--
``(i) In general.--For purposes of
subparagraph (A), any new qualified plug-in
electric drive motor vehicle manufactured by
the manufacturer of the vehicle referred to in
paragraph (1) which was sold during the
exclusion period shall not be included for
purposes of determining the number of such
vehicles sold.
``(ii) Exclusion period.--For purposes of
this subparagraph, the exclusion period is the
period--
``(I) beginning on the first date
on which the number of new qualified
plug-in electric drive motor vehicles
manufactured by the manufacturer of the
vehicle referred to in paragraph (1)
sold for use in the United States after
December 31, 2009, is at least 200,000,
and
``(II) ending on the date of the
enactment of the Driving America
Forward Act.
``(4) Controlled groups.--Rules similar to the rules of
section 30B(f)(4) shall apply for purposes of this
subsection.''.
(b) Effective Date.--The amendment made by this section shall apply
to vehicles sold after the date of the enactment of this Act.
SEC. 3. EXTENSION OF CREDIT FOR NEW QUALIFIED FUEL CELL MOTOR VEHICLES.
(a) In General.--Section 30B(k)(1) of the Internal Revenue Code of
1986 is amended by striking ``December 31, 2017'' and inserting
``December 31, 2028''.
(b) Effective Date.--The amendments made by this section shall
apply to property purchased after December 31, 2017.
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