[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[S. 1191 Introduced in Senate (IS)]
<DOC>
117th CONGRESS
1st Session
S. 1191
To amend the Internal Revenue Code of 1986 to include biomass heating
appliances in the energy credit and to extend the credit for
residential energy efficient property.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
April 15, 2021
Mr. King (for himself, Ms. Collins, Ms. Hassan, and Mrs. Shaheen)
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 include biomass heating
appliances in the energy credit and to extend the credit for
residential energy efficient property.
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 ``Biomass Thermal Utilization Act of
2021'' or the ``BTU Act of 2021''.
SEC. 2. INVESTMENT TAX CREDIT FOR BIOMASS HEATING PROPERTY.
(a) In General.--Section 48(a)(3)(A) of the Internal Revenue Code
of 1986 is amended--
(1) by striking ``or'' at the end of clause (vii),
(2) by adding ``or'' at the end of clause (viii), and
(3) and by inserting after clause (viii) the following new
clause:
``(ix) open-loop biomass heating property
(within the meaning of section 45(c)(3))
heating property, including boilers or furnaces
that operate at thermal output efficiencies of
not less than 75 percent (measured by the lower
heating value of the fuel at nominal output),
that are installed indoors, and that provide
thermal energy in the form of heat, hot water,
or steam for space heating, air conditioning,
domestic hot water, or industrial process
heat,''.
(b) Open-Loop Biomass Heating Property Defined.--Section 48(c) of
the Internal Revenue Code of 1986 is amended by adding at the end the
following new paragraph:
``(6) Open-loop biomass heating property.--
``(A) In general.--The term `open-loop biomass
heating property' means any property which--
``(i) uses open-loop biomass (as defined in
section 45(c)(3)) to produce thermal energy in
the form of heat, hot water, hot air, or steam,
and
``(ii) is used for space heating, air
conditioning, domestic hot water, industrial
process heat, or any combination of the
foregoing.
``(B) Requirements for boilers and furnaces.--Such
term shall not include any boiler or furnace unless
such boiler or furnace--
``(i) operates at thermal output
efficiencies of not less than 75 percent
(measured by the lower heating value of the
fuel at nominal output), and
``(ii) is installed indoors.''.
(c) Energy Percentage.--Section 48(a)(2)(A)(i) of such Code is
amended--
(1) by striking ``and'' at the end of subclause (IV), and
(2) by adding at the end the following new subclause:
``(VI) open-loop biomass heating
property, but only with respect to
property the construction of which
begins before January 1, 2029, and''.
(d) Effective Date.--The amendments made by this section shall
apply to periods after December 31, 2020, in taxable years ending after
such date, under rules similar to the rules of section 48(m) of the
Internal Revenue Code of 1986 (as in effect on the day before the date
of the enactment of the Revenue Reconciliation Act of 1990).
SEC. 3. EXTENSION OF RESIDENTIAL ENERGY EFFICIENT PROPERTY CREDIT.
(a) In General.--Section 25D(h) of the Internal Revenue Code of
1986 is amended by striking ``December 31, 2023'' and inserting
``December 31, 2028''.
(b) Application of Phaseout.--Section 25D(g) of such Code is
amended--
(1) by striking ``before January 1, 2023'' in paragraph (2)
and inserting ``before January 1, 2022'',
(2) by striking ``and'' at the end of paragraph (2),
(3) by redesignating paragraph (3) as paragraph (5) and by
inserting after paragraph (2) the following new paragraphs:
``(3) in the case of property placed in service after
December 31, 2021, and before January 1, 2027, 30 percent,
``(4) in the case of property placed in service after
December 31, 2026, and before January 1, 2028, 26 percent,
and'', and
(4) by striking ``December 31, 2022, and before January 1,
2024'' in paragraph (5) (as so redesignated) and inserting
``December 31, 2027, and before January 1, 2029''.
(c) Effective Date.--The amendments made by this section shall
apply to expenditures made after the date of the enactment of this Act.
<all>