,,ii #aag? ,,congress #a/ ,session ,s4 #biji ,,9 ,,! ,,s5ate ,,( ,,! ,,unit$ ,,/ates ,septemb] #cj1 #bjba ,mr4 ,b5net 7= himself & ,ms4 ,/ab5[7 introduc$ ! foll[+ bill2 :i* 0 read twice & ref]r$ to ! ,committee on ,f9ance ,a ,,bill ,to am5d ! ,int]nal ,rev5ue ,code ( #aihf to provide a manufactur+ inve/m5t tax cr$it & a production tax cr$it = manufactur+ facilities t produce on%ore w9d turb9e compon5ts4 #a4 ,%ort title ,?is ,act may be cit$ z ! ,on%ore ,w9d ,am]ican ,manufactur+ ,act ( #bjba4 #b4 ,on%ore w9d manufactur+ cr$it 7a7 ,9 g5]al ,subp>t ,c ( "p ,,iv ( sub*apt] ,a ( *apt] #a ( ! ,int]nal ,rev5ue ,code is am5d$ by ins]t+ aft] section #cf;,b ! foll[+ new section3 #cf;,c4 ,on%ore w9d manufactur+ cr$it 7a7 ,all[ance ( cr$it ,!re %all be all[$ z a cr$it aga9/ ! tax impos$ by ?is subtitle = any taxable ye> an am\nt equal to ! sum (-- 7#a7 ! on%ore w9d manufactur+ inve/m5t cr$it1 & 7#b7 ! on%ore w9d manufactur+ production cr$it4 7b7 ,cr$it am\nts ,= purposes ( ?is section-- 7#a7 ,manufactur+ inve/m5t cr$it 7,a7 ,9 g5]al ,! on%ore w9d manufactur+ inve/m5t cr$it = any taxable ye> is an am\nt equal to #cj p]c5t ( ! qualifi$ inve/m5t = su* taxable ye>4 7,b7 ,qualifi$ inve/m5t ,! qualifi$ inve/m5t = any taxable ye> is ! basis ( any on%ore w9d manufactur+ prop]ty plac$ 9 s]vice 9 ! ,unit$ ,/ates by ! taxpay] dur+ su* taxable ye>4 7,c7 ,on%ore w9d manufactur+ prop]ty ,! t]m on%ore w9d manufactur+ prop]ty means prop]ty-- 7i7 :i* is us$ pr$om9antly to manufacture or process any qualifi$ on%ore w9d compon5t1 7ii7 ) respect to :i* depreciation 7or amortization 9 lieu ( depreciation7 is all[able1 & 7iii7 :i*-- 7,i7 is con/ruct$1 recon/ruct$1 retool$1 upgrad$1 exp&$1 or erect$ by ! taxpay]1 or 7,,ii7 :i* is acquir$ by ! taxpay]1 if ! orig9al use ( su* prop]ty comm5ces ) ! taxpay]4 7#b7 ,manufactur+ production cr$it 7,a7 ,9 g5]al ,! on%ore w9d manufactur+ production cr$it is an am\nt equal to ! applicable rate ) respect to any qualifi$ on%ore w9d compon5t or relat$ vehicles or specialty equipm5t :i*-- 7i7 is produc$ by ! taxpay] at a qualifi$ manufactur+ facility1 & 7ii7 dur+ ! taxable ye>-- 7,i7 is sold by ! taxpay] to-- 7aa7 an unrelat$ p]son1 or 7bb7 a relat$ p]son = ! use ( su* p]son 9 _! trade or bus9ess 7) ! exception ( any trade or bus9ess relat$ to resale ( su* on%ore w9d compon5t )\t any subsequ5t modification1 assembly1 or integration into a project71 or 7,,ii7 if n sold1 is plac$ 9 s]vice or op]ation by ! taxpay] or any o!r p]son4 7,b7 ,applicable rate ,! applicable rate is-- 7i7 ) respect to any qualifi$ on%ore w9d compon5t1 ! total rat$ capacity 7express$ 9 watts7 ( ! complet$ on%ore w9d turb9e = :i* ! compon5t is design$1 multipli$ by-- 7,i7 9 ! case ( any hub1 #b c5ts1 7,,ii7 9 ! case ( any t[]1 #c c5ts1 7,,iii7 9 ! case ( any blade1 #d c5ts1 & 7,,iv7 9 ! case ( any nacelle1 #e c5ts1 & 7ii7 ) respect to any relat$ vehicles or specialty equipm5t1 an am\nt equal to-- 7,i7 #cj p]c5t ( ! sale price ( su* vehicles or equipm5t1 9 ! case ( vehicles or equipm5t us$ = ! transport or in/allation ( advanc$ on%ore w9d te*nology1 & 7,,ii7 #aj p]c5t ( ! sale price ( su* vehicles or equipm5t1 9 any o!r case4 7,c7 ,qualifi$ manufactur+ facility ,! t]m qualifi$ manufactur+ facility means any new or exi/+ facility-- 7i7 :i* is locat$ 9 ! ,unit$ ,/ates1 & 7ii7 :i* manufactures or assembles qualifi$ on%ore w9d compon5ts or relat$ vehicles or specialty equipm5t4 7,d7 ,advanc$ on%ore w9d te*nology ,! t]m advanc$ on%ore w9d te*nology means any on%ore w9d en]gy production te*nology ^: l&-bas$ sy/em compon5ts are ( a size t _c be transport$ on ! ,int]/ate ,highway ,sy/em due to ! m9imum v]tical cle>ances ( bridges4 7,e7 ,production & sale mu/ be 9 trade or bus9ess ,any qualifi$ on%ore w9d compon5t produc$ & sold by ! taxpay] %all be tak5 into acc\nt "u subp>agraph 7,a77ii77,i7 only if ! production & sale describ$ 9 subp>agraph 7,a7 is 9 a trade or bus9ess ( ! taxpay]4 7c7 ,def9itions ,= purposes ( ?is section-- 7#a7 ,qualifi$ on%ore w9d compon5t 7,a7 ,9 g5]al ,! t]m qualifi$ on%ore w9d compon5t means any blade1 t[]1 nacelle1 or hub :i* is a compon5t 9 an on%ore w9d en]gy sy/em produc+ electricity :i*-- 7i7 is rat$ at m ?an #aej kil[atts1 or 7ii7 is c]tifi$ by an accr$it$ c]tification ag5cy to meet ,/&>d #i4a-bjji ( ! ,am]ican ,w9d ,en]gy ,association or ! ,small ,w9d ,turb9e ,/&>d 7,,swt-#a7 ( ! ,am]ican ,clean ,p[] ,association & ,am]ican ,national ,/&>ds ,in/itute4 7,b7 ,def9itions 7i7 ,blade ,! t]m blade means an airfoil-%ap$ blade :i* is responsible = conv]t+ on%ore w9d en]gy to l[ spe$ rotational en]gy4 7ii7 ,t[] ,! t]m t[] means a tubul> /eel1 composite1 concrete1 or /eel lattice /ructure :i* supports an on%ore w9d turb9e4 7iii7 ,nacelle ,! t]m nacelle means ! assembly ( ! drive tra9 & o!r t[]-top compon5ts ( an on%ore w9d turb9e1 exclud+ ! blades & hub1 )9 _! cov] h\s+4 7iv7 ,hub ,! t]m hub means ! compon5t :i* connects ! blades to ! ma9 %aft ( ! on%ore w9d turb9e4 7#b7 ,relat$ vehicles or specialty equipm5t ,! t]m relat$ vehicles or specialty equipm5t means any vehicles1 aircraft1 or relat$ logi/ical equipm5t :i* are purpose-built or retr(itt$ = purposes ( ! transport1 in/allation1 or ma9t5ance ( on%ore w9d compon5ts & on%ore w9d turb9es4 7d7 ,special rules ,= purposes ( ?is section-- 7#a7 ,secret>y ,any ref]5ce to ! ,secret>y means ! ,secret>y 9 consultation ) ! ,secret>y ( ,en]gy4 7#b7 ,labor conditions ,any prop]ty %all be treat$ z on%ore w9d manufactur+ prop]ty1 & any facility %all be treat$ z a qualifi$ manufactur+ facility1 only if all labor]s & me*anics employ$ by all contractors & subcontractors 9 ! manufacture ( su* prop]ty or at su* facility are paid wages at rates n less ?an ! prevail+ rates = "w ( a simil> "* 9 ! locality z det]m9$ by ! ,secret>y ( ,labor1 9 accordance ) sections #cada ?r\gh #cadd1 #cadf1 & #cadg ( title #dj1 ,unit$ ,/ates ,code4 7#c7 ,c]ta9 rules made applicable = inve/m5t cr$it ,= purposes ( ! on%ore w9d manufactur+ inve/m5t cr$it det]m9$ "u subsection 7b77#a71 rules simil> to ! rules ( subsections 7a7 & 7c7 ( section #ej %all apply4 7#d7 ,coord9ation ) g5]al inve/m5t cr$it ,no cr$it %all be all[$ "u section #dh;,c ) respect to any facility tak5 into acc\nt = purposes ( ! cr$it "u subsection 7b77#b71 or any facility ) respect to :i* any qualifi$ inve/m5t is tak5 into acc\nt = purposes ( ! cr$it "u subsection 7b77#a74 ,! cr$it "u ?is section %all be all[$ )\t reg>d to :e!r any qualifi$ inve/m5t 7z def9$ 9 section #dh;,c7b77 ) respect to a facility has be5 tak5 into acc\nt = purposes ( section #dh;,c 9 any prec$+ taxable ye>4 7e7 ,regi/ration 7#a7 ,9 g5]al ,no cr$it %all be all[$ "u ?is section unless ! taxpay] regi/]s ) ! ,secret>y1 at su* "t1 9 su* =m & mann]1 & subject to su* t]ms & conditions1 z ! ,secret>y may by regulations prescribe4 ,su* regi/ration %all include a demon/ration ( compliance ) ! requirem5ts ( subsection 7d77#b74 7#b7 ,regi/ration 9 ev5t ( *ange 9 own]%ip ,"u regulations prescrib$ by ! ,secret>y1 ! taxpay] 7o!r ?an a corporation ! /ock ( :i* is regul>ly trad$ on an e/abli%$ securities m>ket7 %all be requir$ to re-regi/] "u ?is subsection if aft] a transaction 7or s]ies ( relat$ transactions7 m ?an #ej p]c5t ( own]%ip int]e/s 91 or assets (1 ! taxpay] are held by p]sons o!r ?an p]sons 7or p]sons relat$ !reto7 :o held m ?an #ej p]c5t ( su* int]e/s or assets be=e ! transaction 7or s]ies ( relat$ transactions74 7#c7 ,d5ial1 revocation1 or susp5sion ( regi/ration ,rules simil> to ! rules ( section #dbbb7;c7 %all apply to regi/ration "u ?is section4 7#d7 ,in=mation report+ ,! ,secret>y may require-- 7,a7 in=mation report+ by any p]son regi/]$ "u ?is subsection1 & 7,b7 in=mation report+ by su* o!r p]sons z ! ,secret>y deems necess>y to c>ry out ?is section4 7f7 ,t]m9ation 7#a7 ,on%ore w9d manufactur+ inve/m5t tax cr$it 7,a7 ,9 g5]al ,except z provid$ 9 subp>agraph 7,b71 9 ! case ( any qualifi$ inve/m5t ) respect to on%ore w9d manufactur+ prop]ty :i* is plac$ 9 s]vice aft] ,decemb] #ca1 #bjbh1 ! am\nt ( ! cr$it det]m9$ "u subsection 7b77#a7 7)\t reg>d to ?is subsection7 %all be r$uc$ by-- 7i7 9 ! case ( prop]ty plac$ 9 s]vice 9 cal5d> ye> #bjbi1 #cj p]c5t1 7ii7 9 ! case ( prop]ty plac$ 9 s]vice 9 cal5d> ye> #bjcj1 #fe p]c5t1 & 7iii7 9 ! case ( prop]ty plac$ 9 s]vice aft] ,decemb] #ca1 #bjcj1 #ajj p]c5t4 7,b7 ,c]ta9 progress exp5diture rules made applicable ,rules simil> to ! rules ( subsections 7c77#d7 & 7d7 ( section #df 7z 9 effect on ! day be=e ! date ( ! enactm5t ( ! ,rev5ue ,reconciliation ,act ( #aiij7 %all apply = purposes ( subp>agraph 7,a74 7#b7 ,on%ore w9d manufactur+ production tax cr$it ,no cr$it %all be all[$ "u subsection 7b77#b7 9 ! case ( any qualifi$ on%ore w9d compon5t fir/ sold or plac$ 9 s]vice aft] ,decemb] #ca1 #bjcj4 4 7b7 ,cl]ical am5dm5t ,! table ( sections = subp>t ,c ( "p ,,iv ( sub*apt] ,a ( *apt] #a ( ! ,int]nal ,rev5ue ,code is am5d$ by ins]t+ aft] ! item relat+ to section #cf;,b ! foll[+ new item3 ,sec4 #cf;,c4 ,on%ore w9d manufactur+ cr$it4 4 7c7 ,con=m+ am5dm5t ,p>agraph 7#b7 ( section #acbd7;b7 ( title #ca1 ,unit$ ,/ates ,code1 is am5d$ by ins]t+ 1 #cf;,c aft] #cf;,b4 7d7 ,effective date ,! am5dm5ts made by ?is section %all apply to-- 7#a7 any qualifi$ inve/m5t 7z def9$ 9 section #cf;,c7b77#a77;,b7 ( ! ,int]nal ,rev5ue ,code ( #aihf1 z add$ by ?is section7 ) respect to prop]ty plac$ 9 s]vice beg9n+ aft] ,augu/ #a1 #bjba1 & 7#b7 qualifi$ on%ore w9d compon5ts 7z def9$ 9 section #cf;,c7c77#a7 ( su* ,code1 z s add$7 fir/ sold or plac$ 9 s]vice aft] ,augu/ #a1 #bjba4