H.R. 5655 — Introduced in House

I 118th CONGRESS 1st Session H. R. 5655 IN THE HOUSE OF REPRESENTATIVES September 21, 2023Ms. Perez 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 establish tax credits for personal locator beacons on certain vessels. 1. Short title This Act may be cited as the Bryson Fitch Fishermen Protection Act. 2. Business tax credit for locator beacons (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: 45BB. Locator beacon credit (a) In general For purposes of section 38, in the case of an eligible commercial fishing company, the personal locator beacon credit determined under this section for any taxable year is an amount equal to 50 percent of the sum of— (1) the basis of any qualified beacon placed in service by the taxpayer during such taxable year, and (2) amounts paid by the taxpayer for the maintenance of any qualified beacon during such taxable year. (b) Definitions For purposes of this section— (1) Qualified beacon (A) In general The term qualified beacon means a qualified emergency position-indicating radio beacon or qualified personal locator beacon which is placed in service on board a qualified vessel. (B) Qualified emergency position-indicating radio beacon The term qualified emergency position-indicating radio beacon means a device installed on an eligible vessel that— (i) transmits distress signals at a frequency between 406.0 and 406.1 MHz, (ii) is manufactured by a company approved to manufacture beacons by the International Cospas-Sarsat Programme, (iii) is registered with the United States National Oceanic and Atmospheric Administration, and (iv) is acquired for use on commercial fishing vessels by the taxpayer who owns or operates an eligible vessel. (C) Qualified personal locator beacon The term qualified personal locator beacon means a device designed to be carried by an individual that— (i) transmits distress signals at a frequency between 406.0 and 406.1 MHz, (ii) is manufactured by a company approved to manufacture beacons by the International Cospas-Sarsat Programme, (iii) is registered with the United States National Oceanic and Atmospheric Administration, and (iv) is acquired for use on commercial fishing vessels by the taxpayer who owns or operates an eligible vessel. (D) Qualified vessel The term qualified vessel means an eligible vessel which is equipped with at least 1 qualified personal locator beacon for each individual on board such vessel. (2) Eligible commercial fishing company The term eligible commercial fishing company means a business which owns or operates in the course of business any eligible vessel. (3) Eligible vessel The term eligible vessel means a vessel described in paragraph (12), (13), or (14) of section 2101 of title 46, United States Code. (c) Termination This section shall not apply to taxable years beginning after December 31, 2028. . (b) Credit To be part of general business credit Section 38(b) of such Code is amended by striking plus at the end of paragraph (40), by striking the period at the end of paragraph (41) and inserting , plus, and by adding at the end the following new paragraph: (42) in the case of an eligible commercial fishing company (as defined in section 45BB), the locator beacon credit determined under section 45BB(a). . (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 adding at the end the following new item: Sec. 45BB. Locator beacon credit. . (d) Effective date The amendments made by this section shall apply to beacons placed in service in taxable years beginning after December 31, 2023. 3. Personal tax credit for purchase of certain personal locator beacons (a) In general Subpart A of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 (relating to nonrefundable personal credits) is amended by inserting after section 25E the following new section: 25F. Personal tax credit for purchase of certain personal locator beacons (a) Allowance of credit In the case of an individual, there shall be allowed as a credit against the tax imposed by this chapter for the taxable year an amount equal to 50 percent of the amounts paid or incurred by the taxpayer for the purchase of a qualified beacon during the taxable year. (b) Definitions For purposes of this section— (1) Qualified beacon The term qualified beacon means a beacon— (A) described in subparagraph (B) or (C) of section 45BB(b)(1) (determined without regard to subparagraphs (B)(iv) or (C)(iv) thereof), and (B) which is purchased by the taxpayer for use on an eligible vessel which is not a qualified vessel. (2) Eligible vessel, qualified vessel The terms eligible vessel and qualified vessel have the meaning given such terms in section 45BB(b)(1). (c) Termination This section shall not apply to taxable years beginning after December 31, 2028. . (b) Clerical amendment The table of sections for subpart A of part IV of subchapter A of chapter 1 of such Code is amended by inserting after the item relating to section 25E the following new item: Sec. 25F. Personal tax credit for purchase of certain personal locator beacons. . (c) Effective date The amendments made by this section shall apply to taxable years beginning after December 31, 2023.