71st OREGON LEGISLATIVE ASSEMBLY--2001 Regular Session
SA to A-Eng. HB 2272 (A to RC)
LC 1238/HB 2272-A4
SENATE AMENDMENTS TO
A-ENGROSSED HOUSE BILL 2272
(INCLUDING AMENDMENTS TO RESOLVE CONFLICTS)
By COMMITTEE ON REVENUE
June 11
On page 1 of the printed A-engrossed bill, line 4, after '
315.262,' insert '315.266, 315.274,'.
In line 6, after '469.205' insert ', 469.215'.
On page 2, after line 44, insert:
' { + SECTION 1a. + } { + If Senate Bill 521 becomes law,
section 1 of this 2001 Act (amending ORS 315.354) is repealed and
ORS 315.354, as amended by section 1, chapter ___, Oregon Laws
2001 (Enrolled Senate Bill 521), is amended to read: + }
' 315.354. (1) A credit is allowed against the taxes otherwise
due under ORS chapter 316 (or, if the taxpayer is a corporation,
under ORS chapter 317 or 318), based upon the certified cost of
the facility during the period for which that facility is
certified under ORS 469.185 to 469.225. The credit is allowed as
follows:
' (a) Except as provided in paragraph (b) of this subsection,
the credit allowed in each of the first two tax years in which
the credit is claimed shall be 10 percent of the certified cost
of the facility, but may not exceed the tax liability of the
taxpayer. The credit allowed in each of the succeeding three
years shall be five percent of the certified cost, but may not
exceed the tax liability of the taxpayer.
' (b) If the application for certification under ORS 469.185 to
469.225 was filed with the Office of Energy on or after January
1, 2001, and the certified cost of the facility does not exceed
$20,000, the total amount of the credit allowable under
subsection
{ - (4) - } { + (3) + } of this section may be claimed in the
first tax year for which the credit may be claimed, but may not
exceed the tax liability of the taxpayer.
' (2) { + In order for a tax credit to be allowable under this
section: + }
' { + (a) + } The facility must be { + located + } in
Oregon { + ;
' (b) The facility must have received final certification from
the administrator of the Office of Energy under ORS 469.185 to
469.225; + } and
' { + (c) + } The taxpayer must be an eligible applicant
under ORS 469.205 (1)(c).
' { - (3) If the facility is a qualified transit pass
contract, the taxpayer must be the obligated purchaser of transit
passes. - }
' { - (4) - } { + (3) + } The maximum total credit or
credits allowed for a facility under this section to eligible
taxpayers may not exceed 35 percent of the certified cost of the
facility.
' { - (5)(a) - } { + (4)(a) + } Upon any sale, termination
of the lease or contract, exchange or other disposition of the
facility, notice thereof shall be given to the administrator of
the Office of Energy who shall revoke the certificate covering
the facility as of the date of such disposition. The new owner,
or upon re-leasing of the facility, the new lessor, may apply for
a new certificate under ORS 469.215, but the tax credit available
to the new owner shall be limited to the amount of credit not
claimed by the former owner or, for a new lessor, the amount of
credit not claimed by the lessor under all previous leases.
' (b) The Office of Energy may not revoke the certificate
covering a facility under paragraph (a) of this subsection if the
tax credit associated with the facility has been transferred to a
taxpayer who is an eligible applicant under ORS 469.205
(1)(c)(A).
' { - (6) - } { + (5) + } Any tax credit otherwise allowable
under this section that is not used by the taxpayer in a
particular year may be carried forward and offset against the
taxpayer's tax liability for the next succeeding tax year. Any
credit remaining unused in that next succeeding tax year may be
carried forward and used in the second succeeding tax year, and
likewise, any credit not used in that second succeeding tax year
may be carried forward and used in the third succeeding tax year,
and likewise, any credit not used in that third succeeding tax
year may be carried forward and used in the fourth succeeding tax
year, and likewise, any credit not used in that fourth succeeding
tax year may be carried forward and used in the fifth succeeding
tax year, and likewise, any credit not used in that fifth
succeeding tax year may be carried forward and used in the sixth
succeeding tax year, and likewise, any credit not used in that
sixth succeeding tax year may be carried forward and used in the
seventh succeeding tax year, and likewise, any credit not used in
that seventh succeeding tax year may be carried forward and used
in the eighth succeeding tax year, but may not be carried forward
for any tax year thereafter. Credits may be carried forward to
and used in a tax year beyond the years specified in subsection
(1) of this section only as provided in this subsection.
' { - (7) - } { + (6) + } The credit provided by this
section is not in lieu of any depreciation or amortization
deduction for the facility to which the taxpayer otherwise may be
entitled for purposes of ORS chapter 316, 317 or 318 for such
year.
' { - (8) - } { + (7) + } The taxpayer's adjusted basis for
determining gain or loss may not be decreased by any tax credits
allowed under this section.
' { + SECTION 1b. + } If Senate Bill 521 becomes law, ORS
469.215, as amended by section 8, chapter ___, Oregon Laws 2001
(Enrolled Senate Bill 521), is amended to read:
' 469.215. (1) No final certification shall be issued by the
administrator of the Office of Energy under this section unless
the facility was acquired, erected, constructed or installed
under a preliminary certificate of approval issued under ORS
469.210 and in accordance with the applicable provisions of ORS
469.185 to 469.225 and any applicable rules or standards adopted
by the administrator.
' (2) Any person may apply to the Office of Energy for final
certification of a facility:
' (a) If the office issued preliminary certification for the
facility under ORS 469.210; and
' (b)(A) After completion of erection, construction,
installation or acquisition of the proposed facility or, if the
facility is a qualified transit pass contract, after entering
into the contract with a transportation provider; or
' (B) After transfer of the facility, as provided in ORS
315.354 { - (5) - } { + (4) + }.
' (3) An application for final certification shall be made in
writing on a form prepared by the Office of Energy and shall
contain:
' (a) A statement that the conditions of the preliminary
certification have been complied with;
' (b) The actual cost of the facility certified to by a
certified public accountant who is not an employee of the
applicant or, if the actual cost of the facility is less than
$50,000, copies of receipts for purchase and installation of the
facility;
' (c) A statement that the facility is in operation or, if not
in operation, that the applicant has made every reasonable effort
to make the facility operable; and
' (d) Any other information determined by the administrator to
be necessary prior to issuance of a final certificate, including
inspection of the facility by the Office of Energy.
' (4) The administrator shall act on an application for
certification before the 60th day after the filing of the
application under this section. The administrator, after
consultation with the Public Utility Commission, may issue the
certificate together with such conditions as the administrator
determines are appropriate to promote the purposes of this
section and ORS 315.354, 469.185, 469.200, 469.205 and 469.878.
The action of the administrator shall include certification of
the actual cost of the facility. However, in no event shall the
administrator certify an amount for tax credit purposes which is
more than 10 percent in excess of the amount approved in the
preliminary certificate issued for the facility.
' (5) If the administrator rejects an application for final
certification, or certifies a lesser actual cost of the facility
than was claimed in the application, the administrator shall send
to the applicant written notice of the action, together with a
statement of the findings and reasons therefor, by certified
mail, before the 60th day after the filing of the application.
Failure of the administrator to act constitutes rejection of the
application.
' (6) Upon approval of an application for final certification
of a facility, the administrator shall certify the facility. Each
certificate shall bear a separate serial number for each device.
Where one or more devices constitute an operational unit, the
administrator may certify the operational unit under one
certificate.'.
On page 4, line 16, after 'ORS' delete the rest of the line and
insert '315.354, 469.205 and 469.215 by sections 1, 1a, 1b and 2
of this 2001'.
On page 50, after line 1, insert:
' { + SECTION 56. + } ORS 315.266 is amended to read:
' 315.266. (1) In addition to any other credit available for
purposes of ORS chapter 316, an eligible resident individual
shall be allowed a credit against the tax otherwise due under ORS
chapter 316 for the tax year in an amount equal to five percent
of the earned income credit allowable to the individual for the
same tax year under section 32 of the Internal Revenue Code.
' (2) An eligible nonresident individual shall be allowed the
credit computed in the same manner and subject to the same
limitations as the credit allowed a resident by subsection (1) of
this section. However, the credit shall be prorated using the
proportion provided in ORS 316.117.
' (3) If a change in the taxable year of a taxpayer occurs as
described in ORS 314.085, or if the Department of Revenue
terminates the taxpayer's taxable year under ORS 314.440, the
credit allowed by this section shall be prorated or computed in a
manner consistent with ORS 314.085.
' (4) If a change in the status of a taxpayer from resident to
nonresident or from nonresident to resident occurs, the credit
allowed by this section shall be determined in a manner
consistent with ORS 316.117.
' (5) The credit allowed under this section shall not exceed
the tax liability of the taxpayer and may not be carried forward
to a succeeding tax year.
' (6) The Department of Revenue may adopt rules for purposes of
this section, including but not limited to rules relating to
proof of eligibility and the furnishing of information regarding
the federal earned income credit claimed by the taxpayer for the
tax year.
' (7) Refunds attributable to the earned income credit allowed
under this section shall not bear interest.
' { + (8) Notwithstanding ORS 315.004, as used in this
section, ' Internal Revenue Code' means the federal Internal
Revenue Code as amended and in effect on June 8, 2001. + }
' { + SECTION 57. + } ORS 315.274 is amended to read:
' 315.274. (1) For purposes of this section, 'qualified
adoption expenses' has the meaning given that term in section 23
of the Internal Revenue Code.
' (2) A taxpayer shall be allowed a credit against the taxes
otherwise due under ORS chapter 316 in an amount determined under
subsection (3) of this section for qualified adoption expenses
paid or incurred by the taxpayer during the tax year.
' (3) The amount of the credit allowed under this section shall
be equal to the lesser of:
' (a) The qualified adoption expenses paid or incurred by the
taxpayer during the tax year less the credit allowed to the
taxpayer under section 23 of the Internal Revenue Code;
' (b) $1,500; or
' (c) The credit allowed to the taxpayer for qualified adoption
expenses under section 23 of the Internal Revenue Code.
' (4) In the case of a credit allowed under this section:
' (a) A nonresident shall be allowed the credit under this
section in the proportion provided in ORS 316.117.
' (b) If a change in the status of a taxpayer from resident to
nonresident or from nonresident to resident occurs, the credit
allowed by this section shall be determined in a manner
consistent with ORS 316.117.
' (c) If a change in the taxable year of a taxpayer occurs as
described in ORS 314.085, or if the Department of Revenue
terminates the taxpayer's taxable year under ORS 314.440, the
credit allowed under this section shall be prorated or computed
in a manner consistent with ORS 314.085.
' (5) Any tax credit otherwise allowable under this section
that is not used by the taxpayer in a particular tax year may be
carried forward and offset against the taxpayer's tax liability
for the next succeeding tax year. Any credit remaining unused in
such next succeeding tax year may be carried forward and used in
the second succeeding tax year, and likewise any credit not used
in that second succeeding tax year may be carried forward and
used in the third succeeding tax year, and any credit not used in
that third succeeding tax year may be carried forward and used in
the fourth succeeding tax year, but may not be carried forward
for any tax year thereafter.
' { + (6) Notwithstanding ORS 315.004, as used in this
section, ' Internal Revenue Code' means the federal Internal
Revenue Code as amended and in effect on June 8, 2001. + } ' .
In line 2, delete '56' and insert '58'.
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