Page:United States Statutes at Large Volume 100 Part 3.djvu/421

 PUBLIC LAW 99-514—OCT. 22, 1986

100 STAT. 2229

"(5) COORDINATION WITH SECTION 1254.—This subsection shall not apply to any disposition to which section 1254 applies." (c) EFFECTIVE DATES.—

(1) IN GENERAL.—The amendments made by this section shall apply to any disposition of property which is placed in service by the taxpayer after December 31, 1986. (2) EXCEPTION FOR BINDING CONTRACTS.—The amendments made by this section shall not apply to any disposition of property placed in service after December 31, 1986, if such property was acquired pursuant to a written contract which was entered into before September 26, 1985, and which was binding at all times thereafter.

Subtitle C—Other Provisions SEC. 421. EXTENSION OF ENERGY INVESTMENT CREDIT FOR SOLAR, GEOTHERMAL, OCEAN THERMAL, AND BIOMASS PROPERTY.

(a) IN GENERAL.—The table contained in subparagraph (A) of section 460t)X2) (relating to energy percentage) is amended by adding at the end thereof the following new items: "(viii) SOLAR ENERGY PROPERTY.—Property de- A. 15 percent Jan. 1, 1986 scribed in section 48(1)(4) (other than wind B. 12 percent Jan. 1, 1987 energy property). C. 10 percent Jan. 1, 1988

Dec. 31, 1986. Dec. 31, 1987. Dec. 31, 1988.

"(ix) GEOTHERMAL PROPERTY.—Property de- A. 15 percent Jan. 1, 1986 scribed in section 48(lK3XAXviii). B. 10 percent Jan. 1, 1987

Dec. 31, 1986. Dec. 31, 1988.

"(x) OCEAN THERMAL PROPERTY.—Property de- 15 percent scribed in section 48(l)(3)(A)(ix).

Jan. 1, 1986

Dec. 31, 1988.

"(xi) BiOMASS PROPERTY.—Property described A. 15 percent Jan. 1, 1986 in section 48(1)(15). B. 10 percent Jan. 1, 1987

Dec. 31, 1986. Dec. 31, 1987."

(h) TREATMENT OF CERTAIN TRANSITIONAL RULE PROPERTY.—Para-

graph (2) of section 460t>) is amended by adding at the end thereof the following new subparagraph: "(E) CERTAIN RULES MADE APPLICABLE.—Rules similar to

the rules of subsections (c) and (d) of section 49 shall apply to any credit allowable by reason of subparagraph (C) or (D)." (c) EFFECTIVE DATE.—The amendments made by this section shall apply to periods beginning after December 31, 1985, under rules similar to rules under section 48(m) of the Internal Revenue Code of 1986. SEC. 422. PROVISIONS RELATING TO EXCISE TAX ON FUELS. (a) REDUCTION IN EXCISE T A X EXEMPTION FOR Q U A U F I E D METHANOL AND ETHANOL F U E L S. —

f

(1) IN GENERAL.—Subparagraph (A) of section 404103X2) (relating to exemption for qualified ethanol and methanol fuels) is amended to read as follows: "(A) IN GENERAL.—In the case of any qualified methanol or ethanol fuel, subsection (a)(2) shall be applied by substituting '3 cents' for '9 cents'.". (2) CONFORMING

AMENDMENT.—The

heading

for

section

4041(b) is amended by striking out "Exemption" the second

71-194 0 - 89 - 15: ex.. 3 Part3

�