PRINTER'S NO. 707
No. 634 Session of 2005
INTRODUCED BY HERSHEY, BALDWIN, BASTIAN, CREIGHTON, DALEY,
DeWEESE, GERGELY, GINGRICH, HARHART, HENNESSEY, M. KELLER,
LEACH, MANN, SAYLOR, TANGRETTI AND THOMAS, FEBRUARY 16, 2005
REFERRED TO COMMITTEE ON FINANCE, FEBRUARY 16, 2005
AN ACT
1 Exempting the sale of certain items from sales and use tax.
2 The General Assembly of the Commonwealth of Pennsylvania
3 hereby enacts as follows:
4 Section 1. Short title.
5 This act shall be known and may be cited as the Alternative
6 Energy Tax Incentive Act.
7 Section 2. Definitions.
8 The following words and phrases when used in this act shall
9 have the meanings given to them in this section unless the
10 context clearly indicates otherwise:
11 "Alternative fuel." A motor vehicle fuel which, when
12 compared to conventional gasoline or reformulated gasoline, will
13 result in lower emissions of oxides of nitrogen, volatile
14 organic compounds, carbon monoxide, particulates or any
15 combination thereof. The term includes compressed natural gas,
16 liquefied natural gas, liquid petroleum or propane gas,
17 alcohols, hydrogen, hythane, electricity, coal-derived liquid
1 fuels, fuels derived from biological materials and other fuels
2 that the Secretary of Energy determines by rule as meeting the
3 requirements of section 301 of the Energy Policy Act of 1992
4 (Public Law 102-486, 42 U.S.C. § 13211).
5 "Dedicated alternative fuel vehicle." A vehicle, including
6 an original equipment manufacturer vehicle, that runs
7 exclusively on an alternative fuel.
8 "Energy Star." A voluntary labeling program established by
9 the Environmental Protection Agency and the Department of Energy
10 which is designed to identify and promote energy-efficient
11 products in order to reduce carbon dioxide emissions.
12 Section 3. Sales and use tax exemption.
13 (a) Electric appliances.--The tax imposed under Article II
14 of the act of March 4, 1971 (P.L.6, No.2), known as the Tax
15 Reform Code of 1971, shall not apply to the sale of any of the
16 following electric appliances that meet or exceed the applicable
17 Energy Star efficiency requirements:
18 (1) A clothes washer purchased on or after July 1, 2000,
19 but before July 1, 2005.
20 (2) A room air conditioner purchased on or after January
21 1, 2001, but before July 1, 2006.
22 (3) A standard size refrigerator purchased on or after
23 July 1, 2001, but before July 1, 2006.
24 (b) Other appliances.--The tax imposed under Article II of
25 the Tax Reform Code of 1971 shall not apply to the sale of any
26 of the following:
27 (1) A natural gas heat pump that has a coefficient of
28 performance of at least 1.25 for heating and at least 0.70
29 for cooling.
30 (2) An electric heat pump hot water heater that yields
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1 an energy factor of at least 1.7.
2 (3) An electric heat pump that has a heating system
3 performance factor of at least 7.5 and a cooling seasonal
4 energy efficiency ratio of at least 13.5.
5 (4) A central air conditioner that has a cooling
6 seasonal energy efficiency ratio of at least 13.5.
7 (5) An advanced natural gas water heater that has an
8 energy factor of at least 0.65.
9 (c) Alternative fuel vehicles.--The tax imposed under
10 Article II of the Tax Reform Code of 1971 shall not apply to the
11 sale of dedicated alternative fuel vehicles.
12 Section 4. Effective date.
13 This act shall take effect immediately.
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