U.S.C. Title 26 - INTERNAL REVENUE CODE 26 U.S.C. United States Code, 2023 Edition Title 26 - INTERNAL REVENUE CODE Subtitle A - Income Taxes CHAPTER 1 - NORMAL TAXES AND SURTAXES Subchapter A - Determination of Tax Liability PART IV - CREDITS AGAINST TAX Subpart D - Business Related Credits Sec. 45O - Agricultural chemicals security credit From the U.S. Government Publishing Office, www.gpo.gov
§45O. Agricultural chemicals security credit
(a) In general For purposes of section 38, in the case of an eligible agricultural business, the agricultural chemicals security credit determined under this section for the taxable year is 30 percent of the qualified security expenditures for the taxable year. (b) Facility limitation The amount of the credit determined under subsection (a) with respect to any facility for any taxable year shall not exceed— (1) $100,000, reduced by (2) the aggregate amount of credits determined under subsection (a) with respect to such facility for the 5 prior taxable years. (c) Annual limitation The amount of the credit determined under subsection (a) with respect to any taxpayer for any taxable year shall not exceed $2,000,000. (d) Qualified chemical security expenditure For purposes of this section, the term "qualified chemical security expenditure" means, with respect to any eligible agricultural business for any taxable year, any amount paid or incurred by such business during such taxable year for— (1) employee security training and background checks, (2) limitation and prevention of access to controls of specified agricultural chemicals stored at the facility, (3) tagging, locking tank valves, and chemical additives to prevent the theft of specified agricultural chemicals or to render such chemicals unfit for illegal use, (4) protection of the perimeter of specified agricultural chemicals, (5) installation of security lighting, cameras, recording equipment, and intrusion detection sensors, (6) implementation of measures to increase computer or computer network security, (7) conducting a security vulnerability assessment, (8) implementing a site security plan, and (9) such other measures for the protection of specified agricultural chemicals as the Secretary may identify in regulation.
Amounts described in the preceding sentence shall be taken into account only to the extent that such amounts are paid or incurred for the purpose of protecting specified agricultural chemicals. (e) Eligible agricultural business For purposes of this section, the term "eligible agricultural business" means any person in the trade or business of— (1) selling agricultural products, including specified agricultural chemicals, at retail predominantly to farmers and ranchers, or (2) manufacturing, formulating, distributing, or aerially applying specified agricultural chemicals. (f) Specified agricultural chemical For purposes of this section, the term "specified agricultural chemical" means— (1) any fertilizer commonly used in agricultural operations which is listed under— (A) section 302(a)(2) of the Emergency Planning and Community Right-to-Know Act of 1986, (B) section 101 of part 172 of title 49, Code of Federal Regulations, or (C) part 126, 127, or 154 of title 33, Code of Federal Regulations, and
(2) any pesticide (as defined in section 2(u) of the Federal Insecticide, Fungicide, and Rodenticide Act), including all active and inert ingredients thereof, which is customarily used on crops grown for food, feed, or fiber. (g) Controlled groups Rules similar to the rules of paragraphs (1) and (2) of section 41(f) shall apply for purposes of this section. (h) Regulations The Secretary may prescribe such regulations as may be necessary or appropriate to carry out the purposes of this section, including regulations which— (1) provide for the proper treatment of amounts which are paid or incurred for purpose of protecting any specified agricultural chemical and for other purposes, and (2) provide for the treatment of related properties as one facility for purposes of subsection (b). (i) Termination This section shall not apply to any amount paid or incurred after December 31, 2012.
(Added Pub. L. 110–234, title XV, §15343(a), May 22, 2008, 122 Stat. 1518, and Pub. L. 110–246, §4(a), title XV, §15343(a), June 18, 2008, 122 Stat. 1664, 2280.)
Editorial Notes
References in Text Section 302(a)(2) of the Emergency Planning and Community Right-to-Know Act of 1986, referred to in subsec. (f)(1)(A), is classified to section 11002(a)(2) of Title 42, The Public Health and Welfare. Section 2(u) of the Federal Insecticide, Fungicide, and Rodenticide Act, referred to in subsec. (f)(2), is classified to section 136(u) of Title 7, Agriculture.
Codification Pub. L. 110–234 and Pub. L. 110–246 enacted identical sections. Pub. L. 110–234 was repealed by section 4(a) of Pub. L. 110–246.
Statutory Notes and Related Subsidiaries
Effective Date Enactment of this section and repeal of Pub. L. 110–234 by Pub. L. 110–246 effective May 22, 2008, the date of enactment of Pub. L. 110–234, except as otherwise provided, see section 4 of Pub. L. 110–246, set out as a note under section 8701 of Title 7, Agriculture. Section applicable to amounts paid or incurred after June 18, 2008, see section 15343(e) of Pub. L. 110–246, set out as an Effective Date of 2008 Amendment note under section 38 of this title.
