REPEAL OF TAX ON DIESEL FUEL USED IN RECREATIONAL BOATS.

SEC. 902. REPEAL OF TAX ON DIESEL FUEL USED IN RECREATIONAL BOATS. (a) In General.—Subparagraph (B) of section 6421(e)(2) (defining off-highway business use) is amended by striking clauses (iii) and (iv). (b) Conforming Amendments.— (1) Subparagraph (A) of section 4041(a)(1) is amended— (A) by striking a diesel-powered train, or a diesel-powered boat” each place it appears and inserting “or a diesel-powered train”, and (B) by striking ‘Vehicle, train, or boat” and inserting “vehicle or train”. (2) Paragraph (1) of section 4041(a) is amended by striking subparagraph (D). (3) Paragraph (3) of section 4083(a) is amended by striking “, a diesel-powered train, or a diesel-powered boat” and inserting “or a diesel-powered train”. (c) Effective Date.—The amendments made by this section shall take effect on January 1, 1998