A bill to amend sections 169 and 103 of the Internal revenue Code with respect to tax treatment of pollution control facilities.

Title I: Tax Treatment of Industrial Development Bonds Issued to Finance Pollution Control of Waste Disposal Facilities - Amends the Internal Revenue Code to define "air or water pollution control facilities," for purposes of the income tax exclusion of interest on industrial development bonds, to include depreciable equipment which is installed to control pollution through specified process changes in such pollution control facilities. Requires such equipment to meet Federal or State certification requirements in order to qualify for preferential tax treatment. Disallows an income tax exclusion for that portion of the bond proceeds which exceed the amount by which the acquisition and construction costs exceed the net profit reasonably expected to be derived through the recovery of wastes or by the operation of the pollution control facility over its useful life.

Places specified dollar limits on the face amounts of obligations issued for air or water pollution control facilities at any new manufacturing or processing plant.

Defines "hazardous waste or solid waste disposal facilities," for purposes of the exclusion of interest on industrial development bonds, to include depreciable property installed solely to comply with hazardous or solid waste management requirements imposed by the Solid Waste Disposal Act.

Title II: Current Expensing of Amounts Paid or Incurred in Connection with the Construction or Erection of Pollution Control Facilities - Allows a taxpayer to elect to treat amounts paid or incurred in connection with the acquisition or construction of a certified pollution control facility as a currently deductible expense (amortizable over a period of 60 months under existing law). Revises the definition of "certified pollution control facility" to include treatment facilities made operational after January 1, 1976.