Bill Details

HR.310 - 119th Congress

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Status
  1. Introduced
  2. Passed House
  3. Passed Senate
  4. To President
  5. Law
Latest action
2025-01-09 - Referred to the House Committee on Ways and Means.
Introduced Date
2025-01-09
Policy Area
Taxation
Committees
View committees (1)
6
0

AI Summary This summary was generated by AI from the bill text. AI can get information wrong.

This bill would repeal a long list of federal tax credits that currently support certain energy-related projects and businesses. In simple terms, it would end many tax breaks for things like clean energy production, carbon capture, hydrogen, advanced manufacturing, and some alternative fuel investments. It also makes related changes throughout the tax code so that other parts of the law still work after those credits are removed. The bill would take effect for tax years beginning after December 31, 2024.

  • It removes several specific tax credit sections from the tax code, including credits tied to energy production, fuel production, carbon capture, and certain clean energy investments.
  • It changes other tax rules that refer to those credits, so the rest of the tax code is updated to match the repeals.
  • It also cuts back or rewrites rules for some programs that let certain groups, like tax-exempt organizations and some governments, get direct payments instead of using the credits in the usual way.
  • The bill would apply only to tax years starting after December 31, 2024.

Official Summaries

Restoring Energy Market Freedom Act

This bill repeals multiple business tax credits related to the production and sale of energy.

Specifically, the bill repeals the

  • renewable electricity production tax credit (for electricity using wind, solar, or other specific types of renewable energy produced by a qualified facility for which construction began before 2025);
  • clean electricity production tax credit (for electricity produced using a qualified facility that has no greenhouse gas emissions and was placed into service in 2025 or after);
  • advanced nuclear production tax credit (for electricity produced and sold by a qualified nuclear power facility placed into service before 2021);
  • zero-emission nuclear power production tax credit (for electricity produced and sold by a qualified nuclear power facility between 2024 and 2032);
  • carbon sequestration tax credit (for the capture and sequestration of carbon oxide);
  • clean hydrogen production tax credit (for clean hydrogen produced at a qualified clean production facility);
  • advanced manufacturing production tax credit (for the production and sale of qualified components, including solar and wind energy components);
  • energy investment tax credit (for investments in certain qualified energy property placed into service before 2025);
  • clean electricity investment credit (for investments in qualified energy property placed into service in 2025 or after);
  • qualifying advance coal project tax credit (for investments in qualifying advanced coal projects),
  • clean coal investment tax credit (for investments in qualifying gasification projects);
  • advanced energy project tax credit (for investments in qualifying advanced energy projects); and
  • advanced manufacturing investment tax credit (for investments in semiconductor or semiconductor manufacturing equipment).

 

Current Full Text

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 310 Introduced in House (IH)]

<DOC>






119th CONGRESS
  1st Session
                                H. R. 310

 To amend the Internal Revenue Code of 1986 to repeal certain credits.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            January 9, 2025

 Mr. Perry (for himself, Mr. Biggs of Arizona, Mr. Ogles, and Mr. Roy) 
 introduced the following bill; which was referred to the Committee on 
                             Ways and Means

_______________________________________________________________________

                                 A BILL


 
 To amend the Internal Revenue Code of 1986 to repeal certain credits.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Restoring Energy Market Freedom 
Act''.

SEC. 2. REPEAL OF CREDITS.

    (a) In General.--Subpart D of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by striking sections 
45, 45J, 45Q, 45U, 45V, 45X, 45Y, 48, 48A, 48B, 48C, 48D, and 48E (and 
by striking the items relating to such sections in the table of 
sections for such subpart).
    (b) General Business Credit.--Section 38 of such Code is amended--
            (1) in subsection (b), by striking paragraphs (8), (21), 
        (29), (36), (37), (38), and (39) and redesignating paragraphs 
        (9)-(20), (22)-(28), (30)-(35), and (40)-(41) as paragraphs 
        (8)-(19), (20)-(26), (27)-(32), and (33)-(34), respectively, 
        and
            (2) in subsection (c)(4)(B), by striking clauses (iv), (v), 
        and (x) and redesignating clauses (vi)-(ix) and (xi)-(xii) as 
        clauses (iv)-(vii) and (viii)-(ix), respectively.
    (c) Conforming Amendments.--
            (1) Section 25(e)(3) of such Code is amended by adding 
        ``(as in effect immediately before its repeal)'' before the 
        period at the end.
            (2) Section 30C of such Code is amended--
                    (A) in subsection (g)(2)(B), by inserting ``(as in 
                effect immediately prior to its repeal)'' after 
                ``section 45(b)(7)(B)'', and
                    (B) in subsection (g)(3), by inserting ``(as in 
                effect immediately prior to its repeal)'' after 
                ``section 45(b)(8)''.
            (3) Section 45K(b)(3) of such Code is amended by striking 
        ``(within the meaning of section 48(a)(4)(C))'' and inserting 
        ``(within the meaning of section 48(a)(4)(C) as in effect 
        immediately before its repeal)''.
            (4) Section 45K(g)(2) of such Code is amended by striking 
        subparagraph (E).
            (5) Section 45L(g)(2)(B) of such Code is amended by 
        inserting ``(as in effect immediately prior to its repeal)'' 
        after ``section 45(b)(7)(B)''.
            (6) Section 45Z of such Code is amended--
                    (A) in subsection (c), by inserting ``(as in effect 
                immediately prior to its repeal)'' after ``pursuant to 
                section 45Y(c)'',
                    (B) by amending subsection (d)(4) to read as 
                follows:
            ``(4) Qualified facility.--The term `qualified facility' 
        means a facility used for the production of transportation 
        fuels.'', and
                    (C) in subsection (f)--
                            (i) in paragraph (5), by inserting ``(as in 
                        effect immediately prior to its repeal)'' after 
                        ``section 45Y(g)(6)'',
                            (ii) in paragraph (6), by inserting ``(as 
                        in effect immediately prior to its repeal)'' 
                        after ``section 45(b)(7)'', and
                            (iii) in paragraph (7), by inserting ``(as 
                        in effect immediately prior to its repeal)'' 
                        after ``section 45(b)(8)''.
            (7) Section 49(a)(C) of such Code is amended by adding 
        ``and'' at the end of clause (i), by striking the comma at the 
        end of clause (ii) and inserting a period, and by striking 
        clauses (ii), (iv), (v), and (vi).
            (8) Section 50(a)(2)(E) of such Code is amended by striking 
        ``section 48(b)''.
            (9) Section 50(a) of such Code is amended--
                    (A) in paragraph (2), by striking subparagraph (E), 
                and
                    (B) by striking paragraph (3).
            (10) Section 56A(c) of such Code is amended by striking 
        paragraph (9).
            (11) Section 59A(b)(4) of such Code is amended by striking 
        ``properly allocable to'' and all that follows through the 
        period and by inserting ``properly allocable to the low-income 
        housing credit determined under section 42(a).''.
            (12) Section 142(o) of such Code is amended by inserting 
        ``as in effect immediately prior to its repeal'' after ``(as 
        defined in section 45Q(e)(3)''.
            (13) Section 168(e)(3)(B) of such Code is amended--
                    (A) in clause (v), by adding ``and'' at the end, 
                and
                    (B) by striking clause (vi).
            (14) Section 179D(b) of such Code is amended--
                    (A) in paragraph (4)(B), by inserting ``(as in 
                effect immediately prior to its repeal)'' after 
                ``section 45(b)(7)(B)'', and
                    (B) in paragraph (5), by inserting ``(as in effect 
                immediately prior to its repeal)'' after ``section 
                45(b)(8)''.
            (15) Section 409 of such Code is amended--
                    (A) in subsection (g), by striking ``section 
                48(n)(1) or'' and ``section 48(n)(1) and'', and
                    (B) in subsection (m), by striking ``, or 
                subparagraph (A) or (B) of section 48(n)(1)''.
            (16) Section 501(c)(12) of such Code is amended by striking 
        subparagraph (I) and by redesignating subparagraph (J) as 
        subparagraph (I).
            (17) Section 6417 of such Code is amended--
                    (A) in subsection (b), by striking paragraphs (2), 
                (3), (4), (5), (7), (8), (10), (11), and (12) and by 
                redesignating paragraphs (6) and (9) as paragraphs (2) 
                and (3), respectively, and
                    (B) in subsection (d)--
                            (i) by amending paragraph (1) to read as 
                        follows:
            ``(1) Applicable entity.--The term `applicable entity' 
        means--
                    ``(A) any organization exempt from the tax imposed 
                by subtitle A,
                    ``(B) any State or political subdivision thereof,
                    ``(C) the Tennessee Valley Authority,
                    ``(D) an Indian tribal government (as defined in 
                section 30D(g)(9)),
                    ``(E) any Alaska Native Corporation (as defined in 
                section 3 of the Alaska Native Claims Settlement Act 
                (43 U.S.C. 1602(m)), or
                    ``(F) any corporation operating on a cooperative 
                basis which is engaged in furnishing electric energy to 
                persons in rural areas.'', and
                            (ii) by amending paragraph (3) to read as 
                        follows:
            ``(3) Elections.--
                    ``(A) Due date.--Any election under subsection (a) 
                shall be made not later than--
                            ``(i) in the case of any government, or 
                        political subdivision, described in paragraph 
                        (1) and for which no return is required under 
                        section 6011 or 6033(a), such date as is 
                        determined appropriate by the Secretary, or
                            ``(ii) in any other case, the due date 
                        (including extensions of time) for the return 
                        of tax for the taxable year for which the 
                        election is made, but in no event earlier than 
                        180 days after the date of the enactment of 
                        this section.
                    ``(B) Additional rules.--Any election under 
                subsection (a), once made, shall be irrevocable and 
                shall apply (except as otherwise provided in this 
                paragraph) with respect to any credit for the taxable 
                year for which the election is made.''.
            (18) Section 6418(f)(1) of such Code is amended--
                    (A) in subparagraph (A), by striking clauses (ii)-
                (vii) and (ix)-(xi) and by redesignating clause (viii) 
                as clause (ii),
                    (B) by striking subparagraph (B), and
                    (C) by redesignating subparagraph (C) as 
                subparagraph (B).
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2024.
                                 <all>