Chemical Tax Repeal Act
Summary
What This Bill Does
The Chemical Tax Repeal Act repeals two Internal Revenue Code excise-tax subchapters that apply to certain chemicals and imported taxable substances. It strikes subchapters B and C of chapter 38 of the Internal Revenue Code and removes the related table-of-subchapters entries. The repeal takes effect on January 1, 2024.
Who Benefits and How
Chemical manufacturers, importers of taxable substances, and downstream manufacturers that use covered chemicals benefit because the bill removes the federal excise-tax liability associated with those chemicals and substances. These businesses may see lower tax compliance costs, lower input costs, or improved margins depending on whether they previously paid or passed through the tax.
Who Bears the Burden and How
Federal excise-tax receipts fall because the covered chemical and imported-substance taxes are repealed. The Internal Revenue Service must administer the repeal and adjust guidance, forms, or enforcement related to the affected subchapters. Federal environmental cleanup or trust-fund accounts that relied on those receipts may face less dedicated revenue.
Key Provisions
- Repeals Internal Revenue Code subchapter B of chapter 38 for certain chemical excise taxes.
- Repeals Internal Revenue Code subchapter C of chapter 38 for certain imported taxable substances.
- Removes the table-of-subchapters entries for the repealed tax subchapters.
- Makes the repeal effective on January 1, 2024.
Evidence Chain:
This summary is generated from the full bill text using AI analysis. Expand "Detailed Analysis" below for identified beneficiaries/burden bearers with clause-level evidence links.
At a Glance
What This Bill Does
Repeals Internal Revenue Code excise taxes on certain taxable chemicals and imported taxable substances, effective January 1, 2024.
Key Policy Areas
Tax, Chemical Manufacturing, Excise Taxes, Imported Substances
Primary Purpose
Repeals Internal Revenue Code excise taxes on certain taxable chemicals and imported taxable substances, effective January 1, 2024.
Policy Domains
Section 2 repeal of chemical and imported-substance excise taxes
Identified Gains
- Chemical manufacturers
- Importers of taxable substances
- Downstream manufacturers using taxable chemicals
Identified Costs
- Federal excise tax revenue accounts
- Internal Revenue Service excise tax administrators
- Federal environmental cleanup trust funds
Sponsors
Legislative Progress
In CommitteeMs. Van Duyne (for herself, Mr. Carey, Mr. LaHood, and …
Referred to the House Committee on Ways and Means.
Introduced in House
Stakeholder Effects
cui bono?How this legislation distributes effects. Mention counts reflect frequency, not effect magnitude.
Chemical manufacturers, Downstream manufacturers using taxable chemicals
Bill Structure & Actor Mappings
Who is "The Secretary" in each section?
- "irs"
- → Internal Revenue Service
- "taxpayers"
- → Manufacturers and importers liable for chemical or imported-substance excise taxes
We use a combination of our own taxonomy and classification in addition to large language models to assess meaning and potential beneficiaries. High confidence means strong textual evidence. Always verify with the original bill text.
Learn more about our methodology