Us Congress 2023-2024 Regular Session

Us Congress House Bill HB3146

Introduced
5/9/23  

Caption

To amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.

Impact

Should HB3146 be enacted, it would bring significant financial implications for both the federal treasury and Puerto Rico. Removing the limitation on the tax cover could result in increased revenue for the island, thereby enhancing its capacity for conservation efforts. By mandating the transfer of funds to the Puerto Rico Conservation Trust Fund, the bill aims to promote sustainable practices and restoration of natural areas in Puerto Rico. This could be particularly beneficial for the local economy, which relies heavily on its environmental resources.

Summary

House Bill 3146 aims to amend the Internal Revenue Code of 1986 to adjust the cover over of certain distilled spirits taxes. The bill essentially seeks to repeal existing limitations on the tax cover over of distilled spirits to Puerto Rico and the Virgin Islands. This amendment would impact the taxation structure on rum, primarily affecting how taxes are collected and transferred to these regions. The bill also establishes a requirement for Puerto Rico to allocate a portion of the rum tax revenue to the Puerto Rico Conservation Trust Fund, which focuses on the conservation of natural resources and habitats on the island.

Contention

There may be contention surrounding the bill, especially regarding fiscal responsibility and resource allocation. Opponents may argue that such modifications could complicate existing financial agreements and resource distributions. Additionally, the reliance on rum tax revenues raises questions about the sustainability and ethics of depending on alcohol-related taxation for funding conservation efforts. The balance between enhancing revenue for Puerto Rico and ensuring responsible use of those funds will be a critical point of discussion as the bill progresses through the legislative process.

Companion Bills

US SB1477

Related A bill to amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.

Previously Filed As

US SB1477

A bill to amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.

US SB1938

A bill to amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.

US HB1028

To amend the Internal Revenue Code of 1986 to repeal the limitation on the cover over of distilled spirits taxes to the Virgin Islands and Puerto Rico.

US HB1378

To amend the Internal Revenue Code of 1986 to extend the temporary increase in limitation on the cover over of distilled spirits taxes to Puerto Rico and the Virgin Islands.

US SB1986

A bill to amend the Internal Revenue Code of 1986 to extend the temporary increase in limitation on the cover over of distilled spirits taxes to Puerto Rico and the Virgin Islands.

US HB3707

To amend the Internal Revenue Code of 1986 to provide a tax credit for expenses for household and elder care services necessary for gainful employment.

US HB2637

To amend the Internal Revenue Code of 1986 to waive the early withdrawal penalty on certain distributions from qualified retirement plans.

US HB5206

To amend the Internal Revenue Code of 1986 to make a portion of research credit refundable for certain small businesses engaging in specified medical research.

US HB5207

To amend the Internal Revenue Code of 1986 to add a new medical research component to the credit for increasing research activities.

US HB2510

To amend the Internal Revenue Code of 1986 to make the credit for the adoption of special needs children refundable.

Similar Bills

No similar bills found.