| 1 | 1 | | II |
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| 2 | 2 | | 119THCONGRESS |
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| 3 | 3 | | 1 |
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| 4 | 4 | | STSESSION S. 1111 |
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| 5 | 5 | | To amend the Internal Revenue Code of 1986 to allow for payments to |
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| 6 | 6 | | certain individuals who dye fuel, and for other purposes. |
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| 7 | 7 | | IN THE SENATE OF THE UNITED STATES |
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| 8 | 8 | | MARCH25, 2025 |
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| 9 | 9 | | Mr. J |
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| 10 | 10 | | OHNSON(for himself and Ms. BALDWIN) introduced the following bill; |
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| 11 | 11 | | which was read twice and referred to the Committee on Finance |
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| 12 | 12 | | A BILL |
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| 13 | 13 | | To amend the Internal Revenue Code of 1986 to allow for |
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| 14 | 14 | | payments to certain individuals who dye fuel, and for |
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| 15 | 15 | | other purposes. |
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| 16 | 16 | | Be it enacted by the Senate and House of Representa-1 |
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| 17 | 17 | | tives of the United States of America in Congress assembled, 2 |
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| 18 | 18 | | SECTION 1. PAYMENT TO CERTAIN INDIVIDUALS WHO DYE 3 |
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| 19 | 19 | | FUEL. 4 |
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| 20 | 20 | | (a) I |
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| 21 | 21 | | NGENERAL.—Subchapter B of chapter 65 of the 5 |
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| 22 | 22 | | Internal Revenue Code of 1986 is amended by adding at 6 |
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| 23 | 23 | | the end the following new section: 7 |
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| 24 | 24 | | ‘‘SEC. 6434. DYED FUEL. 8 |
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| 25 | 25 | | ‘‘(a) I |
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| 26 | 26 | | NGENERAL.—If a person establishes to the 9 |
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| 27 | 27 | | satisfaction of the Secretary that such person meets the 10 |
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| 28 | 28 | | VerDate Sep 11 2014 22:09 Mar 31, 2025 Jkt 059200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\S1111.IS S1111 |
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| 29 | 29 | | ssavage on LAPJG3WLY3PROD with BILLS 2 |
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| 30 | 30 | | •S 1111 IS |
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| 31 | 31 | | requirements of subsection (b) with respect to diesel fuel 1 |
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| 32 | 32 | | or kerosene, then the Secretary shall pay to such person 2 |
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| 33 | 33 | | an amount (without interest) equal to the tax described 3 |
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| 34 | 34 | | in subsection (b)(2)(A) with respect to such diesel fuel or 4 |
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| 35 | 35 | | kerosene. 5 |
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| 36 | 36 | | ‘‘(b) R |
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| 37 | 37 | | EQUIREMENTS.— 6 |
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| 38 | 38 | | ‘‘(1) I |
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| 39 | 39 | | N GENERAL.—A person meets the re-7 |
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| 40 | 40 | | quirements of this subsection with respect to diesel 8 |
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| 41 | 41 | | fuel or kerosene if such person removes from a ter-9 |
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| 42 | 42 | | minal eligible indelibly dyed diesel fuel or kerosene. 10 |
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| 43 | 43 | | ‘‘(2) E |
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| 44 | 44 | | LIGIBLE INDELIBLY DYED DIESEL FUEL 11 |
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| 45 | 45 | | OR KEROSENE DEFINED .—The term ‘eligible indeli-12 |
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| 46 | 46 | | bly dyed diesel fuel or kerosene’ means diesel fuel or 13 |
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| 47 | 47 | | kerosene— 14 |
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| 48 | 48 | | ‘‘(A) with respect to which a tax under sec-15 |
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| 49 | 49 | | tion 4081 was previously paid (and not credited 16 |
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| 50 | 50 | | or refunded), and 17 |
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| 51 | 51 | | ‘‘(B) which is exempt from taxation under 18 |
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| 52 | 52 | | section 4082(a). 19 |
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| 53 | 53 | | ‘‘(c) C |
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| 54 | 54 | | ROSSREFERENCE.—For civil penalty for ex-20 |
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| 55 | 55 | | cessive claims under this section, see section 6675.’’. 21 |
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| 56 | 56 | | (b) C |
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| 57 | 57 | | ONFORMINGAMENDMENTS.— 22 |
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| 58 | 58 | | (1) Section 6206 of the Internal Revenue Code 23 |
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| 59 | 59 | | of 1986 is amended— 24 |
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| 60 | 60 | | VerDate Sep 11 2014 22:09 Mar 31, 2025 Jkt 059200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\S1111.IS S1111 |
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| 61 | 61 | | ssavage on LAPJG3WLY3PROD with BILLS 3 |
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| 62 | 62 | | •S 1111 IS |
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| 63 | 63 | | (A) by striking ‘‘or 6427’’ each place it ap-1 |
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| 64 | 64 | | pears and inserting ‘‘6427, or 6434’’; and 2 |
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| 65 | 65 | | (B) by striking ‘‘6420 and 6421’’ and in-3 |
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| 66 | 66 | | serting ‘‘6420, 6421, and 6434’’. 4 |
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| 67 | 67 | | (2) Section 6430 of such Code is amended— 5 |
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| 68 | 68 | | (A) by striking ‘‘or’’ at the end of para-6 |
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| 69 | 69 | | graph (2), by striking the period at the end of 7 |
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| 70 | 70 | | paragraph (3) and inserting ‘‘, or’’, and by add-8 |
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| 71 | 71 | | ing at the end the following new paragraph: 9 |
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| 72 | 72 | | ‘‘(4) which are removed as eligible indelibly 10 |
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| 73 | 73 | | dyed diesel fuel or kerosene under section 6434.’’. 11 |
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| 74 | 74 | | (3) Section 6675 of such Code is amended— 12 |
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| 75 | 75 | | (A) in subsection (a), by striking ‘‘or 6427 13 |
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| 76 | 76 | | (relating to fuels not used for taxable pur-14 |
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| 77 | 77 | | poses)’’ and inserting ‘‘6427 (relating to fuels 15 |
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| 78 | 78 | | not used for taxable purposes), or 6434 (relat-16 |
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| 79 | 79 | | ing to eligible indelibly dyed fuel)’’; and 17 |
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| 80 | 80 | | (B) in subsection (b)(1), by striking 18 |
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| 81 | 81 | | ‘‘6421, or 6427,’’ and inserting ‘‘6421, 6427, 19 |
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| 82 | 82 | | or 6434,’’. 20 |
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| 83 | 83 | | (4) The table of sections for subchapter B of 21 |
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| 84 | 84 | | chapter 65 of such Code is amended by adding at 22 |
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| 85 | 85 | | the end the following new item: 23 |
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| 86 | 86 | | ‘‘Sec. 6434. Dyed fuel.’’. |
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| 87 | 87 | | (c) EFFECTIVEDATE.—The amendments made by 24 |
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| 88 | 88 | | this section shall apply to eligible indelibly dyed diesel fuel 25 |
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| 89 | 89 | | VerDate Sep 11 2014 22:09 Mar 31, 2025 Jkt 059200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6201 E:\BILLS\S1111.IS S1111 |
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| 90 | 90 | | ssavage on LAPJG3WLY3PROD with BILLS 4 |
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| 91 | 91 | | •S 1111 IS |
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| 92 | 92 | | or kerosene removed on or after the date that is 180 days 1 |
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| 93 | 93 | | after the date of the enactment of this section. 2 |
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| 94 | 94 | | Æ |
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| 95 | 95 | | VerDate Sep 11 2014 22:09 Mar 31, 2025 Jkt 059200 PO 00000 Frm 00004 Fmt 6652 Sfmt 6301 E:\BILLS\S1111.IS S1111 |
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| 96 | 96 | | ssavage on LAPJG3WLY3PROD with BILLS |
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