Bills · HR 1378
IN COMMITTEE· 119TH CONGRESS
House BillHR 1378Taxation
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.
INTRO FEB 14· LAST ACTION FEB 14
READING
1MIN
COSPONSORS
25BIPARTISAN
READER REACTIONS0 TOTAL
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- Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-writtenThis bill matters because it provides crucial financial stability for Puerto Rico and the U.S. Virgin Islands, which rely heavily on these 'cover over' funds to support their public services and infrastructure. If this bill doesn't pass, the amount of federal tax money returned to these territories would decrease significantly, potentially leading to budget cuts, reduced services, or increased local taxes.
Extending this higher payment ensures that these territories can continue to fund essential programs like education, healthcare, public safety, and infrastructure projects without facing a sudden revenue shortfall. It also provides predictability for their long-term financial planning, which is especially important for territories that have faced economic challenges and natural disasters in recent years.
KEY PROVISIONS
3AI-extractedPROVISION 01
The bill extends the temporary increase in the amount of federal distilled spirits taxes that are returned to Puerto Rico and the U.S. Virgin Islands.
This ensures these territories continue to receive a higher level of federal funding for their local governments.
PROVISION 02
It changes the expiration date for this increased payment from January 1, 2022, to January 1, 2032.
This provides an additional ten years of financial stability and predictable revenue for the territorial governments.
PROVISION 03
The extended payments will apply to distilled spirits brought into the United States after December 31, 2021.
This provision ensures the higher payment rate applies retroactively, preventing a gap in funding.
SPONSORSHIP
1 + 25
R· Kansas
YRS IN OFFICE
9
BILLS LED
20
COSPONSOR BREAKDOWNBIPARTISAN · 72%
DEM 9 REP 16 IND 0
ACTION TIMELINE
2 EVENTSFEB 14
Introduced in House
FEB 14
Referred to the House Committee on Ways and Means.
BILL INFO
TypeHouse Bill
NumberHR 1378
Congress119th
StatusIn Committee
IntroducedFeb 14, 2025
Last actionFeb 14, 2025
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IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED FEB 14, 2025
House BillHR 1378Taxation
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.
INTRODUCED FEB 14, 2025· LAST ACTION FEB 14, 2025
PASSAGE CHANCES
—%
READING
1 min
COSPONSORS
25
COMPLEXITY
Moderate
