To amend the Internal Revenue Code of 1986 to provide refunds with respect to certain dyed fuels that are exempt from tax and with respect to which tax was previously paid. | ChamberLight
Bills · HR 2146
IN COMMITTEE· 119TH CONGRESS
House BillHR 2146Taxation
To amend the Internal Revenue Code of 1986 to provide refunds with respect to certain dyed fuels that are exempt from tax and with respect to which tax was previously paid.
INTRO MAR 14· LAST ACTION MAR 14
READING
3MIN
COSPONSORS
8
READER REACTIONS0 TOTAL
NO VOTES YET · BE THE FIRST
Introduced only
LEGISLATIVE PROGRESS
STEP 2 / 8
Introduced
In Committee
Reported
Passed House
Passed Senate
Conference
To President
Became Law
WHAT THE BILL DOES
AI-written
This bill matters because it corrects a potential financial burden for businesses that might unknowingly or mistakenly overpay taxes. Currently, if a business pays tax on dyed fuel meant for tax-exempt uses, there might not be a clear or efficient way to get that money back. This bill establishes a formal refund process, ensuring that businesses are not penalized for administrative errors or confusion regarding fuel tax exemptions. If this bill becomes law, it will provide financial relief and greater certainty to businesses dealing with these specific fuels. If it doesn't pass, businesses might continue to struggle to recoup mistaken tax payments on exempt dyed fuels, leading to unnecessary costs.
KEY PROVISIONS
4AI-extracted
PROVISION 01
Establishes a new tax refund mechanism for specific types of dyed diesel fuel and kerosene.
This ensures businesses can recover taxes mistakenly paid on fuel that is legally exempt from federal excise tax.
PROVISION 02
Defines "eligible indelibly dyed diesel fuel or kerosene" as fuel on which tax was paid but is exempt under existing law.
This clarifies exactly which fuel purchases qualify for the new refund, preventing misuse or broad interpretations.
PROVISION 03
Stipulates that the refund amount will not include interest on the overpaid tax.
This affects the total financial benefit to businesses, as they will only receive the principal amount back.
PROVISION 04
Sets an effective date for the new refund provisions to apply to fuel removed 180 days after the bill's enactment.
This provides a clear timeline for when the new system will be in effect, allowing businesses and the IRS to prepare.
IN COMMITTEE· 119TH CONGRESS · WAYS AND MEANS COMMITTEE · INTRODUCED MAR 14, 2025
House BillHR 2146Taxation
To amend the Internal Revenue Code of 1986 to provide refunds with respect to certain dyed fuels that are exempt from tax and with respect to which tax was previously paid.
This bill matters because it corrects a potential financial burden for businesses that might unknowingly or mistakenly overpay taxes. Currently, if a business pays tax on dyed fuel meant for tax-exempt uses, there might not be a clear or efficient way to get that money back. This bill establishes a formal refund process, ensuring that businesses are not penalized for administrative errors or confusion regarding fuel tax exemptions. If this bill becomes law, it will provide financial relief and greater certainty to businesses dealing with these specific fuels. If it doesn't pass, businesses might continue to struggle to recoup mistaken tax payments on exempt dyed fuels, leading to unnecessary costs.
KEY PROVISIONS
AI-extracted
high
Establishes a new tax refund mechanism for specific types of dyed diesel fuel and kerosene.
This ensures businesses can recover taxes mistakenly paid on fuel that is legally exempt from federal excise tax.
med
Defines "eligible indelibly dyed diesel fuel or kerosene" as fuel on which tax was paid but is exempt under existing law.
This clarifies exactly which fuel purchases qualify for the new refund, preventing misuse or broad interpretations.
med
Stipulates that the refund amount will not include interest on the overpaid tax.
This affects the total financial benefit to businesses, as they will only receive the principal amount back.
low
Sets an effective date for the new refund provisions to apply to fuel removed 180 days after the bill's enactment.
This provides a clear timeline for when the new system will be in effect, allowing businesses and the IRS to prepare.
180 days after the date of the enactment of this Act
The amendments made by this section shall apply to eligible indelibly dyed diesel fuel or kerosene removed on or after this date.
GLOSSARY
AI-written
Internal Revenue Code of 1986
The main body of federal tax laws in the United States.
Dyed fuels
Diesel fuel or kerosene that has a special dye added to it, often indicating it is intended for specific uses (like off-road vehicles or heating) and is therefore exempt from certain federal taxes.
Tax-exempt
Not subject to taxation; free from paying a specific tax.
Terminal
A fuel storage and distribution facility where fuel is typically loaded onto trucks or other transport vehicles.
Kerosene
A light petroleum fuel used for heating, lighting, and jet engines, sometimes subject to federal excise taxes.
Excise tax
A tax levied on certain goods or services, often included in the price of the product, such as taxes on fuel.
ACTION TIMELINE
2 EVENTS
MAR 14, 25
Introduced in House
INTROREFERRAL
MAR 14, 25
Referred to the House Committee on Ways and Means.