To amend the Internal Revenue Code of 1986 to permanently extend the Indian coal production tax credit, and for other purposes.

I 116TH CONGRESS 1ST SESSION H. R. 3542 To amend the Internal Revenue Code of 1986 to permanently extend the Indian coal production tax credit, and for other purposes. IN THE HOUSE OF REPRESENTATIVES JUNE 27, 2019 Mr. GIANFORTE introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to permanently extend the Indian coal production tax credit, and for other purposes. Be it enacted by the Senate and House of Representa- 1 tives of the United States of America in Congress assembled, 2 SECTION 1. PERMANENT EXTENSION OF INDIAN COAL PRO- 3 DUCTION TAX CREDIT. 4 (a) IN GENERAL.—Section 45(e)(10) of the Internal 5 Revenue Code of 1986 is amended— 6 (1) in subparagraph (A), by striking ‘‘the appli- 7 cable dollar amount per ton of Indian coal’’ and all 8 that follows and inserting the following: ‘‘$4.00 per 9 ton of Indian coal— 10 VerDate Sep 11 2014 23:25 Jul 08, 2019 Jkt 089200 PO 00000 Frm 00001 Fmt 6652 Sfmt 6201 E:\BILLS\H3542.IH H3542 kjohnson on DSK79L0C42 with BILLS 2 •HR 3542 IH ‘‘(i) produced by the taxpayer at an 1 Indian coal production facility, and 2 ‘‘(ii) sold (either directly by the tax- 3 payer or after sale or transfer to one or 4 more related persons) to an unrelated per- 5 son during such taxable year.’’, and 6 (2) by striking subparagraph (B) and inserting 7 the following: 8 ‘‘(B) INFLATION ADJUSTMENT.—In the 9 case of any calendar year after 2018, the dollar 10 amount in subparagraph (A) shall be equal to 11 the product of such dollar amount and the in- 12 flation adjustment factor determined under 13 paragraph (2)(B) for the calendar year, except 14 that such paragraph shall be applied by sub- 15 stituting ‘2017’ for ‘1992’.’’. 16 (b) DEFINITION OF INDIAN COAL.—Subparagraph 17 (A) of section 45(c)(9) of the Internal Revenue Code of 18 1986 is amended to read as follows: 19 ‘‘(A) IN GENERAL.—The term ‘Indian coal’ 20 means coal which is produced from coal re- 21 serves which are— 22 ‘‘(i) owned or controlled by an Indian 23 tribe, 24 VerDate Sep 11 2014 23:25 Jul 08, 2019 Jkt 089200 PO 00000 Frm 00002 Fmt 6652 Sfmt 6201 E:\BILLS\H3542.IH H3542 kjohnson on DSK79L0C42 with BILLS 3 •HR 3542 IH ‘‘(ii) owned or controlled by an en- 1 rolled member of an Indian tribe, or 2 ‘‘(iii) held in trust by the United 3 States for the benefit of an Indian tribe or 4 its members.’’. 5 (c) EFFECTIVE DATE.—The amendments made by 6 this section shall apply to coal produced and sold after 7 January 1, 2018. 8 Æ VerDate Sep 11 2014 23:25 Jul 08, 2019 Jkt 089200 PO 00000 Frm 00003 Fmt 6652 Sfmt 6301 E:\BILLS\H3542.IH H3542 kjohnson on DSK79L0C42 with BILLS