[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9155 Introduced in House (IH)]
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117th CONGRESS
2d Session
H. R. 9155
To amend the Internal Revenue Code of 1986 to impose the alternative
minimum tax on certain State regulated electric utilities that have not
fully adopted climate-resilient infrastructure.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
October 7, 2022
Mr. Harder of California 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 impose the alternative
minimum tax on certain State regulated electric utilities that have not
fully adopted climate-resilient infrastructure.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``No Bonuses for Executives Act of
2022''.
SEC. 2. ALTERNATIVE MINIMUM TAX IMPOSED ON CERTAIN STATE REGULATED
ELECTRIC UTILITIES.
(a) In General.--Section 55(a) of the Internal Revenue Code of 1986
is amended by inserting ``a corporation described in subsection (f)
or'' after ``In the case of''.
(b) Certain State Regulated Electric Utilities.--Section 55 of the
Internal Revenue Code of 1986 is amended by adding at the end the
following new subsection:
``(f) Certain State Regulated Electric Utilities.--
``(1) In general.--A corporation is described in this
subsection if it is--
``(A) a State regulated electric utility (as such
term is defined in section 3(18) of the Public Utility
Regulatory Policies Act of 1978),
``(B) a debtor in a case commenced under title 11
of the United States Code on January 29, 2019, and
``(C) a corporation that--
``(i) makes payments, other than payments
of salary, that are incentive-based cash
payments to any of the 13 highest-compensated
employees of such corporation, and
``(ii) owns or leases infrastructure other
than climate-resilient infrastructure.
``(2) Climate-resilient infrastructure.--For purposes of
this section, the term `climate-resilient infrastructure' means
infrastructure with the ability to reduce the impact of major
weather events and natural disasters.
``(3) Special rule for affiliated groups.--If any member of
an affiliated group of corporations that files a consolidated
return is a corporation described in this subsection, all
members of such group shall be considered corporations
described in this subsection for purposes of chapter 6 of the
Internal Revenue Code of 1986.''.
(c) Conforming Amendments.--
(1) Section 38(c)(6) of the Internal Revenue Code of 1986
is amended by inserting ``described in section 55(f)'' after
``In the case of a corporation''.
(2) Section 55(b)(1) of such Code is amended to read as
follows:
``(1) Amount of tentative tax.--
``(A) Noncorporate taxpayers.--
``(i) In general.--In the case of a
taxpayer other than a corporation, the
tentative minimum tax for the taxable year is
the sum of--
``(I) 26 percent of so much of the
taxable excess as does not exceed
$175,000, plus--
``(II) 28 percent of so much of the
taxable excess as exceeds $175,000.
The amount determined under the preceding
sentence shall be reduced by the alternative
minimum tax foreign tax credit for the taxable
year.
``(ii) Taxable excess.--For purposes of
this subsection, the term `taxable excess'
means so much of the alternative minimum
taxable income for the taxable year as exceeds
the exemption amount.
``(iii) Married individual filing separate
return.--In the case of a married individual
filing a separate return, clause (i) shall be
applied by substituting 50 percent of the
dollar amount otherwise applicable under
subclause (I) and subclause (II) thereof. For
purposes of the preceding sentence, marital
status shall be determined under section 7703.
``(B) Corporations.--In the case of a corporation
described in subsection (f), the tentative minimum tax
for the taxable year is--
``(i) 20 percent of so much of the
alternative minimum taxable income for the
taxable year as exceeds the exemption amount,
reduced by
``(ii) the alternative minimum tax foreign
tax credit for the taxable year.''.
(3) Section 55(b)(3) of such Code is amended by striking
``paragraph (1)(A)'' and inserting ``paragraph (1)(A)(i)''.
(4) Section 59(a) of such Code is amended--
(A) in paragraph (1)(C), by striking ``section
55(b)(1) in lieu of the highest rate of tax specified
in section 1'' and inserting ``subparagraph (A)(i) or
(B)(i) of section 55(b)(1) (whichever applies) in lieu
of the highest rate of tax specified in section 1 or 11
(whichever applies)''; and
(B) in paragraph (2), by striking ``means'' and all
that follows and inserting the following: ``means--
``(A) in the case of a taxpayer other than a
corporation, the amount determined under the first
sentence of section 55(b)(1)(A)(i), or
``(B) in the case of a corporation described in
section 55(f), the amount determined under section
55(b)(1)(B)(i).''.
(5) Section 897(a)(2)(A) of such Code is amended by
striking ``section 55(b)(1)'' and inserting ``section
55(b)(1)(A)''.
(6) Section 911(f) of such Code is amended--
(A) by striking ``section 55(b)(1)(B)'' each place
it appears and inserting ``section 55(b)(1)(A)(ii)'';
and
(B) in paragraph (1)(B), by striking ``section
55(b)(1)(A)'' and inserting ``section 55(b)(1)(A)(i)''.
(7) Section 55(c)(1) of such Code is amended by inserting
before the first period the following: ``, the section 936
credit allowable under section 27(b), and the Puerto Rico
economic activity credit under section 30A''.
(8) Section 55(d) of such Code is amended--
(A) redesignating paragraphs (2) and (3) as
paragraphs (3) and (4), respectively, and inserting
after paragraph (1) the following:
``(2) Corporations.--In the case of a corporation, the term
`exemption amount' means $40,000.'';
(B) in paragraph (3) (as so redesignated), by
striking ``and'' at the end of subparagraph (B), by
striking the period and inserting ``, and'' at the end
of subparagraph (C), and by adding at the end the
following:
``(D) $150,000 in the case of a taxpayer described
in paragraph (2).'';
(C) in paragraph (4) (as so redesignated)--
(i) in subparagraph (B)(i), by striking
``(b)(1)(A)'' and inserting ``(b)(1)(A)(i)'';
and
(ii) in subparagraph (B)(iii), by striking
``paragraph (2)'' and inserting ``paragraph
(3)''.
(9) Section 55 of such Code is amended by restoring
subsection (e) as though it had not been struck by Public Law
115-97.
(10) Section 56(b)(2) of such Code is amended by
redesignating subparagraph (C) as subparagraph (D) and by
inserting after subparagraph (B) the following:
``(C) Special rule for personal holding
companies.--In the case of circulation expenditures
described in section 173, the adjustments provided in
this paragraph shall apply also to a personal holding
company (as defined in section 542).''.
(11) Section 56 of such Code is amended by restoring
subsections (c) and (g) as though they had not been struck by
Public Law 115-97.
(12) Section 848 of such Code is amended by restoring
subsection (i) as though it had not been struck by Public Law
115-97.
(13) Section 58(a) of such Code is amended by redesignating
paragraph (3) as paragraph (4) and by inserting the following
after paragraph (2):
``(3) Application to personal service corporations.--For
purposes of paragraph (1), a personal service corporation
(within the meaning of section 469(j)(2)) shall be treated as a
taxpayer other than a corporation.''.
(14) Section 59 of such Code is amended by restoring
subsections (b) and (f) as though they had not been struck by
Public Law 115-97.
(15) Section 11(d) of such Code is amended by striking
``the tax imposed by subsection (a)'' and inserting ``the taxes
imposed by subsection (a) and section 55''.
(16) Section 12 of such Code is amended by restoring
paragraph (7) as though it had not been struck by Public Law
115-97.
(17) Section 168(k) of such Code is amended by restoring
paragraph (4) as though it had not been struck by Public Law
115-97.
(18) Section 882(a)(1) of such Code is amended by inserting
``, 55,'' after ``section 11''.
(19) Section 962(a)(1) of such Code is amended by inserting
``and 55'' after ``section 11''.
(20) Section 6425(c)(1)(A) of such Code is amended to read
as it read before the passage of Public Law 115-97.
(21) Section 6655(e)(2) of such Code is amended by
inserting ``and alternative minimum taxable income'' each place
it appeared before the passage of Public Law 115-97.
(d) Effective Date.--The amendments made by this section shall
apply to taxable years beginning after December 31, 2022.
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