[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 1111 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 1111
To amend the Internal Revenue Code of 1986 to allow for payments to
certain individuals who dye fuel, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
March 25, 2025
Mr. Johnson (for himself and Ms. Baldwin) introduced the following
bill; which was read twice and referred to the Committee on Finance
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to allow for payments to
certain individuals who dye fuel, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. PAYMENT TO CERTAIN INDIVIDUALS WHO DYE FUEL.
(a) In General.--Subchapter B of chapter 65 of the Internal Revenue
Code of 1986 is amended by adding at the end the following new section:
``SEC. 6434. DYED FUEL.
``(a) In General.--If a person establishes to the satisfaction of
the Secretary that such person meets the requirements of subsection (b)
with respect to diesel fuel or kerosene, then the Secretary shall pay
to such person an amount (without interest) equal to the tax described
in subsection (b)(2)(A) with respect to such diesel fuel or kerosene.
``(b) Requirements.--
``(1) In general.--A person meets the requirements of this
subsection with respect to diesel fuel or kerosene if such
person removes from a terminal eligible indelibly dyed diesel
fuel or kerosene.
``(2) Eligible indelibly dyed diesel fuel or kerosene
defined.--The term `eligible indelibly dyed diesel fuel or
kerosene' means diesel fuel or kerosene--
``(A) with respect to which a tax under section
4081 was previously paid (and not credited or
refunded), and
``(B) which is exempt from taxation under section
4082(a).
``(c) Cross Reference.--For civil penalty for excessive claims
under this section, see section 6675.''.
(b) Conforming Amendments.--
(1) Section 6206 of the Internal Revenue Code of 1986 is
amended--
(A) by striking ``or 6427'' each place it appears
and inserting ``6427, or 6434''; and
(B) by striking ``6420 and 6421'' and inserting
``6420, 6421, and 6434''.
(2) Section 6430 of such Code is amended--
(A) by striking ``or'' at the end of paragraph (2),
by striking the period at the end of paragraph (3) and
inserting ``, or'', and by adding at the end the
following new paragraph:
``(4) which are removed as eligible indelibly dyed diesel
fuel or kerosene under section 6434.''.
(3) Section 6675 of such Code is amended--
(A) in subsection (a), by striking ``or 6427
(relating to fuels not used for taxable purposes)'' and
inserting ``6427 (relating to fuels not used for
taxable purposes), or 6434 (relating to eligible
indelibly dyed fuel)''; and
(B) in subsection (b)(1), by striking ``6421, or
6427,'' and inserting ``6421, 6427, or 6434,''.
(4) The table of sections for subchapter B of chapter 65 of
such Code is amended by adding at the end the following new
item:
``Sec. 6434. Dyed fuel.''.
(c) Effective Date.--The amendments made by this section shall
apply to eligible indelibly dyed diesel fuel or kerosene removed on or
after the date that is 180 days after the date of the enactment of this
section.
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