H.R. 898 – Reading Mode

114th CONGRESS

1st Session

H. R. 898

IN THE HOUSE OF REPRESENTATIVES

February 11, 2015

Mr. Kelly of Pennsylvania (for himself and Mr. Kind) 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 provide for the equalization of the excise tax on liquefied natural gas and liquefied petroleum gas.

Short title

This Act may be cited as the Energy Production Fairness Act.

Equalization of excise tax on liquefied natural gas and liquefied petroleum gas

(a)

Liquefied petroleum gas

(1)

In general

Subparagraph (B) of section 4041(a)(2) of the Internal Revenue Code of 1986 is amended by striking and at the end of clause (i), by redesignating clause (ii) as clause (iii), and by inserting after clause (i) the following new clause:

(ii)

in the case of liquefied petroleum gas, 18.3 cents per energy equivalent of a gallon of gasoline, and

(2)

Energy equivalent of a gallon of gasoline

Paragraph (2) of section 4041(a) of the Internal Revenue Code of 1986 is amended by adding at the end the following:

(C)

Energy equivalent of a gallon of gasoline

For purposes of this paragraph, the term energy equivalent of a gallon of gasoline means, with respect to a liquefied petroleum gas fuel, the amount of such fuel having a Btu content of 115,400 (lower heating value).

(b)

Liquefied natural gas

(1)

In general

Subparagraph (B) of section 4041(a)(2) of the Internal Revenue Code of 1986, as amended by subsection (a)(1), is amended by striking and at the end of clause (ii), by striking the period at the end of clause (iii) and inserting , and and by inserting after clause (iii) the following new clause:

(iv)

in the case of liquefied natural gas, 24.3 cents per energy equivalent of a gallon of diesel.

(2)

Energy equivalent of a gallon of diesel

Paragraph (2) of section 4041(a) of the Internal Revenue Code of 1986, as amended by subsection (a)(2), is amended by adding at the end the following:

(D)

Energy equivalent of a gallon of diesel

For purposes of this paragraph, the term energy equivalent of a gallon of diesel means, with respect to a liquefied natural gas fuel, the amount of such fuel having a Btu content of 128,700 (lower heating value).

(3)

Conforming amendments

Section 4041(a)(2)(B)(iv) of the Internal Revenue Code of 1986, as redesignated by subsection (a)(1) and paragraph (1), is amended—

(A)

by striking liquefied natural gas,, and

(B)

by striking peat), and and inserting peat) and.

(c)

Effective date

The amendments made by this section shall apply to any sale or use of fuel after September 30, 2014.