H.R. 4128

119th CONGRESS 1st Session

To amend the Internal Revenue Code of 1986 to expand the advanced manufacturing production credit to include distribution transformers.

IN THE HOUSE OF REPRESENTATIVES · June 25, 2025 · Sponsor: Mr. Fry · Committee: Committee on Ways and Means

SEC. 1. Short title

(a) In general
- of the Internal Revenue Code of 1986 is amended— Section 45X
  - in subsection (b)(1)—
    - in subparagraph (L)(ii), by striking and at the end,
    - in subparagraph (M), by striking the period at the end and inserting , and
      - in the case of any distribution transformer, an amount equal to 10 percent of the costs incurred by the taxpayer with respect to production of such transformer.
    - by adding at the end the following new subparagraph:
  - in subsection (c)—
    - in paragraph (1)(A)—
      - (i) in clause (iv), by striking and at the end,
      - (ii) in clause (v), by striking the period at the end and inserting , and
      - (iii) by adding at the end the following new clause:
        
        (vi) any distribution transformer.
      - (7) Distribution transformer
        
        The term has the same meaning given such term under section 321(35) of the Energy Policy and Conservation Act (). distribution transformer 42 U.S.C. 6291(35)
    - by adding at the end the following new paragraph:
(b) Effective date
- The amendments made by this section shall apply to components produced and sold after the date which is 90 days after the date of enactment of this Act.