Sponsors (2)
The bill lowers the excise tax on certain bait containers, reducing costs for manufacturers and potentially consumers, but it cuts federal excise revenue and creates transitional administrative burdens for businesses and tax administrators.
Anglers and other consumers may see lower retail prices for portable electronically‑aerated bait containers because the excise tax rate is reduced from 10% to 3%, if manufacturers pass along savings.
Manufacturers, producers, and importers of these bait containers pay a substantially lower per‑unit excise tax (3% vs. 10%), reducing their tax burden and improving margins or competitiveness.
Clarifying the applicable excise rate and product coverage reduces ongoing compliance complexity for businesses and federal tax administrators.
All taxpayers face lower federal excise tax revenue because the tax rate on these bait containers is cut, which could reduce funding available for programs financed by this tax.
Manufacturers, importers, and affected federal staff will incur transitional administrative costs to adjust pricing, accounting, and tax reporting systems before the post‑2025 effective date.
Based on analysis of 2 sections of legislative text.
Lowers the manufacturer/producer/importer excise tax on portable, electronically-aerated bait containers from 10% to 3% for sales after Dec 31, 2025.
Official title: Amend the Internal Revenue Code of 1986 to provide a reduced excise tax rate for portable, electronically-aerated bait containers.
Introduced October 3, 2025 by Richard Lynn Scott · Last progress October 3, 2025
Reduces the federal excise tax rate on portable, electronically-aerated bait containers (a type of fishing equipment) from 10% to 3% for items sold by manufacturers, producers, or importers after December 31, 2025. The change is a single, targeted amendment to the Internal Revenue Code that takes effect for sales beginning January 1, 2026.