II 

Calendar No. 50 

114TH CONGRESS 

1ST SESSION S. 917 

[Report No. 114–27] 

To amend the Internal Revenue Code of 1986 to equalize the excise tax 

on liquified petroleum gas and liquified natural gas. 

IN THE SENATE OF THE UNITED STATES 

APRIL 14, 2015 

Mr. HATCH, from the Committee on Finance, reported the following original 

bill; which was read twice and placed on the calendar 

A BILL 

To amend the Internal Revenue Code of 1986 to equalize 

the excise tax on liquified petroleum gas and liquified 

natural gas. 

1 Be it enacted by the Senate and House of Representa2 tives of the United States of America in Congress assembled, 

3 SECTION 1. SHORT TITLE. 

4 This Act may be cited as the ‘‘LNG and LPG Excise 

5 Tax Equalization Act of 2015’’. 


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1 SEC. 2. EQUALIZATION OF EXCISE TAX ON LIQUEFIED PE2 TROLEUM GAS AND LIQUEFIED NATURAL 

3 GAS. 

4 (a) LIQUEFIED PETROLEUM GAS.— 

5 (1) IN GENERAL.—Subparagraph (B) of section 

6 4041(a)(2) of the Internal Revenue Code of 1986 is 

7 amended by striking ‘‘and’’ at the end of clause (i), 

8 by redesignating clause (ii) as clause (iii), and by in9 serting after clause (i) the following new clause: 

10 ‘‘(ii) in the case of liquefied petroleum 

11 gas, 18.3 cents per energy equivalent of a 

12 gallon of gasoline, and’’. 

13 (2) ENERGY EQUIVALENT OF A GALLON OF

14 GASOLINE.—Paragraph (2) of section 4041(a) of 

15 such Code is amended by adding at the end the fol16 lowing: 

17 ‘‘(C) ENERGY EQUIVALENT OF A GALLON

18 OF GASOLINE.—For purposes of this para19 graph, the term energy equivalent of a gallon of 

20 gasoline means, with respect to a liquefied pe21 troleum gas fuel, the amount of such fuel hav22 ing a Btu content of 115,400 (lower heating 

23 value).’’. 

24 (b) LIQUEFIED NATURAL GAS.— 

25 (1) IN GENERAL.—Subparagraph (B) of section 

26 4041(a)(2) of the Internal Revenue Code of 1986, as 


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1 amended by subsection (a)(1), is amended by strik2 ing ‘‘and’’ at the end of clause (ii), by striking the 

3 period at the end of clause (iii) and inserting ‘‘, 

4 and’’ and by inserting after clause (iii) the following 

5 new clause: 

6 ‘‘(iv) in the case of liquefied natural 

7 gas, 24.3 cents per energy equivalent of a 

8 gallon of diesel.’’. 

9 (2) ENERGY EQUIVALENT OF A GALLON OF

10 DIESEL.—Paragraph (2) of section 4041(a) of such 

11 Code, as amended by subsection (a)(2), is amended 

12 by adding at the end the following: 

13 ‘‘(D) ENERGY EQUIVALENT OF A GALLON

14 OF DIESEL.—For purposes of this paragraph, 

15 the term energy equivalent of a gallon of diesel 

16 means, with respect to a liquefied natural gas 

17 fuel, the amount of such fuel having a Btu con18 tent of 128,700 (lower heating value).’’. 

19 (3) CONFORMING AMENDMENTS.—Section 

20 4041(a)(2)(B)(iii) of the Internal Revenue Code of 

21 1986, as redesignated by subsection (a)(1), is 

22 amended— 

23 (A) by striking ‘‘liquefied natural gas,’’, 

24 and 


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1 (B) by striking ‘‘peat), and’’ and inserting 

2 ‘‘peat) and’’. 

3 (c) EFFECTIVE DATE.—The amendments made by 

4 this section shall apply to fuel sold or used in calendar 

5 quarters beginning more than 60 days after the date of 

6 the enactment of this Act. 

7 SEC. 3. INCREASE IN CONTINUOUS LEVY. 

8 (a) IN GENERAL.—Paragraph (3) of section 6331(h) 

9 of the Internal Revenue Code of 1986 is amended by strik10 ing ‘‘30 percent’’ and inserting ‘‘35 percent’’. 

11 (b) EFFECTIVE DATE.—The amendment made by 

12 this section shall apply to payments made after 180 days 

13 after the date of the enactment of this Act. 


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Calendar No. 50 

114TH CONGRESS 

1ST SESSION S. 917 

[Report No. 114–27] 

A BILL 

To amend the Internal Revenue Code of 1986 to 

and liquified natural gas. equalize the excise tax on liquified petroleum gas 

APRIL 14, 2015 

Read twice and placed on the calendar 


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