I 
114TH CONGRESS 
1ST SESSION H. R. 2971 
To amend the Internal Revenue Code of 1986 to bring certainty to the 
funding of the Highway Trust Fund, and for other purposes. 
IN THE HOUSE OF REPRESENTATIVES 
JULY 8, 2015 
Mr. RICE of South Carolina 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 bring cer-
tainty to the funding of the Highway Trust Fund, and 
for other purposes. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE. 
This Act may be cited as the ‘‘Highway Trust Fund 
Certainty Act’’. 
SEC. 2. INCREASE IN FUELS TAXES. 
(a) MOTOR FUELS.— 
(1) 
REPEAL
OF
TERMINATION.—Section 
4081(d) of the Internal Revenue Code of 1986 is 
amended by striking paragraph (1) and redesig-
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nating paragraphs (2) and (3) as paragraphs (1) 
and (2), respectively. 
(2) 
INFLATION
ADJUSTMENT.—Section 
4081(a)(2) of such Code is amended— 
(A) in subparagraph (A)(i) by striking 
‘‘18.3 cents per gallon’’ and inserting ‘‘28.4 
cents per gallon’’, 
(B) in subparagraph (A)(iii) by striking 
‘‘24.3 cents per gallon’’ and inserting ‘‘34.4 
cents per gallon’’, 
(C) in subparagraph (D) by striking ‘‘sub-
stituting ‘19.7 cents’ for ‘24.3 cents’ ’’ and in-
serting ‘‘substituting ‘27.9 cents’ for ‘34.4 
cents’ ’’, and 
(D) by adding at the end the following: 
‘‘(E) ADJUSTMENT
FOR
INFLATION.—In 
the case of a calendar year beginning after De-
cember 31, 2015, the rates of tax in subpara-
graph (A) (i) and (iii) and subparagraph (D) 
shall each be increased by an amount equal 
to— 
‘‘(i) such rate, multiplied by 
‘‘(ii) the cost of living adjustment de-
termined under section 1(f)(3) for the cal-
endar year, determined by substituting 
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‘calendar year 2014’ for ‘calendar year 
1992’ in subparagraph (B) thereof. 
Any increase under the preceding sentence shall 
be rounded to the nearest 0.1 cents.’’. 
(b) SPECIAL FUELS.— 
(1) INCREASE AND EXTENSION.—Section 4041 
of such Code is amended— 
(A) in subsection (a)(1)(C)(iii)(I) by strik-
ing ‘‘7.3 cents per gallon (4.3 cents per gallon 
after September 30, 2016)’’ and inserting ‘‘17.4 
cents per gallon’’, 
(B) in subsection (a)(2)(B)(ii) by striking 
‘‘24.3 cents per gallon’’ and inserting ‘‘34.4 
cents per gallon’’, and 
(C) in subsection (a)(3)(A) by striking 
‘‘18.3 cents’’ and inserting ‘‘28.4 cents’’. 
(2) ADJUSTMENT
FOR
INFLATION.—Section 
4041(a) of such Code is amended by adding at the 
end the following: 
‘‘(4) ADJUSTMENT
FOR
INFLATION.—In the 
case of a calendar year beginning after December 
31, 
2015, 
the 
rates 
of 
tax 
in 
paragraphs 
(1)(C)(iii)(I), (2)(B)(ii), and (3)(A) shall each be in-
creased by an amount equal to— 
‘‘(A) such rate, multiplied by 
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‘‘(B) the cost of living adjustment deter-
mined under section 1(f)(3) for the calendar 
year, determined by substituting ‘calendar year 
2014’ for ‘calendar year 1992’ in subparagraph 
(B) thereof. 
Any increase under the preceding sentence shall be 
rounded to the nearest 0.1 cents.’’. 
(3) CERTAIN ALCOHOL FUELS.— 
(A) 
PERMANENT
EXTENSION.—Section 
4041(m)(1) of such Code is amended— 
(i) in subparagraph (A) by striking ‘‘, 
and before October 1, 2016’’, 
(ii) in subparagraph (A)(i) by striking 
‘‘9.15 cents per gallon’’ and inserting 
‘‘19.25 cents per gallon’’, 
(iii) in subparagraph (A)(ii) by strik-
ing ‘‘11.3 cents per gallon’’ and inserting 
‘‘21.4 cents per gallon’’, 
(iv) by striking subparagraph (B), 
and 
(v) by redesignating clauses (i) and 
(ii) of subparagraph (A) (as amended by 
clauses (ii) and (iii)) as subparagraphs (A) 
and (B), respectively, and moving such 
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subparagraphs (as so redesignated) 2 ems 
to the left. 
(B) ADJUSTMENT FOR INFLATION.—Sec-
tion 4041(m) of such Code is amended by add-
ing at the end the following: 
‘‘(3) ADJUSTMENT
FOR
INFLATION.—In the 
case of a calendar year beginning after December 
31, 2015, the rates of tax in paragraph (1) (A) and 
(B) shall each be increased by an amount equal to— 
‘‘(A) such rate, multiplied by 
‘‘(B) the cost of living adjustment deter-
mined under section 1(f)(3) for the calendar 
year, determined by substituting ‘calendar year 
2014’ for ‘calendar year 1992’ in subparagraph 
(B) thereof. 
Any increase under the preceding sentence shall be 
rounded to the nearest 0.1 cents.’’. 
(4) FUEL USED IN CERTAIN BUSES.— 
(A) 
PERMANENT
EXTENSION.—Section 
6427(b)(2)(A) of such Code is amended by 
striking ‘‘7.4 cents’’ and inserting ‘‘17.5 cents’’. 
(B) ADJUSTMENT FOR INFLATION.—Sec-
tion 6427(b) of such Code is amended by add-
ing at the end the following: 
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‘‘(5) ADJUSTMENT
FOR
INFLATION.—In the 
case of calendar years beginning January 1, 2016— 
‘‘(A) the rate of tax in paragraph (2)(A) 
shall be increased by 10.1 cents, and 
‘‘(B) such rate (as increased by subpara-
graph (A)) shall be increased by an amount 
equal to such rate (as so increased) multiplied 
by the cost of living adjustment determined 
under section 1(f)(3) for the calendar year, de-
termined by substituting ‘calendar year 2014’ 
for ‘calendar year 1992’ in subparagraph (B) 
thereof, and rounded to the nearest 0.1 cents.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to years beginning after December 
31, 2015. 
(d) FLOOR STOCKS TAX.— 
(1) IMPOSITION OF TAX.—In the case of any 
highway motor fuel which is held on January 1, 
2016, by any person, there is hereby imposed a floor 
stocks tax equal to the excess of— 
(A) the tax which would be imposed on 
such fuel had the amendments made by this 
section applied to highway motor fuels for peri-
ods before January 1, 2016, over 
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(B) the tax (if any) previously paid (and 
not credited or refunded) on such fuel. 
(2) LIABILITY FOR TAX AND METHOD OF PAY-
MENT.— 
(A) LIABILITY
FOR
TAX.—The person 
holding the highway motor fuel on January 1, 
2016, to which the tax imposed by paragraph 
(1) applies shall be liable for such tax. 
(B) METHOD OF PAYMENT.—The tax im-
posed by paragraph (1) shall be paid at such 
time and in such manner as the Secretary of 
the Treasury (or the Secretary’s delegate) shall 
prescribe. 
(3) DEFINITIONS.—For purposes of this sub-
section— 
(A) HIGHWAY
MOTOR
FUEL.—The term 
‘‘highway motor fuel’’ means any fuel the tax 
rate of which is increased by an amendment 
made by this section. 
(B) HELD
BY
A
PERSON.—A highway 
motor fuel shall be considered as held by a per-
son if title thereto has passed to such person 
(whether or not delivery to the person has been 
made). 
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(C) SECRETARY.—The term ‘‘Secretary’’ 
means the Secretary of the Treasury or the 
Secretary’s delegate. 
(4) EXCEPTION FOR EXEMPT USES.—The tax 
imposed by paragraph (1) shall not apply to any 
highway motor fuel held by any person exclusively 
for any use to the extent a credit or refund of the 
tax is allowable for such use. 
(5) EXCEPTION
FOR
CERTAIN
AMOUNTS
OF 
FUEL.— 
(A) IN
GENERAL.—No tax shall be im-
posed by paragraph (1) on any highway motor 
fuel held on January 1, 2016, by any person if 
the aggregate amount of such highway motor 
fuel held by such person on such date does not 
exceed 2,000 gallons. The preceding sentence 
shall apply only if such person submits to the 
Secretary (at the time and in the manner re-
quired by the Secretary) such information as 
the Secretary shall require for purposes of this 
subparagraph. 
(B) EXEMPT FUEL.—For purposes of sub-
paragraph (A), there shall not be taken into ac-
count any highway motor fuel held by any per-
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son which is exempt from the tax imposed by 
paragraph (1) by reason of paragraph (4). 
(C) CONTROLLED GROUPS.—For purposes 
of this subsection— 
(i) CORPORATIONS.— 
(I) IN
GENERAL.—All persons 
treated as a controlled group shall be 
treated as 1 person. 
(II) CONTROLLED
GROUP.—The 
term ‘‘controlled group’’ has the 
meaning given to such term by sub-
section (a) of section 1563 of such 
Code; except that for such purposes 
the phrase ‘‘more than 50 percent’’ 
shall be substituted for the phrase ‘‘at 
least 80 percent’’ each place it ap-
pears in such subsection. 
(ii) 
NONINCORPORATED
PERSONS 
UNDER COMMON CONTROL.—Under regula-
tions prescribed by the Secretary, prin-
ciples similar to the principles of subpara-
graph (A) shall apply to a group of per-
sons under common control if 1 or more of 
such persons is not a corporation. 
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(6) OTHER LAWS APPLICABLE.—All provisions 
of law, including penalties, applicable with respect to 
the taxes imposed by sections 4041 and 4081 of 
such Code shall, insofar as applicable and not incon-
sistent with the provisions of this subsection, apply 
with respect to the floor stock taxes imposed by 
paragraph (1) to the same extent as if such taxes 
were imposed by such sections. 
SEC. 3. WORKING CITIZENS TAX RELIEF. 
(a) IN GENERAL.—Subpart C of part IV of sub-
chapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by inserting after section 36 the fol-
lowing new section: 
‘‘SEC. 36A. WORKING CITIZENS CREDIT. 
‘‘(a) ALLOWANCE OF CREDIT.—In the case of an eli-
gible individual, there shall be allowed as a credit against 
the tax imposed by this subtitle for the calendar years be-
ginning after December 31, 2015, an amount equal to the 
lesser of— 
‘‘(1) 3.1 percent of earned income of the tax-
payer, or 
‘‘(2) $133 ($266 in the case of a joint return). 
‘‘(b) LIMITATION BASED ON MODIFIED ADJUSTED 
GROSS INCOME.— 
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‘‘(1) IN GENERAL.—The amount allowable as a 
credit under subsection (a) (determined without re-
gard to this paragraph and subsection (c)) for the 
taxable year shall be reduced (but not below zero) by 
one percent of so much of the taxpayer’s modified 
adjusted gross income as exceeds $74,950 ($149,900 
in the case of a joint return). 
‘‘(2) MODIFIED
ADJUSTED
GROSS
INCOME.— 
For purposes of subparagraph (A), the term ‘modi-
fied adjusted gross income’ means the adjusted 
gross income of the taxpayer for the taxable year in-
creased by any amount excluded from gross income 
under section 911, 931, or 933. 
‘‘(c) DEFINITIONS AND SPECIAL RULES.—For pur-
poses of this section— 
‘‘(1) ELIGIBLE INDIVIDUAL.— 
‘‘(A) IN GENERAL.—The term ‘eligible in-
dividual’ means any individual other than— 
‘‘(i) any nonresident alien individual, 
‘‘(ii) any individual with respect to 
whom a deduction under section 151 is al-
lowable to another taxpayer for a taxable 
year beginning in the calendar year in 
which the individual’s taxable year begins, 
and 
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‘‘(iii) an estate or trust. 
‘‘(B) IDENTIFICATION NUMBER REQUIRE-
MENT.—Such term shall not include any indi-
vidual who does not include on the return of tax 
for the taxable year— 
‘‘(i) such individual’s social security 
account number, and 
‘‘(ii) in the case of a joint return, the 
social security account number of one of 
the taxpayers on such return. 
For purposes of the preceding sentence, the so-
cial security account number shall not include a 
TIN issued by the Internal Revenue Service. 
‘‘(2) EARNED INCOME.—The term ‘earned in-
come’ has the meaning given such term by section 
32(c)(2), except that such term shall not include net 
earnings from self-employment which are not taken 
into account in computing taxable income. For pur-
poses of the preceding sentence, any amount ex-
cluded from gross income by reason of section 112 
shall be treated as earned income which is taken 
into account in computing taxable income for the 
taxable year.’’. 
(b) REFUNDS DISREGARDED IN THE ADMINISTRA-
TION
OF FEDERAL PROGRAMS
AND FEDERALLY AS-
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SISTED PROGRAMS.—Any credit or refund allowed or 
made to any individual by reason of section 36A of the 
Internal Revenue Code of 1986 (as added by this section) 
or by reason of subsection (b) of this section shall not be 
taken into account as income and shall not be taken into 
account as resources for the month of receipt and the fol-
lowing 2 months, for purposes of determining the eligi-
bility of such individual or any other individual for benefits 
or assistance, or the amount or extent of benefits or assist-
ance, under any Federal program or under any State or 
local program financed in whole or in part with Federal 
funds. 
(c) AUTHORITY RELATING TO CLERICAL ERRORS.— 
Section 6213(g)(2) of such Code is amended by striking 
‘‘and’’ at the end of subparagraph (M), by striking the 
period at the end of subparagraph (N) and inserting ‘‘, 
and’’, and by adding at the end the following new subpara-
graph: 
‘‘(O) an omission of the correct social secu-
rity account number required under section 
36A(c)(1)(B).’’. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to taxable years beginning after 
December 31, 2015. 
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SEC. 4. REPAYABLE ADVANCES TO HIGHWAY TRUST FUND. 
(a) REPAYABLE ADVANCES.—Section 9503(f) of the 
Internal Revenue Code of 1986 is amended by redesig-
nating paragraph (7) as paragraph (8) and by inserting 
after paragraph (6) the following new paragraph: 
‘‘(7) 2015 
SHORTFALL
ADVANCE.—Out of 
money in the Treasury not otherwise appropriated, 
there is hereby appropriated— 
‘‘(A) $8,000,000,000 to the Highway Ac-
count (as defined in subsection (e)(5)(B)) in 
the Highway Trust Fund; and 
‘‘(B) $3,000,000,000 to the Mass Transit 
Account in the Highway Trust Fund.’’. 
(b) REPAYMENT OF ADVANCES.—Section 9503(c) of 
such Code is amended by adding at the end the following: 
‘‘(6) TRANSFERS FROM HIGHWAY TRUST FUND 
FOR
CERTAIN
REPAYMENTS
OF
CERTAIN
AD-
VANCES.— 
‘‘(A) IN
GENERAL.—The Secretary shall 
pay from time to time from the Highway Trust 
Fund into the general fund of the Treasury 
amounts equivalent to amounts transferred to 
the Highway Trust Fund that are attributable 
to 
the 
operation 
of 
sections 
4041(a)(4), 
4041(m)(3), and 4081(a)(2)(E). 
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‘‘(B) LIMITATION.—No amount shall be 
transferred under this paragraph after the ag-
gregate amount transferred under subpara-
graph (A) equals $11,000,000,000. 
‘‘(C) TRANSFERS BASED ON ESTIMATES.— 
Transfers under subparagraph (A) shall be 
made on the basis of estimates by the Sec-
retary, and proper adjustments shall be made 
in amounts subsequently transferred to the ex-
tent prior estimates were in excess or less than 
the amounts required to be transferred. 
‘‘(D) 
TRANSFERS
MADE
PROPORTION-
ALLY.—Transfers under subparagraph (A) shall 
be borne by the Highway Account and the Mass 
Transit Account in proportion to the respective 
revenues transferred under subsection (f)(7) to 
the Highway Account and the Mass Transit Ac-
count.’’. 
(c) EFFECTIVE DATE.—The amendments made by 
this section shall take effect on August 1, 2015. 
Æ 
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