I 
112TH CONGRESS 
1ST SESSION H. R. 3308 
To amend the Internal Revenue Code of 1986 to terminate certain energy 
tax subsidies and lower the corporate income tax rate. 
IN THE HOUSE OF REPRESENTATIVES 
NOVEMBER 2, 2011 
Mr. POMPEO (for himself, Mr. LABRADOR, Mr. RIBBLE, and Mr. FLAKE) in-
troduced the following bill; which was referred to the Committee on Ways 
and Means, and in addition to the Committee on Energy and Commerce, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of the 
committee concerned 
A BILL 
To amend the Internal Revenue Code of 1986 to terminate 
certain energy tax subsidies and lower the corporate in-
come tax rate. 
Be it enacted by the Senate and House of Representa-
tives of the United States of America in Congress assembled, 
SECTION 1. SHORT TITLE; TABLE OF CONTENTS; ETC. 
(a) SHORT TITLE.—This Act may be cited as the 
‘‘Energy Freedom and Economic Prosperity Act’’. 
(b) REFERENCE TO 1986 CODE.—Except as other-
wise expressly provided, whenever in this Act an amend-
ment or repeal is expressed in terms of an amendment 
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to, or repeal of, a section or other provision, the reference 
shall be considered to be made to a section or other provi-
sion of the Internal Revenue Code of 1986. 
(c) TABLE OF CONTENTS.—The table of contents for 
this Act is as follows: 
Sec. 1. Short title; table of contents; etc. 
TITLE I—REPEAL OF ENERGY TAX SUBSIDIES 
Sec. 101. Repeal of credit for alcohol fuel, biodiesel, and alternative fuel mix-
tures. 
Sec. 102. Repeal of credit for certain plug-in electric vehicles. 
Sec. 103. Early termination of credit for qualified fuel cell motor vehicles. 
Sec. 104. Repeal of alternative fuel vehicle refueling property credit. 
Sec. 105. Repeal of credit for alcohol used as fuel. 
Sec. 106. Repeal of credit for biodiesel and renewable diesel used as fuel. 
Sec. 107. Repeal of enhanced oil recovery credit. 
Sec. 108. Termination of credit for electricity produced from certain renewable 
resources. 
Sec. 109. Repeal of credit for producing oil and gas from marginal wells. 
Sec. 110. Termination of credit for production from advanced nuclear power fa-
cilities. 
Sec. 111. Repeal of credit for carbon dioxide sequestration. 
Sec. 112. Termination of energy credit. 
Sec. 113. Repeal of qualifying advanced coal project. 
Sec. 114. Repeal of qualifying gasification project credit. 
Sec. 115. Repeal of American Recovery and Reinvestment Act of 2009 energy 
grant program. 
TITLE II—REDUCTION OF CORPORATE INCOME TAX RATE 
Sec. 201. Corporate income tax rate reduced. 
TITLE I—REPEAL OF ENERGY 
TAX SUBSIDIES 
SEC. 101. REPEAL OF CREDIT FOR ALCOHOL FUEL, BIO-
DIESEL, AND ALTERNATIVE FUEL MIXTURES. 
(a) IN GENERAL.—Section 6426 is repealed. 
(b) CONFORMING AMENDMENTS.— 
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(1) Subparagraph (D) of section 6427(e)(6) of 
such Code is amended by striking ‘‘September 30, 
2014’’ and inserting ‘‘September 30, 2012’’. 
(2) Paragraph (1) of section 4101(a) is amend-
ed by striking ‘‘or alcohol (as defined in section 
6426(b)(4)(A)’’. 
(3) Paragraph (2) of section 4104(a) is amend-
ed by striking ‘‘6426, or 6427(e)’’. 
(4) Subparagraph (E) of section 7704(d)(1) is 
amended— 
(A) by inserting ‘‘(as in effect on the day 
before the date of the enactment of the Energy 
Freedom and Economic Prosperity Act)’’ after 
‘‘of section 6426’’, and 
(B) by inserting ‘‘(as so in effect)’’ after 
‘‘section 6426(b)(4)(A)’’. 
(5) Paragraph (1) of section 9503(b) is amend-
ed by striking the second sentence. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subchapter B of chapter 65 is amended by striking 
the item relating to section 6426. 
(d) EFFECTIVE.—The amendments made by this sec-
tion shall apply with respect to fuel sold and used after 
December 31, 2012. 
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SEC. 102. REPEAL OF CREDIT FOR CERTAIN PLUG-IN ELEC-
TRIC VEHICLES. 
(a) IN GENERAL.—Section 30 is repealed. 
(b) CONFORMING AMENDMENTS.— 
(1) Paragraph (3) of Section 24(b) is amended 
by striking ‘‘, 30’’. 
(2) Clause (ii) of section 25(e)(1)(C) is amend-
ed by striking ‘‘, 30’’. 
(3) Paragraph (2) of section 25B(g) is amended 
by striking ‘‘, 30’’. 
(4) Paragraph (1) of section 26(a) is amended 
by striking ‘‘, 30’’. 
(5) Subclause (VI) of section 48C(c)(1)(A)(i) is 
amended by inserting ‘‘(as in effect on the day be-
fore the date of the enactment of the Energy Free-
dom and Economic Prosperity Act)’’ after ‘‘section 
30(d)’’. 
(6) Paragraph (3) of section 179A(c) is amend-
ed by inserting ‘‘(as in effect on the day before the 
date of the enactment of the Energy Freedom and 
Economic Prosperity Act)’’ after section ‘‘30(c)’’. 
(7) Subsection (a) of section 1016 is amended 
by striking paragraph (25) and by redesignating 
paragraphs (26) through (37) as paragraphs (25) 
through (36), respectively. 
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(8) Subsection (m) of section 6501 is amended 
by striking ‘‘30(e)(6)’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart B of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 30. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2011. 
SEC. 103. EARLY TERMINATION OF CREDIT FOR QUALIFIED 
FUEL CELL MOTOR VEHICLES. 
(a) IN GENERAL.—Section 30B is repealed. 
(b) CONFORMING AMENDMENTS.— 
(1) Subparagraph (A) of section 24(b)(3) is 
amended by striking ‘‘, 30B’’. 
(2) Clause (ii) of section 25(e)(1)(C) is amend-
ed by striking ‘‘, 30B’’. 
(3) Paragraph (2) of section 25B(g) is amended 
by striking ‘‘, 30B,’’. 
(4) Paragraph (1) of section 26(a) is amended 
by striking ‘‘, 30B’’. 
(5) Subsection (b) of section 38 is amended by 
striking paragraph (25). 
(6) Subsection (a) of section 1016, as amended 
by section 102 of this Act, is amended by striking 
paragraph (33) and by redesignating paragraphs 
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(34), (35), and (36) as paragraphs (33), (34), and 
(35), respectively. 
(7) Paragraph (2) of section 1400C(d) is 
amended by striking ‘‘, 30B’’. 
(8) Subsection (m) of section 6501 is amended 
by striking ‘‘, 30B(h)(9)’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart B of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 30B. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 104. REPEAL OF ALTERNATIVE FUEL VEHICLE RE-
FUELING PROPERTY CREDIT. 
(a) IN GENERAL.—Section 30C is repealed. 
(b) CONFORMING AMENDMENTS.— 
(1) Subsection (b) of section 38 is amended by 
striking paragraph (26). 
(2) Paragraph (3) of section 55(c) is amended 
by striking ‘‘, 30C(d)(2),’’. 
(3) Subsection (a) of section 1016, as amended 
by sections 102 and 103 of this Act, is amended by 
striking paragraph (33) and by redesignating para-
graph (34) and (35) as paragraphs (33) and (34), 
respectively. 
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(4) Subsection (m) of section 6501 is amended 
by striking ‘‘, 30C(e)(5)’’. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart B of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 30C. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 105. REPEAL OF CREDIT FOR ALCOHOL USED AS 
FUEL. 
(a) IN GENERAL.—Section 40 is repealed. 
(b) CONFORMING AMENDMENTS.— 
(1) Subsection (b) of section 38 is amended by 
striking paragraph (3). 
(2) Subsection (c) of section 196 is amended by 
striking paragraph (3) and by redesignating para-
graphs (4) through (14) as paragraphs (3) through 
(13), respectively. 
(3) Paragraph (1) of section 4101(a) is amend-
ed by striking ‘‘, and every person producing cellu-
losic biofuel (as defined in section 40(b)(6)(E))’’. 
(4) Paragraph (1) of section 4104(a) is amend-
ed by striking ‘‘, 40’’. 
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(c) EFFECTIVE DATE.—The amendments made by 
this section shall apply to fuel sold or used after December 
31, 2012. 
SEC. 106. REPEAL OF CREDIT FOR BIODIESEL AND RENEW-
ABLE DIESEL USED AS FUEL. 
(a) IN GENERAL.—Section 40A is repealed. 
(b) CONFORMING AMENDMENT.— 
(1) Subsection (b) of section 38 is amended by 
striking paragraph (17). 
(2) Section 87 is repealed. 
(3) Subsection (c) of section 196, as amended 
by section 106 of this Act, is amended by striking 
paragraph (11) and by redesignating paragraphs 
(11), (12), and (13) as paragraphs (10), (11), and 
(12), respectively. 
(4) Paragraph (1) of section 4101(a) is amend-
ed by striking ‘‘, every person producing or import-
ing biodiesel (as defined in section 40A(d)(1)’’. 
(5) Paragraph (1) of section 4104(a) is amend-
ed by striking ‘‘, and 40A’’. 
(6) Subparagraph (E) of section 7704(d)(1) is 
amended by inserting ‘‘(as so in effect)’’ after ‘‘sec-
tion 40A(d)(1)’’. 
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(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 40A. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to fuel produced, and sold or used, 
after December 31, 2011. 
SEC. 107. REPEAL OF ENHANCED OIL RECOVERY CREDIT. 
(a) IN GENERAL.—Section 43 is repealed. 
(b) CONFORMING AMENDMENTS.— 
(1) Subsection (b) of section 38 is amended by 
striking paragraph (6). 
(2) Paragraph (4) of section 45Q(d) is amended 
by inserting ‘‘(as in effect on the day before the date 
of the enactment of the Energy Freedom and Eco-
nomic Prosperity Act)’’ after ‘‘section 43(c)(2)’’. 
(3) Subsection (c) of section 196, as amended 
by sections 106 and 107 of this Act, is amended by 
striking paragraph (5) and by redesignating para-
graphs (6) through (12) as paragraphs (5) through 
(11), respectively. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 43. 
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(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to costs paid or incurred in taxable 
years beginning after December 31, 2012. 
SEC. 108. TERMINATION OF CREDIT FOR ELECTRICITY 
PRODUCED FROM CERTAIN RENEWABLE RE-
SOURCES. 
(a) IN GENERAL.—Subsection (d) of section 45 is 
amended— 
(1) by striking ‘‘2013’’ in paragraph (1) and in-
serting ‘‘2012’’, and 
(2) by striking ‘‘2014’’ each place it appears in 
paragraphs (2), (3), (4), (6), (7), (9), and (11) and 
inserting ‘‘2012’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 109. REPEAL OF CREDIT FOR PRODUCING OIL AND 
GAS FROM MARGINAL WELLS. 
(a) IN GENERAL.—Section 45I is repealed. 
(b) CONFORMING AMENDMENT.—Subsection (b) of 
section 38 is amended by striking paragraph (19). 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart D of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 45I. 
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(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to production in taxable years be-
ginning after December 31, 2012. 
SEC. 110. TERMINATION OF CREDIT FOR PRODUCTION 
FROM ADVANCED NUCLEAR POWER FACILI-
TIES. 
(a) IN GENERAL.—Subparagraph (B) of section 
45J(d)(1) is amended by striking ‘‘January 1, 2021’’ and 
inserting ‘‘January 1, 2013’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 111. REPEAL OF CREDIT FOR CARBON DIOXIDE SE-
QUESTRATION. 
(a) IN GENERAL.—Section 45Q is repealed. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to carbon dioxide captured after 
December 31, 2012. 
SEC. 112. TERMINATION OF ENERGY CREDIT. 
(a) IN GENERAL.—Section 48 is amended— 
(1) by striking ‘‘January 1, 2017’’ each place 
it appears and inserting ‘‘January 1, 2013’’, 
(2) by striking ‘‘December 31, 2016’’ each 
place it appears and inserting ‘‘December 31, 
2012’’, and 
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(3) by striking ‘‘2012, or 2013’’ in subsection 
(a)(5)(C)(ii) and inserting ‘‘or 2012’’. 
(b) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 113. REPEAL OF QUALIFYING ADVANCED COAL 
PROJECT. 
(a) IN GENERAL.—Section 48A is repealed. 
(b) CONFORMING
AMENDMENT.—Section 46 is 
amended by striking paragraph (3) and by redesignating 
paragraphs (4), (5), and (6) as paragraphs (3), (4), and 
(5), respectively. 
(c) CLERICAL AMENDMENT.—The table of sections 
for subpart E of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 48A. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 114. REPEAL OF QUALIFYING GASIFICATION PROJECT 
CREDIT. 
(a) IN GENERAL.—Section 48B is repealed. 
(b) CONFORMING
AMENDMENT.—Section 46, as 
amended by this Act, is amended by striking paragraph 
(3) and by redesignating paragraphs (4) and (5) as para-
graphs (3) and (4), respectively. 
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(c) CLERICAL AMENDMENT.—The table of sections 
for subpart E of part IV of subchapter A of chapter 1 
is amended by striking the item relating to section 48B. 
(d) EFFECTIVE DATE.—The amendments made by 
this section shall apply to property placed in service after 
December 31, 2012. 
SEC. 115. REPEAL OF AMERICAN RECOVERY AND REIN-
VESTMENT ACT OF 2009 ENERGY GRANT PRO-
GRAM. 
(a) IN GENERAL.—Section 1603 of division B of the 
American Recovery and Reinvestment Act of 2009 is re-
pealed. 
(b) EFFECTIVE DATE.—The amendment made by 
this section shall apply to property placed in service after 
December 31, 2011. 
TITLE II—REDUCTION OF 
CORPORATE INCOME TAX RATE 
SEC. 201. CORPORATE INCOME TAX RATE REDUCED. 
(a) IN GENERAL.—Not later than 1 year after the 
date of the enactment of this Act, the Secretary of the 
Treasury shall prescribe a rate of tax in lieu of the rates 
under paragraphs (1) and (2) of section 11(b), section 
1201(a), and paragraphs (1), (2), and (6) of section 
1445(e) to such a flat rate as the Secretary estimates 
would result in— 
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(1) a decrease in revenue to the Treasury for 
taxable years beginning during the 10-year period 
beginning on the date of the enactment of this Act, 
equal to 
(2) the increase in revenue for such taxable 
years by reason of the amendments made by title I 
of this Act. 
(b) EFFECTIVE DATE.—The rate prescribed by the 
Secretary under subsection (a) shall apply to taxable years 
beginning more than 1 year after the date of the enact-
ment of this Act. 
Æ 
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