America Wins Act
Bill: H.R.3311 | Sponsor: Rep. Larson, John B. (D-CT)
Policy area: Taxation

Summary:
America Wins Act
This bill imposes an excise tax on the carbon dioxide content of coal, petroleum and petroleum products, and natural gas sold by the manufacturer, producer, or importer and requires the revenues to be used for infrastructure, an energy refund program to provide payments to certain low-income households, and other purposes.
Refunds or credits for the tax must be issued for carbon substances that are (1) not emitted due to use as a feedstock or through carbon capture and sequestration, or (2) previously taxed carbon substances used to make another taxable carbon substance.
The bill includes border adjustment provisions that require certain fees, credits, or refunds for carbon-intensive goods that are exported or imported.
The bill also establishes a Build America Trust Fund and appropriates to the fund amounts equal to the increase in revenues attributable to the tax. Specified amounts of the funds must be used, without further appropriation, for infrastructure related to transportation, water, broadband, education, health care, housing, and energy.
Specified portions of the funds must also be used for

To rebuild the Nation's infrastructure, provide a consumer rebate to 
the American people, assist coal country, reduce harmful pollution, and 
                          for other purposes.

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

SECTION 1. SHORT TITLE; TABLE OF CONTENTS.

    (a) Short Title.--This Act may be cited as the ``America Wins 
Act''.
    (b) Table of Contents.--The table of contents for this Act is as 
follows:

Sec. 1. Short title; table of contents.
Sec. 2. Tax on carbon dioxide content of certain substances.
Sec. 3. Energy Refund Program.
Sec. 4. Consumer tax rebate.

SEC. 2. TAX ON CARBON DIOXIDE CONTENT OF CERTAIN SUBSTANCES.

    (a) In General.--Chapter 38 of the Internal Revenue Code of 1986 
(relating to environmental taxes) is amended by adding at the end 
thereof the following new subchapter:

  ``Subchapter E--Tax on Carbon Dioxide Content of Certain Substances

``Sec. 4691. Imposition of tax.
``Sec. 4692. Refunds or credits.
``Sec. 4693. Border adjustments.
``Sec. 4694. Definitions and special rules.

``SEC. 4691. IMPOSITION OF TAX.

    ``(a) In General.--There is hereby imposed a tax on any taxable 
carbon substance sold by the manufacturer, producer, or importer 
thereof.
    ``(b) Amount of Tax.--
            ``(1) In general.--The amount of tax imposed by subsection 
        (a) on any taxable carbon substance shall be the applicable 
        amount per ton of carbon dioxide content of such substance, as 
        determined by the Secretary in consultation with the Secretary 
        of Energy.
            ``(2) Fractional part of ton.--In the case of a fraction of 
        a ton, the tax imposed by subsection (a) shall be the same 
        fraction of the amount of such tax imposed on a whole ton.
            ``(3) Applicable amount.--
                    ``(A) In general.--For purposes of paragraph (1), 
                the term `applicable amount' means $59.
                    ``(B) Inflation adjustment.--In the case of any 
                taxable year beginning in a calendar year after 2022, 
                the dollar amount in subparagraph (A) shall be 
                increased by an amount equal to--
                            ``(i) such dollar amount, multiplied by
                            ``(ii) the cost-of-living adjustment 
                        determined under section 1(f)(3) for the 
                        calendar year in which the taxable year begins, 
                        determined--
                                    ``(I) by substituting `calendar 
                                year 2021' for `calendar year 2016' in 
                                subparagraph (A)(ii) thereof, and
                                    ``(II) by substituting for the C-
                                CPI-U referred to section 1(f)(3)(A)(i) 
                                the amount that such C-CPI-U would have 
                                been if the annual percentage increase 
                                in C-CPI-U with respect to each year 
                                after 2022 had been 6 percentage points 
                                greater.
    ``(c) Substance Taxed Only Once.--No tax shall be imposed by 
subsection (a) with respect to a taxable carbon substance if the person 
who would be liable for such tax establishes that a prior tax imposed 
by such section has been imposed with respect to such product.
    ``(d) Exemption for Exports.--
            ``(1) Tax-free sales.--
                    ``(A) In general.--No tax shall be imposed under 
                subsection (a) on the sale by the manufacturer or 
                producer of any taxable carbon substance for export or 
                for resale by the purchaser to a second purchaser for 
                export.
                    ``(B) Proof of export required.--Rules similar to 
                the rules of section 4221(b) shall apply for purposes 
                of subparagraph (A).
            ``(2) Credit or refund where tax paid.--
                    ``(A) In general.--Except as provided in 
                subparagraph (B), if--
                            ``(i) tax under subsection (a) was paid 
                        with respect to any taxable carbon substance, 
                        and
                            ``(ii)(I) such substance was exported by 
                        any person, or
                            ``(II) such substance was used as a 
                        material in the manufacture or production of a 
                        taxable carbon substance which was exported by 
                        any person and which, at the time of export, 
                        was a taxable carbon substance,
                credit or refund (without interest) of such tax shall 
                be allowed or made to the person who paid such tax.
                    ``(B) Condition to allowance.--No credit or refund 
                shall be allowed or made under subparagraph (A) unless 
                the person who paid the tax establishes that he--
                            ``(i) has repaid or agreed to repay the 
                        amount of the tax to the person who exported 
                        the taxable carbon substance, or
                            ``(ii) has obtained the written consent of 
                        such exporter to the allowance of the credit or 
                        the making of the refund.
                    ``(C) Refunds directly to exporter.--The Secretary 
                shall provide, in regulations, the circumstances under 
                which a credit or refund (without interest) of the tax 
                under subsection (a) shall be allowed or made to the 
                person who exported the taxable carbon substance, 
                where--
                            ``(i) the person who paid the tax waives 
                        his claim to the amount of such credit or 
                        refund, and
                            ``(ii) the person exporting the taxable 
                        carbon substance provides such information as 
                        the Secretary may require in such regulations.

``SEC. 4692. REFUNDS OR CREDITS.

    ``(a) Sequestered Carbon.--Under regulations prescribed by the 
Secretary, if--
            ``(1) a person uses a taxable carbon substance as a 
        feedstock so that the carbon associated with such substance 
        will not be emitted, or
            ``(2) a person captures and sequesters the carbon in a 
        taxable carbon substance,
then an amount equal to the amount of tax in effect under section 
4691(b) with respect to such substance for the calendar year in which 
such use begins shall be allowed as a credit or refund (without 
interest) to such person in the same manner as if it were an 
overpayment of tax imposed by section 4691.
    ``(b) Previously Taxed Carbon Substances Used To Make Another 
Taxable Carbon Substance.--Under regulations prescribed by the 
Secretary, if--
            ``(1) a tax under section 4691 was paid with respect to any 
        taxable carbon substance, and
            ``(2) such substance was used by any person in the 
        manufacture or production of any other substance which is a 
        taxable carbon substance,
then an amount equal to the tax so paid shall be allowed as a credit or 
refund (without interest) to such person in the same manner as if it 
were an overpayment of tax imposed by section 4691(a). In any case to 
which this paragraph applies, the amount of any such credit or refund 
shall not exceed the amount of tax imposed by section 4691(a) on the 
other taxable fuel manufactured or produced (or which would have been 
imposed by such subsection on such other fuel but for section 4691(c)).

``SEC. 4693. BORDER ADJUSTMENTS.

    ``(a) Imports.--The Secretary shall impose a carbon equivalency fee 
on imports of carbon-intensive goods that shall be equivalent to the 
cost that domestic producers of comparable carbon-intensive goods incur 
as a result of--
            ``(1) taxes paid by manufacturers, producers, and importers 
        of taxable carbon substances under this section, and
            ``(2) carbon equivalency fees paid by importers of carbon 
        intensive goods used in the production of the comparable carbon 
        intensive goods in question.
    ``(b) Exports.--Notwithstanding the limitations of section 4692, 
the Secretary shall allow as a credit or refund (without interest) to 
the exporter of a carbon-intensive good produced in the United States 
in the same manner as if it were an overpayment of tax imposed by 
section 4691 an amount equivalent to the cost that domestic producers 
of such carbon intensive goods incur as a result of--
            ``(1) taxes paid by manufacturers, producers, and importers 
        of taxable carbon substances under this section, and
            ``(2) carbon equivalency fees paid by importers of carbon 
        intensive goods used in the production of the comparable carbon 
        intensive goods in question.
    ``(c) Expiration.--This section shall cease to have effect at such 
time as and to the extent that--
            ``(1)(A) an international agreement requiring countries 
        that emit greenhouse gases and produce carbon intensive goods 
        for international markets to adopt equivalent measures comes 
        into effect, or
            ``(B) the country of export has implemented equivalent 
        measures, and
            ``(2) the actions provided for by subsections (a) and (b) 
        are no longer appropriate.

``SEC. 4694. DEFINITIONS AND SPECIAL RULES.

    ``(a) Definitions.--For purposes of this subchapter--
            ``(1) Taxable carbon substance.--The term `taxable carbon 
        substance' means--
                    ``(A) coal (including lignite and peat),
                    ``(B) petroleum and any petroleum product (as 
                defined in section 4612(a)(3)), and
                    ``(C) natural gas,
        which is extracted, manufactured, or produced in the United 
        States or entered into the United States for consumption, use, 
        or warehousing.
            ``(2) United states.--The term `United States' has the 
        meaning given such term by section 4612(a)(4).
            ``(3) Importer.--The term `importer' means the person 
        entering the taxable carbon substance for consumption, use, or 
        warehousing.
            ``(4) Ton.--The term `ton' means metric tons. In the case 
        of any taxable carbon substance which is a gas, the term `ton' 
        means the amount of such gas in cubic feet which is the 
        equivalent of a metric ton on a molecular weight basis.
            ``(5) Carbon-intensive good.--The term `carbon-intensive 
        good' means a good that (as identified by the Secretary by 
        rule)--
                    ``(A) is a primary product, or
                    ``(B) is a manufactured item in which one or more 
                primary products are inputs and the cost of production 
                of which in the United States is significantly 
                increased by this subchapter.
            ``(6) Primary product.--The term `primary product' means--
                    ``(A) iron, steel, steel mill products (including 
                pipe and tube), aluminum, cement, glass (including 
                flat, container, and specialty glass and fiberglass), 
                pulp, paper, chemicals, or industrial ceramics, and
                    ``(B) any other manufactured product that the 
                Secretary determines--
                            ``(i) is sold for purposes of further 
                        manufacture, and
                            ``(ii) generates, in the course of the 
                        manufacture of the product, direct and indirect 
                        carbon-dioxide emissions that are comparable 
                        (on an emissions-per-dollar of output basis) to 
                        emissions generated in the manufacture or 
                        production of primary products identified in 
                        subparagraph (A).
            ``(7) Equivalent measure.--The term `equivalent measure' 
        means a tax or other regulatory requirement that imposes a cost 
        on manufacturers of carbon intensive goods located outside the 
        United States approximately equal to the cost imposed by 
        section 4691 on manufacturers of comparable carbon intensive 
        goods located in the United States.
    ``(b) Use Treated as Sale.--If any person manufactures, produces, 
or imports any taxable carbon substance and uses such substance, then 
such person shall be liable for tax under section 4691 in the same 
manner as if such substance were sold by such person.
    ``(c) Special Rules for Inventory Exchanges.--
            ``(1) In general.--Except as provided in this paragraph, in 
        any case in which a manufacturer, producer, or importer of a 
        taxable carbon substance exchanges such substance as part of an 
        inventory exchange with another person--
                    ``(A) such exchange shall not be treated as a sale, 
                and
                    ``(B) such other person shall, for purposes of 
                section 4691, be treated as the manufacturer, producer, 
                or importer of such substance.
            ``(2) Registration requirement.--Paragraph (1) shall not 
        apply to any inventory exchange unless--
                    ``(A) both parties are registered with the 
                Secretary as manufacturers, producers, or importers of 
                taxable carbon substances, and
                    ``(B) the person receiving the taxable carbon 
                substance has, at such time as the Secretary may 
                prescribe, notified the manufacturer, producer, or 
                importer of such person's registration number and the 
                internal revenue district in which such person is 
                registered.
            ``(3) Inventory exchange.--For purposes of this subsection, 
        the term `inventory exchange' means any exchange in which 2 
        persons exchange property which is, in the hands of each 
        person, property described in section 1221(a)(1).
    ``(d) Regulations.--The Secretary shall prescribe such regulations 
as may be necessary to carry out the purposes of this subchapter.''.
    (b) Establishment of Build America Trust Fund.--Subchapter A of 
chapter 98 of such Code (relating to trust fund code) is amended by 
adding at the end the following:

``SEC. 9512. BUILD AMERICA TRUST FUND.

    ``(a) Creation of Trust Fund.--There is established in the Treasury 
of the United States a trust fund to be known as the `Build America 
Trust Fund' (referred to in this section as the `Trust Fund'), 
consisting of such amounts as may be appropriated or credited to the 
Trust Fund as provided in this section or section 9602(b).
    ``(b) Transfers to Trust Fund.--There is hereby appropriated to the 
Trust Fund an amount equivalent to the increase in revenues received in 
the Treasury as the result of the tax imposed under section 4691.
    ``(c) Distribution of Amounts in Trust Fund.--Amounts in the Trust 
Fund equivalent to the taxes received in the Treasury under section 
4691 for a calendar year shall be available without further 
appropriation, as follows:
            ``(1) First, the following amounts for each of fiscal years 
        2022 through 2031, to be allocated as follows:
                    ``(A) Highways and transit.--
                            ``(i) the sum of $61,000,000,000 plus the 
                        highway and transit shortfall amount, which 
                        shall be transferred to the Highway Trust Fund 
                        with 80 percent allocated to the Highway 
                        Account (as defined in section 9503(e)(5)(B)) 
                        and 20 percent allocated to the Mass Transit 
                        Account.
                            ``(ii) $6,400,000,000 shall be available to 
                        the Secretary of Transportation for providing 
                        assistance under the National Infrastructure 
                        Investment program, as described under the 
                        heading `Department of Transportation--Office 
                        of the Secretary--National Infrastructure 
                        Investments' in title I of division L of Public 
                        Law 114-113 (129 Stat. 2835).
                            ``(iii) $20,000,000,000 shall be available 
                        to the Secretary of Transportation to establish 
                        a Reuniting Neighborhoods Grant Program which 
                        shall provide grants to States and 
                        municipalities to identify and remove existing 
                        infrastructure that divide population centers.
                    ``(B) Aviation.--$4,000,000,000 shall be available 
                to be transferred to the Airport and Airway Trust Fund, 
                of which--
                            ``(i) $2,160,000,000 shall be available to 
                        the Secretary of Transportation for making 
                        grants for airport planning and airport 
                        development under section 47104 of title 49, 
                        United States Code, and
                            ``(ii) $1,840,000,000 shall be available to 
                        the Administrator of the Federal Aviation 
                        Administration for acquiring, establishing, and 
                        improving air navigation facilities under 
                        section 44502(a)(1)(A) of title 49, United 
                        States Code.
                    ``(C) Passenger rail.--
                            ``(i) $2,600,000,000 shall be available to 
                        the Secretary of Transportation for deposit in 
                        the Northeast Corridor account described in 
                        section 24317 of title 49, United States Code, 
                        for the uses described in subsection (d)(1) 
                        (B), (C), (E), and (F) of such section.
                            ``(ii) $2,000,000,000 shall be available to 
                        the Secretary of Transportation for making 
                        grants for rail infrastructure and safety 
                        improvements under section 24407 of title 49, 
                        United States Code.
                            ``(iii) $700,000,000 shall be available to 
                        the Secretary of Transportation for making 
                        grants for state of good repair under section 
                        24911 of title 49, United States Code.
                            ``(iv) $1,300,000,000 shall be available to 
                        the Secretary of Transportation for deposit in 
                        the National Network account described in 
                        section 24317 of title 49, United States Code, 
                        for the uses described in subsection (d)(2)(B).
                    ``(D) Harbors, waterways, flood protection, dams.--
                            ``(i) $4,000,000,000 shall be available to 
                        the Secretary of the Army for expenses 
                        necessary for the construction of river and 
                        harbor, flood and storm damage reduction, shore 
                        protection, aquatic ecosystem restoration, and 
                        related projects authorized by law or for 
                        conducting detailed studies, and plans and 
                        specifications, of such projects (including 
                        those involving participation by States, local 
                        governments, or private groups) authorized or 
                        made eligible for selection by law (but such 
                        detailed studies, and plans and specifications, 
                        shall not constitute a commitment of the 
                        Federal Government to construction) to remain 
                        available until expended.
                            ``(ii) $4,000,000,000 shall be available to 
                        the Secretary of the Army for expenses 
                        necessary for the operation, maintenance, and 
                        care of existing river and harbor, flood and 
                        storm damage reduction, aquatic ecosystem 
                        restoration, and related projects authorized by 
                        law; providing security for infrastructure 
                        owned or operated by the Corps, including 
                        administrative buildings and laboratories; 
                        maintaining harbor channels provided by a 
                        State, municipality, or other public agency 
                        that serve essential navigation needs of 
                        general commerce, where authorized by law; 
                        surveying and charting northern and 
                        northwestern lakes and connecting waters; 
                        clearing and straightening channels; and 
                        removing obstructions to navigation, to remain 
                        available until expended.
                    ``(E) Clean water.--
                            ``(i) $3,000,000,000 shall be available to 
                        the Administrator of the Environmental 
                        Protection Agency for making capitalization 
                        grants for the Clean Water State Revolving 
                        Funds under title VI of the Federal Water 
                        Pollution Control Act (33 U.S.C. 1381 et seq.).
                            ``(ii) $3,000,000,000 shall be available to 
                        the Administrator of the Environmental 
                        Protection Agency for making capitalization 
                        grants for the Drinking Water State Revolving 
                        Funds under section 1452 of the Safe Drinking 
                        Water Act (42 U.S.C. 300j-12).
                            ``(iii) $1,000,000,000 shall be available 
                        to the Secretary of the Army and the 
                        Administrator of the Environmental Protection 
                        Agency for providing assistance under section 
                        5023 of the Water Infrastructure Finance and 
                        Innovation Act of 2014 (33 U.S.C. 3902).
                    ``(F) USDA water and waste disposal programs.--
                            ``(i) $150,000,000 shall be available to 
                        the Secretary of Agriculture for direct loans 
                        for water or waste disposal facilities under 
                        section 306(a)(1) of the Consolidated Farm and 
                        Rural Development Act.
                            ``(ii) $700,000 shall be available to the 
                        Secretary of Agriculture for guaranteed loans 
                        for water or waste disposal facilities under 
                        section 306(a)(24) of the Consolidated Farm and 
                        Rural Development Act.
                            ``(iii) $1,200,000,000 shall be available 
                        to the Secretary of Agriculture to carry out 
                        section 306(a)(2) of the Consolidated Farm and 
                        Rural Development Act.
                    ``(G) Broadband deployment.--$4,000,000,000 shall 
                be available to the Assistant Secretary of Commerce for 
                Communications and Information to carry out a program 
                to expand access to broadband to communities throughout 
                the United States, with an emphasis on communities 
                unserved by broadband.
                    ``(H) Education infrastructure development.--
                $3,000,000,000 shall be available to the Assistant 
                Secretary for Elementary and Secondary Education to 
                carry out a program to support elementary and secondary 
                educational infrastructure throughout the United States 
                with an emphasis on communities in most need and 
                communities impacted by climate change.
                    ``(I) Healthcare.--
                            ``(i) Research.--$750,000,000 shall be 
                        available to the National Institutes of Health 
                        for research related to the health consequences 
                        of climate change.
                            ``(ii) Infrastructure.--$750,000,000 shall 
                        be available to the Secretary of Health and 
                        Human Services to carry out activities to 
                        support the resiliency of the nation's 
                        healthcare infrastructure against the impacts 
                        of climate change.
                    ``(J) Housing.--$2,000,000,000 shall be available 
                to the Public Housing Capital Fund.
                    ``(K) Department of energy research and 
                development.--
                            ``(i) $1,700,000,000 shall be available for 
                        the EERE Renewable Power and Sustainable 
                        Transportation Offices.
                            ``(ii) $1,500,000,000 shall be available 
                        for EERE Energy Efficiency.
                            ``(iii) $700,000,000 shall be available to 
                        Fossil Energy Research and Development Coal CCS 
                        and Power Systems only for activities that 
                        decrease the amount of carbon pollutants 
                        released into the atmosphere.
                            ``(iv) $500,000,000 for the ARPA-E office.
                    ``(L) Agriculture research.--$1,500,000,000 shall 
                be available to the Department of Agriculture for 
                climate change research and mitigation, and related 
                activities.
            ``(2) Second, $7,000,000,000 for each fiscal year 2022 
        through 2031 shall be available for assistance to workers and 
        communities reliant on industries that primarily produce 
        taxable carbon substances or carbon-intensive goods, 
        individuals and communities disproportionally impacted by 
        climate change and greenhouse gas pollutants as well as groups 
        underrepresented in the energy sector, including religious and 
        ethnic minorities, women, veterans, individuals with 
        disabilities and socioeconomically disadvantaged individuals, 
        as determined by the Secretary in consultation with the 
        Secretary of Labor, including for--
                    ``(A) workforce development (with a special focus 
                on energy-related industries, including manufacturing, 
                engineering, construction, and retrofitting jobs in 
                energy-related industries), pension benefits, and 
                health benefits,
                    ``(B) abandoned mine reclamation, and
                    ``(C) other assistance the Secretary determines 
                appropriate.
            ``(3) Third, for calendar year 2022 and each calendar year 
        thereafter, 12.5 percent of the amount in the Trust Fund 
        equivalent to the taxes received in the Treasury under section 
        4691 shall be available for the Energy Refund Program.
            ``(4) Fourth, the amount remaining after the application of 
        paragraphs (1), (2), and (3) shall be available for paying the 
        consumer tax rebate.
    ``(d) Definitions.--For purposes of this section--
            ``(1) The term `highway and transit shortfall amount' means 
        the amount determined by the Secretary to be equal to the 
        excess of--
                    ``(A) the sum of the obligations of the United 
                States specified in section 9503(c)(1) plus the amounts 
                to be expended under section 9503(e)(3), over
                    ``(B) the amounts available in the Highway Trust 
                Fund to meet those obligations and expenditures 
                (determined without regard to this paragraph or section 
                9503(f)(5)).
            ``(2) The terms `taxable carbon substance' and `carbon-
        intensive goods' have the meanings given such terms by section 
        4694.
    ``(e) Qualifications-Based Selection for Architectural and 
Engineering Contracts.--
            ``(1) In general.--Subject to paragraph (2), as a condition 
        on the receipt of funds pursuant to this section of an amount 
        greater than $1,000,000, a non-Federal sponsor that receives 
        the funds shall require that each contract and subcontract for 
        program management, construction management, planning studies, 
        feasibility studies, architectural services, preliminary 
        engineering, design, engineering, surveying, mapping, and 
        related services entered into using any of such funds be 
        awarded in the same manner as a contract for architectural and 
        engineering services is awarded under--
                    ``(A) chapter 11 of title 40, United States Code, 
                or
                    ``(B) an equivalent qualifications-based 
                requirement prescribed by the relevant State.
            ``(2) No proprietary interest.--A contract awarded in 
        accordance with paragraph (1) shall not be considered to confer 
        a proprietary interest upon the United States.
    ``(f) Considerations in Use of Funds.--Funds made available under 
this section shall be used after giving due consideration to the 
health, climate, land usage (including use of eminent domain and land 
which is significant to native communities), and economic impacts of 
such use and to any disproportionately harmful impacts on former carbon 
intensive communities, indigenous peoples, communities of color, 
migrant communities, deindustrialized communities, depopulated rural 
communities, the poor, low-income workers, women, the elderly, the 
unhoused, people with disabilities, and youth.
    ``(g) Administrative Provisions.--Amounts distributed from the 
Trust Fund for a program or activity under subsection (c) shall--
            ``(1) be in addition to other amounts appropriated for the 
        program or activity, and
            ``(2) remain available until expended.''.
    (c) Clerical Amendments.--
            (1) The table of subchapters for chapter 38 of such Code is 
        amended by adding at the end thereof the following new item:

 ``subchapter e. tax on carbon dioxide content of certain substances''.

            (2) The table of sections for subchapter A of chapter 98 of 
        such Code is amended by adding at the end the following:

``Sec. 9512. Build America Trust Fund.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2021.

SEC. 3. ENERGY REFUND PROGRAM.

    (a) In General.--The Secretary of the Treasury, in consultation 
with the Secretary of Health and Human Services, the Commissioner of 
Social Security, and the Secretary of Agriculture, shall formulate and 
administer the program provided for in this section, which shall be 
known as the ``Energy Refund Program'', and under which eligible 
households are provided an energy refund.
    (b) Eligibility of Households To Receive Energy Refund.--Each 
eligible household shall be entitled to receive monthly cash payments 
under this section in an amount equal to the monthly energy refund 
amount determined under subsection (d).
    (c) Eligibility.--
            (1) Eligible households.--A household shall be considered 
        to be an eligible household for purposes of this section if--
                    (A) the aggregate gross income of all taxpayers in 
                the household does not exceed 150 percent of the 
                poverty line;
                    (B) the State agency for the State in which the 
                household is located determines that the household is 
                participating in--
                            (i) the supplemental nutrition assistance 
                        program;
                            (ii) the Food Distribution Program on 
                        Indian Reservations authorized by section 4(b) 
                        of the Food and Nutrition Act of 2008 (7 U.S.C. 
                        2013(b)); or
                            (iii) the program for nutrition assistance 
                        in Puerto Rico or American Samoa under section 
                        19 of such Act (7 U.S.C. 2028);
                    (C) the household consists of a single individual 
                or a married couple, and--
                            (i) receives the subsidy described in 
                        section 1860D-14 of the Social Security Act (42 
                        U.S.C. 1395w-114); or
                            (ii)(I) participates in the program under 
                        title XVIII of the Social Security Act; and
                            (II) meets the income requirements 
                        described in section 1860D-14(a)(1) or (a)(2) 
                        of the Social Security Act (42 U.S.C. 1395w-
                        114(a)(1) or (a)(2)); or
                    (D) the household consists of a single individual 
                or a married couple, and receives benefits under the 
                Supplemental Security Income Program under title XVI of 
                the Social Security Act (42 U.S.C. 1381-1383f).
            (2) Ineligible individuals.--The Secretary of the Treasury 
        may only provide energy refunds in accordance with this section 
        to United States citizens, United States nationals, and 
        individuals lawfully residing in the United States. The 
        Secretary shall establish procedures to ensure that other 
        individuals do not receive such refunds and are not taken into 
        account in determining the amount of such refunds.
            (3) National standards.--The Secretary of the Treasury, in 
        consultation with the Secretary of Agriculture, shall establish 
        uniform national standards of eligibility ensuring that States 
        may co-administer the Energy Refund Program with the 
        supplemental nutrition assistance program in accordance with 
        the provisions of this section. No State agency shall impose 
        any other standard or requirement as a condition of eligibility 
        or refund receipt under the program. Assistance in the Energy 
        Refund Program shall be furnished promptly to all eligible 
        households who make application for such participation or are 
        already enrolled in any program referred to in paragraph (1).
    (d) Monthly Energy Refund Amount.--
            (1) Estimated annual refund.--Not later than August 31 of 
        each relevant fiscal year, the Secretary of the Treasury, in 
        consultation with the Energy Information Administration, shall 
        estimate, pursuant to a method that is appropriate for such 
        purposes, the annual total loss in purchasing power that will 
        result from the America Wins Act in the next fiscal year for 
        households of each size with gross income equal to 150 percent 
        of the poverty line, based on the tax imposed under section 
        4691 of the Internal Revenue Code of 1986, excluding the amount 
        of the increase in households' energy consumption that is 
        financed by higher cost of living adjustments to Federal 
        benefits that result from increased carbon costs by reason of 
        such tax.
            (2) Monthly energy refund.--Subject to paragraph (3) and 
        subsection (c)(2), the amount of the monthly energy refund for 
        an eligible household under this section shall be--
                    (A) if the household has 1, 2, 3, or 4 members, \1/
                12\ of the amount estimated under paragraph (1) for 
                such fiscal year for a household of the same size, 
                rounded to the nearest whole dollar amount; or
                    (B) if the household has 5 or more members, \1/12\ 
                of the arithmetic mean value of the amounts estimated 
                under paragraph (1) for such fiscal year for households 
                with 5 or more members, rounded to the nearest whole 
                dollar amount.
            (3) Ensuring deficit neutrality.--For any fiscal year after 
        calendar year 2021 in which the amounts that are available 
        under section 9512(c) of the Internal Revenue Code of 1986 are 
        not sufficient for purposes of funding the monthly energy 
        refund described in paragraph (2), the Secretary of the 
        Treasury shall direct State agencies to reduce, on a pro rata 
        basis, the amount of such refunds that are provided to eligible 
        households.
    (e) Delivery Mechanism.--
            (1) Monthly installments.--Subject to standards and an 
        implementation schedule set by the Secretary of the Treasury, 
        the energy refund shall be provided in monthly installments 
        via--
                    (A) direct deposit into the eligible household's 
                designated bank account;
                    (B) the State's electronic benefit transfer system; 
                or
                    (C) another Federal or State mechanism, if such a 
                mechanism is approved by the Secretary of the Treasury.
            (2) Standards.--The standards described under paragraph (1) 
        shall--
                    (A) protect the privacy of energy refund applicants 
                and recipients;
                    (B) provide energy refund recipients with choices, 
                as appropriate, for delivery and receipt of refunds;
                    (C) ensure ease of use and access to refunds, 
                including a prohibition on any fees charged for 
                withdrawals or other related services;
                    (D) protect, in a cost-effective manner, against 
                improper access to energy refunds;
                    (E) ensure interoperability of the Energy Refund 
                Program between States and permit monitoring and 
                investigations by authorized law enforcement agencies; 
                and
                    (F) include such standards, as determined 
                appropriate by the Secretary of the Treasury, to 
                protect applicant and recipient households from fraud 
                and abuse and promote effective and efficient 
                administration of Energy Refund Program.
    (f) Administration.--
            (1) In general.--The State agency of each participating 
        State shall assume responsibility for the certification of 
        applicant households and for the issuance of refunds and the 
        control and accountability thereof.
            (2) Administrative costs.--Subject to such standards as 
        determined appropriate by the Secretary of the Treasury, the 
        Secretary shall reimburse each State agency for 100 percent of 
        administrative costs.
            (3) Procedures.--Under standards established by the 
        Secretary of the Treasury, the State agency shall establish 
        procedures governing the administration of the Energy Refund 
        Program that the State agency determines best serve households 
        in the State, including households with special needs, such as 
        households with elderly or disabled members, households in 
        rural areas, homeless individuals, and households residing on 
        reservations (as defined in section 4 of the Indian Child 
        Welfare Act of 1978 (25 U.S.C. 1903) and section 3 of the 
        Indian Financing Act of 1974 (25 U.S.C. 1452)). In carrying out 
        this paragraph, a State agency shall--
                    (A) provide timely, accurate, and fair service to 
                applicants for, and participants in, the Energy Refund 
                Program;
                    (B) permit an applicant household to apply to 
                participate in the program at the time that the 
                household first contacts the State agency and consider 
                an application that contains the name, address, and 
                signature of the applicant to be sufficient to 
                constitute an application for participation;
                    (C) screen any applicant household for the 
                supplemental nutrition assistance program, the State's 
                medical assistance program under section XIX of the 
                Social Security Act, the Children's Health Insurance 
                Program under section XXI of such Act, and a State 
                program that provides basic assistance under a State 
                program funded under title IV of such Act or with 
                qualified State expenditures as defined in section 
                409(a)(7) of such Act for eligibility for the Energy 
                Refund Program and, if eligible, enroll such applicant 
                household in the Energy Refund Program;
                    (D) complete certification of and provide a refund 
                to any eligible household not later than 30 days 
                following its filing of an application;
                    (E) use appropriate bilingual personnel and 
                materials in the administration of the program in those 
                portions of the State in which a substantial number of 
                members of low income households speak a language other 
                than English; and
                    (F) utilize State agency personnel who are employed 
                in accordance with the current standards for a merit 
                system of personnel administration or any standards 
                later prescribed by the Office of Personnel Management 
                pursuant to section 208 of the Intergovernmental 
                Personnel Act of 1970 (42 U.S.C. 4728) modifying or 
                superseding such standards relating to the 
                establishment and maintenance of personnel standards on 
                a merit basis to make all tentative and final 
                determinations of eligibility and ineligibility.
            (4) Streamlined eligibility for certain beneficiaries of 
        federal programs.--
                    (A) In general.--The Secretary of the Treasury, the 
                Commissioner of Social Security, the Railroad 
                Retirement Board, or the Secretary of Veterans Affairs, 
                as appropriate, shall develop procedures to directly 
                provide energy refunds to individuals that are 
                beneficiaries under the benefit programs administered 
                by such entities and are eligible to receive such 
                refunds under the Energy Refund Program, if the 
                Secretary of the Treasury determines, in consultation 
                with the Commissioner of Social Security, the Railroad 
                Retirement Board, and the Secretary of Veterans 
                Affairs, that--
                            (i) one or more of such entities are able 
                        to determine the gross income of such 
                        beneficiaries for purposes of determining 
                        eligibility for the energy refund;
                            (ii) such entities are able to coordinate 
                        to ensure that such beneficiaries do not 
                        receive multiple energy refunds; and
                            (iii) Federal provision of energy refunds 
                        would be more efficient and result in receipt 
                        of energy refunds by a greater number of 
                        eligible beneficiaries than delivery of such 
                        refunds by the States.
                    (B) Receipt of refunds.--Any low-income beneficiary 
                who receives an energy refund pursuant to the 
                procedures developed under this paragraph shall not be 
                eligible for an energy refund otherwise provided by a 
                State agency under this section.
            (5) Regulations.--
                    (A) In general.--Except as provided in subparagraph 
                (B), the Secretary of the Treasury shall issue such 
                regulations consistent with this section as the 
                Secretary deems necessary or appropriate for the 
                effective and efficient administration of the Energy 
                Refund Program, and shall promulgate all such 
                regulations in accordance with the procedures set forth 
                in section 553 of title 5, United States Code.
                    (B) Certain procedures.--Without regard to section 
                553 of title 5 of such Code, the Secretary of the 
                Treasury may by rule promulgate as final, to be 
                effective until not later than 2 years after the date 
                of the enactment of the America Wins Act, any 
                procedures that are substantially the same as the 
                procedures governing the supplemental nutrition 
                assistance program in section 273.2, 273.12, or 273.15 
                of title 7, Code of Federal Regulations.
                    (C) Notwithstanding paragraphs (2) and (3) of 
                subsection (i), the Secretary of the Treasury shall 
                promulgate regulations requiring streamlined 
                eligibility determinations for some or all households 
                which include individuals receiving medical assistance 
                under a State plan approved under title XIX or XXI of 
                the Social Security Act or individuals receiving 
                premium credits for the purchase of qualified health 
                insurance coverage pursuant to section 36B of the 
                Internal Revenue Code of 1986. The regulations shall 
                institute procedures whereby the gross income and 
                family size information used for determining 
                eligibility under such provisions serve as the basis 
                for determining eligibility for the Energy Refund 
                Program.
                    (D) Exception for quarterly provision of 
                benefits.--Notwithstanding any other provision of this 
                section, the Secretary of the Treasury may authorize 
                States to provide benefits under this section on a 
                quarterly basis if the Secretary determines that the 
                amount of the benefits that would be provided on a 
                monthly basis to households is insufficient to be 
                efficiently paid on a monthly basis in light of the 
                administrative expenses of the Energy Refund Program.
    (g) Treatment.--The value of the refund provided under this section 
shall not be considered income or resources for any purpose under any 
Federal, State, or local laws, including, but not limited to, laws 
relating to an income tax, or public assistance programs (including, 
but not limited to, health care, cash aid, child care, nutrition 
programs, and housing assistance) and no participating State or 
political subdivision thereof shall decrease any assistance otherwise 
provided an individual or individuals because of the receipt of a 
refund under this section.
    (h) Program Integrity.--For purposes of ensuring program integrity 
and complying with the requirements of the Improper Payment Information 
Act of 2002, the Secretary of the Treasury shall, to the maximum extent 
possible, rely on and coordinate with the quality control sample and 
review procedures of paragraphs (2), (3), (4), and (5) of section 16(c) 
of the Food and Nutrition Act of 2008 (7 U.S.C. 2025(c)).
    (i) Definitions and Special Rules.--
            (1) Electronic benefit transfer system.--The term 
        ``electronic benefit transfer system'' means a system by which 
        household benefits or refunds defined under subsection (e) are 
        issued from and stored in a central databank via electronic 
        benefit transfer cards.
            (2) Gross income.--The term ``gross income'' means the 
        gross income of a household that is determined in accordance 
        with standards and procedures established under section 5 of 
        the Food and Nutrition Act of 2008 (7 U.S.C. 2014) and its 
        implementing regulations.
            (3) Household.--
                    (A) Rules for equitable administration of refund in 
                certain cases.--The Secretary of the Treasury shall 
                establish rules for providing the energy refund in an 
                equitable and administratively simple manner to 
                households where the group of individuals who live 
                together includes members not all of whom are described 
                in a single subparagraph of subsection (c)(1), or 
                includes additional members not described in any such 
                subparagraph.
                    (B) Certain groups.--The Secretary of the Treasury 
                shall establish rules regarding the eligibility and 
                delivery of the energy refund to groups of individuals 
                described in section 3(m) (4) or (5) of the Food and 
                Nutrition Act of 2008 (7 U.S.C. 2012(n) (4) or (5)).
            (4) Poverty line.--The term ``poverty line'' has the 
        meaning given the term in section 673(2) of the Community 
        Services Block Grant Act (42 U.S.C. 9902(2)), including any 
        revision required by that section.
            (5) State.--The term ``State'' means the 50 States, the 
        District of Columbia, the Commonwealth of Puerto Rico, American 
        Samoa, the United States Virgin Islands, Guam, and the 
        Commonwealth of the Northern Mariana Islands.
            (6) State agency.--The term ``State agency'' means an 
        agency of State government, including the local offices 
        thereof, that has responsibility for administration of the one 
        or more federally aided public assistance programs within the 
        State, and in those States where such assistance programs are 
        operated on a decentralized basis, the term shall include the 
        counterpart local agencies administering such programs.
            (7) Supplemental nutrition assistance program.--The term 
        ``supplemental nutrition assistance program'' means the 
        supplemental nutrition assistance program as defined in section 
        3 of the Food and Nutrition Act of 2008 (7 U.S.C. 2012).
            (8) Other terms.--Other terms not defined in this section 
        shall have the same meaning as such terms have in the 
        Supplemental Nutrition Assistance Program unless the Secretary 
        of the Treasury finds for good cause that application of a 
        particular definition would be detrimental to the purposes of 
        the Energy Refund Program.

SEC. 4. CONSUMER TAX REBATE.

    (a) In General.--Subpart C of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by inserting after 
section 36B the following new section:

``SEC. 36C. WORKING FAMILIES RELIEF.

    ``(a) Allowance of Credit.--In the case of an eligible taxpayer, 
there shall be allowed as a credit against the tax imposed by this 
subtitle for the taxable year an amount equal to the working families 
relief amount.
    ``(b) Limitation Based on Household Income.--
            ``(1) In general.--The amount allowable as a credit under 
        subsection (a) (determined without regard to this subsection) 
        for the taxable year shall be reduced (but not below zero) by 
        0.05 percent for every $10 by which the taxpayer's household 
        income for the taxable year exceeds the credit cap amount for 
        the calendar year in which such taxable year begins.
            ``(2) Credit cap amount.--The credit cap mount for any 
        calendar year is the amount which is equal to 350 percent of 
        the poverty line (within the meaning of section 2110(c)(5) of 
        the Social Security Act) for the size of the family involved 
        for such calendar year.
            ``(3) Rounding.--Solely for purposes of paragraph (1), if 
        the eligible taxpayer's adjusted gross income or the credit cap 
        amount is not a multiple of $10, such amount shall be rounded 
        to the next highest multiple of $10.
    ``(c) Coordination With Energy Refund Received Through State Human 
Service Agencies.--
            ``(1) In general.--In any taxable year in which a taxpayer 
        or the taxpayer's spouse receives an energy refund under 
        section 3 of the America Wins Act, the amount described in 
        subsection (a) shall be reduced by the energy refund amount 
        received in that taxable year.
            ``(2) Information.--The Secretary shall promulgate 
        regulations that instruct States on how to inform adult 
        individuals who receive an energy refund under section 3 of the 
        America Wins Act the refund amount the individuals received and 
        how such information shall be provided to the Internal Revenue 
        Service.
            ``(3) System to handle inquiries.--The Secretary shall 
        establish a telephone and online system that allows an 
        individual to inquire about the refund amount the individual 
        received.
            ``(4) Adjustment of energy refund amount.--In the case of 
        an individual who does not report the refund amount that was 
        provided under section 3 of the America Wins Act or recorded an 
        incorrect number of refund amount, the Secretary shall adjust 
        the energy refund under such section based on the information 
        received from States. Such reduction shall only be made if the 
        Secretary has made a determination that the information meets a 
        sufficient standard for accuracy.
    ``(d) Working Families Relief Amount.--For purposes of this 
section--
            ``(1) In general.--The working families relief amount with 
        respect to any eligible taxpayer for any taxable year is an 
        amount equal to--
                    ``(A) the relief amount for the calendar year in 
                which such taxable year begins, multiplied by
                    ``(B) the scale factor applicable to the eligible 
                taxpayer's family size.
            ``(2) Relief amount.--
                    ``(A) In general.--The relief amount with respect 
                to any calendar year is the amount which will provide 
                that the aggregate credits allowed under this section 
                with respect to all eligible taxpayers for taxable 
                years beginning in such calendar year equal the amount 
                which is provided in section 9512(c)(4) for such 
                calendar year.
                    ``(B) Secretarial determination.--The relief amount 
                for each calendar year shall be determined by the 
                Secretary based on the expected revenues from section 
                9512(c)(4) for each such calendar year.
                    ``(C) Adjustment of relief amounts.--If, after the 
                close of any calendar year, the Secretary determines 
                that the amount of the aggregate credits allowed under 
                this section with respect to all eligible taxpayers for 
                taxable years beginning in such calendar year differed 
                significantly from the amount equal to the funding 
                provided by section 9512(c)(4) for such calendar year, 
                the Secretary may adjust the relief amount for the 
                immediately succeeding calendar year either up or down 
                in order to account for such difference.
            ``(3) Scale factor.--The scale factor with respect to any 
        eligible taxpayer for any taxable year shall be determined in 
        accordance with the following table:

``If the taxpayer's family size                               The scale
  for the taxable year is:                                  factor is: 
        1......................................................   1.00 
        2......................................................   1.35 
        3......................................................   1.69 
        4......................................................   2.04 
        5 or more..............................................   2.38.

    ``(e) Eligible Taxpayer.--For purposes of this section--
            ``(1) In general.--The term `eligible taxpayer' means any 
        individual other than--
                    ``(A) any individual with respect to whom a 
                deduction under section 151 is allowable to another 
                taxpayer for a taxable year beginning in the calendar 
                year in which the individual's taxable year begins,
                    ``(B) any nonresident alien individual, or
                    ``(C) an estate or trust.
            ``(2) Identification number requirement.--Such term shall 
        not include any individual who--
                    ``(A) in the case of a return that is not a joint 
                return, does not include the social security number of 
                the individual, and
                    ``(B) in the case of joint return, does not include 
                the social security number of at least one of the 
                taxpayers on such return.
        For purposes of the preceding sentence, the social security 
        number shall not include a TIN issued by the Internal Revenue 
        Service.
    ``(f) Household Income.--The term `household income' means, with 
respect to any eligible taxpayer, an amount equal to the sum of--
            ``(1) the adjusted gross income of the taxpayer, plus
            ``(2) the aggregate adjusted gross incomes of all other 
        individuals who are taken into account in determining the 
        taxpayer's family size under subsection (g) and who were 
        required to file a return of the tax imposed by section 1 for 
        the taxable year.
    ``(g) Family Size.--
            ``(1) In general.--The family size with respect to any 
        taxpayer shall be equal to the number of individuals for whom 
        the taxpayer is allowed a deduction under section 151 for the 
        taxable year.
            ``(2) Identification number requirement.--The family size 
        determined under paragraph (1) shall not include any individual 
        (including the taxpayer) whose social security account number 
        is not included on the return of tax for the taxable year.
    ``(h) Treatment.--The value of the credit provided under this 
section shall not be considered income or resources for any purpose 
under any Federal, State, or local law (including a law relating to an 
income tax or public assistance program (including health care, cash 
aid, child care, nutrition programs, and housing assistance)) and no 
participating State or political subdivision of a State shall decrease 
any assistance otherwise provided one or more individuals because of 
the receipt of a credit under this section.''.
    (b) Conforming Amendments.--
            (1) Section 6211 of the Internal Revenue Code of 1986 is 
        amended by inserting ``36C,'' before ``53(e)''.
            (2) Paragraph (2) of section 1324(b) of title 31, United 
        States Code, is amended by inserting ``36C,'' after ``36B,''.
    (c) Clerical Amendment.--The table of sections for subpart C of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by inserting after the item relating to section 36B the 
following new item:

``Sec. 36C. Working families relief.''.
    (d) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after December 31, 2021.
                                 <all>