Title: End Subsidies for Fossil Fuel Advertising Act
Policy area: Taxation

Summary:
End Subsidies for Fossil Fuel Advertising Act
This bill denies a tax deduction for the marketing, travel, promotion, and other related expenses incurred by any person involved in the manufacturing, production, extraction, refining, transportation, distribution, or marketing of any fossil fuel.

[Congressional Bills 117th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8737 Introduced in House (IH)]

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117th CONGRESS
  2d Session
                                H. R. 8737

   To amend the Internal Revenue Code of 1986 to deny deductions for 
 marketing related to the extraction, distribution, or consumption of 
                             fossil fuels.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                            August 19, 2022

  Ms. Porter (for herself and Mr. Grijalva) 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 deny deductions for 
 marketing related to the extraction, distribution, or consumption of 
                             fossil fuels.

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

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``End Subsidies for Fossil Fuel 
Advertising Act''.

SEC. 2. DENIAL OF DEDUCTION FOR MARKETING RELATED TO EXTRACTION, 
              DISTRIBUTION, OR CONSUMPTION OF FOSSIL FUELS.

    (a) In General.--Part IX of subchapter B of chapter 1 of the 
Internal Revenue Code of 1986 is amended by adding at the end the 
following new section:

``SEC. 280I. MARKETING RELATED TO EXTRACTION, DISTRIBUTION, OR 
              CONSUMPTION OF FOSSIL FUELS.

    ``(a) In General.--In the case of any covered person, no deduction 
shall be allowed under this chapter with respect to any amount paid or 
incurred for any of the following if such amount is so paid or incurred 
for purposes of promoting extraction, exploration, or consumption of 
fossil fuels or for the purposes of promoting the covered person or a 
trade or business of the covered person (or any activity described in 
subsection (b) with respect to any fossil fuel):
            ``(1) Marketing expenses.
            ``(2) Travel expenses (including meals and lodging).
            ``(3) Goods or services of a type generally considered to 
        constitute entertainment, amusement, or recreation, or the use 
        of a facility in connection with providing such goods and 
        services.
            ``(4) Gifts.
            ``(5) Other promotion expenses.
            ``(6) Any other development, production or placement 
        (including any form of transmission, broadcast, publication, 
        display, or distribution) of any communication to the general 
        public (or portions thereof) which is intended to promote the 
        covered person or a trade or business of the covered person (or 
        any service, facility, or product provided pursuant to such 
        trade or business).
    ``(b) Covered Person.--For purposes of this section, the term 
`covered person' means--
            ``(1) any person involved in the manufacturing, production, 
        extraction, refining, transportation, distribution, or 
        marketing of any fossil fuel, including any person involved 
        in--
                    ``(A) providing support activities for the 
                production or extraction of fossil fuels, or
                    ``(B) the sale (whether wholesale or retail) of 
                fossil fuels, and
            ``(2) any person involved in electric power generation, 
        transmission, or distribution (with respect to electricity 
        generated from any fossil fuel).
    ``(c) Marketing.--For purposes of this section, the term 
`marketing' means any advertising or marketing technique, including--
            ``(1) any sponsorship, endorsement, or product placement,
            ``(2) any promotional items or loyalty programs,
            ``(3) any licensing, cobranding, or cross-promotions,
            ``(4) in-school advertising including corporate-branded 
        materials, corporate incentive programs, fundraisers, signs, 
        scoreboards, posters, in-school TV and radio, corporate 
        sponsorships, curriculum development, sponsored educational 
        materials, and market research activities, and
            ``(5) sponsorship of events, competitions, conferences, and 
        contests.
    ``(d) Fossil Fuel.--For purposes of this section, the term `fossil 
fuel' means coal, petroleum, natural gas, natural gas liquids, or any 
derivative or byproduct of coal, petroleum, natural gas, or natural gas 
liquids that can be used for energy or energy applications.
    ``(e) Derivative.--For purposes of this section, the term 
`derivative' means gasoline, diesel fuel, jet fuel, home heating oil, 
natural gas, blue hydrogen, or any other product derived from the 
refining or production of fossil fuels for the purposes of energy 
production or support for energy production or energy generation.
    ``(f) Regulations.--Not later than 1 year after the date of the 
enactment of this section, the Secretary, after consultation with the 
Chair of the Federal Trade Commission, the Administrator of the 
Environmental Protection Agency, the Secretary of Energy, and the 
Secretary of the Interior, shall issue such regulations or other 
guidance as may be necessary or appropriate to carry out the purposes 
of this section.''.
    (b) Clerical Amendment.--The table of sections for part IX of 
subchapter B of chapter 1 of the Internal Revenue Code of 1986 is 
amended by adding at the end the following new item:

``Sec. 280I. Marketing related to extraction, distribution, or 
                            consumption of fossil fuels.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to taxable years beginning after the date of the enactment of 
this Act.
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