To amend the Internal Revenue Code of 1986 to extend the credit period for the production of refined coal, and for other purposes.

Key Points

• This bill, introduced by Representative Miller of West Virginia, extends a federal tax credit for companies that produce refined coal. Refined coal is coal that has been processed to burn more cleanly by reducing pollutants like mercury and sulfur.
• Currently, these tax credits are only available for 10 years after a facility first opens. This bill would remove that 10-year limit, allowing any eligible facility to claim the credit for coal produced through the end of 2032.
• The policy primarily impacts coal processing plants and the power plants or steel manufacturers that use this fuel. By extending the credit, the government provides financial support to keep these facilities running for several more years.
• Supporters say these credits help reduce air pollution from coal power, while critics argue they provide a financial lifeline to an aging industry. The changes would apply to coal produced and sold after December 31, 2025.

Impact Analysis

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