Broadband Grant Tax Treatment Act
Congress Moves to Make Certain Broadband Buildout Grants Tax-Free, With Limits on Other Tax Breaks
Stalled
No legislative action in over 90 days.
Legislative Progress
Key Points
- This bill would stop certain broadband buildout grants from being treated as taxable income.
- It covers several major federal broadband and digital equity grant programs, plus some state and local grants that use certain federal funds.
- Grant recipients would not be able to “double dip”: if the grant money is not taxed, they generally can’t also claim tax breaks for the same spending, and some property values for tax purposes must be adjusted.
- The tax change would apply to grant amounts received in tax years ending after March 11, 2021, which could affect past tax filings for some recipients.
- If enacted, it could make it easier for providers and communities to use grant dollars for internet buildout instead of setting money aside for taxes.
Impact Analysis
Personal Impact
How this policy affects specific groups of people
Milestones
Read twice and referred to the Committee on Finance.
Sent to a congressional committee for expert review. The committee decides whether this bill moves forward.
Introduced in Senate
The bill was officially filed and given a number. It now enters the legislative queue.
Votes
No votes have been recorded for this legislation yet.
Related News
8 articles
Sen. Moran Wants to Shield BEAD Grants from Taxation
Coverage of Sen. Jerry Moran’s push for the Broadband Grant Tax Treatment Act to exempt BEAD/other broadband grants from federal taxation, including discussion of impacts on rural/underserved builds and state efforts.
Senate Bill Would Shield BEAD Grants from Federal Taxation
Explains the newly introduced bipartisan Broadband Grant Tax Treatment Act and how it would treat BEAD and American Rescue Plan broadband deployment grants as non-taxable income.
Analyst: BEAD Federal Tax Exemption Bill Would Not Apply to States
Reports an analyst’s view of the Broadband Grant Tax Treatment Act, emphasizing that federal non-taxability would not automatically prevent state taxation of the same grants.
Source Information
Document Type
Congressional Bill
Official Title
Broadband Grant Tax Treatment Act
Data Sources
Sponsor
Cosponsors
(15)Analysis generated by AI. Always verify with official sources.