[Congressional Bills 114th Congress]
[From the U.S. Government Publishing Office]
[H.R. 2520 Introduced in House (IH)]

114th CONGRESS
  1st Session
                                H. R. 2520

To amend the Internal Revenue Code of 1986 to reduce the rate of excise 
                       tax on distilled spirits.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 21, 2015

   Mr. Young of Indiana (for himself and Mr. Yarmuth) 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 reduce the rate of excise 
                       tax on distilled spirits.

    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 ``Distillery Innovation and Excise Tax 
Reform Act''.

SEC. 2. REDUCED RATE OF EXCISE TAX ON DISTILLED SPIRITS.

    (a) In General.--Section 5001(a)(1) of the Internal Revenue Code of 
1986 is amended by striking ``$13.50'' and inserting ``$9 ($2.70 in the 
case of the first 100,000 proof gallons)''.
    (b) Reduced Rate Applied With Respect to Controlled Group.--Section 
5001 of the Internal Revenue Code of 1986 is amended by redesignating 
subsection (c) as subsection (d) and by inserting after subsection (b) 
the following new subsection:
    ``(c) Reduced Rate Applied With Respect to Controlled Group.--
            ``(1) In general.--In the case of a controlled group, the 
        reduced rate on the first 100,000 proof gallons specified in 
        subsection (a)(1) shall be applied to the controlled group and 
        shall be apportioned among the taxpayers who are component 
        members of such group in such manner as the Secretary may 
        provide. For purposes of the preceding sentence, the term 
        `controlled group' has the meaning assigned to it by subsection 
        (a) of section 1563, except that for such purposes the phrase 
        `more than 50 percent' shall be substituted for the phrase `at 
        least 80 percent' each place it appears in such subsection. 
        Principles similar to the principles of the preceding two 
        sentences shall be applied to a group of taxpayers under common 
        control where one or more members of such group is not a 
        corporation.
            ``(2) Regulations.--The Secretary may prescribe such 
        regulations as may be necessary to prevent the reduced rate 
        specified in subsection (a)(1) from being applied to proof 
        gallons in excess of the limitation specified therein.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to distilled spirits produced or imported in calendar years 
beginning after December 31, 2015.
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