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HR 2224119th CongressIntroduced

Tar Sands Tax Loophole Elimination Act

Introduced: Oct 29, 2025
Standard Summary
Comprehensive overview in 1-2 paragraphs

Amends the Internal Revenue Code to clarify that tar sands-derived products are considered crude oil for federal excise tax purposes, closing a tax loophole.

Key Points

  • 1Includes tar sands oil and bitumen in crude oil definition for excise tax
  • 2Adds regulatory authority for other crude oil types
  • 3Removes 'from a well located' language from existing definition
  • 4Effective date is date of enactment
  • 5Closes loophole allowing tar sands products to avoid petroleum excise taxes
  • 6Applies to all bitumen and kerogen-bearing source oils

Impact Areas

Oil and gas industryFederal excise tax revenueAlternative fuel sourcesEnvironmental policyEnergy sector regulation
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