House Ways and Means marks up resolution to disallow clean vehicle tax credits regulations, bills related to education

Clean vehicle resolution

The House Committee on Ways and Means today marked up a resolution of disapproval pertaining to clean vehicle credits under sections 25E and 30D. Read text of H.J. Res. 148

In advance of the markup, the staff of the Joint Committee on Taxation (JCT) released a description of the joint resolution: JCX-30-24
 

Background

The U.S. Treasury Department and IRS in May 2024 released final regulations regarding clean vehicle tax credits under sections 25E and 30D introduced by the “Inflation Reduction Act of 2022” (IRA)) for the purchase of qualifying new and previously-owned clean vehicles, including new and previously-owned plug-in electric vehicles powered by an electric battery meeting certain requirements and new qualified fuel cell motor vehicles. Read TaxNewsFlash

KPMG observation
H.J. Res. 148 is a resolution of disapproval of the regulations pertaining to clean vehicle credits under sections 25E and 30D (Transfer of Credits; Critical Minerals and Battery Components; Foreign Entities of Concern). By joint House and Senate resolution passed by a majority vote, Congress can “disapprove,” that is overturn, a rule issued by a federal agency. Except when there has been a change in administrations, however, “CRA resolutions” are ordinarily only “messaging” exercises, as it is to be expected that the president of the administration that issued the rule will veto it, should it pass.

Education-related bills and JCT descriptions

Ways and Means also today marked up three bills related to education:

H.R. 8914, the “University Accountability Act,” which modifies the excise tax on the investment income of private colleges and universities with regard to foreign students

• Text of the bill
• JCT description
• Amendment in the nature of a substitute
• JCT description of the amendment in the nature of a substitute

H.R. 8913, the “Protecting American Students Act,” which imposes penalties on private and public colleges and universities for adjudications of liability for violations of title VI of the Civil Rights Act of 1964

• Text of the bill
• JCT description
• Amendment in the nature of a substitute
• JCT description of the amendment in the nature of a substitute

H.R. 8915, the “Education and Workforce Freedom Act,” which expands eligible section 529 expenses to include additional elementary, secondary and home schooling expenses and post-secondary credentialing expenses

• Text of the bill
• JCT description
• Amendment in the nature of a substitute
• JCT description of the amendment in the nature of a substitute