HR 8632 — PFAS Cleanup Act

Bill Text

• Introduced Introduced in House Current html April 30, 2026

AI-generated reading aid from the bill's amendatory text — verify against the official bill.

The bill establishes an excise tax on perfluoroalkyl and polyfluoroalkyl substances and creates a tax credit for the removal of these substances from public water systems.

• Chapter 38 of the Internal Revenue Code of 1986

  Subchapter E--Tax on Perfluoroalkyl and Polyfluoroalkyl Substances Sec. 4691. Imposition of tax. Sec. 4692. Definitions and special rules.

  This adds a new subchapter imposing an excise tax on PFAS substances.

• Section 4691

  (a) General Rule.--There is hereby imposed a tax on any perfluoroalkyl or polyfluoroalkyl substance sold by the manufacturer, producer, or importer thereof. (b) Amount of Tax.--The amount of tax imposed by subsection (a) shall be equal to 45 percent of the price for which the perfluoroalkyl or polyfluoroalkyl substance is sold.

  This section establishes the rate and rules for the PFAS excise tax.

• Subpart D of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986

  SEC. 45BB. PFAS water remediation credit. (a) Allowance of Credit.--For purposes of section 38, the PFAS water remediation credit for any taxable year is an amount equal to 25 percent of the qualified PFAS water remediation expenditures paid or incurred by the taxpayer during the taxable year.

  This creates a new tax credit for expenditures on PFAS water remediation.

• Section 38(b) of the Internal Revenue Code

  plus → plus

  This modifies the general business credit to include the new PFAS water remediation credit.

• Section 38(b) of the Internal Revenue Code

  . → , plus

  This allows for the addition of the PFAS water remediation credit to the existing credits.

• Section 6417(b) of the Internal Revenue Code

  paragraphs (10) through (12) → paragraphs (11) through (13)

  This redesignates existing credit payment paragraphs to make way for the new PFAS water remediation credit.

• Section 6417(b) of the Internal Revenue Code

  (10) The PFAS water remediation credit determined under section 45BB(a).

  This adds the PFAS water remediation credit for elective payment.

• Section 4692

  (a) Definitions.--For purposes of this subchapter-- (1) Perfluoroalkyl or polyfluoroalkyl substance.--The term `perfluoroalkyl or polyfluoroalkyl substance' means any man-made chemical-- (A) with at least one fully fluorinated carbon atom, and (B) which is manufactured or produced in the United States or entered into the United States for consumption, use, or warehousing.

  This section provides definitions relevant to the new PFAS tax.

• Section 4692

  (b) Use Treated as Sale.--If any person manufactures, produces, or imports any perfluoroalkyl or polyfluoroalkyl substance and uses such substance, then such person shall be liable for tax under section 4691 in the same manner as if such substance were sold by such person (at a price equal to the fair market value of such substance).

  This rule ensures that manufacturing or use of PFAS substances is also taxed.

• Chapter 38 of the Internal Revenue Code of 1986

  Subchapter E. Tax on perfluoroalkyl and polyfluoroalkyl substances.

  This clerical amendment updates the tax code to include the new section for PFAS.

Action History

1. April 30, 2026

   Introduced in House

2. April 30, 2026

   Introduced in House

3. April 30, 2026

   Referred to the House Committee on Ways and Means.

Sponsors

• Danny K. Davis · Cosponsor
• Sydney Kamlager-Dove · Cosponsor
• Eleanor Holmes Norton · Cosponsor
• Adelita S. Grijalva · Cosponsor
• Linda T. Sánchez · Primary

Subjects