The bill would impose an excise tax equal to 100% of the amount by which West Texas Intermediate oil exceeds $75 per barrel on covered taxpayers’ taxable crude oil extracted in the United States or imported. The tax would apply from enactment through the quarter in which the President declares hostilities with Iran have ceased, the Strait of Hormuz is fully reopened, and oil falls below $75 per barrel; covered taxpayers generally exceed 100,000 barrels per day. Tax revenues would fund refundable gasoline price rebate credits for eligible individuals, excluding nonresident aliens, dependents, and estates or trusts, with the Treasury Secretary determining rebate amounts.

FactVote-generated overview; it is not an official CRS summary.