Bill > HR1328

This bill establishes a new tax credit called the Critical Supply Chains Reshoring Investment Credit, which provides a 40% tax credit for investments in critical supply chain facilities located in U.S. territories or Puerto Rico. The credit applies to facilities manufacturing key strategic products like pharmaceutical ingredients, drugs, medical devices, semiconductors, aerospace equipment, and nanomaterials. To be eligible, taxpayers cannot be "prohibited foreign entities," which includes companies with significant ownership or control by foreign governments, particularly from certain nations of concern. The bill defines specific criteria for qualifying investments, including tangible property integral to facility operations that is either constructed or acquired by the taxpayer. Importantly, the legislation allows companies to transfer or receive direct payments for the credit, making it more flexible for businesses. The credit is designed to incentivize domestic manufacturing of critical technologies and medical supplies, potentially reducing reliance on foreign supply chains and strengthening U.S. industrial capabilities. The tax credit will be available for property placed in service after December 31, 2024, and is part of a broader strategy to support domestic manufacturing and economic resilience in strategic sectors.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/1328/all-info