Bill > HR4772

This bill aims to modify the tax treatment of certain rare earth minerals by adjusting the percentage depletion rate in the Internal Revenue Code. Specifically, the bill would add rare earth elements (defined as the 15 lanthanide elements) and scandium to the list of minerals eligible for a 22 percent depletion rate. The depletion rate is a tax provision that allows mining companies to deduct a percentage of the gross income from mineral extraction as a way to account for the reduction in the mineral reserve's value over time. By including rare earths and scandium in this tax provision, the bill seeks to provide a tax benefit to companies involved in mining these critical minerals, which are increasingly important in high-tech and renewable energy industries. The tax change would apply to taxable years beginning after the date of the bill's enactment, potentially incentivizing investment and development in the rare earth minerals sector.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/4772/all-info