Bill > HR6055

This bill amends the Internal Revenue Code to expand and extend the advanced manufacturing investment credit, specifically focusing on the semiconductor industry. The legislation broadens the definition of an "advanced manufacturing facility" to include facilities that primarily manufacture semiconductors, semiconductor manufacturing equipment, and semiconductor materials. It provides a comprehensive and detailed classification of semiconductor materials, dividing them into "direct production materials" (substances physically incorporated into semiconductors like substrates, thin film layers, and bonding materials) and "indirect production materials" (specialized materials used in semiconductor production but not directly incorporated, such as process chemicals, photolithography materials, and testing equipment). The bill requires the Secretary of the Treasury, in consultation with the Secretary of Commerce, to publish an annual list of qualifying semiconductor materials and establish a petition process for taxpayers to seek interim determinations about material eligibility. Additionally, the bill extends the existing investment credit period from December 31, 2026, to December 31, 2031, effectively providing longer-term financial incentives for semiconductor manufacturing investments. The amendments will apply to property placed in service after the Act's enactment, with the credit period extension specifically applying to construction beginning after December 31, 2026.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/6055/all-info