June 25, 2025
Mr. Fry (for himself and Ms. Davids of Kansas) introduced the following bill; which was referred to the Committee on Ways and Means
To amend the Internal Revenue Code of 1986 to expand the advanced manufacturing production credit to include distribution transformers.
Section 1. Short title
This Act may be cited as the Credit Incentives for Resilient Critical Utility Infrastructure and Transformers Act
or the CIRCUIT Act
.
Sec. 2. Expansion of advanced manufacturing production credit to include distribution transformers
(a) In general
Section 45X of the Internal Revenue Code of 1986 is amended—
(1)
in subsection (b)(1)—
(A)
in subparagraph (L)(ii), by striking and
at the end,
(B)
in subparagraph (M), by striking the period at the end and inserting , and
, and
(C)
by adding at the end the following new subparagraph:
(N)
in the case of any distribution transformer, an amount equal to 10 percent of the costs incurred by the taxpayer with respect to production of such transformer., and
(2)
in subsection (c)—
(A)
in paragraph (1)(A)—
(i)
in clause (iv), by striking and
at the end,
(ii)
in clause (v), by striking the period at the end and inserting , and
, and
(iii)
by adding at the end the following new clause:
(vi)
any distribution transformer., and
(B)
by adding at the end the following new paragraph:
(7) Distribution transformer
The term distribution transformer has the same meaning given such term under section 321(35) of the Energy Policy and Conservation Act (42 U.S.C. 6291(35)).
(b) Effective date
The amendments made by this section shall apply to components produced and sold after the date which is 90 days after the date of enactment of this Act.