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Distilled Spirits Tax Changes: Support for Puerto Rico and Virgin Islands.

This bill amends the rules for transferring distilled spirits tax revenues to Puerto Rico and the Virgin Islands. It removes previous limitations on these transfers, potentially increasing funds for these territories. Additionally, a portion of rum tax revenues from Puerto Rico will be directed to a conservation trust fund.
Key points
Removal of the cap on distilled spirits tax transfers to Puerto Rico and the Virgin Islands, potentially boosting their budgets.
Mandatory transfer of a portion of Puerto Rico rum tax revenues to the Puerto Rico Conservation Trust Fund.
Adjustments to how transferred tax amounts are calculated, aiming for financial stability for these territories.
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Additional Information
To amend the Internal Revenue Code of 1986 to repeal the limitation on the cover over of distilled spirits taxes to Puerto Rico and the Virgin Islands, and for other purposes.
Print number: HR 4642
Sponsor: Resident Commissioner González-Colón, Jenniffer [R-PR-At Large]
Process start date: 2021-07-22