Bill · H.R. 3363· House(119-HR-3363)
To amend the Internal Revenue Code of 1986 to impose a tax on United States-bound circumvented cargo through Canada or Mexico and entering the United States.
- Introduced
- 5/13/2025
- Last activity
- 5/13/2025 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Dan Newhouse
- Cosponsors
- - 1 - 0
- Introduced
- In Committee
What this bill would do
This bill proposes an amendment to the Internal Revenue Code of 1986 to create a new Cargo Circumvention Tax. The tax would be applied to cargo destined for the United States that is discharged from an ocean-going vessel in Canada or Mexico before entering the U.S. via rail, highway, airport, or inland port. This includes cargo that has been modified, assembled, or consolidated while in those countries. The tax amount is set at 0.125 percent of the cargo's value. Importers would be responsible for paying this tax at the time the cargo enters the United States. These changes would take effect for cargo entering after December 31, 2025.
Yes
Does this raise the taxes companies pay?+3
The bill imposes a new 0.125 percent tax on specific imported cargo which increases the tax burden on importing companies.
The opposite
Would business owners be better off under this?-4
The tax imposes direct costs on importers and those involved in the cargo supply chain.
Does this make trade with other countries easier?-3
The tax creates a new financial barrier for trade routes involving Canada and Mexico.
Who it would affect, and how
Potential Positive Impacts for People
- New Revenue through Taxation: The bill imposes a tax of 0.125 percent on the value of specific types of cargo (Section 1(a)).
Potential Negative Impacts for People
-
Financial Burden on Importers: The tax is required to be paid by the importer of the cargo entering the United States (Section 1(a)).
-
Additional Costs for Specific Cargo Routes: Cargo that is discharged from ocean-going vessels in Canada or Mexico and then enters the U.S. by rail, highway, airport, or inland port will be subject to this tax (Section 1(a)).
-
Taxation on Processed Cargo: Cargo that is modified, assembled, or consolidated in Canada or Mexico will be subject to the tax (Section 1(a)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Business Owners-4
- Economy And Finance
- Increases Corporate Taxes+3
- National Security And Foreign Policy
- Improves International Trade-3
- 6/12/2025
- 1 Cosponsor added.
- 5/13/2025
- Referred to the House Committee on Ways and Means.
- Introduced in House
Mike EzellRepublican · Mississippi