Representatives Ro Khanna of California and Debbie Dingell of Michigan unveiled the Made in the USA Tax Credit Act on March 6, 2024, during a factory tour in Ann Arbor, Michigan.
What the bill would do
- Create a refundable tax credit of up to $2,500, or $5,000 for couples filing jointly, for buying products that meet the FTC’s Made in USA standard.
- Index the cap to inflation.
- Exclude luxury goods, tobacco, firearms, vehicles, fuel, services, food and non-depreciable property.
- Limit eligibility to individuals earning under $125,000 (couples under $250,000) with limited investment income.
- Fund IRS outreach so consumers and businesses know which goods qualify.
The tour
The lawmakers visited Motawi Tileworks, which makes handcrafted ceramic art tiles, and Leon Speakers, a family-run speaker maker. Their release says more than 70,000 USA factories have closed since 1998.
“This bill will make items more affordable for consumers and help support American businesses and workers.”
Rep. Ro Khanna
FAQ
How big is the credit?
Up to $2,500 per person, or $5,000 for couples filing jointly, adjusted for inflation.
What goods qualify?
Products meeting the FTC Made in USA standard, minus excluded categories like vehicles, food and firearms.
Is it law?
No. It is a bill introduced in March 2024.
Source & credit
Source: Office of Rep. Ro Khanna, March 6, 2024: “Dingell, Khanna Unveil Made in the USA Bill to Revitalize American Manufacturing”.