Semiconductor Superiority Act

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8959 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 8959

 To amend the Internal Revenue Code of 1986 to clarify the application
    of the advanced manufacturing investment credit with respect to
     semiconductor manufacturing facilities located in outer space.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                              May 21, 2026

Mr. Buchanan (for himself, Ms. Sewell, and Ms. DelBene) introduced the
 following bill; which was referred to the Committee on Ways and Means

_______________________________________________________________________

                                 A BILL

 To amend the Internal Revenue Code of 1986 to clarify the application
    of the advanced manufacturing investment credit with respect to
     semiconductor manufacturing facilities located in outer space.

    Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Semiconductor Superiority Act''.

SEC. 2. CLARIFYING APPLICATION OF ADVANCED MANUFACTURING INVESTMENT
              CREDIT FOR SEMICONDUCTOR MANUFACTURING FACILITIES LOCATED
              IN OUTER SPACE.

    (a) In General.--Section 48D(b) of the Internal Revenue Code of
1986 is amended by adding at the end the following new paragraph:
            ``(6) Application to facilities located in outer space.--
                    ``(A) In general.--In the case of an advanced
                manufacturing facility which is located in outer
                space--
                            ``(i) for purposes of paragraph (1),
                        qualified property shall not fail to be treated
                        as part of such facility solely because such
                        qualified property is--
                                    ``(I) used to transport crew,
                                goods, equipment, material, or supplies
                                in outer space to and from such
                                facility, or
                                    ``(II) not located in outer space,
                                and
                            ``(ii) for purposes of paragraph (2)--
                                    ``(I) property shall not fail to be
                                treated as qualified property solely
                                because such property is located in
                                outer space,
                                    ``(II) with respect to subparagraph
                                (A)(iv), property shall not fail to be
                                treated as integral to the operation of
                                such facility solely because such
                                property is--
                                            ``(aa) used in the manner
                                        described in clause (i)(I), or
                                            ``(bb) not located in outer
                                        space, and
                                    ``(III) with respect to
                                subparagraph (B)(ii), functions related
                                to manufacturing shall include--
                                            ``(aa) flight control
                                        operations,
                                            ``(bb) crew habitation in
                                        outer space,
                                            ``(cc) repair of the
                                        facility, and
                                            ``(dd) transportation of
                                        crew, goods, equipment,
                                        material, or supplies to and
                                        from the facility.
                    ``(B) Outer space.--For purposes of this paragraph,
                the term `outer space' shall include low-Earth orbit.
                    ``(C) Exclusion.--For purposes of this subsection,
                the term `qualified property' shall not include a
                rocket or similar launch vehicle constructed for the
                purpose of propelling a payload from Earth into outer
                space.''.
    (b) Other Special Rules.--Section 50(b) of the Internal Revenue
Code of 1986 is amended--
            (1) in paragraph (1)(B), by inserting ``or any qualified
        property which is part of an advanced manufacturing facility
        located in outer space (as such terms are defined under section
        48D(b)) and held by a United States person if such property was
        launched from within the United States'' after ``section
        168(g)(4)'', and
            (2) in paragraph (2)--
                    (A) in subparagraph (C), by striking ``and'' at the
                end,
                    (B) in subparagraph (D), by striking the period at
                the end and inserting ``; and'', and
                    (C) by adding at the end the following new
                subparagraph:
                    ``(E) any qualified property which is part of an
                advanced manufacturing facility located in outer space
                (as such terms are defined under section 48D(b)).''.
    (c) Effective Date.--The amendments made by this section shall
apply to property placed in service after the date of enactment of this
Act.
    (d) Rule of Construction.--Nothing in this Act, or the amendments
made by this Act, shall be construed to create any inference with
respect to the allowance or determination of the advanced manufacturing
investment credit under section 48D of the Internal Revenue Code of
1986 with respect to an advanced manufacturing facility located in
outer space on or before the date of the enactment of this Act.
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