The 2021 Infrastructure Investment and Jobs Act has a provision that reinstates and amends the Superfund Excise Tax effective July, 1st 2022.
Internal Revenue Code Section 4661 authorizes an excise tax to be put on certain chemicals that are either manufactured in the United States or those that have been imported for the purpose of consumption, use or warehousing.
In addition, Internal Revenue Code Section 4672 mandates that an excise tax be placed on specific chemical substances imported into the U.S. that are intended for consumption, use or warehousing.
The per-ton tax rate will vary based on the sale of the taxable chemical or its use in the manufacturing of products. This means that the amount of the superfund tax will differ based on product. The tax rates for the affected chemicals will be between $0.44 to $9.74 per short ton.
The below graph illustrates which products will be impacted by the excise tax.
Alexander Chemical realizes that this governmental tax will have a notable effect on our customers. We appreciate your understanding and support as everyone works to manage these new tax regulations.
We greatly value your business partnership with Alexander Chemical.
| Taxable Chemical | Alias | $/Short Ton | Cent/LB |
| Ammonia | 5.28 | 0.00264 | |
| Chlorine | 5.40 | 0.00270 | |
| Hydrochloric acid | HCI | 0.58 | 0.00029 |
| Nitric acid | 0.48 | 0.00024 | |
| Phosphorus | Phosphoric acid | 8.90 | 0.00445 |
| Potassium hydroxide | Caustic potash | 0.44 | 0.00022 |
| Sodium hydroxide | Caustic soda | 0.56 | 0.00028 |
| Sulfuric acid | 0.52 | 0.00026 |
| Taxable Substance | Alias | $/Short Ton | Cent/LB |
| Ammonium hydroxide | Aqua | 0.40-1.60 | 0.0002-0.0008 |
| Sodium hypochlorite | Bleach | 0.80-1.00 | 0.0004-0.0005 |