HR 4058

The Stemming Warming and Augmenting Pay Act (SWAP Act) proposes a tax on greenhouse gas emissions from fossil fuels produced in or imported to the United States. Starting in 2021, the tax would be $30 per metric ton of carbon dioxide equivalent emissions, increasing annually by 5% plus inflation and an additional $3 per ton every two years if emission goals aren't met. Revenue from this tax would be used to reduce payroll taxes, increase Social Security payments, and establish a carbon trust fund to offset higher energy costs for low-income households and support climate adaptation and research. The bill also includes a 12-year moratorium on regulations limiting greenhouse gas emissions, which could be lifted if emission targets aren't met.