H.R. 1253 — Fair SHARE Act of 2025

This section provides the short title of the Act as the “Fair Sharing of Highways and Roads for Electric Vehicles Act of 2025” or the “Fair SHARE Act of 2025.”

This section establishes a new federal excise tax under subchapter A of chapter 32 of the Internal Revenue Code of 1986 on sales of electric vehicles and certain battery modules and directs the revenue to the Highway Trust Fund. It imposes a tax of $550 on each battery module weighing more than 1,000 pounds that is sold by the manufacturer, producer, or importer and intended for use in an electric vehicle, and a tax of $1,000 on each electric vehicle sold by the manufacturer, producer, or importer. As background, the Highway Trust Fund finances federal highway and mass transit programs. The section defines an electric vehicle as a light-duty vehicle meeting the requirements of section 30D(d)(1)(F), but excludes hybrid vehicles that draw propulsion energy from both an internal combustion or heat engine using consumable fuel and a rechargeable energy storage system; it defines a light-duty vehicle as a motor vehicle with a gross vehicle weight rating of less than 8,500 pounds under section 30D(d)(2). The section also adds a new Part IV, “Electric Vehicles and Batteries,” to the chapter 32 table of parts and amends section 9503(b)(1) to include revenue from section 4091 in the Highway Trust Fund transfer provisions. The amendments apply to sales after December 31, 2025.