We have received text from H.R. 7230: Buying American Cotton Act of 2026. This bill was received on 2026-01-22, and currently has 23 cosponsors.
Here is a short summary of the bill:
The Buying American Cotton Act of 2026 is a legislative proposal aimed at promoting the consumption of domestically sourced cotton and products made from it. The key components of the bill are outlined below:
Domestic Cotton Consumption Credit
The bill establishes a tax credit called the "domestic cotton consumption credit." The purpose of this credit is twofold:
- To encourage consumers and businesses to purchase cotton that is grown in the United States and products made from such cotton.
- To create a documented tracing system to confirm the origins of the cotton through the supply chain.
How the Credit Works
The credit will be calculated based on three factors:
- The documented volume of qualified cotton in an eligible product sold during the taxable year.
- An applicable percentage established by the bill.
- The market price of cotton over a specified period.
Determining Eligibility
Qualifying Sales
A "qualifying sale" refers to the first sale of an eligible product to an unrelated person in the U.S. Sales made for consumption outside the U.S. do not qualify unless they relate to U.S. business activities.
Applicable Percentages
- If the cotton is processed within the U.S. or in a country with a U.S. free trade agreement, a percentage of 24% applies.
- If processed in a country without such an agreement, a lower percentage of 18% applies.
Definitions of Eligible Articles
An "eligible article" includes any product containing certified qualified cotton that is ready for retail sale to consumers. However, certain products may be excluded if they have components eligible for the credit.
Increased Credit for Specific Products
The bill provides additional credits for products made from qualified cotton yarn and fabric. The enhanced credit is 1.6 times for cotton yarn and 6.5 times for cotton fabric, incentivizing the production of these items within the U.S.
Reporting and Regulations
The Secretary of the Treasury will be responsible for creating regulations to enforce these provisions, including guidelines for tracing cotton through the supply chain and preventing the same cotton from being credited multiple times.
Effective Date
The provisions will take effect for sales of eligible products occurring after the law is enacted.
Impact on Taxation
The credits can be part of the general business credit, meaning businesses can apply these credits against their overall tax liabilities.
Relevant Companies
- HEB : This company engages in food and grocery retail and may benefit from increased demand for products made with American cotton.
- TGT : Target operates in the retail sector and may see changes in sourcing policies for products containing cotton.
- WMT : Walmart may adjust its supply chain to take advantage of the credits from products made with U.S. cotton.
Representative Gregory F. Murphy Bill Proposals
Here are some bills which have recently been proposed by Representative Gregory F. Murphy:
- H.R.7230: Buying American Cotton Act of 2026
- H.R.6721: To amend title XVIII of the Social Security Act to encourage Medicare beneficiaries to voluntarily adopt advance directives guiding the medical care they receive.
- H.R.6663: Campus Free Speech Restoration Act
- H.R.6662: Department of Defense and Department of Veterans Affairs Medical Credentialing Integration Act of 2025
- H.R.6583: VA Research Reform Act of 2025
- H.R.6504: Haiti Economic Lift Program Extension Act
You can track bills proposed by Representative Gregory F. Murphy on Quiver Quantitative's politician page for Murphy.
Representative Gregory F. Murphy Net Worth
Quiver Quantitative estimates that Representative Gregory F. Murphy is worth $24.3M, as of January 23rd, 2026. This is the 53rd highest net worth in Congress, per our live estimates.
Murphy has approximately $12.5M invested in publicly traded assets which Quiver is able to track live.
You can track Representative Gregory F. Murphy's net worth on Quiver Quantitative's politician page for Murphy.
Representative Gregory F. Murphy Stock Trading
We have data on up to $700.0K of trades from Representative Gregory F. Murphy, which we parsed from STOCK Act filings. Some of the largest trades include:
- A January 22nd, 2021 sale of up to $100K of $NYMX. The stock has fallen 91.67% since then.
You can track Representative Gregory F. Murphy's stock trading on Quiver Quantitative's politician page for Murphy.
2026 North Carolina's 3rd Congressional District Election
There has been approximately $2,100,658 of spending in North Carolina's 3rd congressional district elections over the last two years, per our estimates.
The rating for this race is currently "Solid R".
You can track this election on our matchup page for the 2026 North Carolina's 3rd congressional district election.
This article is not financial advice. See Quiver Quantitative's disclaimers for more information.
