# Understanding the RESILIENCE Act of 2025

This bill makes a technical change to how utility companies calculate their taxes. Specifically, it affects how electric, gas, water, and other public utility companies deduct the costs of repairing and maintaining their infrastructure from their taxable income.

Here's what's actually happening: Utility companies currently get to deduct repair and maintenance costs in two different ways on their tax returns. This bill says that when utility companies report their income to the IRS, they can't count certain repair and maintenance expenses twice. If a utility company already deducted a repair cost as a depreciation expense on their financial statements (the reports they send to investors and regulators), they can't also deduct it again on their tax return. Essentially, the bill prevents double-dipping on the same expense.

For everyday people, this could mean utility companies might pay more in federal taxes. Whether that leads to higher utility bills depends on how state regulators handle it—some states might allow utilities to pass these costs to customers, while others might not. The bill applies to tax years starting after December 31, 2024, so any impact would begin showing up in utility company finances starting in 2025. The practical effect is that the federal government collects more tax revenue from utility companies, though the ultimate impact on your electric bill or water bill would depend on decisions made by your state's utility regulators.