U.S. House passes Russia sanctions bill with new tariff powers

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U.S. House passes Russia sanctions bill

Highlights

The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 passed the House, granting executive authority for tariffs up to 500 percent on Russian goods.
The bill directs duties up to 100 percent on goods from countries buying Russian oil and gas or enabling sanctions evasion, with country lists reevaluated every 180 days.
The package extends the Iran Sanctions Act through 2031 and adds a tax deduction up to $350 for early childhood educators' professional expenses.

Tariff powers and sanctions package

As reported by House Committee on Ways and Means, the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 passes the House and gives the executive branch new authority to use tariffs alongside sanctions. The committee says the bill is designed to tighten pressure on Russia by targeting goods trade, energy-related transactions and sanctions evasion networks.

Committee Chairman Jason Smith says the legislation pairs additional tariff power with sweeping new sanctions to restrict Russia’s ability to stay ahead of existing penalties. He says the bill forces countries, including China, to choose between supporting the war against Ukraine and preserving current access to the U.S. market, while also targeting loopholes used by Russia’s shadow fleet and financial network.

Under the bill, the president is directed to impose tariffs of up to 500 percent on Russian goods. It also directs the president to set duties above zero and up to 100 percent on goods from countries that knowingly buy Russian crude oil or natural gas after enactment, as well as countries that rank among the five largest importers of those products from Russia during the most recent 12-month period.

The measure further calls for duties above zero and up to 100 percent on goods from countries that are among the top five facilitators of Russian oil sanctions evasion during the most recent 12-month period. Additional countries can be added after reevaluation by the U.S. Trade Representative every 180 days, and the bill also extends the Iran Sanctions Act of 1996 through 2031.

Implications for trade policy and educators

The package highlights the Ways and Means Committee’s role in U.S. trade and tariff policy, since the panel holds jurisdiction over the tariff authorities included in the bill. The proposal broadens the economic toolkit available to Washington as it tries to raise the cost of commercial ties with Russia and countries that continue to support Russian energy exports.

The legislation also includes the Supporting Early-childhood Educators’ Deductions Act, a separate tax measure previously advanced by the committee in March and approved by the full House in April. Smith says the deduction is intended to help early childhood educators who pay out of pocket for classroom needs.

The provision expands the Internal Revenue Code definition of eligible educators to cover early childhood teachers, instructors, counselors, principals and aides. People who teach or care for children ages 0 to 5 would be able to deduct professional expenses including training courses and classroom materials such as books, supplies and equipment.

The deduction applies to as much as $350 in annual expenses for taxpayers who take the standard deduction, while taxpayers who itemize can also deduct expenses above that amount. The combined package ties a major foreign policy measure to a narrower tax change with implications for education workers and household finances.

In our earlier coverage of the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, we explained how House lawmakers were pushing a sanctions-and-tariffs package aimed at Russia’s defence and energy sectors and its shadow oil fleet. The article highlighted concerns that expanded tariff powers could also hit countries still buying Russian oil and gas, while noting the bill’s goal of tightening loopholes and increasing economic pressure on Moscow as the war in Ukraine continues.

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