; and (4) by striking the last sentence. (b) Conforming amendments (1) Paragraph (2) of section 11(b) of the Internal Revenue Code of 1986 is amended by striking 35 percent and inserting 29 percent . (2) Paragraphs (1) and (2) of section 1445(e) of such Code are each amended by striking 35 percent and inserting 29 percent . (3) Subparagraph (A) of section 7518(g)(6) of such Code is amended by striking 34 percent and inserting 29 percent . (4) Paragraph (2) of section 53511(f) of title 46, United States Code, is amended by striking 34 percent and inserting 29 percent . (c) Effective dates (1) In general Except as provided in paragraph (2), the amendments made by this section shall apply to taxable years beginning after December 31, 2017. (2) Withholding The amendments made by subsection (b)(2) shall take effect on January 1, 2018. 202. Establishment of refundable credit for workers (a) In general Subpart C of part IV of subchapter A of chapter 1 of the Internal Revenue Code of 1986 is amended by inserting after section 36 the following new section: 36A. Carbon fee offset credit (a) In general In the case of an eligible individual, there shall be allowed as a credit against the tax imposed by this subtitle for the taxable year an amount equal to the lesser of— (1) 6.2 percent of the earned income of the taxpayer, or (2) $550 (twice such amount in the case of a joint return). (b) Eligible individual For purposes of this section, the term eligible individual means any individual other than— (1) any nonresident alien individual, (2) any individual with respect to whom a deduction under section 151 is allowable to another taxpayer for a taxable year beginning in the calendar year in which the individual's taxable year begins, and (3) any individual who, for the month of December of the taxable year, was entitled to or eligible for a benefit payment described in paragraph (1) or (2) of section 203(b) of the American Opportunity Carbon Fee Act of 2017 . (c) Earned income (1) In general For purposes of this section, the