US SB1536

Creates a 33-40% tax credit for construction, repowering, or reconstruction of U.S. flag cargo vessels at American shipyards, with bonus credits for using U.S.-based insurance (5%) and American Bureau of Shipping classification (2%); vessels must operate in foreign trade for at least 10 years and construction must begin before January 1, 2033

Establishes a 25% tax credit for construction of qualified shipyard facilities that build or repair commercial/military oceangoing vessels or manufacture critical vessel components, applicable to property placed in service before December 31, 2032

Excludes Maritime Security Program payments and student incentive payments from gross income, and expands merchant marine Capital Construction Funds to allow deposits from marine terminal operations and withdrawals for cargo handling equipment (excluding fully automated equipment that causes job losses and Chinese-manufactured cranes)

Expands the tonnage tax election by removing the 30-day domestic operations limitation, allowing U.S.-owned foreign flag vessels to qualify, and broadening eligible shipping activities to include carriage of goods

Creates "maritime prosperity zones" allowing up to 100 census tracts containing shipyards, ports, or harbor facilities to be designated as opportunity zones with tax incentives for qualifying maritime businesses