H.R. 5334: Lindsey O. Graham Sanctioning Russia and Iran Act of 2026

H.R. 5334 is two laws in one bill. Division A is the Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, named in the enacted text for the late senator who championed it. Division B is the SEED Act, the preschool teacher tax break the bill carried when Rep. Jimmy Panetta introduced it in September 2025.

The House passed the SEED Act alone by voice vote in April 2026. The Senate replaced the text with the Russia package, added the teacher deduction back as its own division, and passed it 86-11 on August 7. The House agreed 262-159 on September 16, and the President signed it two days later.

Within 30 days, the President must raise the tariff on every good imported from Russia to as much as 500%, and on every good from the top buyers of Russian oil or gas to as much as 100%. The second list is the one with reach. It covers the five largest importers of Russian crude or natural gas over the prior 12 months that keep making new purchases, plus the five countries that most helped Russia dodge oil sanctions. The Trade Representative must recheck the list every 180 days.

Put a number on it: a $1,000 shipment from a covered country could carry up to $1,000 in new duty, before any tariff already in effect. The law gives the President room below that ceiling, and a narrow exception for countries whose Russian gas purchases were under 15% of Russia's exports and are falling.

The financial side is just as broad. Sberbank, VTB, Gazprombank and every other state-owned Russian bank get full blocking sanctions, and foreign banks that do significant business with them can be sanctioned too. Americans are barred from new investment in Russia, from buying Russian government debt, and from exporting U.S. energy there. The SEC must pull Russian state-linked securities off U.S. exchanges. Tankers in Russia's so-called shadow fleet, and the people who insure and captain them, become sanctions targets.

The President can waive any sanction or tariff with a written national-interest certification, but lifting them for Russia outright requires a peace agreement accepted by Ukraine, and Congress gets 30 days to block it. Food, medicine, medical devices and humanitarian aid are exempt. Most of Division A expires after five years.

Division B is short. Early childhood teachers at a preschool or childcare facility serving more than 2 children under 6 who don't live there can now claim the same above-the-line educator deduction K-12 teachers use, starting with 2026 tax years. The facility can be public, fee-based, grant-funded or for-profit.