The Biden administration on Wednesday called for overhauling the corporate tax code that, among other things, would replace fossil fuel subsidies with incentives to promote renewable energy production.

The Made in America Tax Plan, unveiled by Secretary of the Treasury* Janet L. Yellen, is designed to raise $2.5 trillion in revenue over a 15-year period. The shift could mark a dramatic redo of the U.S. tax code, which allows some American companies to reduce or eliminate liabilities.

Biden’s plan contains tax provisions that incentivize alternative energy growth. It also introduces market-based incentives for corporate research and development expenditures to complement the administration’s $2 trillion American Jobs Plan

In a briefing with reporters, Yellen said the tax...