Country:United States
Year:2009
Policy status:In Force
Jurisdiction:National
Date Effective:2009
Date Ended:2016
Policy Type:Economic Instruments>Fiscal/financial incentives>Taxes
Policy Target:Bioenergy
Policy Sector:Transport
Agency:Department of Treasury, Internal Revenue Service (IRS)
URL:http://frwebgate.access.gpo.gov/cgi-bin/getdoc.cgi?dbname=111_cong_public_laws&docid=f:publ152.111.pdf (HCER 2010)
Legal References:Health Care and Education Reconciliation (HCER) Act of 2010
Description:

The Food Conservation and Energy Act of 2008 established the Cellulosic Biofuel Producer Tax Credit, which offers a cellulosic biofuel producer that is registered with the Internal Revenue Service (IRS) a tax incentive in the amount of up to USD1.01 per gallon of cellulosic biofuel that is:

  • sold and used by the purchaser in the purchasers trade or business to produce a cellulosic biofuel mixture;
  • sold and used by the purchaser as a fuel in a trade or business; - sold at retail for use as a motor vehicle fuel;
  • used by the producer in a trade or business to produce a cellulosic biofuel mixture; or
  • used by the producer as a fuel in a trade or business.

If the cellulosic biofuel also qualifies for alcohol fuel tax credits, the credit amount is reduced to USD 0.46 per gallon for biofuel that is ethanol and USD 0.41 per gallon if the biofuel is not ethanol. The Health Care and Education Reconciliation Act of 2010 Act Section 1408 clarified that the term "cellulosic biofuel" does not include fuels with more than 4 percent by weight of any combination of water and sediment, or if the ash content of such fuel is more than 1 percent by weight.

The Consolidated Appropriations Act of 2016 extended the credit through 2016.

Last modified: Fri, 17 Feb 2017 12:57:17 CET