Federal Biodiesel Tax Credit Retroactively Reinstated for 2017

Congress passed a major budget bill last night which included a provision to reinstate the $1.00/gallon biodiesel blenders’ tax credit for the calendar year 2017. “This is a victory for PMCI members,” says Dawn Carlson, PMCI President and CEO. “Marketers have relied on this credit to promote and advance the sale of homegrown biodiesel.” The bill did NOT include a provision for 2018 however; leaving uncertainty whether or not it will continue going forward. PMCI supports legislation that would phase out the biodiesel tax credit over a period of five years which would provide more certainty for renewable fuel blenders and producers of biodiesel. The budget bill that passed directs the IRS to issue guidance within 30 days detailing how blenders can claim the tax credit. We will report more on this when information becomes available.