Wednesday, June 2, 2010

House Passes Biodiesel Tax Credit

The house has passed the American Jobs and Closing Tax Loophole Act by a vote of 215 to 204.

H. R. 4213 seeks to retroactively extend the one dollar per gallon production tax credit for biodiesel and diesel made from biomass, from the date of the lapse in 2009 until the end of 2010.

Also in its sights are the small biodiesel producers, aiming to extend the 10 cents per gallon credit.

Other proposed extensions to credits for biomass power projects, heavy hybrid vehicles and alternative fuels for vehicles including biomass and biogas.

Manning Feraci , National Biodiesel Board Vice President of Federal Affairs stated, “There are compelling economic, energy security and environmental benefits associated with displacing petroleum with clean-burning, domestically produced biodiesel “Common sense dictates that the Senate should act swiftly upon their return from Memorial Day recess and extend this effective public policy.

During the six years that the tax incentive has been in place, the biodiesel industry has added $4.1 billion to the nations GDP and generated $828 million in tax revenue for Federal, State, and Local Government.