Agency: Department of the Treasury
Description:
Tax credit of $1.25/gallon or more for aviation fuel meeting certain GHG and other requirements
Bill Section:
13203
US Code:
26 USC 40B
New or Existing:
New
Potential Cost:
$490,000,000
Timeline:
2023-2024 (later folds into Clean Fuel Production credit)
TCS Notes:
For fuel meeting 50% GHG emission reduction threshold, as determined by the Carbon Offsetting and Reduction Scheme for International Aviation adopted by the International Civil Aviation Organization (ICAO) or a similar method, which could be broader and include more fuels. The definition of biomass is broad. The cost estimate of $490 million is only for FY23-25.