Alt Fuel Tax Credits Extended
We’re happy to kick off the new year by sharing some great news. The alternative fuel excise tax credit, which expired in 2017, has been extended. The update has been extended through December 31, 2020, providing a retroactive credit for all of 2018 and 2019.
Here are the key points to know:
- The credit is approved for 2020, but users can also retroactively apply for gallons consumed in 2018 and 2019.
- Propane credits are covered at 36 cents per U.S. gallon due to an energy adjustment calculation for propane. Ignore where you see other reimbursement amounts.
- For the alternative fuel infrastructure portion of the tax credit, the fueling equipment for propane is eligible for a tax credit of up to 30 percent of the cost, not to exceed $30,000 per property.