IRS Proposes Rules for Implementation of Clean Fuel Production Credits

E85 ethanol fuel being pumped into a vehicle at a gas station selling alternative fuels in the town of Lowa, Nev., on Dec. 6, 2007. Jason Reed/ReutersThe IRS and the Department of the Treasury have proposed regulations regarding how businesses producing clean fuels, such as biofuels, can secure tax credits, in line with updates made under the One Big Beautiful Bill Act (OBBB), the IRS said in a Feb. 3 statement.“The clean fuel production credit provides businesses an income tax credit for clean transportation fuel produced domestically after Dec. 31, 2024, and sold by Dec. 31, 2029,” the agency said.