Nebraska has approved a sustainable aviation fuel production tax credit.
The legislation, signed into law last week, will provide a 75 cent per gallon credit to producers of SAF for sales and use of qualified mixtures. Qualifying SAF must reduce lifecycle emissions by at least 50%, which may be calculated bast on the Argonne National Laboratory GREET model.
According to a fiscal note from the Nebraska legislature, a producer of sustainable aviation fuel could only claim the credit in a total of five taxable years.
The Department of Revenue could approve these tax credits each fiscal year until the total amount of credits approved for the fiscal year reaches $500,000, and the DOR still needs to adopt and promulgate rules and regulations to carry out the legislation.
The tax credit would terminate on January 1, 2035.
