Alternative Fuel Tax Extender Bill Introduced
A bipartisan group of Representatives introduced H.R. 3264, a bill that would extend several of the expired "tax extenders." Important to the propane industry and to those U.S. customers who use propane autogas, this bill includes a five-year extension of the Alternative Fuel Tax Credit. This credit expired at the end of 2016 and has not yet been renewed. This effort is being led by Rep. Diane Black (R-TN), Rep. Ron Kind (D-WI), Rep. David Valadao (R-CA), and Rep. Jim Costa (D-CA).
Under this bill, the credit would be $0.50/gasoline gallon equivalent (gge) of propane for 2017 and 2018. This is the same amount for the credit as 2016. In 2019, the alternative fuel tax credit would reduce to $0.375/gge, which is 75 percent of the original credit. In 2020 and 2021, the credit would again reduce, this time to 50 percent of the original credit, to $0.25/gge. This five-year phasedown of the Alternative Fuel Tax Credit would bring it in line with the other energy tax credits still on the books.
Ferrellgas promises to keep you informed on any and all updates related to H.R. 3264.