Bill > HB4424

This bill creates a new tax credit for companies producing or blending sustainable aviation fuel (SAF) in Michigan, effective January 1, 2025. The credit is $1.50 per gallon of SAF produced in the state and sold to an aircraft departing from a Michigan airport, with potential increases up to $2.00 per gallon based on greenhouse gas emissions reductions. To qualify, a taxpayer must be engaged in SAF production or blending and obtain a certificate under the sustainable aviation fuel incentive program. The credit amount increases by $0.02 for each additional 1% reduction in life-cycle greenhouse gas emissions above 50%. If the credit exceeds the taxpayer's tax liability, the excess will be refunded. Qualified taxpayers must attach a certificate to their tax return when claiming the credit. The bill defines key terms like "sustainable aviation fuel" and "greenhouse gas" by referencing the sustainable aviation fuel incentive program act, and it will only take effect if a related bill is also enacted into law.

Transportation and Infrastructure

https://legislature.mi.gov/Bills/Bill?ObjectName=2025-HB-4424