Bill > HR6518

This bill amends the Internal Revenue Code to enhance tax credits for sustainable aviation fuel (SAF), a type of aircraft fuel made from renewable sources. Specifically, the bill increases the tax credit rate for SAF from 20 cents to 35 cents per gallon for fuel produced at certain qualified facilities, and from $1.00 to $1.75 per gallon for fuel produced at other qualified facilities. The bill defines sustainable aviation fuel as a liquid fuel sold for aircraft use that meets specific international standards (ASTM International Standards D7566 or D1655) and is not derived from palm fatty acid distillates or petroleum. Additionally, the bill extends the availability of these tax credits from December 31, 2029, to December 31, 2033, and sets the effective date for these changes as fuel produced after December 31, 2025. The purpose of these changes is to incentivize the production and use of more environmentally friendly aviation fuels by providing financial benefits to manufacturers who produce SAF that meets the specified criteria.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/6518/all-info