Extends tax credit for E-15 gasoline and modifies sales tax refund for biodiesel production in Iowa.

This bill extends the tax credit for E-15 gasoline in Iowa, delaying its repeal from January 1, 2026, to January 1, 2029. It also reduces the tax credit from 9 cents per gallon to 4.5 cents per gallon in 2028 and makes it nonrefundable for that year. Additionally, the bill increases the sales tax refund for biodiesel production from 4 cents to 4.5 cents per gallon. These changes aim to support the use of alternative fuels while adjusting tax incentives.

Extends tax credit for E-15 gasoline and modifies sales tax refund for biodiesel production in Iowa.

This bill extends the tax credit for E-15 gasoline in Iowa, delaying its repeal from January 1, 2026, to January 1, 2029. It also reduces the tax credit from 9 cents per gallon to 4.5 cents per gallon in 2028 and makes it nonrefundable for that year. Additionally, the bill increases the sales tax refund for biodiesel production from 4 cents to 4.5 cents per gallon. These changes aim to support the use of alternative fuels while adjusting tax incentives.