Biodiesel Information

New York Biodiesel Information 2017

Jurisdiction:      New York      

Year of Report:    2017      

1) Jurisdiction provides either a refund or an exemption, impose a tax rate different than diesel, or offer an incentive (i.e. producers' or income tax credit):  Yes

2) Jurisdiction offers a refund for tax paid on biodiesel for IFTA carriers:  

Effective date of the legislation:  09/01/2006

Brief description of the legislation:  "B20" is partially exempt (20%). Taxed at 80% of the diesel motor fuel tax rate when purchased.

3) Jurisdiction offers a biodiesel tax exemption for IFTA carriers:  Yes

Effective date of the legislation:  09/01/2006

Brief description of the legislation:  "B20" is partially exempt (20%). Taxed at 80% of the diesel motor fuel tax rate when purchased.

4) Jurisdiction imposes a tax on biodiesel at a rate different than the tax imposed on diesel:  Yes

Effective date of the biodiesel tax rate:  09/01/2006

5) Instructions for the IFTA licensees based in your jurisdiction to report biodiesel use on the IFTA return. :  

6) Biodiesel incentive such as a producer's credit or an income tax credit:  

Effective date of the legislation:  01/01/2006

Type of biodiesel incentive is offered:   Biofuel production credit. (a) General. A taxpayer subject to tax under article nine, nine-A or twenty-two of this chapter shall be allowed a credit against such tax pursuant to the provisions referenced in subdivision (d) of this section. The credit (or pro rata share of earned credit in the case of a partnership) for each gallon of biofuel produced at a biofuel plant located in New York State on or after January first, two thousand six and before January first, two thousand twenty, shall equal fifteen cents per gallon after the production of the first forty thousand gallons per year presented to market. The credit under this section shall be capped at two and one-half million dollars per taxpayer per taxable year for up to no more than four consecutive taxable years per biofuel plant. If the taxpayer is a partner in a partnership or shareholder of a New York S corporation, then the cap imposed by the preceding sentence shall be applied at the entity level, so that the aggregate credit allowed to all the partners or shareholders of each such entity in the taxable year does not exceed two and one-half million dollars. The tax credit allowed pursuant to this section shall apply to taxable years beginning before January first, two thousand twenty. The clean heating fuel credit is available to taxpayers for the purchase of bioheat that is used for space heating or hot water production for residential purposes within New York State. The credit is available for tax years beginning on or after January 1, 2006, and before January 1, 2017, and applies to bioheat purchased on or after July 1, 2006, but before July 1, 2007, and on or after January 1, 2008, but before January 1, 2017. The credit amount equals $.01 per gallon for each percent of biodiesel included in the bioheat, not to exceed $.20 per gallon.

7) Website that includes information regarding biodiesel:  Click Here