Bill Text: MA H2785 | 2009-2010 | 186th General Court | Introduced
Bill Title: The granting of tax credits for certain persons engaged in the production of cellulosic biofuels in the Commonwealth
Spectrum: Partisan Bill (Republican 1-0)
Status: (Introduced - Dead) 2009-01-20 - Public Hearing date 4/15 at 10:00 AM in Hearing Room B2 [H2785 Detail]
Download: Massachusetts-2009-H2785-Introduced.html
The Commonwealth of Massachusetts
_______________
PRESENTED BY:
Bradley H. Jones, Jr.
_______________
To the
Honorable Senate and House of Representatives of the Commonwealth of
Massachusetts in General
Court assembled:
The undersigned legislators and/or citizens respectfully petition for the passage of the accompanying bill:
An Act relative to a biofuel production tax credit.
_______________
PETITION OF:
Name: |
District/Address: |
Bradley H. Jones, Jr. |
20th Middlesex |
George N. Peterson, Jr. |
9th Worcester |
Viriato Manuel deMacedo |
1st Plymouth |
Elizabeth Poirier |
14th Bristol |
F. Jay Barrows |
1st Bristol |
Paul K. Frost |
7th Worcester |
Susan Williams Gifford |
2nd Plymouth |
Bradford R. Hill |
4th Essex |
Jeffrey Davis Perry |
5th Barnstable |
Richard J. Ross |
9th Norfolk |
Jeffrey Davis Perry |
5th Barnstable |
Robert S. Hargraves |
1st Middlesex |
The Commonwealth of
Massachusetts
_______________
In the Year Two Thousand and Nine
_______________
An Act relative to a biofuel production tax credit.
Be
it enacted by the Senate and House of Representatives in General Court
assembled, and by the authority of the same, as follows:
SECTION 1. Chapter 63 of the General Laws, as most recently amended by chapter 312 of the Acts of 2008, is hereby amended by adding the following new section:-
Section 38AA. (a)A taxpayer engaged in the production of eligible cellulosic biofuels in the commonwealth, as defined in section 1 of chapter 64A, shall be allowed a credit against the taxes imposed by this chapter on income derived during the taxable year from the production of eligible cellulosic biofuel for increases in annual production during the first 3 years of production. For the purposes of this section, the production year is the period from July 1 of the current year to June 30 of the succeeding year.
(b) Except as provided in subsection (c), the credit allowed on each gallon of increased cellulosic biofuel production that replaces the use of petroleum or liquid fuels derived from other fossil carbon sources over the previous year, in accordance with paragraph (a), is 10 cents a gallon for each gallon of increased production. In blends with petroleum or other non-cellulosic biofuels, the credit is allowed only on the portion of that blend that the cellulosic biofuel constitutes.
(c) The credit allowed in subsection (b) may be claimed for:
(1) the first year's total production;
(2) the production in the second year that
exceeds production in the first year; and
(3) the production in the third year that exceeds
production in the second year.
(d) The tax credit shall be taken against taxes imposed under this chapter and
shall not be refundable. Any amount of tax credit that exceeds the tax due for
a taxable year may be carried forward by the taxpayer to any of the 5
subsequent taxable years.
(e) Cellulosic biofuels for which the credit is allowed must meet state and federal regulatory requirements applicable to the nature and intended use of the fuel produced, and shall be classified as “eligible cellulosic biofuels” in accordance with the provisions of section 1A of chapter 64A.
(f) The commissioner, in consultation with the secretary, shall promulgate regulations necessary for the administration of this subsection.