Biofuels Use Tax Credit

Oregon residents are eligible for an income tax credit of $0.50 per gallon of gasoline blended with at least 85% ethanol (E85) or diesel blended with at least 99% biodiesel (B99) purchased for use in an alternative fuel vehicle (AFV). Up to $200 can be claimed each tax year for each AFV that is registered in Oregon and owned or leased by the resident. For the purpose of this tax credit, an AFV is a motor vehicle that can operate using E85 or B99. The credit is available through December 31, 2012. (Reference Oregon Revised Statutes 315.465)