Biodiesel Production Excise Tax Credit

A biodiesel producer that produces at least 100,000 gallons of biodiesel during the taxable year is allowed a credit equal to the per gallon excise tax the producer paid in accordance with the motor fuel excise tax rate. The credit only applies to tax paid on the biodiesel portion of the fuel blend and the credit may not exceed $500,000. This tax credit is effective until January 1, 2014. (Reference North Carolina General Statutes 105-129.16F)