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IRS Offers First Ever Federal Income Tax Credit for the Installation of E85 Fueling Systems

Credit Pacific Service Union By Staff

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Credit First Service Union (AXcess News) Jefferson City , MO - The Internal Revenue Service (IRS) has recently published Form 8911 Alternative Fuel Vehicle Refueling PropertyCredit which provides the first ever federal income tax credit for the installation of E85 fueling systems.

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Card Credit Mobile Service The infrastructure development provision was part of the 2005 Energy Policy Act and provides a 30% federal income tax credit, up to $30,000 per property, to install alternative fuel dispensing systems.

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Card Credit Discover Service Phil Lampert, Executive Director of the National Ethanol Vehicle Coalition stated, "The adoption of an infrastructure development credit in the Energy Bill has been the highest priority of the NEVC for the past four years. Additionally, we were concerned with the initial manner in which the IRS interrupted the law, but this final form clearly reflects the intent of the Congress that a vendor with multiple sites be able to utilize the credit at each property being upgraded to dispense E85." The new federal income tax credit can also be used by units of government. This can be done by allowing the taxpaying installer to take the credit and indicate to the tax exempt the amount of the credit being provided to offset the total cost of the improvements.

  • Whether you are eligible for advanced earned income tax credit.
  • How the advanced earned income tax credit is computed.

Credit Public Service Union "We believe that this new incentive will provide a significant boost to E85 fueling stations across the country and ease operators' concerns about the initial cost of the equipment," added Lampert.

However, if you have investment income of $2, 550 or more, you won't qualify for the federal earned income credit. Investment income includes taxable and nontaxable interest and dividends, capital gains, net income from rental of personal property, net royalty income, and net income from passive activities shown on Schedule E, including real estate rentals (see IRS Publication 596, Earned Income Credit, if you are on the borderline and need to know exactly which lines on Schedule E to look at in determining your passive income).

Card Credit Processing Service Curtis Donaldson, Chairman of the NEVC stated, "The alternative fuel infrastructure tax credit passed with strong bipartisian support in the Congress last year, but the initial co-sponsors were Senators Jim Talent and Barrak Obama. We are very appreciative of their leadership in promoting this tax credit."

Center Credit Service Union Donaldson added, "While this new infrastructure tax credit can be used to advance all forms of alternative fuels, we feel that the greatest impact will be to assist our efforts to establish E85 fueling sites."

The National Ethanol Vehicle Coalition is the nation's primary advocacy group advancing the use of 85% ethanol as a form of alternative transportation fuel. See www.E85fuel.com for more information.

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