For purposes of section 38, the sustainable aviation fuel credit determined under this section for the taxable year is, with respect to any sale or use of a qualified mixture which occurs during such taxable year, an amount equal to the product of-
For purposes of this section, the term "applicable supplementary amount" means, with respect to any sustainable aviation fuel, an amount equal to $0.01 for each percentage point by which the lifecycle greenhouse gas emissions reduction percentage with respect to such fuel exceeds 50 percent. In no event shall the applicable supplementary amount determined under this subsection exceed $0.50.
For purposes of this section, the term "qualified mixture" means a mixture of sustainable aviation fuel and kerosene if-
For purposes of this section, the term "sustainable aviation fuel" means liquid fuel, the portion of which is not kerosene, which-
In this subsection-
The term "applicable material" means-
The term "biomass" has the same meaning given such term in section 45K(c)(3).
For purposes of this section, the term "lifecycle greenhouse gas emissions reduction percentage" means, with respect to any sustainable aviation fuel, the percentage reduction in lifecycle greenhouse gas emissions achieved by such fuel as compared with petroleum-based jet fuel, as defined in accordance with-
No credit shall be allowed under this section with respect to any sustainable aviation fuel unless the producer or importer of such fuel-
The amount of the credit determined under this section with respect to any sustainable aviation fuel shall, under rules prescribed by the Secretary, be properly reduced to take into account any benefit provided with respect to such sustainable aviation fuel solely by reason of the application of section 6426 or 6427(e).
This section shall not apply to any sale or use after December 31, 2024.
26 U.S.C. § 40B
EDITORIAL NOTES
REFERENCES IN TEXTThe date of enactment of this section, referred to in subsec. (e)(2), is the date of enactment of Pub. L. 117-169, which was approved Aug. 16, 2022.
STATUTORY NOTES AND RELATED SUBSIDIARIES
EFFECTIVE DATE Pub. L. 117-169, §13203(f), Aug. 16, 2022, 136 Stat. 1935, provided that: "The amendments made by this section [enacting this section and amending sections 38, 40A, 87, 4101, 6426, and 6427 of this title] shall apply to fuel sold or used after December 31, 2022."
- Secretary
- The term "Secretary" means the Secretary of the Treasury or his delegate.
- taxable year
- The term "taxable year" means the calendar year, or the fiscal year ending during such calendar year, upon the basis of which the taxable income is computed under subtitle A. "Taxable year" means, in the case of a return made for a fractional part of a year under the provisions of subtitle A or under regulations prescribed by the Secretary, the period for which such return is made.
- taxpayer
- The term "taxpayer" means any person subject to any internal revenue tax.
- trade or business
- The term "trade or business" includes the performance of the functions of a public office.