Bill 119 HR 311 aims to make significant changes to the Internal Revenue Code of 1986 by repealing several tax credits related to alternative fuels. Specifically, the bill seeks to eliminate the alcohol fuels credit, the biodiesel fuel credit, the sustainable aviation fuel credit, the clean fuel production credit, the alcohol fuel, biodiesel, and alternative fuel mixtures credit, and other related provisions.
These tax credits were originally put in place to incentivize the production and use of alternative fuels, such as ethanol, biodiesel, and sustainable aviation fuel. However, proponents of Bill 119 HR 311 argue that these credits are no longer necessary and may be contributing to inefficiencies in the market.
By repealing these tax credits, the bill aims to simplify the tax code and remove what some see as unnecessary government intervention in the energy sector. Critics of the bill, on the other hand, argue that repealing these credits could have negative impacts on the alternative fuel industry and hinder efforts to reduce greenhouse gas emissions.
Overall, Bill 119 HR 311 represents a significant change in the tax treatment of alternative fuels and is likely to spark debate among lawmakers and stakeholders in the energy sector.