IRS Issues Guidance on Alternative Fuel Refueling Property Credit

The Internal Revenue Service (IRS) has published Notice 2024-20, providing guidance on the expanded federal tax credit for alternative fuel vehicle refueling property, which includes both biofuel refueling infrastructure and electric vehicle charging stations. The tax credit, which was modified and expanded by the Inflation Reduction Act of 2022 (IRA), provides a 30% credit for non-depreciable property costs and 6% (potentially 30% with wage requirements) for depreciable property, with credit limits of $100,000 and $1,000, respectively. The credit targets low-income and rural communities. The notice outlines eligible census tracts and announces that additional IRS and Treasury regulations on this matter are forthcoming.

Here are complete details including a summary and list of frequently asked questions from the IRS:

This content is republished courtesy of the National Energy & Fuels Institute (NEFI)