Assembly Bill 222 proposes the establishment of a tax credit for the production of sustainable aviation fuel (SAF) in Wisconsin. The bill defines sustainable aviation fuel as aviation fuel that is at least 90% derived from synthetic, renewable, and nonpetroleum sources, including energy crops grown within the United States. Starting in the tax year 2028, eligible claimants can receive a credit of $1.50 for each gallon of SAF produced in the state. The bill also specifies that partnerships, limited liability companies, and tax-option corporations cannot directly claim the credit, but they can pass the eligibility and amount of the credit to their partners or shareholders based on their ownership interests.

The bill amends several sections of the statutes to incorporate this new tax credit, including the addition of new subsections that outline the definitions, filing claims, limitations, and administration of the credit. Notably, it amends existing statutes to include references to the new credit, such as adding the new credit under sections 71.05, 71.21, 71.26, 71.34, and others. The legislation aims to promote the production of sustainable aviation fuel, thereby supporting environmental sustainability and the growth of renewable energy sources in Wisconsin.

Statutes affected:
Bill Text: 71.05(6)(a)15, 71.05, 71.21(4)(a), 71.21, 71.26(2)(a)4, 71.26, 71.34(1k)(g), 71.34, 71.45(2)(a)10, 71.45