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. Starting in the tax year 2028, eligible claimants can receive a credit of $1.50 for each gallon of SAF produced in the state, provided that any energy crops used in the production are grown within the United States. The bill also specifies that partnerships, limited liability companies, and tax-option corporations cannot claim the credit directly, but can pass the eligibility and amount of the credit to their partners or shareholders based on their ownership interests.

The bill includes several amendments and new sections to existing statutes, specifically amending sections 71.05, 71.21, 71.26, 71.34, and 71.45, while creating new sections 71.07, 71.10, 71.28, 71.30, 71.47, and 71.49. Notably, it adds the new sustainable aviation fuel production credit to the list of credits in various sections, ensuring that the credit is accounted for in the tax calculations of partnerships and corporations. The proposed 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