PERC promotes alternative fuel credit

October 5, 2022 By    
Photo: PERC

Photo: PERC

The Propane Education & Research Council (PERC) is encouraging propane autogas fleet operators to take advantage of the alternative fuel tax credit, which was recently passed by the U.S. Congress as part of the Inflation Reduction Act of 2022.

Fleet operators who apply will be able to claim a credit for every gasoline gallon equivalent of propane autogas purchased, or about 37 cents per gallon. The bill not only extends the credits through Dec. 31, 2024, but fleet owners can apply for credits retroactively for any fuel purchases made in 2022. Tax exempt entities that use propane autogas from an on-site fueling station for a vehicle fleet also qualify for the incentive.

“Thousands of fleets across the country rely on propane autogas every day for environmental sustainability, and these credits provide another opportunity for fleets to ensure they’re also realizing financial sustainability,” says Steve Whaley, director of autogas business development at PERC.

The new law also extends the alternative fuel vehicle refueling property credit, which allows operators to claim up to 6 percent or $100,000 of the cost of installing qualified alternative fuel vehicle refueling property, including propane autogas refueling equipment.

All fleets should consult their tax advisers regarding any claims for credits or refunds, PERC says.

About the Author:

Jesse Khalil was an intern at LP Gas magazine.

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