Form 6478 is used to figure your section 40 biofuel producer credit for tax years beginning from 2017 for fuel sold or used before 2025. The credit consists of the second generation biofuel producer credit.
What qualifies as second generation biofuel production and biofuel?
This is second generation biofuel, which during the tax year:
- Is sold by the producer to another person:
- For use by the buyer in the buyer's trade or business to produce a qualified second generation biofuel mixture
- For use by the buyer as a fuel in a trade or business, or
- Who sells the second generation biofuel to another person and puts the second generation biofuel in the buyer's fuel tank; or
- Is used or sold by the producer for any purpose mentioned above.
The second generation biofuel is any liquid fuel, which:
- Is derived by, or from qualified feedstocks;
- Meets the registration requirements for fuels and fuel additives established by the Environmental Protection Agency (EPA) under section 211 of the Clean Air Act.
- Isn't alcohol of less than 150 proof.
How can you claim the credit?
The credit can be claimed for the tax year which the sale or use occurs in. You may claim or elect not to claim the credit at any time within 3 years from the deadline date of your return (not including returns with extensions filed) on either an original or amended return for the tax year.
Who can claim the credit?
Partnerships, S corporations, cooperatives, estates, and trusts must file this form to claim the credit. All other taxpayers aren't required to complete or file this form if their only source for this credit is a partnership, estate or trust, or entity.
Program Entry:
- Federal
- Deductions - "Select My Forms"
- Credits
- Less Common Credits
- Biofuel Producer Credit
For more information, please review Instructions for Form 6478.