Alternative Fuel Tax Credit

Bottom Line: NPGA secures a multi-year extension of the alternative fuel tax credit.

On August 16, 2022, President Biden signed the Inflation Reduction Act of 2022 (IRA) into law. The IRA includes a multi-year extension of the Alternative Fuel Tax Credit, retroactive for 2022 and through 2024. NPGA’s legislative team worked diligently to educate Members of Congress on the importance of this credit and the critical role it plays in incentivizing Americans to adopt alternative fuel vehicles. This credit provides a 37 cents per gallon excise tax credit on the sale of propane when consumers use it in a motor vehicle or forklift. In the near future, NPGA will provide additional information to association members on how to claim this credit retroactively for 2022 and prospectively through 2024.  If you have any questions, please contact Michael Baker, NPGA Vice President of Legislative Affairs, at [email protected].