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Section 45Z Clean Fuel Production Credit (Extended & Modified)

Illinois — state program$0.20 or $1.00
The Section 45Z Clean Fuel Production Credit is extended for fuel sold before Jan. 1, 2030. The applicable credit amount is either $0.20 or $1.00 per gallon for transportation fuel produced after Dec. 31, 2025. Feedstock must be produced or grown in the United States, Mexico, or Canada; specified and foreign-influenced entities are excluded.

Program details

Type
tax-credit
Amount
$0.20 or $1.00
Eligibility
Producers of qualifying transportation fuel; credit cannot be claimed by specified foreign entities (for taxable years beginning after July 4, 2025) or foreign-influenced entities (for taxable years beginning after July 4, 2027).
Status
open
Administrator
IRS
Source: Illinois — state program. Confirm current terms with the administering agency before applying.

Find out whether your facility qualifies