Biodiesel and Alcohol Fuel Blend Sales Tax Exemption

July 15, 2003

Summary

Washington exempts machinery, equipment, and services used directly in the retail sale of biodiesel or alcohol fuel blend from state sales tax levied by RCW 82.08.020. In addition, the sales tax does not apply to sales of fuel delivery vehicles or sales or charges made to improve or repair such vehicles if at least seventy-five percent of the fuel distributed by the vehicle is a biodiesel or alcohol fuel blend. Biodiesel is defined by ASTM standards, and biodiesel blend is any fuel that contains at least twenty-five percent biodiesel fuel by volume. Alcohol fuel blend must contain at leat eighty-five percent alcohol fuel by volume.

Program Overview

Implementing Sector: State
Category: Financial Incentive
State: Washington
Incentive Type: Sales Tax Incentive
Web Site:
Administrator: Department of Revenue
Start Date: 07/01/03
Eligible Renewable/Other Technologies:
Incentive Amount: 100% sales tax exemption
Equipment Requirements: Biodiesel blends must be at least 20% biodiesel by volume; alcohol blends must be at least 85% alcohol by volume.

Authorities

Name: HB1241 (2003)
Date Enacted: 04/18/03
Effective Date: 07/01/03
Expiration Date: 07/01/09

Contact

Name: Tax Information
Organization: Department of Revenue
Address:
WA
Phone: (800) 647-7706

This information is sourced from DSIRE; the most comprehensive source of information on incentives and policies that support renewables and energy efficiency in the United States. Established in 1995, DSIRE is operated by the N.C. Clean Energy Technology Center at N.C. State University.