Nebraska Tax Incentives

Biodiesel Production Investment Tax Credit

Investors in Nebraska biodiesel production facilities are eligible to receive a tax credit of up to 30% of the amount invested in the facility between January 1, 2008, and January 1, 2015, not to exceed $250,000. The credit is only available for facilities that produce B100, perform all processing in Nebraska, and are at least 51% owned by Nebraska individuals or entities. The tax credit may be reclaimed if the biodiesel production facility remains in operation for less than three years. B100 is defined as pure biodiesel containing mono-alkyl esters of long chain fatty acids derived from vegetable oils or animal fats that meets ASTM standard D6751. (Reference Nebraska Statutes 77-27,263)

Alternative Fuel Vehicle (AFV) and Fueling Infrastructure Loans

The Nebraska Energy Office administers the Dollar and Energy Saving Loans Program (Program). The Program makes low-cost loans available for a variety of alternative fuel projects, including: the replacement of conventional vehicles with AFVs; the purchase of new AFVs; the conversion of conventional vehicles to operate on alternative fuels; and the construction or purchase of a fueling station or equipment. Dedicated AFVs are eligible, and loans may go towards a portion of the cost of dual-fuel vehicles. The maximum loan amount is $150,000 per borrower, and the interest rate is 5% or less.

Point of Contact

General Inquiries
Nebraska State Energy Office
Phone (402) 471-2867
Fax (402) 471-3064
energy@nebraska.gov
http://www.neo.ne.gov/loan/index.html

Alternative Fuel Tax Refund

The Motor Fuel Tax Enforcement and Collection Division of the Nebraska Department of Revenue will refund taxes paid on compressed natural gas, liquefied natural gas, and liquefied petroleum gas when the fuel is used to operate buses capable of carrying seven or more passengers within or near a municipality. (Reference Nebraska Statutes 66-6,109.01)