Using alternative jet fuel

From the 2024 DOR Tax Exemption Study

82.04.436 - Manufacturing alternative jet fuel Description A B&O tax credit is available to those manufacturing alternative jet fuel. The credit equals $1 per gallon of alternative jet fuel having at least 50% less carbon dioxide (CO2) equivalent emissions than conventional jet fuel and is sold by either: - A business manufacturing alternative jet fuel located in a qualifying county with a population less than 650,000 at the time of an application to the department. - A business's designated fuel blender located in Washington. The credit amount must increase by 2 cents for each additional 1% reduction in CO2 equivalent emissions beyond 50%, not to exceed $2 per gallon. The credit is calculated only on the portion of jet fuel that is considered alternative jet fuel and does not include conventional jet fuel when such fuels are blended or otherwise used in a jet fuel mixture. The credit may be earned from the first day of the quarter immediately following the month when the Department of Ecology notifies the department when one or more facilities are operating in Washington with a cumulative production capacity of at least 20 million gallons of alternative jet fuel each year. No cred