28*2 - Biofuel production credit.

* § 28. Biofuel production credit.  (a) General. A taxpayer subject to  tax  under  article  nine, nine-A or twenty-two of this chapter shall be  allowed a credit against such tax pursuant to the provisions  referenced  in  subdivision  (d)  of  this section. The credit (or pro rata share of  earned credit in the case of a partnership) for each gallon  of  biofuel  produced  at a biofuel plant on or after January first, two thousand six  shall equal fifteen cents per gallon after the production of  the  first  forty  thousand  gallons  per year presented to market. The credit under  this section shall be capped at two and  one-half  million  dollars  per  taxpayer  per  taxable  year  for  up  to  no more than four consecutive  taxable years per biofuel plant. If the  taxpayer  is  a  partner  in  a  partnership  or  shareholder  of  a New York S corporation, then the cap  imposed by the preceding sentence shall be applied at the entity  level,  so that the aggregate credit allowed to all the partners or shareholders  of each such entity in the taxable year does not exceed two and one-half  million dollars.    (b)  Definitions. For the purpose of this section, the following terms  shall have the following meanings:    (1) "Biofuel" means a fuel which includes biodiesel and  ethanol.  The  term  "biodiesel"  shall mean a fuel comprised exclusively of mono-alkyl  esters of long chain fatty acids derived from vegetable oils  or  animal  fats,  designated  B100,  which  meets  the  specifications  of American  Society of  Testing  and  Materials  designation  D  6751-02.  The  term  "ethanol" shall mean ethyl alcohol manufactured in the United States and  its  territories  and  sold (i) for fuel use and which has been rendered  unfit for beverage use in a manner and which is produced at  a  facility  approved  by the federal bureau of alcohol, tobacco and firearms for the  production of ethanol for fuel, or (ii) as  denatured  ethanol  used  by  blenders  and  refiners  which has been rendered unfit for beverage use.  The term "biofuel" may also include any other standard approved  by  the  New York state energy and research development authority.    (2)  "Biofuel  plant"  means a commercial facility located in New York  state at which one or more biofuels are produced.    (c) Reporting requirements. A taxpayer wishing to claim a credit under  this section shall annually certify to the commissioner (i) that biofuel  produced at the eligible biofuel plant meets all existing standards  for  biofuel  and (ii) the amount of biofuel produced at the eligible biofuel  plant during a taxable year.    (d) Cross-references. For application of the credit  provided  for  in  this section, see the following provisions of this chapter:    (1) Article 9: Section 187-c.    (2) Article 9-A: Section 210, subdivision 38.    (3) Article 22: Section 606, subsections (i) and (jj).    * NB There are 2 § 28's