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Clean Fuel Production Credit

A tax break for companies that produce certain types of cleaner transportation fuels, designed to encourage their production and use.

Feedstock

The raw material or ingredient used to produce something, in this case, the crops or other substances used to make clean fuels.

Internal Revenue Code of 1986

The main body of federal tax laws in the United States, which the IRS uses to collect taxes.

Transportation fuel

Fuels specifically designed for use in vehicles, such as gasoline, diesel, jet fuel, or biofuels.

Lifecycle greenhouse gas emissions

All the heat-trapping gases released into the atmosphere during the entire process of making, transporting, and using a fuel, from its raw materials to its final consumption.

Indirect land use change

The unintended environmental impact that occurs when demand for biofuel crops leads to existing farmland being converted, pushing food production to new areas where natural habitats might be cleared.