Fillable Form 8864 - Biodiesel And Renewable Diesel Fuels Credit

Form 8864 (2013)

Page

Note. Production of renewable diesel is not qualified agri-

Line 8

biodiesel production.

Include this amount in income, under “other income” on

Eligible small agri-biodiesel producer. An eligible small

the applicable line of your income tax return, even if you

agri-biodiesel producer is a person who, at all times

cannot use all of the credit because of the tax liability

during the tax year, has a productive capacity for

limit. However, if you are subject to alternative minimum

agri-biodiesel not in excess of 60 million gallons.

tax (AMT), this amount is not income in computing AMT

and must be subtracted when figuring your alternative

Aggregation rule. All members of the same controlled

minimum taxable income. Do this by including this

group of corporations (see section 267(f)) and all persons

amount on line 27 of Form 6251, line 23 of Schedule I

under common control (see section 52(b) but treat an

(Form 1041), or line 2o of Form 4626.

interest of more than 50% as a controlling interest) are

treated as 1 person for purposes of the 15 and 60 million

Line 9

gallon limits.

If you are allocated a small agri-biodiesel producer credit

Partnership, S corporation, and other pass-through

from a pass-through entity, the entity must tell you the

entities. The 15 and 60 million gallon limits discussed

number of gallons for which it claimed the credit and its

above are applied at both the entity level and at the

productive capacity for agri-biodiesel. You, as a

partner or similar level.

shareholder, partner, beneficiary, or patron, are subject to

the 15 million gallon limitation for qualified agri-biodiesel

Registration

production and the 60 million gallon productive capacity

All producers and importers of biodiesel or renewable

limitation for an eligible small agri-biodiesel producer.

diesel must be registered with the IRS. All persons

Line 11

producing blended taxable fuel must be registered. See

Form 637, Application for Registration (For Certain Excise

A cooperative, estate, or trust allocating the small agri-

Tax Activities).

biodiesel credit must give the patron or beneficiary a

statement providing them with the number of gallons for

Coordination With Excise Tax Credit

which it claimed the credit and its productive capacity for

Only one credit may be taken with respect to any amount

agri-biodiesel. An estate or trust must also provide the

of biodiesel or renewable diesel. If any amount is claimed

amount of the small agri-biodiesel credit included as part

(or will be claimed) with respect to any amount of

of the pass-through credit. See the above instructions for

biodiesel or renewable diesel on Form 720, Quarterly

line 9.

Federal Excise Tax Return, Form 8849, Claim for Refund

Cooperatives. A cooperative described in section

of Excise Taxes, or Form 4136, Credit for Federal Tax

1381(a) can elect to allocate any part of the small agri-

Paid on Fuels, then a claim cannot be made on Form

biodiesel producer credit among the patrons of the

8864 for that amount of biodiesel or renewable diesel.

cooperative. The credit is allocated among the patrons

Recapture of Credit

eligible to share in patronage dividends on the basis of

You must pay a tax on each gallon of biodiesel or

the quantity or value of business done with or for such

patrons for the tax year.

renewable diesel on which a credit was claimed at the

rate used to figure the credit if you:

If the cooperative is subject to the passive activity

rules, include on line 9 any biodiesel and renewable diesel

• Use it (including a mixture) other than as a fuel,

fuels credit from passive activities disallowed for prior

• Buy it at retail and use it to create a mixture,

years and carried forward to this year. Complete Form

• Separate it from a mixture, or

8810, Corporate Passive Activity Loss and Credit

• Use agri-biodiesel on which the small agri-biodiesel

Limitations, to determine the allowed producer credits

producer credit was claimed for a use not described

that can be allocated to patrons. For details, see the

under Qualified Agri-Biodiesel Production above.

Instructions for Form 8810.

Report the tax on Form 720, Quarterly Federal Excise

The cooperative is deemed to have made the election

Tax Return.

by completing line 11. However, the election is not

effective unless (a) made on a timely filed return (including

Additional Information

extensions) and (b) the organization designates the

See Pub. 510, Excise Taxes.

apportionment in a written notice or Form 1099-PATR,

Taxable Distributions Received From Cooperatives,

Specific Instructions

mailed to its patrons during the payment period

described in section 1382(d).

Use lines 1 through 8 to figure any biodiesel and

If you timely filed your return without making an

renewable diesel fuels credit from your own trade or

election, you can still make the election by filing an

business.

amended return within 6 months of the due date of the

Skip lines 1 through 8 if you are claiming only a credit

return (excluding extensions). Enter “Filed pursuant to

that was allocated to you from a pass-through entity (that

section 301.9100-2” on the amended return.

is, an S corporation, partnership, estate, trust, or

Once made, the election cannot be revoked.

cooperative).

Estates and trusts. Allocate the biodiesel and renewable

diesel fuels credit on line 10 between the estate or trust

and the beneficiaries in the same proportion as income

was allocated and enter the beneficiaries’ share on line 11.

Form 8864 - Biodiesel And Renewable Diesel Fuels Credit - 2013 Page 3

Related Articles

Related forms

Related Categories