The United Steelworkers (USW) announced today that it has filed comments strongly opposing a Senate Finance Committee staff draft of legislation that if enacted would specifically target the pulp and paper industry for repeal of a vital tax credit.
The tax credit in question gives users of a tax credit for the use of the alternative fuel when it is mixed with very small amounts of taxable motor fuel. The paper industry is the largest industrial user of bio-fuel in the United States. Last year, the IRS issued a ruling to qualify for the credit, provided companies met strict conditions mandated by the agency.
“This tax credit is encouraging paper companies to make greater use of bio-fuel, and in the case of one Maine producer, Old Town Fuel & Fiber in Old Town, it’s allowing this company to pursue a project to produce jet fuel in addition to pulp,” said USW President Leo W. Gerard ... more