(a) "Biofuel" means liquid, gaseous or solid fuels, derived from biomass, that have been converted into a processed fuel ready for use as energy by a biofuel producer’s customers or for direct biomass energy use at the biofuel producer’s site.
(b) "Biofuel producer" means a person that, through activities in Oregon:
(A) Alters the physical makeup of biomass to convert it into biofuel;
(B) Changes one biofuel into another type of biofuel; or
(C) Uses biomass in Oregon to produce energy.
(c) "Bovine manure" means, subject to subsection (2) of this section, cattle manure that is produced on Oregon farms.
(d) "Bovine manure producer or collector" means a person that produces or collects bovine manure in Oregon that is used, in Oregon, as biofuel or to produce biofuel.
(e) "Cattle" means cows, heifers, bulls, steers or calves.
(2) The Director of Agriculture may adopt rules to define criteria, only as the criteria apply to bovine manure, to determine additional characteristics of bovine manure for purposes of this section.
(3)(a) A bovine manure producer or collector shall be allowed a credit against the taxes that would otherwise be due under ORS chapter 316 or, if the taxpayer is a corporation, under ORS chapter 317 or 318 for the collection of bovine manure in Oregon that is used, in Oregon, as biofuel or to produce biofuel.
(b) A credit under this section may be claimed in the tax year in which the credit is certified under this section.
(c) A credit under this section may be claimed only once for each wet ton of bovine manure.
(4) The amount of the credit shall be calculated at a rate of $3.50 per wet ton, as certified under this section.
(5)(a) The State Department of Agriculture may establish by rule procedures and criteria for determining the amount of the tax credit to be certified under this section. The department shall provide written certification to taxpayers that are eligible to claim the credit under this section.
(b) The State Department of Agriculture may charge and collect a fee from taxpayers for certification of credits under this section. The fee may not exceed the cost to the department of issuing certifications.
(6) All fees collected under this section shall be deposited in the State Treasury to the credit of the Department of Agriculture Service Fund. Moneys deposited under this section are continuously appropriated to the department for the purpose of administering and enforcing the provisions of this section.
(7) The Department of Revenue may require that the State Department of Agriculture provide information about the certification issued under this section, if required by ORS 315.058.
(8) The amount of the credit claimed under this section for any tax year may not exceed the tax liability of the taxpayer.
(9) Each bovine manure producer or collector shall maintain a record of the written certification of the amount of the tax credit under this section for a period of at least five years after the tax year in which the credit is claimed and provide the written certification to the Department of Revenue upon request.
(10) The credit shall be claimed on a form prescribed by the Department of Revenue that contains the information required by the department.
(11) Any tax credit otherwise allowable under this section that is not used by the taxpayer in a particular tax year may be carried forward and offset against the taxpayer’s tax liability for the next succeeding tax year. Any credit remaining unused in the next succeeding tax year may be carried forward and used in the second succeeding tax year, and likewise any credit not used in that second succeeding tax year may be carried forward and used in the third succeeding tax year, and any credit not used in that third succeeding tax year may be carried forward and used in the fourth succeeding tax year, but may not be carried forward for any tax year thereafter.
(12) In the case of a credit allowed under this section:
(a) A nonresident shall be allowed the credit under this section in the proportion provided in ORS 316.117.
(b) If a change in the status of the taxpayer from resident to nonresident or from nonresident to resident occurs, the credit allowed by this section shall be determined in a manner consistent with ORS 316.117.
(c) If a change in the taxable year of the taxpayer occurs as described in ORS 314.085, or if the department terminates the taxpayer’s taxable year under ORS 314.440, the credit allowed under this section shall be prorated or computed in a manner consistent with ORS 314.085.
(13) A person that has earned a tax credit under this section may transfer the credit to a taxpayer subject to tax under ORS chapter 316, 317 or 318. The transfer must comply with ORS 315.056.
(14) The Director of Agriculture may order the suspension or revocation of a certification issued under this section, as provided in ORS 315.061. [2017 c.610 §7; 2018 c.111 §1; 2019 c.483 §10]
Note: Section 11, chapter 610, Oregon Laws 2017, provides:
Sec. 11. Section 7 of this 2017 Act [315.176] applies to tax years beginning on or after January 1, 2018, and before January 1, 2022. [2017 c.610 §11]
Structure 2021 Oregon Revised Statutes
Volume : 08 - Revenue and Taxation
Chapter 315 - Personal and Corporate Income or Excise Tax Credits
Section 315.037 - Tax expenditures applicable for limited time.
Section 315.047 - List of tax credits with revenue impact in excess of projection.
Section 315.051 - Report by Legislative Revenue Officer.
Section 315.053 - Restriction on types of transferees.
Section 315.056 - Conditions for transfer of tax credit.
Section 315.058 - Agency to provide tax credit approval information to Department of Revenue.
Section 315.061 - Suspension, revocation or forfeiture.
Section 315.068 - Claim of right income repayment adjustments.
Section 315.104 - Reforestation; rules.
Section 315.108 - Annual reforestation credit cost limitation.
Section 315.113 - Voluntary removal of riparian land from farm production; rules.
Section 315.119 - On-farm processing facilities.
Section 315.138 - Screening devices, by-pass devices or fishways; rules.
Section 315.141 - Biomass production or collection; fee; rules; documentation.
Section 315.144 - Transfer of biomass credit; rules.
Section 315.154 - Definitions for crop donation credit.
Section 315.156 - Crop donation; forms.
Section 315.163 - Definitions for ORS 315.163 to 315.169.
Section 315.164 - Agriculture workforce housing projects; rules.
Section 315.167 - Agriculture workforce housing credit application; procedure; rules.
Section 315.174 - Livestock killed by wolf.
Section 315.176 - Bovine manure production or collection; rules.
Section 315.184 - Annual limitation on total amount of tax credits; proportionate reduction.
Section 315.204 - Dependent care assistance; rules.
Section 315.208 - Dependent care facilities.
Section 315.213 - Contributions to Office of Child Care.
Section 315.237 - Employee and dependent scholarship program payments.
Section 315.262 - Working family child care; rules.
Section 315.264 - Working family household and dependent care expenses; rules.
Section 315.271 - Individual development accounts.
Section 315.272 - Certain individual development account withdrawals.
Section 315.304 - Pollution control facilities.
Section 315.329 - Funding in lieu of tax credit certification.
Section 315.331 - Energy conservation projects.
Section 315.336 - Transportation projects.
Section 315.341 - Renewable energy resource equipment manufacturing facilities.
Section 315.354 - Energy conservation facilities.
Section 315.357 - Time limit applicable to energy conservation tax credit.
Section 315.465 - Biofuels and fuel blends.
Section 315.469 - Biodiesel used in home heating.
Section 315.507 - Electronic commerce in designated enterprise zone.
Section 315.508 - Recordkeeping requirements; disallowance of credit.
Section 315.514 - Film production development contributions; auction of tax credits; rules.
Section 315.516 - Funding in lieu of tax credit certification.
Section 315.517 - Water transit vessels.
Section 315.523 - Employee training.
Section 315.529 - Definitions.
Section 315.533 - Qualified equity investments.
Section 315.536 - Transferability of credit.
Section 315.591 - Definitions.
Section 315.593 - Short line railroad rehabilitation projects; rules.
Section 315.595 - Preliminary certification; application; allocation priority; rules.
Section 315.597 - Final certification; rules.
Section 315.599 - Fees; appropriation for expenses.
Section 315.610 - Long term care insurance.
Section 315.616 - Additional providers who may qualify for credit.
Section 315.619 - Credit for medical staff at type C hospital.
Section 315.622 - Rural emergency medical services providers.
Section 315.624 - Medical care to residents of Oregon Veterans’ Home.
Section 315.628 - Health care services under TRICARE contract.
Section 315.631 - Certification of health care providers; reports.
Section 315.640 - University venture development fund contributions.
Section 315.643 - Opportunity Grant contributions; auction of tax credits; certification; rules.
Section 315.646 - Funding in lieu of tax credit certification.
Section 315.650 - Higher education savings account or ABLE account contributions.
Section 315.653 - Forfeiture of prior tax relief; disallowed withdrawal or distribution.
Section 315.675 - Trust for Cultural Development Account contributions.