The Propane Education & Research Council is encouraging propane forklift users to take advantage of the Alternative Fuel Tax Credit, which was recently passed by the U.S. Congress as part of the Further Consolidated Appropriations Act, 2020.
Businesses operating propane forklifts who apply for the tax credit will be able to claim a credit for every gasoline gallon equivalent of propane purchased, or about 37 cents per gallon. The bill not only extends the credits through Dec. 31, 2020, but facility managers can also apply for credits retroactively for any fuel purchases made in 2018 and 2019. While April is typically tax month, companies now have until July 15 to file.
“Propane-powered forklifts are already a leader in the material handling market because of the key advantages they offer over other fuels, so this opportunity only strengthens their value proposition,” said Jeremy Wishart, director of off-road business development at PERC. “Businesses across the country are leveraging propane’s versatility and clean, powerful performance to keep crews more productive—and now they can cash in on extra cost savings, too.”
For facilities and distribution operations that require on-site refueling, the new law also retroactively extends the Alternative Fuel Vehicle Refueling Property Credit, which allows facility managers to claim up to 30 percent or $30,000 of the cost of installing qualified alternative fuel equipment refueling property—including propane refueling equipment.
Businesses operating propane forklifts can learn more about how to apply for these credits through this fact sheet from the National Propane Gas Association. PERC encourages all forklift operators to consult their own tax advisers first regarding any claims for credits or refunds.
Source: Propane Education & Research Council