An Act to Make the Biofuel Commercial Production and Commercial Use Tax Credit and the Renewable Chemicals Tax Credit Refundable

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132nd MAINE LEGISLATURE
SECOND REGULAR SESSION-2026
Legislative Document No. 2044
S.P. 837 In Senate, December 11, 2025
An Act to Allow for the Transferability of the Biofuel Production
and Renewable Chemicals Tax Credits
Approved for introduction by a majority of the Legislative Council pursuant to Joint Rule
203.
Received by the Secretary of the Senate on December 9, 2025. Referred to the Committee
on Taxation pursuant to Joint Rule 308.2 and ordered printed.
DAREK M. GRANT
Secretary of the Senate
Presented by Senator PIERCE of Cumberland.
Cosponsored by Speaker FECTEAU of Biddeford.

Page 1 - 132LR2729(01)
1Be it enacted by the People of the State of Maine as follows:
2Sec. 1. 36 MRSA §5219-X, sub-§4-A is enacted to read:
34-A. Transferability. A taxpayer who has received a letter of certification from the
4 Commissioner of Environmental Protection pursuant to subsection 4 but has not yet
5 claimed the credit may, with prior notice to the assessor on a form developed by the
6 assessor, transfer the certification in whole or in part to any individual or entity, and the
7 transferee may apply the credit against the transferee's Maine income tax liability with the
8 same effect as if the transferee had engaged in the production of the biofuels. A transferee
9 of the credit is subject to the same limitations and carry-forward provisions as the taxpayer
10 who generated the credit. The transferee may claim the credit on the transferee's Maine
11 income tax return and must attach a copy of the transferred letter of certification to the
12 transferee's Maine income tax return together with a statement showing how much of the
13 credit has been transferred to the taxpayer.
14Sec. 2. 36 MRSA §5219-XX, sub-§6 is enacted to read:
156. Transferability. A taxpayer who is entitled to claim a tax credit under this section
16 may transfer the credit in accordance with this subsection. The taxpayer shall provide the
17 assessor with the information required by subsection 5 and rules adopted by the assessor.
18 The assessor shall review the information submitted by the taxpayer and determine whether
19 the taxpayer is eligible for the credit. If the assessor determines that the taxpayer is eligible
20 for the credit, the assessor shall issue a certificate of approval to the taxpayer. A taxpayer
21 who has received a certificate of approval from the assessor but has not yet claimed the
22 credit may, with prior notice to the assessor on a form developed by the assessor, transfer
23 the certificate in whole or in part to any individual or entity, and the transferee may apply
24 the credit against the transferee's Maine income tax liability with the same effect as if the
25 transferee had engaged in the production of the renewable chemicals. A transferee of the
26 credit is subject to the same limitations and carry-forward provisions as the taxpayer who
27 generated the credit. The transferee may claim the credit on the transferee's Maine income
28 tax return and must attach a copy of the transferred certificate of approval together with a
29 statement showing how much of the credit has been transferred to the taxpayer. A taxpayer
30 who transfers a credit under this subsection may not claim a credit that has been transferred.
31SUMMARY
32 This bill provides for the transfer of the biofuel production and renewable chemical tax
33 credits to 3rd parties.
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