Plain English Breakdown
The bill does not provide specific details on how to calculate and apply the tax credit for taxpayers who donate spent grain byproducts.
Tax Credit for Donated Spent Grain Byproducts
This bill creates a tax credit for beer manufacturers who donate spent grain byproducts for agricultural use within Tennessee.
What This Bill Does
- Creates a tax credit for eligible taxpayers, such as beer brewers, who donate spent grain byproducts for agricultural purposes like composting or animal feed.
- Limits the amount of the tax credit to eight cents per pound of donated spent grain byproduct, up to $30,000 or the total excise taxes paid in a fiscal year.
- Requires taxpayers to apply for the credit according to rules set by the Department of Revenue.
- Allows the Department of Revenue and Agriculture to create rules to implement this tax credit.
Who It Names or Affects
- Beer manufacturers who hold licenses or permits to brew beer in Tennessee.
- Taxpayers who donate spent grain byproducts for agricultural use within 100 miles of where the grains were used to produce beer.
Terms To Know
- Eligible taxpayer
- A holder of a manufacturer license to brew high alcohol content beer or a permit to brew or manufacture beer in Tennessee.
- Spent grain byproduct
- The leftover material from grains used to produce beer, including high alcohol content beer.
Limits and Unknowns
- The bill does not specify how the tax credit will be calculated or applied for taxpayers who donate spent grain byproducts.
- It is unclear what happens if a taxpayer exceeds the $30,000 limit in one fiscal year but has unused credits from previous years.