Ethanol lobby wins in Obama-GOP tax deal

Income tax rates, unemployment extension, payroll tax holiday, blah blah blah. For someone like me, looking for the hand of special interests in all political deals, the headliners in the Obama-GOP tax deal were yawners. But dig deepers, and there's some real fun in there.

Iowa's Quad-City Times reports:

A deal to extend the Bush-era tax cuts also includes action on ethanol and biodiesel credits, U.S. Sen. Chuck Grassley, R-Iowa, said Tuesday.

The details aren’t clear yet, but Grassley told reporters that the ethanol and biodiesel tax credits would get a temporary extension, through 2011….

The ethanol credit, at 45 cents per gallon, is scheduled to expire at the end of the year.

Grassley said the biodiesel credit extension also included applying it retroactively to 2010.

The Renewable Fuels Association, according to Reuters, is saying “An extension of the major U.S. ethanol subsidy “is part of the deal at the moment” in negotiations for an omnibus tax bill but the size and lifespan of the subsidy are not set yet.”

Here's my column about ethanol subsidies as a test of Republicans' concern for free markets.

Beltway ConfidentialUS

If you find our journalism valuable and relevant, please consider joining our Examiner membership program.
Find out more at www.sfexaminer.com/join/

Just Posted

CCSF file photo
Workforce development fund to support training programs at City College

Supervisors back plans to use $500K toward economic recovery efforts through CCSF

Toilet (Shutterstock)
Table salt and poop: Testing for COVID-19 in S.F. sewage

The City’s sewers could provide an early warning of fresh outbreaks

Lakeshore Elementary School was closed in March shortly before SFUSD closed all schools due to coronavirus concerns. The district is now working to prepare all elementary schools to reopen by mid-January.<ins> (Kevin N. Hume/S.F. Examiner)</ins>
School district preparing buildings for hybrid learning

SFUSD plans to use 72 elementary schools and 12 early education sites for first phase of reopening

The installation “Alexandre Singh: A Gothic Tale” is on view at the Legion of Honor, which reopens Oct. 30 with safety protocols in place. (Courtesy Fine Arts Museums of San Francisco)
Legion of Honor reopens in time for Halloween

‘A Gothic Tale’ among exhibitions on view

Most Read