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Iowa E85 Gasoline Promotion Tax Credit

Promotion of E85 Gasoline in Iowa through Tax Credits

BS

Business Tax Specialist

Tax Expert

3 min read
Published on 4 months ago
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Iowa E85 Gasoline Promotion Tax Credit

The Iowa E85 Gasoline Promotion Tax Credit (Form IA 135) is designed to support the use of E85 gasoline, a renewable fuel blend containing 85% ethanol and 15% gasoline. This credit is available to businesses that sell E85 gasoline at retail in Iowa during the tax year.

Eligibility and Requirements

  • Must be a business selling E85 gasoline at retail in Iowa.
  • Must report the total number of E85 gasoline gallons sold during the tax year.
  • Must file Form IA 135 with the Iowa Department of Revenue.

How to Claim the Credit

To claim the Iowa E85 Gasoline Promotion Tax Credit, follow these steps:

  1. Log in to your tax return in the Online Taxes software.
  2. Click on "State" in the left menu (or tap the three dots for mobile devices).
  3. Select "Start or Revisit Iowa state."
  4. Under the "Credits" section, choose "IA 135 - E85 Gasoline Promotion Tax Credit."
  5. Click "Save & Continue Return" and follow the on-screen instructions.

Form Details

Form IA 135 requires the following information:

  • Name(s) of the filer
  • Social Security Number (SSN) or Federal Employer Identification Number (FEIN)
  • Pass-through entity details (if applicable)
  • Tax period ending date
  • Total number of E85 gasoline gallons sold at retail in Iowa during the tax year

Source:
Form IA 135 - Iowa E85 Gasoline Promotion Tax Credit

Disclaimer: Always verify details with the official Federal or State Department of Revenue Forms and Instructions.

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Key Takeaways

  • Understanding tax deductions can significantly reduce your tax liability
  • Keep detailed records of all tax-related expenses and documents
  • Consult with a tax professional for complex situations

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