Valero Sues for Over $37 Million in Tax Credits for Biomass Fuel

Valero Marketing and Supply Co. launched another lawsuit seeking federal alternative fuel tax credits, this time claiming an excise tax refund of up to $37.2 million for biomass-derived pentane bends.

The suit filed Monday in US District Court for the Western District of Texas seeks to compel the government to refund tax Valero paid between the end of 2014 and the end of 2017.

The company claims the government has failed to recognize its eligibility to recognize “liquid fuel derived from biomass, which is liquid fuel created from organic material” which it blended into its gasoline. The company said it ...