Bills › 91st General Assembly

Extending the biodiesel blended fuel tax credit

Topics:AgricultureTaxesTax credits & incentives

Same legislation: HF 2785

Where it is now

  1. Done: IntroducedFebruary 5, 2026
  2. Done: SubcommitteeFebruary 5, 2026
  3. Done: House committeeApril 21, 2026
  4. Skipped: Passes the HouseContinued as HF 2785
  5. Next: Senate committee
  6. Next: Passes the Senate
  7. Next: To the Governor
  8. Next: Signed into law

Became HF 2785 → Its progress continues under the new number. Go to HF 2785 What’s a funnel?

What’s in it

AI summary Retailers who sell biodiesel blended fuel can continue to receive a tax credit for five more years. Instead of ending in 2028, this tax break would now last until 2033. The change also makes sure businesses get the full credit even if their specific tax year doesn't match the exact end date.1

Read the official explanation

This bill extends the repeal of the biodiesel blended fuel tax credit for retail dealers from January 1, 2028, to January 1, 2033, for purposes of the individual and corporate income taxes. The bill amends the Iowa Acts to ensure the availability of the biodiesel blended fuel tax credit for an entire tax year for those retail dealers whose tax year does not align with the repeal date of the tax credit.

Full bill text2

House subcommittee

Named February 5, 2026. On February 17, 2026 it recommended passage.

Three legislators hear a bill first and recommend what the committee should do; it’s the best time to weigh in. How to take part

1 written public comment to its subcommittee: February 17, 2026 (1) · on the Legislature’s site

Fiscal note

AI summary This bill extends the expiration date of the biodiesel blended fuel tax credit for retail dealers until January 1, 2033. It is estimated to decrease General Fund revenues by $4.8 million in fiscal year 2029, $26.2 million in fiscal year 2030, $28.5 million in fiscal year 2031, $29.5 million in fiscal year 2032, and $30.2 million in fiscal year 2033.3

From the note: House File 2785 is estimated to decrease General Fund revenues by the following amounts: • FY 2029 = $4.8 million • FY 2030 = $26.2 million • FY 2031 = $28.5 million • FY 2032 = $29.5 million • FY 2033 = $30.2 million

Reading a fiscal note4

Iowa Code it changes

Amends§422.11P§422.33

How the Code works5

Lobbying

4 for · 0 against · 8 undecided · Who →

Family tree