Turning biomass into business
Iowa offers the first in the nation Renewable Chemicals Production Tax Credit. The program incentivizes the production of 30 high-value chemicals derived from biomass feedstocks. According to the U.S. Department of Agriculture, the credit represents the “strongest” incentive package for the bio-based chemical industry.
Iowa developed the program to capitalize on its resources and infrastructure and to capture the renewable chemical manufacturing industry; it addresses the unique opportunity to advance Iowa’s economy by focusing on the development of biomass as feedstocks for the production of renewable chemicals.
- Annual limits of $1 million for startups and $500,000 for established businesses
- Incentivizes production based on weight ($0.05 per pound produced)
How to Apply
- Applications accepted February 15-March 15, 2020, for chemicals produced in calendar year 2019
- During the filing window, the application will be available at https://rcp-taxcredit.iowa.gov. Select sign in, which is located in the upper right corner, to create an account to begin the application.