Ethanol Tax Credit Could Be Early Casualty of Cuts In Spending

EINNews.com

Nov. 5, 2010 /EIN Presswire/ - Farm groups and major ethanol producers expressed deep concern today that tax credits for ethanol blenders will take a big hit as a result of Tuesday's election.

A 45-cent-a-galllon tax credit for ethanol is set to expire before year's end unless renewed by Congress in a lame-duck session scheduled later this month. Members may be reading the tea leaves of voter reaction to government spending and target the tax extension as the first casualty.

Robert Stallman, president of the American Farm Bureau, the nation's largest U.S. farmer group, told Bloomberg News yesterday that "Only those things will pass a lame duck where Republicans agree with the Democrats' position. I'm not sure that's the case."

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