Treasury Department and IRS Release Guidance With Respect to the Sustainable Aviation Fuel Credit

On December 19, 2022, the Treasury Department and the IRS released Notice 2023-6 (the Notice), which provides guidance with respect to the credit for sustainable aviation fuel (SAF). The Inflation Reduction Act of 2022 (the IRA) enacted Section 40B of the Internal Revenue Code of 1986, as amended (the Code), which allows a credit with respect to the sale or use of a qualified mixture prior to 2025 equal to the product of the number of gallons of SAF in the qualified mixture and an applicable credit rate (the SAF Credit).