Notice 2005-4, Fuel Tax Guidance, as modified

OMB No. 1545-1915

Model Certificate

Section 2. BIODIESEL CERTIFICATE
(a) Section 2 of Notice 2005–4 provides
guidance on credits and payments allowed
for biodiesel fuel. Section 2(h) of that notice describes the Certificate for Biodiesel
that, under the Code, the claimant must obtain “from” the producer of the biodiesel.
This notice revises the certificate to clarify that the claimant may obtain the certificate either directly from the producer of
the biodiesel or indirectly from a biodiesel
reseller.
(b) Section 2(h) of Notice 2005–4 also
requires that each claim contain a statement that the claimant has in its possession
an unexpired biodiesel certificate. This
notice revises that rule so that the claimant
generally must submit a copy of the certificate with its claim.
(c) This notice also provides guidance
on accounting for commingled biodiesel.
(d) Finally, this notice provides a transitional rule for claims that were made before August 29, 2005.
(e) Accordingly, section 2(h) of Notice
2005–4 is revised to read as follows:
Section 2. ALCOHOL AND BIODIESEL
CLAIMS
*****
(h) Content of claim; commingled
biodiesel—(1) In general.
Section
6426(c)(4) of the Code provides that
the biodiesel mixture credit of § 6426
is not allowed unless the producer of

the mixture obtains a certificate, in such
form and manner as may be prescribed
by the Secretary, from the producer of
the biodiesel that identifies the product
produced and the percentage of biodiesel
and agri-biodiesel in the product. Section 40A(b)(4) provides a similar rule for
the biodiesel mixture credit and biodiesel
credit allowed by § 40A. Under this notice,
these rules will also apply to the credit or
payment allowed for biodiesel mixtures
by § 6427(e). Accordingly, each claim for
a credit or payment under § 6426, 6427(e),
or 40A must contain the following information with respect to biodiesel or a
biodiesel mixture covered by the claim:
(i) The amount of agri-biodiesel and
the amount of biodiesel other than agribiodiesel in the biodiesel or biodiesel mixture.
(ii) A copy of the Certificate for
Biodiesel described in paragraph (h)(2)
of this section and, if applicable, the Statement(s) of Biodiesel Reseller described in
paragraph (h)(3) of this section. However,
in the case of a certificate and statement
that supports a claim made on more than
one claim form, the certificate and statement are to be included with the first claim
and the claimant is to provide information
related to the certificate on any subsequent
claim in accordance with the instructions
applicable to the claim form.
(iii) A statement by the claimant that the
claimant has no reason to believe that any
information in the certificate (described in

paragraph (h)(2) of this section) or statement (described in paragraph (h)(3) of this
section) is false.
(2) Certificate for Biodiesel—(i) In
general. The certificate to be obtained by
the claimant claiming a credit or payment
under § 6426, 6427(e), or 40A consists of a
statement that is signed under penalties of
perjury by a person with authority to bind
the biodiesel producer, is substantially in
the same form as the model certificate in
paragraph (h)(2)(ii) of this section, and
contains all the information necessary to
complete such model certificate. In the
case of a claimant that is the producer of
the biodiesel, the information required on
lines 2–7 of the model certificate is not
applicable and those lines do not need to
be completed. The certificate identification number is determined by the producer
and must be unique to each certificate. A
biodiesel producer may, with respect to a
particular sale of biodiesel, provide multiple separate certificates, each applicable to
a portion of the total volume of biodiesel
sold. Thus, for example, a biodiesel producer that sells 5,000 gallons of biodiesel
may provide its buyer with five certificates for 1,000 gallons each. The multiple
certificates may be provided either to the
buyer at or after the time of sale or to a
reseller in the circumstances described in
paragraph (h)(3)(i) of this section.
(ii) Model certificate.

CERTIFICATE FOR BIODIESEL
Certificate Identification Number:
(To support a claim related to biodiesel or a biodiesel mixture under the Internal Revenue Code)
The undersigned biodiesel producer (“Producer”) hereby certifies the following under penalties of perjury:
1.

Producer’s name, address, and employer identification number
2.

Name, address, and employer identification number of person buying the biodiesel from Producer
3.
Date and location of sale to buyer

August 29, 2005

444

2005–35 I.R.B.

4. This certificate applies to

gallons of biodiesel.

5. Producer certifies that the biodiesel to which this certificate relates is:
% Agri-biodiesel (derived solely from virgin oils)
% Biodiesel other than agri-biodiesel
This certificate applies to the following sale:
Invoice or delivery ticket number
Total number of gallons of biodiesel sold under that invoice or delivery ticket number (including biodiesel not
covered by this certificate)
Total number of certificates issued for that invoice or delivery ticket number
6.

Name, address, and employer identification number of reseller to whom certificate is issued (only in the case of certificates
reissued to a reseller after the return of the original certificate)
7.
Original Certificate Identification Number (only in the case of certificates reissued to a reseller after return of the
original certificate)
Producer is registered as a biodiesel producer with registration number
pended or revoked by the Internal Revenue Service.

. Producer’s registration has not been sus-

Producer certifies that the biodiesel to which this certificate relates is monoalkyl esters of long chain fatty acids derived
from plant or animal matter that meets the requirements of the American Society of Testing and Materials D6751 and the
registration requirements for fuels and fuel additives established by EPA under section 211 of the Clean Air Act (42 U.S.C.
7545).
Producer understands that the fraudulent use of this certificate may subject Producer and all parties making any fraudulent
use of this certificate to a fine or imprisonment, or both, together with the costs of prosecution.
Printed or typed name of person signing this certificate
Title of person signing
Signature and date signed
(3) Statement of Biodiesel Reseller—(i)
In general. A person that receives a Certificate for Biodiesel, and subsequently
sells the biodiesel without producing a
biodiesel mixture or claiming the biodiesel
credit, is to give the certificate and a statement that satisfies the requirements of
this paragraph (h)(3) to its buyer. The
statement must contain all of the information necessary to complete the model
certificate in paragraph (h)(3)(iii) of this
section and be attached to the Certificate
for Biodiesel. A reseller cannot make multiple copies of a Certificate for Biodiesel

2005–35 I.R.B.

to divide the certificate between multiple
buyers. If a single Certificate for Biodiesel
applies to biodiesel that a reseller expects
to sell to multiple buyers, the reseller
should return the certificate (together with
any statements provided by intervening
resellers) to the producer who may reissue to the reseller multiple Certificates
for Biodiesel in the appropriate volumes.
The reissued certificates must include the
Certificate Identification Number from the
certificate that has been returned.
(ii) Withdrawal of the right to provide
a certificate. The Internal Revenue Ser-

445

vice may withdraw the right of a buyer
of biodiesel to provide the certificate and
a statement under this section if the Internal Revenue Service cannot verify the
accuracy of the buyer’s statements. The
Internal Revenue Service may notify any
person to whom the buyer has provided a
statement that the buyer’s right to provide
the certificate and a statement has been
withdrawn.
(iii) Model statement of biodiesel reseller.

August 29, 2005