Independent form guide. BrieflyGo is not affiliated with or endorsed by IRS, USCIS, SSA, DOL, or any U.S. government agency. Official forms are sourced from public government websites.
Official form guide
Form 7218: Clean Fuel Production Credit
IRS Form 7218 is used to claim the section 45Z clean‑fuel production credit for taxpayers who produced qualified fuel after 2024. For 2025 fuel the credit ranges from $0.20 to $1.75 per gallon.
Need help with Form 7218?
Open it in the AI Editor for field guidance, checks, and PDF export.
Need help? AI Editor guides you through every field of Form 7218.
Start filling →Form Overview
IRS Form 7218 - Clean Fuel Production Credit
IRS Form 7218 is used to claim the section 45Z clean‑fuel production credit for taxpayers who produced qualified fuel after 2024. For 2025 fuel the credit ranges from $0.20 to $1.75 per gallon.
Risk Radar
Scan points- 1Missing a required Form 7220 for each facility that meets prevailing‑wage and apprenticeship requirements.
- 2Omitting the producer registration number on line a of Part I.
- 3Leaving the facility’s latitude or longitude blank or without a sign (+/-).
- 4Not indicating whether the facility satisfies prevailing‑wage and apprenticeship requirements (question 7).
- 5Failing to enter the number of gallons sold in column (f) for each fuel line.
Plain English
Form 7218 lets a business that makes clean transportation fuel claim a tax credit for each gallon it sells. The amount of the credit depends on the type of fuel and whether the facility meets wage and apprenticeship rules.
Submission Date
- Filing date: 2025-12-31 10:33:25
- Preparation window: collect IDs, supporting records, and signatures in advance.
- Final review: verify names, dates, and required fields before submission.
AI co-pilot
Fill it faster. Catch mistakes before you file.
What this form is for
- Use this form when you are claiming the section 45Z clean‑fuel production credit for qualified transportation fuel produced and sold after 2024.
- Do not use it when you are an applicable entity or when you have already claimed other credits (45V, 46, 45Q) for the same facility.
- Check Form 7220 instead when you are claiming the increased credit amount for meeting prevailing wage and apprenticeship requirements.
Form selector
Use this form or another form?
Elective payment or transfer election for the clean fuel credit
The credit must be reported on the General Business Credit form to elect payment or transfer
✓ Confirm you have completed the pre‑filing registration and have the IRS registration number
Applicable entity electing to treat the credit as a payment of income tax
Applicable entities must file the Exempt Organization Business Income Tax Return to claim the credit
✓ Verify the entity’s status as an applicable entity under section 6417(d)(1)(A)
Facility meeting prevailing wage and apprenticeship requirements for increased credit
Separate Form 7220 is required to claim the increased credit amount
✓ Ensure the facility qualifies under the PWA requirements
Deadline or filing window
Not stated in the official source.
Checklist
What you need before filling it out
IRS‑issued registration number (line 1)
Registration number from pre‑filing registration · Pre‑filing registration tool output
Facility description (line 2a)
Physical description of qualified facility · Facility records
Owner’s name and TIN (line 2b)
Owner’s legal name and taxpayer identification number · Owner’s tax documents
Allocation of credit for estates/trusts (line 3)
Allocation percentages per estate or trust agreement · Estate/trust documentation
Beneficiaries’ share (line 4)
Beneficiaries’ share amounts · Trust beneficiary statements
Before you submit
- 1Enter the IRS‑issued registration number for each qualified facility on line 1.
- 2Provide a complete description of the facility on line 2a.
- 3If the facility owner differs from the filer, enter the owner’s name and TIN on line 2b.
- 4Allocate the credit between estate or trust and beneficiaries on line 3 as required.
- 5Enter the beneficiaries’ share of the credit on line 4.
- 6Attach Form 7218 to the appropriate tax return.
- 7Sign and date the form before filing.
- 8Retain a copy of the completed Form 7218 for your records.
How to file this form
- 1Register each qualified facility using the IRS pre‑filing registration tool and obtain the registration number.
- 2Complete Form 7218, filling lines 1‑4 with the required facility and allocation information.
- 3Attach the completed Form 7218 to the applicable tax return (e.g., Form 3800 or the entity’s return).
- 4Sign the form and retain a copy for your records.
- 5Mail the return to the IRS address indicated on the tax return instructions or file electronically if permitted, providing proof of mailing or electronic receipt.
Known limitations
- 1Applicable entities are not eligible taxpayers for Form 7218.
- 2Electing taxpayers are not eligible taxpayers for Form 7218.
- 3Specified foreign entities cannot claim the credit for tax years beginning after July 4, 2025.
- 4Taxpayer must be registered as a clean‑fuel producer under section 4101 at the time of production to claim the credit.
Field map
Compact field-by-field guide
General Info
2 items
Full legal name and taxpayer identification number (SSN or EIN).
Current mailing address.
Details
2 items
Complete all applicable sections of this form according to the official IRS instructions.
Enter the relevant dollar amount if this form involves tax calculation.
Certification
1 items
Read and acknowledge any certifications required by this form.
Signatures
1 items
Sign and date. Unsigned forms cannot be processed.
Almost done reviewing the fields?
Fillable formOpen in Editor->The instructions are revised December 2025 and must be used with the December 2024 revision of Form 7218. The source points to IRS.gov/Form7218 for the latest information.
What changed or needs a fresh check
- Edition date — confirm the form shows revision December 2024
- Fee — not stated in the official source
- Mailing address — not stated in the official source
- Signature — confirm the return is signed before filing
- Pre‑filing registration — confirm the IRS‑issued registration number is entered on line 1
Quick Facts
Downloads
After you file
- 1Retain all books or records relating to Form 7218 and its instructions for as long as their contents may become material in the administration of any Internal Revenue law.
- 2The IRS treats tax returns and return information as confidential under section 6103.
- 3If the election was not made on the original timely‑filed return, file an amended return within 6 months of the return’s due date (excluding extensions) and enter “Filed pursuant to section 301.9100‑2” on the amended return.
- 4Once the election is made, it cannot be revoked.
Sources
- SRCInstructions p.1 — eligible taxpayers don’t include applicable entities and electing taxpayers.
- SRCInstructions p.1 — taxpayer must be registered as a producer of clean fuel under section 4101 at the time of production to claim the credit.
- SRCInstructions p.1 — specified foreign entities can’t claim this credit for tax years beginning after July 4, 2025.
- SRCInstructions p.2 — applicable entities making the elective payment election must file Form 7218, Form 3800, and Form 990‑T.
- SRCInstructions p.3 — pre‑filing registration is required before making an elective payment or transfer election.
- SRCInstructions p.5 — partnerships and S corporations electing to transfer must report the credit on Form 3800, Part III, line 1q, not on Schedule K.
- SRCInstructions p.5 — estates or trusts subject to passive activity rules must use Form 8582‑CR to determine allowed credit.
- SRCInstructions p.5 — filers whose only credit is passed through can report it directly on Form 3800, Part III, line 1q.
- SRCInstructions p.6 — see the instructions for the tax return with which this form is filed.
Common confusion points
Am I an eligible taxpayer or an applicable entity?
The source separates eligible taxpayers from applicable entities.
→ Verify your entity classification against the "eligible taxpayers" definition; if you are an applicable entity, you cannot claim the credit directly.
Do I need to complete a pre‑filing registration before filing Form 7218?
A pre‑filing registration is required for elective payment or transfer elections.
→ Confirm registration was submitted at IRS.gov/credits-deductions/register-for‑elective‑payment‑or‑transfer‑of‑credits before filing.
Can a foreign corporation claim the credit for tax years after July 4 2025?
Specified foreign entities are barred from claiming after that date.
→ Check the entity’s status; if it is a specified foreign entity, the credit is not allowed for years beginning after July 4 2025.
Do I have to file Form 7220 for each qualified facility?
The instructions state a separate Form 7220 is required for each facility meeting prevailing‑wage/apprenticeship requirements.
→ Ensure a Form 7220 is attached for each qualified facility where the increased credit is claimed.
Should the credit be reported on Form 3800 or on Schedule K‑1?
Partnerships and S corporations must report on Form 3800, not on Schedule K.
→ Locate the credit on Form 3800, Part III, line 1q and do not place it on Schedule K‑1.
I am an estate or trust with passive‑activity rules; how do I determine the allowed credit?
Estates/trusts subject to passive‑activity rules must use Form 8582‑CR.
→ Complete Form 8582‑CR to calculate the allowed credit and allocate it between the entity and beneficiaries.
Workflow map
Related forms and next steps
Before
Current
After
Often used with
⚠ If something goes wrong
- Form 8582‑CR – calculates passive activity credit limitations for estates and trusts.
Questions about IRS Form 7218
What is IRS Form 7218 used for?
Form 7218 lets a business that makes clean transportation fuel claim a tax credit for each gallon it sells. The amount of the credit depends on the type of fuel and whether the facility meets wage and apprenticeship rules.
Who must file IRS Form 7218?
Taxpayers that produced qualified clean fuel after 2024 and are claiming the section 45Z credit, except applicable entities and electing taxpayers, must file Form 7218.
What information does IRS Form 7218 require?
The form gathers details about the producing facility—address, coordinates, construction dates, registration number, and whether it meets prevailing‑wage and apprenticeship requirements—and reports gallons sold, the inflation‑adjusted amount per gallon, and the resulting credit.
How do I complete IRS Form 7218?
First, complete Part I with the facility’s address, latitude and longitude, construction and service dates, producer registration number, and answer the prevailing‑wage/apprenticeship question. Next, in Part II enter the gallons sold in column (f), the appropriate inflation‑adjusted amount from the base‑amount table in column (g), calculate column (h) as the product of columns (e)‑(f)‑(g), and sum these on line 25 to transfer the total to Part II line 1. Finally, sign the form and submit it as required.
Am I an eligible taxpayer or an applicable entity?
The source separates eligible taxpayers from applicable entities. Verify your entity classification against the "eligible taxpayers" definition; if you are an applicable entity, you cannot claim the credit directly.
Do I need to complete a pre‑filing registration before filing Form 7218?
A pre‑filing registration is required for elective payment or transfer elections. Confirm registration was submitted at IRS.gov/credits-deductions/register-for‑elective‑payment‑or‑transfer‑of‑credits before filing.
Can a foreign corporation claim the credit for tax years after July 4 2025?
Specified foreign entities are barred from claiming after that date. Check the entity’s status; if it is a specified foreign entity, the credit is not allowed for years beginning after July 4 2025.
Do I have to file Form 7220 for each qualified facility?
The instructions state a separate Form 7220 is required for each facility meeting prevailing‑wage/apprenticeship requirements. Ensure a Form 7220 is attached for each qualified facility where the increased credit is claimed.
Source transparency
Copyright & Licensing - US Government Forms
BrieflyGo links to and explains official public form sources. We are not a government agency, and this page is for general form guidance, not legal advice.
Understand the agreement before you sign it.
Review risky clauses in plain English, fix the document, and keep it moving toward signature.