Darling Ingredients Inc. Announces Diamond Green Diesel Receives Approval of Excise Tax Registration
Darling Ingredients (NYSE: DAR) announced that Diamond Green Diesel (DGD), its 50/50 joint venture, has received Excise Tax Registration approval from the Internal Revenue Service. This registration is a key requirement for claiming the Internal Revenue Code 45Z credit. The company's CEO, Randall C. Stuewe, highlighted this as the first step toward monetizing the 45Z Producer's Tax Credit and expressed optimism about forthcoming guidance regarding 45Z.
Darling Ingredients (NYSE: DAR) ha annunciato che Diamond Green Diesel (DGD), la sua joint venture al 50/50, ha ricevuto l'
Darling Ingredients (NYSE: DAR) anunció que Diamond Green Diesel (DGD), su empresa conjunta al 50/50, ha recibido la aprobación de Registro de Impuestos Especiales del Servicio de Impuestos Internos. Este registro es un requisito clave para reclamar el crédito del Código de Ingresos Internos 45Z. El CEO de la compañía, Randall C. Stuewe, destacó esto como el primer paso hacia la monetización del Crédito Fiscal para Productores 45Z y expresó optimismo sobre la orientación futura relacionada con el 45Z.
Darling Ingredients (NYSE: DAR)는 Diamond Green Diesel (DGD)라는 50 대 50의 합작 투자 회사가 국세청으로부터 소비세 등록 승인을 받았다고 발표했습니다. 이 등록은 내부 세금 코드 45Z의 세액 공제를 청구하기 위한 핵심 요건입니다. 회사의 CEO인 랜달 C. 스튜는 이것이 45Z 생산자 세액 공제를 수익화하기 위한 첫 번째 단계라고 강조하며, 45Z에 대한 향후 지침에 대한 낙관적인 기대를 표현했습니다.
Darling Ingredients (NYSE: DAR) a annoncé que Diamond Green Diesel (DGD), sa coentreprise à 50/50, a reçu l'
Darling Ingredients (NYSE: DAR) gab bekannt, dass Diamond Green Diesel (DGD), sein 50/50-Joint Venture, die Genehmigung zur Registrierung der Verbrauchssteuer vom Internal Revenue Service erhalten hat. Diese Registrierung ist eine wichtige Voraussetzung für die Inanspruchnahme des Steuerkredits nach dem Internal Revenue Code 45Z. Der CEO des Unternehmens, Randall C. Stuewe, hob dies als den ersten Schritt zur Monetarisierung des 45Z Producer's Tax Credit hervor und äußerte Optimismus über bevorstehende Richtlinien zu 45Z.
- Obtained IRS Excise Tax Registration approval, enabling eligibility for 45Z tax credits
- Positioned to monetize Producer's Tax Credit through 45Z program
- None.
Insights
The IRS excise tax registration approval for Diamond Green Diesel marks a critical milestone in Darling Ingredients' ability to capitalize on significant tax benefits under the 45Z Producer's Tax Credit. This development could substantially impact DGD's financial performance, as the tax credit is designed to incentivize clean fuel production. With DGD's substantial renewable diesel and sustainable aviation fuel (SAF) production capacity, the monetary benefits could be considerable once the full guidance is released.
The 45Z credit, part of the Inflation Reduction Act, provides tax incentives for clean fuel production starting in 2025. For investors, this represents a potential boost to DGD's bottom line and could enhance the joint venture's competitive position in the renewable fuels market. The registration approval reduces regulatory uncertainty and paves the way for future tax credit monetization, though the exact financial impact remains contingent on forthcoming IRS guidance.
The excise tax registration approval positions Diamond Green Diesel advantageously within the evolving clean energy incentive landscape. The 45Z credit is particularly significant as it represents a shift from the current blenders tax credit to a production tax credit model, potentially offering more predictable and sustainable financial benefits for clean fuel producers. This development aligns with broader government initiatives to accelerate renewable fuel adoption and could provide DGD with enhanced operational flexibility and financial planning capabilities.
The timing is strategic as the industry prepares for the 2025 transition to the new credit system. The registration approval suggests DGD is well-positioned to benefit from day one of the new program, potentially providing a competitive advantage in the renewable diesel and SAF markets.
"Obtaining the excise tax registration is the first step in our ability to monetize the 45Z Producer's Tax Credit," said Randall C. Stuewe, Chairman and Chief Executive Officer. "We are extremely encouraged by the registration and look forward to guidance concerning 45Z being released in the near future."
Learn more about our renewable diesel and SAF production at DGD at darlingii.com/DGD.
About Darling Ingredients
A pioneer in circularity, Darling Ingredients Inc. (NYSE: DAR) takes material from the animal agriculture and food industries, and transforms them into valuable ingredients that nourish people, feed animals and crops, and fuel the world with renewable energy. The company operates over 260 facilities in more than 15 countries and processes about
Darling Ingredients Contacts
Media: | Jillian Fleming |
Director, Global Communications | |
(972) 541-7115; jillian.fleming@darlingii.com | |
Investors: | Suann Guthrie |
Senior VP, Investor Relations, Sustainability & Communications | |
(469) 214-8202; suann.guthrie@darlingii.com |
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SOURCE Darling Ingredients Inc.
FAQ
What tax registration did Diamond Green Diesel (DAR) receive in December 2023?
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