IRS Inaction Leads to Another Black-liquor Windfall for U.S. Paper Companies
IRS inaction has led to an approximately $2 billion windfall for U.S. paper companies that burn black liquor, according to the reporter who originally broke the story about black liquor tax credits in 2009.
Steven Mufson of the The Washington Post recently chronicled how paper companies originally thought the Alternative Fuel Mixture tax credits they received in 2009 would be taxable income.
Mufson's tale of black-liquor boondoggles, lobbying by paper companies, and a politicized IRS is well worth the read. But the picture is actually worse than he presents in several ways