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Bessent commits to a robust 45Z tax credit

U.S. Treasury Secretary Scott Bessent took questions on tax provisions in the One Big Beautiful Bill Act as he met with the Senate Finance Committee on Thursday.

The House’s version would extend the Clean Fuel Production Credit, known as 45Z, for four years. It’s unclear how the Senate will address the tax credit.

Bessent told lawmakers once the president signs the bill, the tax credit would be implemented in a robust manner, and ensure “it doesn’t allow for foreign actors to have a back door into the program.”

The reconciliation package also extends tax provisions from the 2017 Tax Cuts and Jobs Act. Bessent says if that extension doesn’t happen, it would “cataclysmic for the U.S. economy.”