Ethanol Industry Cheers SD Blender Pump Tax Law

Law360, New York (March 13, 2009, 12:00 AM EDT) -- South Dakota's ethanol industry is praising a state law creating a flat tax on ethanol purchased from “blender pumps,” arguing that the lower tax for ethanol versus gasoline will provide an incentive for drivers to buy blends with higher proportions of ethanol.

On Friday, Gov. Mike Rounds signed S.B. 21, which taxes ethanol at a flat rate of 8 cents a gallon, compared to the 22 cents a gallon that North Dakota residents pay for regular fuel.

The new law resolves confusion over taxing of ethanol...
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