04-7899. Publication of Inflation Adjustment Factor, Nonconventional Source Fuel Credit, and Reference Price for Calendar Year 2003

AGENCY:

Internal Revenue Service (IRS), Treasury.

ACTION:

Notice.

SUMMARY:

Publication of the inflation adjustment factor, nonconventional source fuel credit, and reference price for calendar year 2003 as required by section 29 of the Internal Revenue Code (26 U.S.C. section 29). The inflation adjustment factor, nonconventional source fuel credit, and reference price are used in determining the tax credit allowable on the sale of fuel from nonconventional sources under section 29 during calendar year 2003.

DATES:

The 2003 inflation adjustment factor, nonconventional source fuel credit, and reference price apply to qualified fuels sold during calendar year 2003.

SUPPLEMENTARY INFORMATION:

Inflation Adjustment Factor: The inflation adjustment factor for calendar year 2003 is 2.1336.

Credit: The nonconventional source fuel credit for calendar year 2003 is $6.40 per barrel-of-oil equivalent of qualified fuels.

Reference Price: The reference price for calendar year 2003 is $27.56. Because this reference price does not exceed $23.50 multiplied by the inflation adjustment factor, the phaseout of credit provided for in section 29(b)(1) does not occur for any qualified fuels sold during calendar year 2003.

FOR FURTHER INFORMATION CONTACT:

For questions about how the inflation adjustment factor is calculated—Wu-Lang Lee, RAS:R:TSBR, Internal Revenue Service 1111 Constitution Avenue, NW., Washington, DC 20224, Telephone Number [phone] (not a toll-free number).

For all other questions about the credit or the reference price— Jaime Park, CC:PSI:7, Internal Revenue Service 1111 Constitution Avenue, NW., Washington, DC 20224, Telephone Number [phone] (not a toll-free number).

Dated: March 31, 2004.

Heather C. Maloy,

Associate Chief Counsel (Passthroughs and Special Industries).