Federal Highway official assails concept of tax exemption for gasohol. (Ray Barnhart)

The Oil Daily | December 17, 1985 | Copyright

WASHINGTON -- "More than $800 million of potential revenue which could have been used to rebuild our nation's highway systems was forfieted during the past four years because of a special tax exemption primarily benefiting a handful of corporations manufacturing gasohol," according to Federal Highway Administrator Ray Barnhart.

Gasohol is a mixture of 10 percent ethanol made from grain and 90 percent traditionally refined gasoline. The federal tax on gasoline is 9 cents per gallon, but the U.S. Congress has exempted the entire gasohol mixture from 6 cents of that ...

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