Treatment of hydrocarbon streams, and in one non-limiting embodiment refinery distillates, with reducing agents, such as borohydride and salts thereof, alone or together with at least one co-solvent results in reduction of the sulfur compounds such as disulfides, mercaptans, thiophenes, and thioethers that are present to give easily removed sulfides. In one non-limiting embodiment, the treatment converts the original sulfur compounds into hydrogen sulfide or low molecular weight mercaptans that can be extracted from the distillate with caustic solutions, hydrogen sulfide or mercaptan scavengers, solid absorbents such as clay or activated carbon or liquid absorbents such as amine-aldehyde condensates and/or aqueous aldehydes.