NMTC, RETC EXTENSIONS ADDED TO FINANCIAL RESCUE BILL

Wednesday, October 1, 2008 - 7:00am

The Senate last night approved a unanimous consent agreement to attach a package of tax extenders to upcoming financial rescue legislation. This previously-passed tax measure would provide a patch for the alternative minimum tax and extend the production tax credit for wind energy for one year, the investment tax credit for solar energy projects for eight years and the new markets tax credit for one year. Reports indicate this move was intended to increase bicameral support for the Emergency Economic Stabilization Act of 2008, which the House rejected on Monday. The Senate is expected to vote this evening on the legislative package consisting of the Emergency Economic Stabilization Act of 2008, an increase in federal coverage of bank deposits to $250,000 and the Senate-passed tax extenders, and a House vote is expected on Thursday.

Background information and analysis of these proposals can be downloaded via the Novogradac Report on Tax Credits, a weekly podcast available online at www.novoco.com/podcast.

To discuss the future of these tax incentives, join Novogradac & Company at the New Markets Tax Credit Investors Conference, October 22-24, in Boston or November 13 - 14 in Washington, D.C. for the Financing Renewable Energy Conference.