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Thursday, February 25, 2021

A bill introduced in the Indiana House of Representatives would provide certainty and structure to the valuation of land when it is used for solar generation purposes. H.B. 1438 would formalize the land valuation method for assessments after Dec. 31, 2021, to include solar generation facilities in the definition of public utility companies, which are generally assessed more favorably than commercial or industrial facilities. This legislation would allow the Indiana Department of Local Government Finance to set median tax value for county assessors for three regions on an annual basis. 

Thursday, February 25, 2021

A bill was introduced in the Ohio Senate yesterday to extend the state’s payment in lieu of taxes (PILOT) program through 2030 for qualified renewable energy developments. S.B. 89 would also make the 8.5% renewable energy portfolio standards permanent.

Monday, February 8, 2021

Rep. Mike Thompson, D-California, and 24 co-sponsors reintroduced the Growing Renewable Energy and Efficiency Now (GREEN) Act, legislation that extends the renewable energy production tax credit (PTC) and investment tax credit (ITC) for certain resources, including wind and solar. The GREEN Act, which was also introduced in the previous session of Congress, would extend the 30% ITC for solar and geothermal through the end of 2025, before beginning a phasedown.

Thursday, December 31, 2020

The Internal Revenue Service (IRS) today issued guidance to provide an extension of the safe harbor for taxpayers who are developing renewable energy projects offshore or on federal land. Notice 2021-5 provides flexibility for taxpayers using the production tax credit (PTC) or investment tax credit (ITC) to finance their qualifying projects despite ordinary-course delays that threaten their ability to claim the credits.

Monday, December 28, 2020

President Donald J. Trump signed fiscal year 2021 spending legislation Sunday that includes a permanent minimum 4% low-income housing tax credit (LIHTC), a five-year extension of the new markets tax credit (NMTC) and extensions of renewable energy tax credits. The $1.4 trillion omnibus fiscal year spending legislation includes a $1.2 billion allocation of non-COVID disaster LIHTCs for 11 states and Puerto Rico, a one-year extension of the renewable energy production tax credit (PTC) at 60% of its original amount and a two-year extension of the renewable energy tax investment tax credit (ITC) at a 26% rate. The NMTC is now authorized through 2025. 

Monday, December 21, 2020

A permanent minimum 4% low-income housing tax credit (LIHTC) rate, a five-year extension of the new markets tax credit (NMTC) and an extension of phase-down provisions for the renewable energy investment tax credit (ITC) and production tax credit (PTC) are included in a $1.4 trillion omnibus fiscal year 2021 (FY 2021) spending and $900 billion COVID-19 relief bill that will be considered by Congress today. 

Monday, December 14, 2020

The Internal Revenue Service (IRS) today announced a new round of credits available for allocation under the Section 48A Qualifying Advanced Coal Project program. In IRS Notice 2020-88, the IRS says that $2.04 billion in credits is available for reallocation due to forfeitures of previously allocated credits.

Wednesday, December 9, 2020

Sens. Todd Young, R-Indiana, and Sheldon Whitehouse, R-Rhode Island, introduced legislation this week to include hydrogen as a resource eligible for the renewable energy production tax credit (PTC). The Hydrogen Utilization and Sustainability Act would add hydrogen to the list of PTC-eligible resources. 

Friday, December 4, 2020

The Office of the Comptroller of the Currency (OCC) today published a notice of proposed rulemaking requesting comment on its approach to determine Community Reinvestment Act (CRA) measurement thresholds.

Monday, November 30, 2020

President-elect Joe Biden today formally nominated Janet Yellen to be his Secretary of the Treasury. Yellen, the chairwoman of the Federal Reserve from 2014-2018, would be the 78th Treasury Secretary and first woman to hold the position if confirmed by the U.S. Senate.

Monday, November 16, 2020

A private letter ruling (PLR) from the Internal Revenue Service (IRS) states that a company is not a public utility company, since it provides a percentage of renewable energy generated through long-term solar energy service agreements for solar photovoltaic systems on the customer’s premises that are owned by the company.

Friday, November 13, 2020

A bipartisan bill introduced Thursday in the House of Representatives would make the renewable energy investment tax credit (ITC) temporarily refundable for projects that break ground by the end of 2021 and would extend the ITC phasedown by one year. The Solar Jobs Preservation Act of 2020, sponsored by Rep. Mike Levin, D-Calif., and Rep. Dave Schweikert, R-Ariz., is intended to offset the effects of the COVID-19 pandemic on solar development.

Thursday, October 29, 2020

The South Carolina Administrative Law Court granted a motion by the state’s department of revenue for a summary judgment to deny a capital investment tax credit to an energy company. In Duke Energy Corp. vs. S.C. Department of Revenue, the taxpayer challenged the state’s ruling that the capital investment tax had a $5 million lifetime limit, claiming the limit was $5 million per year.

Tuesday, October 13, 2020

Rep. Salud Carbajal, D-Calif., introduced legislation to create and expand renewable energy tax credits. The Energy Opportunity Zones Act of 2020 would designate regions within 120 miles of a coal power plant that has ceased operations or a nuclear power plant that has ceased operations or is scheduled to do so within six years of the enactment of the legislation as energy opportunity zones.

Thursday, October 8, 2020

Rep. Roger Williams, R-Texas, introduced a bill this week to make permanent Internal Revenue Code Section 179D, which offsets the energy-efficient components and systems for commercial property, including multifamily affordable housing buildings. The Incentivizing Energy-Saving Improvement Act (H.R. 8547) would eliminate the current expiration date of Dec.

Tuesday, September 22, 2020

A Novogradac special report released today examines the implications of a Democratic sweep of the House of Representatives, Senate and White House in November’s election.

Thursday, September 17, 2020

Hawaii legislation effective Sept. 15 provides that for taxable years beginning Jan. 1, 2020, no renewable energy technologies tax credit can be claimed for a solar energy system that is 5 megawatts or larger in total output capacity and requires a power purchase agreement (PPA) approved by the public utilities commission (PUC). S.B. 2820 clarifies that those systems placed in service with a PPA approved or pending before Dec.

Thursday, July 9, 2020

A unity task force created by Vice President Joe Biden and Sen. Bernie Sanders, D-Vt., yesterday released a set of policy recommendations for a Biden administration if he wins the presidential election in November. The 110-page task force blueprint calls to expand and make permanent the new markets tax credit (NMTC) and to double the funding for community development financial institutions.

Wednesday, July 8, 2020

Rep. Sean Casten, D-Ill., this week introduced the Energy Tax Credit Direct Payment Act of 2020 (H.R. 7491) to revive the Section 1603 program of the American Recovery and Reinvestment Act of 2009, allowing the Secretary of the Treasury to convert certain renewable energy tax credits into cash grants.

Thursday, July 2, 2020

Seven U.S. Senators authored a letter to Treasury Secretary Steven Mnuchin, asking Treasury to extend the continuity safe harbor provision further for offshore wind. The letter thanks Mnuchin for earlier guidance, but asks for an additional three years beyond the standard four-year safe harbor for offshore wind projects that began construction between 2016 and 2020.