Details | Section 48 Investment Tax Credit


Funder

 

United Stated Internal Revenue Service

Implementer

 

United Stated Internal Revenue Service

Description

 

The federal business energy investment tax credit available under 26 USC -ยบ 48 was expanded significantly by the Energy Improvement and Extension Act of 2008 (H.R. 1424), enacted in October 2008. This law extended the duration -- by eight years -- of the existing credits for solar energy, fuel cells and microturbines; increased the credit amount for fuel cells; established new credits for small wind-energy systems, geothermal heat pumps, and combined heat and power (CHP) systems; allowed utilities to use the credits; and allowed taxpayers to take the credit against the alternative minimum tax (AMT), subject to certain limitations. The credit was most recently amended by The Consolidated Appropriations Act of 2015, which extended the expiration date, but also introduced a step-down in the value of the credit for solar Technologies and PTC-eligible wind. The expiration date for solar Technologies and wind is based on when construction begins. For all other Technologies, the expiration date is based on when the system is placed in service - fully installed and being used for its intended purpose. Table 30 provides a summary of Federal business energy investment tax credit rates as of the first quarter of 2017.

Funding guidance

 

Applications open

 

None

Applications close

 

None

Type

 

Tax Credit

Category

 

Financing

Territory

 

United States

Applicant type

 

For Profit  |  Non Profit

Project

 

New Addition to an Existing Building  |  Rehabilitation of Existing Whole Building  |  Rehabilitation of Part of an Existing Building  |  Whole New Building Construction

Sector

 

Commercial  |  Industrial

Sub-sector

 

Multi Family  |  Single Family

Sustainability

 

Energy Storage  |  Generation Systems

Small business

 

False

Disadvantaged communities

 

False

Cost sharing amount

 

None

Cost sharing percent

 

None

Cost sharing note

 

Minimum repayment years

 

None

Maximum repayment years

 

None

Interest rate comment

 

Incentive