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IRS Guidance on Electric Vehicles

IRS and Treasury today issued Revenue Procedure 2022-42, which includes procedures for manufacturers of electric vehicles...more

More on Prevailing Wage & Apprenticeship

As noted in yesterday’s post, the IRS published Notice 2022-61 regarding the prevailing wage & apprenticeship requirements. In addition, the Department of Labor yesterday issued two Frequently Asked Question (FAQ) documents:...more

The Clock Starts Now: IRS Issues Prevailing Wage & Apprenticeship Guidance under the IRA

The IRS has published a notice that will start the clock on the 60-day period respect to the applicability of the prevailing wage and apprenticeship requirements under numerous provisions of the Inflation Reduction Act of...more

IRS Requests Comments on Various Aspects of Energy Tax Credits

On October 5, 2022, the U.S. Internal Revenue Service (IRS) issued six notices requesting comments on various aspects of extensions and enhancements of energy tax benefits in the Inflation Reduction Act. Here is list of, and...more

Tax Credits for Electric Vehicles: What’s Changed with the US IRA?

President Biden signed the Inflation Reduction Act of 2022 (the “IRA”) into law on August 16, 2022. Among other things, the IRA expands the federal income tax credits available to promote the development and use of renewable...more

UPDATED: IRS Releases 2022 Section 45 Production Tax Credit Amounts

On April 14, 2022, the US Internal Revenue Service (IRS) published a notice that provides the inflation-adjustment factor and reference price for the calculation of renewable electricity production tax credits (PTCs) under...more

IRS Releases 2022 Section 45 Production Tax Credit Amounts

On April 14, 2022, the US Internal Revenue Service (IRS) published a notice, which provides the inflation-adjustment factor and reference price for the calculation of renewable electricity production tax credits (PTCs) under...more

IRS Ruling Provides Guidance on Carbon Capture Equipment and Section 45Q Credit

On July 1, 2021, the US Internal Revenue Service (the “IRS”) released Revenue Ruling 2021-13 (the “Ruling”), which provides additional guidance on the definition of “carbon capture equipment” for purposes of the carbon...more

IRS Ruling Provides Guidance on Carbon Capture Equipment and Section 45Q Credit

On July 1, 2021, the US Internal Revenue Service (the “IRS”) released Revenue Ruling 2021-13 (the “Ruling”), which provides additional guidance on the definition of “carbon capture equipment” for purposes of the carbon...more

IRS Extends Start-of-Construction Relief for Renewables in Light of Continuing Effects of COVID-19

On June 29, 2021, the US Internal Revenue Service (the “IRS”) released Notice 2021-41 (the “Notice”), extending and enhancing previous relief given by the IRS pursuant to Notice 2020-41 (the “Previous Notice”) on the...more

IRS Releases 2021 Section 45 Production Tax Credit Amounts

On May 24, 2021, the US Internal Revenue Service (IRS) released Notice 2021-32, which provides the inflation-adjustment factors and reference prices for the calculation of renewable electricity production tax credits (PTCs)...more

IRS Issues Final Carbon Capture Regulations

On January 6, 2021, the US Internal Revenue Service (the “IRS”) issued final regulations (T.D. 9944) (the “Final Regulations”) on the Section 45Q carbon capture tax credit (the “Carbon Credit”). The Final Regulations...more

Final Carbon Capture Regulations Released by IRS

The IRS yesterday released final regulations under Section 45Q regarding the carbon capture tax credit....more

IRS Grants Beginning of Construction Relief for Offshore Renewable Projects and Renewable Projects on Federal Land

On December 31, 2020, the US Treasury Department and the Internal Revenue Service (the “IRS”) issued Notice 2021-05 (the “Notice”), which provides relief for offshore renewable energy projects and renewable projects...more

Solar and Wind Tax Credits Extended, Again

On Monday, December 21, 2020, the United States Congress passed a second large stimulus bill (the “Relief Bill”) aimed at curtailing the economic disruptions caused by COVID-19. The Relief Bill, among other things, extends...more

Treasury and IRS Issue Proposed Regulations on Carbon Capture Credit

Treasury and the IRS have issued proposed regulations on the revised carbon capture credit under Section 45Q....more

IRS Provides Start-of-Construction Relief for Renewables in Light of COVID-19

On May 27, 2020, the US Internal Revenue Service (the “IRS”) released Notice 2020-41 (the “Notice”), updating the IRS guidance on the start-of-construction rules for the production tax credit (“PTC”) and energy investment tax...more

IRS Releases 2020 Section 45 Production Tax Credit Amounts

On May 12, 2020, the US Internal Revenue Service (IRS) released a notice providing the inflation-adjustment factors and reference prices for the calculation of renewable electricity production tax credits (PTCs) under...more

COVID-19: CARES Act Fails to Address Renewable Energy Industry’s Concerns But Path Forward with the IRS Remains

Background - As the COVID-19 pandemic continues to disrupt project development timelines generally, solar and wind projects that rely on federal income tax credits to obtain financing are particularly sensitive to...more

Final Regulations Published Addressing Income Inclusion Rules for Pass-Through Lease of ITC Property

On July 17, 2019, the US Internal Revenue Service (IRS) issued final regulations (T.D. 9872) providing guidance on the rules under Internal Revenue Code (IRC) section 50(d)(5) requiring an income inclusion by the lessee in...more

IRS Releases 2019 Section 45 Production Tax Credit Amounts

On June 6, 2019, the US Internal Revenue Service (IRS) published a notice providing the inflation-adjustment factors and reference prices for the calculation of renewable electricity production tax credits (PTCs) under...more

Beginning of Construction Guidance for Solar and Other ITC Technologies

On June 22, 2018, the IRS released Notice 2018-59 (the “Guidance”). The Guidance provides rules to determine when construction begins with respect to investment tax credit (“ITC”) eligible property, such as solar projects. ...more

Tax Court Sustains Energy Credit and Bonus Depreciation for Distributed Generation Solar Projects

In a recent case, the Tax Court ruled in the taxpayer’s favor as to three California distributed generation solar projects’ eligibility for the energy credit under Section 48 and bonus depreciation under Section 168. ...more

IRS Provides Safe Harbor for Solar Contracts with Federal Agencies

On January 19, 2017, the US Internal Revenue Service (IRS) released Revenue Procedure 2017-19 (the “Rev. Proc.”) providing a safe harbor for certain alternative energy sales contracts with federal agencies to be treated as...more

IRS Extends Continuity Safe Harbor Until December 31, 2018

On December 15, 2016, the US Internal Revenue Service (the “IRS”) released Notice 2017-4 (the “Notice”), which updates previous IRS “start of construction” guidance by extending the Continuity Safe Harbor to December 31,...more

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