Category: Tax

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House Passes Senate tax bill

As many of you have heard, this morning the House of Representatives passed the Senate compromise tax bill by a vote of 277-148.  The bill now goes to the President for his signature. For the renewables industry, this is extremely good news.  The bill extends the deadline for beginning construction for the section 1603 grant … Continue Reading

Tax bill update

As some of you may have heard, the Senate today passed its version of the tax compromise by a vote of 81-19.  The bill includes an extension of the deadline in section 1603 for beginning construction through 2011.  The size of the majority is a strong signal to the House that the Senate may not … Continue Reading

Update on Tax Bill Negotiations

For those of you interested in the machinations in Congress over the tax cut extensions, especially concerning renewable energy, here is the latest: Yesterday, the Senate released what it termed a "final compromise" bill.  That bill should be voted on in the Senate very soon.  It reflects negotiations within the Senate and between the Senate … Continue Reading

Reid-Baucus Tax Bill

Today, Majority Leader Harry Reid and Senate Finance Committee Chair Max Baucus released their proposal for a middle class tax cut.  Although far from the final product, the bill gives us some insight into thinking on the Senate side. From a renewable energy standpoint, the most important proposal is a one-year extension of the ITC … Continue Reading

Energy Tax Law Alert: ODOE Issues Final Administrative Rules

On November 24, 2010, the Oregon Department of Energy (“ODOE”) issued final permanent administrative rules (the “Permanent Rules”) relating to the Business Energy Tax Credit (“BETC”). For a description of the BETC generally, see our previous alerts on November 5, 2009, February 27, 2008, and July 2, 2007. The Permanent Rules finalize and make some … Continue Reading

Future of 1603

Updated at bottom The following is a question I received, which I thought I would answer on the Blog: Greg, as the expiration for the 1603 grant gets closer, two questions? 1) what are the chances of the grant being extended and 2) what are the modifications to the 1603 that you see coming January … Continue Reading

House Passes Algae-based Renewable Fuel Promotion Act of 2010

On September 28, 2010, the House of Representatives passed the Algae-based Renewable Fuel Promotion Act of 2010 (H.R. 4168). The Act amends the Internal Revenue Code to (1) expand the definition of "cellulosic biofuel" to include algae-based biofuel for purposes of the cellulosic biofuel producer tax credit; and (2)  provide for accelerated depreciation of property used in … Continue Reading

Senators Propose Making Energy Storage Property Eligible for ITC & CREBs

Last week, Senators Jeff Bingaman (D-NM), Ron Wyden (D-OR), and Jeanne Shaheen (D-NH), introduced legislation that would add grid-connected energy storage property to the list of technologies eligible for the federal investment tax credit (the "ITC").  Under the Storage Technology for Renewable and Green Energy Act of 2010 (the "STORAGE 2010 Act"), eligible energy storage property … Continue Reading

Minnesota Angel Investment Tax Credit

Governor Tim Pawlenty signed into law the Small Business Investment Tax Credit, also known as the “Angel Tax Credit,” on April 1, 2010.   The Angel Tax Credit is expected to stimulate investment in Minnesota businesses utilizing or developing new technologies, including those related to renewable energy and energy efficiency and conservation. Qualified investors are eligible … Continue Reading

Upcoming BETC Deadline–July 30, 2010

Pursuant to recently issued temporary regulations, the Oregon Department of Energy has imposed a July 30, 2010 deadline for projects seeking a BETC that have projected facility costs of $6 million or greater. See the link below for specific details. Tier Three Projects… Continue Reading

Treasury Department Issues Additional Guidance Regarding Cash Grant Begin Construction Requirement

The U.S. Treasury Department today released on its website additional guidance regarding the "begin construction" requirement for qualifying for the 30% ARRA cash grant. To qualify for the grant, a project either must be placed in service in 2009 or 2010 or, if construction begins on or before December 31, 2010, must be placed in … Continue Reading

May 11 Public Hearing Regarding Changes to Washington’s Renewable Energy System Cost Recovery Program

Our Seattle tax attorneys (listed below) have told us about Washington Department of Revenue’s  ("DOR") public hearing on May 11 regarding proposed amendments to its rule governing administration of the Renewable Energy System Cost Recovery program. Kim Risenmay at (206) 386-7525 or gkrisenmay@stoel.com Carl Lewis at (206) 386-7688 or cslewis@stoel.com Erin Toland at (206) 386-7563 … Continue Reading

Optimizing Tax Benefits in Financing Renewable Energy Projects

Federal tax benefits, such as the Section 1603 Grant, investment tax credits and production tax credits, continue to be an important driver in financing renewable energy projects.  Several of my colleagues will be discussing these tax benefits and other incentives related to project financing in a webinar hosted by Infocast on Wednesday, March 31, 2010 at 1:00 … Continue Reading

Stoel Rives Clients Receive Huge Tax Credit Awards

Stoel Rives would like to congratulate REC Silicon and SolarWorld on their awards of tax credits by the IRS and DOE. These two companies, combined, received over 10 percent of all the tax credits awarded nationwide under section 48C of the tax code. On Friday, January 8, the Department of Energy awarded to 183 companies … Continue Reading

ARRA SGIG Grants Taxable?

  Concern is mounting over whether the smart grid awards and project grants to be distributed by the Department of Energy (“DOE”) will be taxable in the hands of the recipients.  Certain grants administered by  federal, state, or local programs for renewable energy projects located in the US may be reportable by the recipient.  The 100 smart grid award recipients, who … Continue Reading

Colorado Division of Property Taxation Considers Proposed Tax Treatment of Transmission Lines

The Colorado Division of Property Taxation will hold an important open public meeting Thursday, January 14, 2010, to discuss the "tax treatment of transmission lines".  Details of the proposed options will be posted on the Division’s website under the "state assessed tab."  In the notice provided by the Division, the agenda for the meeting will … Continue Reading

Technical Correction to Section 1603 Grant May Loosen Rules for Investment by Tax Exempts

  On December 2, House Ways & Means Chairman Rangel and Ranking Member Camp introduced a tax technical corrections bill (H.R. 4169).  We will likely see an identical version introduced in the Senate very soon. Included among the technicals are changes to the Grant in Lieu of ITC under section 1603 of ARRA.  The most … Continue Reading

Will Wyoming Tax Electricity Generated From Wind Energy Projects?

On November 18, 2009, the Wyoming interim Joint Revenue Committee (the "Committee") considered two bills, each of which proposed to tax wind generated electricity.  Neither bill passed the committee on tie votes of 6-6 (4-4 House members and 2-2 senate members).  One of the bills sponsored by Sen John Schiffer, R-Kaycee, chairman of the Committee (legisweb.state.wy.us/interimCommittee/2009/10LSO-0126w4.pdf) proposed a tax of $.0010 upon each … Continue Reading

Upcoming Webinar: The Treasury Grant Program – Follow-up and Q&A

Join us for Structured Tax Incentives Part Deux! Our follow-up webinar will again include Vicky McDowell, Chief Administrator of the Treasury ITC Grant program. Unlike the first session, we will not use a formal presentation; instead, we will cover in greater detail the issues raised in your comments and will attempt to answer as many … Continue Reading

Come Visit Us at E3, The Midwest’s Premier Energy, Economic and Environmental Conference, on Nov. 17, 2009

As a proud Exhibit Hall sponsor of E3, the Midwest’s premier energy, economic and environmental conference, Stoel Rives LLP would like to encourage you to attend this annual event. Hosted by the University of Minnesota’s Initiative for Renewable Energy and the Environment, E3 will focus this year on the intersection of innovative technologies and policies, … Continue Reading

Insights from Stoel Rives’ Webinar on The Stimulus Bill: Structured Tax Incentives

During yesterday’s webinar entitled “The Stimulus Bill: Structured Tax Incentives” Greg Jenner (Stoel Rives LLP attorney), Victoria McDowell (Chief Administrator of the Treasury ITC Grant Program), and Kevin Pearson (Stoel Rives LLP attorney) walked webinar participants through the background of the American Recovery and Reinvestment Act grant program and the application process. Ms. McDowell provided … Continue Reading
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