Skip to Main Content

Insight

12/23/2020

Congress Passes Energy Tax Credit Extenders

By Adam M. Cohen, Co-Author

On December 21, 2020, Congress passed a series of energy tax credit extenders and additions as part of the omnibus spending and coronavirus relief bill. The bill has not yet been signed by President Trump.

The bill includes:

  • A one-year extension of the 60% production tax credit for wind and certain other renewables so that they may begin construction before 2022;
  • A two-year extension of the 26% investment tax credit for certain types of properties, including solar properties, so that they may begin construction before 2023 (with a 22% investment tax credit for solar property where construction begins in 2023);
  • A two-year extension of the carbon capture and sequestration credit for facilities so that they may begin construction before 2026;
  • A new investment tax credit for waste energy recovery property, effective beginning in 2021 and available for projects the construction of which begins before 2024; and
  • A 30% investment tax credit for electing offshore wind facilities where construction begins before 2026.

This publication is designed to provide general information on pertinent legal topics. The statements made are provided for educational purposes only. They do not constitute legal or financial advice nor do they necessarily reflect the views of Holland & Hart LLP or any of its attorneys other than the author(s). This publication is not intended to create an attorney-client relationship between you and Holland & Hart LLP. Substantive changes in the law subsequent to the date of this publication might affect the analysis or commentary. Similarly, the analysis may differ depending on the jurisdiction or circumstances. If you have specific questions as to the application of the law to your activities, you should seek the advice of your legal counsel.

DISCLAIMER

Unless you are a current client of Holland & Hart LLP, please do not send any confidential information by email. If you are not a current client and send an email to an individual at Holland & Hart LLP, you acknowledge that we have no obligation to maintain the confidentiality of any information you submit to us, unless we have already agreed to represent you or we later agree to do so. Thus, we may represent a party adverse to you, even if the information you submit to us could be used against you in a matter, and even if you submitted it in a good faith effort to retain us.

Accept