Under the notice, if a qualified facility
satisfies either the physical work test or the safe harbor, a taxpayer that owns the facility during the 10-year period beginning on the date the facility was originally placed in service may claim the PTC for that facility even if the taxpayer did not own the facility at the time construction began.
Two alternative credits against federal income tax are available for certain enumerated types of renewable energy projects: a credit based on the amount of electricity produced by a qualified facility
(known as the production tax credit or PTC) and a credit based on the cost of a qualified facility
(known as the investment tax credit or ITC).
A qualified facility
may be either a small business, with average annual sales of less than $500,000 and at least half its sales going directly to consumers or to retailers or restaurants within the same state or within 275 miles of the facility, or a very small business, for which FDA has proposed three definitions and seeks comments on which to adopt in the final rule.
Closed-loop biomass refers to facilities that utilize plants that are used exclusively for the purpose of producing electricity at a qualified facility
. An approved facility is eligible to receive a credit of 2.1cents/kWh of electricity produced.
This type of clinic provides a qualified facility
for ailing patients while they await a medevac transport, which can be delayed due to weather.
45, Congress provided for a renewable production credit for electricity produced by a taxpayer from qualified energy resources (wind, closed- and open-loop biomass, geothermal and solar energy, small irrigation power, municipal solid waste and hydropower) at a qualified facility