Wind Energy Production Tax Credit and Renewable Energy Tax, Credit Tax Credits Program Evaluation Study, December 2024

(2010) Wind Energy Production Tax Credit and Renewable Energy Tax, Credit Tax Credits Program Evaluation Study, December 2024. Iowa Workforce Development

Preview

PDF 2024 Wind Energy Production and Renewable Energy Tax Credit Evaluation Study.pdf File Size:592kB

Abstract

The Wind Energy Production Tax Credit and the Renewable Energy Tax Credit are State tax credits awarded for the production of energy from wind and other renewable sources. The Wind Energy Production Tax Credit is equal to $0.01 per kilowatt-hour of electricity generated from wind at facilities located in Iowa. The Renewable Energy Tax Credit is equal to $0.015 per kilowatt-hour of electricity. Different rates apply for other forms of energy production. Note that the terms “facility” and “project” are used interchangeably throughout the evaluation study. Applications for tax credit eligibility are subject to review and approval by the Iowa Utilities Commission and tax credit certificates are awarded by the Department of Revenue. Under both programs, the tax credits for production by each approved facility are available for a ten-year period starting from the facility’s in-service date. The tax credits are nonrefundable with a seven year carryforward and are also transferable.