Tax Credits

Production Tax Credits for Renewable Thermal Energy

BTEC supports the establishment of a production tax credit (PTC) for renewable thermal energy. A similar credit already exists for the production of renewable electricity (Internal Revenue Code, Title 26, Section 45). A renewable thermal energy PTC could be implemented through a modification of the existing Section 45 credits or the development of a new section in the tax code.

Active Legislation:

S. 1094: Renewable Energy Alternative Production Act
Sponsor: Sen. Ron Wyden (D-OR)

Summary:

• Expands the Internal Revenue Code Section 45 production tax credit to include renewable thermal energy in addition to renewable electricity
• Establishes a production tax credit for renewable thermal on a BTU basis  (roughly $45/ton of biomass)

More information: http://www.govtrack.us/congress/bill.xpd?bill=s111-1094

Investment Tax Credits for High-Efficiency Biomass Heating Systems

BTEC strongly supports legislation that provides incentive for the installation of clean, high-efficiency biomass heating systems in residential, commercial, and industrial settings.

Active Legislation:

H.R. 2080: American Renewable Biomass Heating Act
Sponsor: Rep. Paul Hodes (D-NH)

Summary:

• Extends the existing Internal Revenue Code Section 25 tax credit for residential biomass heating systems through December 31, 2013
• Expands the Sec. 25 tax credit to include all biomass heating appliances (stoves, boilers, and furnaces)
• Increases the limit of the Sec. 25 tax credit from $1,500 to $6,000

Bill Full-Text: http://www.govtrack.us/congress/bill.xpd?bill=h111-2080