The Bipartisan Budget Act of 2018 signed by President Trump on February 11th, included a package of tax credits that may be a boost for renewable energy development and storage projects. The deal extends tax credits for the so-called “orphan” renewable energy technologies along with nuclear power production. Continue Reading “Orphaned” Energy Tax Credits Included in Budget Deal

U.S. Trade Representative Robert Lighthizer announced that President Trump has implemented tariffs on imported solar cells and modules. The tariffs will be in effect for four years and include 30% tariffs on imported solar cells and modules for the first year, with the tariffs decreasing to 15% by the fourth year. Also, the first 2.5 gigawatts of cells imported each year will be exempt from the tariffs. The U.S. International Trade Commission (USITC) previously determined that increased imports of crystalline silicon photovoltaic cells were a substantial cause of serious injury to the domestic industry producing competing articles. The USITC later issued remedy recommendations, including tariffs, to be considered by President Trump. For more information about the President’s decision, please see the Office of the U.S. Trade Representative fact sheet here.

The House and Senate Conference Committee reached agreement on the Tax Cuts and Jobs Act (TCJA) last Friday, December 15, 2017. The text of the bill (the Conference Agreement) is available here. Prior coverage of the House bill and a prior version of the Senate bill is available here and here, respectively.

PTC and ITC

The Conference Agreement, following the Senate bill, will not change the PTC or ITC from the current law phase-down.

Corporate Tax Rates

The Conference Agreement will lower the highest corporate tax rate to 21% beginning in 2018.

Continue Reading Conference Committee Reaches Agreement on Tax Reform Bill

Yesterday the Joint Committee on Taxation released a description and revenue estimate of the Senate Finance Committee Chairman’s mark up of the Tax Cuts and Jobs Act. The Senate Finance Committee has not released bill language yet but may do so as early as next week. The Senate bill differs in significant respects from the House bill, which we summarized here.

PTC and ITC

Unlike the House bill, the Senate bill would not change the PTC or ITC.

Corporate Tax Rates

Like the House bill, the Senate bill would lower the highest corporate tax rate from 35% to 20%. However, the Senate bill would not reduce the rate until tax years beginning after 2018, one year later than the House bill. Continue Reading Impact of Senate Tax Reform Bill on Renewable Energy Projects