Bailout Bill Extends Green Building Tax Benefits
October 29, 2008
The $700-billion “bailout” bill passed in October includes the Energy Improvement and Extension Act of 2008, which extends to several tax benefits for green buildings. The bill extends renewable energy tax credits, including the investment credit, which covers 30% of the installed cost of residential and commercial photovoltaic and solar hot water systems. Legislators eliminated the $2,000 cap on the residential credit and extended the applicability of both credits to utilities and taxpayers using the Alternative Minimum Tax.The bill also extends the production tax credit for wind energy facilities for one year and the credit for geothermal facilities for two years. A new credit, good for two years, covers marine technologies such as wave and tidal energy generation. Finally, the energy-efficient commercial building tax deduction, which allows building owners to deduct up to $1.80 per square foot for energy savings (see
), has been extended through 2013.