On February 9, 2018, President Trump signed into law a package of tax extenders included in the Bipartisan Budget Act of 2018. The package includes an extension of over 30 tax incentives including retroactive extensions for 179D energy efficient building deduction, and the 45L tax credit for residential and multi-family units. These extensions maintain the existing qualifying standards from prior years and extend the incentives to properties and improvements placed-in-service through December 31, 2017 (formerly December 31, 2016).
This extension means that we have a short window to perform certifications so eligible businesses can capture these benefits prior to filing the 2017 tax returns!
179D Energy Efficient Building Deduction is defined as:
- Any Commercial Property or 4+ Story Multi-Family Property
- Newly Constructed prior to December 31, 2017
- Or with retrofits to Lighting, HVAC, or Envelope components resulting in reduced energy consumption
- Eligible Properties Qualify for up to $1.80 per square foot OR
- $0.60 for lighting, $0.60 for HVAC, $0.60 for Envelope Retrofits
45L Residential Energy Efficient Housing Credit
- Single-Family or Multi-Family Less than 3 Stories
- $2,000 tax credit per unit
- New Construction or Major Renovation
If you have qualifying properties and need a proposal, benefits analysis, and certification, please contact Engineered Tax Services below.