IRS Provides Guidance on Energy-Related Tax Issues
The IRS recently released Notice 2012-23 to provide guidance on tax-related issues involving cash payments for specified energy property in lieu of tax credits under Section 1603 of the American Recovery and Reinvestment Tax Act of 2009 (ARRTA). The purpose of Section 1603 is to reimburse eligible applicants for a portion of the expense of such property.
Section 1603 of ARRTA directs the Secretary of the Treasury to provide Section 1603 cash payments to qualified applicants that place in service specified energy property. Treasury will make Section 1603 payments to eligible applicants in an amount equal to 10 percent or 30 percent of the basis of the specified property. Eligible properties include property used in a trade or business or those held for the production of income.
Click here to read IRS Notice 2012-23.
IRS Revises Procedures for Providing Temporary Relief for Victims of Major Disasters
IRS recently released Revenue Procedure 2014-49 to make revisions to Revenue Procedure 2007-54 which established temporary relief from certain requirements of Section 42 of the Internal Revenue Code for owners and agencies located in areas affected by major disasters.