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Federal income tax incentives for the development and use of alternative energy sources

Journal Article · · Nat. Resour. Lawyer; (United States)
OSTI ID:5850219

The Energy Tax Act of 1978 was the first time that Congress enacted tax legislation specifically addressing the general energy problem: the insecurity of the US oil supply. This article reviews the business-oriented provisions of the Internal Revenue Code of 1954, as amended, that provides tax incentives in the form of tax-exempt bonds for certain hydroelectric-generating and solid-waste energy-producing facilities and renewable energy projects, tax credits for producing fuel from a nonconventional source and for alcohol used as a fuel, and a general credit for energy property. In some instances, these provisions reflect that half-hearted approach Congress has taken many times in providing incentives and then limiting their use. One conclusion is that providing even greater tax incentives, along with other more direct forms of government financial support, may be the wisest use of government funds to help private enterprise make the enormous capital investment needed today if sufficient alternative energy is to be available when the future price of oil makes these projects economically competitive. 168 references.

Research Organization:
Milbank, Tweed, Hadley and McCloy, New York, NY
OSTI ID:
5850219
Journal Information:
Nat. Resour. Lawyer; (United States), Journal Name: Nat. Resour. Lawyer; (United States) Vol. 14:2; ISSN NRLAD
Country of Publication:
United States
Language:
English