Tax law hurts public-sector conservation

Journal Article · Mon Jul 02 04:00:00 EDT 1984 · Energy User News; (United States)

OSTI ID:6710533

Hume, M

An unexpected compromise in the 1984 tax reform act (HR 4170) could limit the number of energy management projects for tax-exempt users because it makes it harder to use third-party investors, although the arrangment cogeneration is still covered. Energy production contracts under the new bill will have to meet the stricter requirements of service contracts to receive tax benefits rather than being treated as leases. The change was designed to prevent the cancellation of utility contracts will small power producers and makes it easier for investors to take tax credits. The Wallop amendment to extend the tax benefits to schools and other tax-exempt users was defeated. Tax exempt users had been the best market for energy management contracts. The new law also cancels accelerated depreciation for property leased to tax-exempt users.

• OSTI ID: 6710533
• Journal Information: Energy User News; (United States), Journal Name: Energy User News; (United States) Vol. 9:27; ISSN EUSND
• Country of Publication: United States
• Language: English

Related Subjects

29 ENERGY PLANNING, POLICY, AND ECONOMY
291000 -- Energy Planning & Policy-- Conservation
32 ENERGY CONSERVATION, CONSUMPTION, AND UTILIZATION
320100* -- Energy Conservation
Consumption
& Utilization-- Buildings
CONSTRAINTS
CONTRACTS
ENERGY CONSERVATION
ENERGY MANAGEMENT SYSTEMS
ENERGY SYSTEMS
FINANCIAL INCENTIVES
GOVERNMENT POLICIES
INVESTMENT
LEASES
LEGISLATION
TAX CREDITS