Description

The American Recovery and Reinvestment Act (ARRA) authorizes the Department of the Treasury to make payments to eligible persons that either place in service particular types of energy property in 2009 or 2010, or, under certain circumstances, begin construction on such property in 2009 or 2010. These payments are generally equal to 10 or 30 percent of the eligible cost basis of the property, depending on the type of property. Those that apply for these payments must forego tax credits that they could otherwise receive under sections 45 and 48 of the Internal Revenue Code. The types of energy property that are eligible for these payments include, among others, various renewable energy generation facilities, microturbines, and fuel cells.