Alternative Energy Investment Tax Credit (Corporate) (Montana)

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Summary

Last modified on February 12, 2015.

Financial Incentive Program

Place Montana

Name Alternative Energy Investment Tax Credit (Corporate)
Incentive Type Corporate Tax Credit
Applicable Sector Commercial, Industrial
Eligible Technologies Solar Thermal Electric, Photovoltaics, Landfill Gas, Wind, Biomass, Geothermal Electric, Small Hydroelectric, Fuel Cells using Renewable Fuels
Active Incentive Yes

Implementing Sector State/Territory
Energy Category Renewable Energy Incentive Programs
Amount 35%; participant investment must be greater than or equal to 5,000.

Carryover Provisions Unused credit may be carried forward 7 years. See below for criteria to qualify for a 15-year carryover.


Eligible System Size Not specified.

Equipment Requirements System must be new and in compliance with all applicable performance and safety standards.
Start Date 2002-01-01
Expiration Date None






Maximum Incentive Not specified.










Program Administrator Montana Department of Revenue
Website http://www.deq.mt.gov/Energy/renewable/taxincentrenew.mcpx#15-32-401
Date added to DSIRE 2001-07-30
Last DSIRE Review 2014-10-23



References DSIREDatabase of State Incentives for Renewables and Efficiency[1]


Summary

Commercial and net metering alternative energy investments of $5,000 or more are eligible for a tax credit of up to 35% against individual or corporate tax on income generated by the investment. The investment must be depreciable. The credit is applied only against taxes due as a consequence of taxable or net income produced by:


  • A manufacturing plant that is located in Montana and that produces alternative energy generating equipment;
  • A new business facility or the expanded portion of an existing business facility that supplies basic energy needed from the alternative energy generating equipment, on a direct contract sales basis; or
  • The alternative energy generating equipment itself.

This credit is available to taxpayers purchasing an existing facility as well as to those building a new facility. While net metered systems are eligible, the tax credit is only for any income generated by the system.

A "net metering system" means a facility for the production of electrical energy that:
(a) uses solar, wind, or hydropower for fuel;
(b) has a generating capacity of 50 kilowatts or less;
(c) is located on the customer-generator's premises;
(d) operates in parallel with the utility's distribution facilities; and
(e) is intended primarily to offset part or all of the customer-generator's requirements for electricity.

The tax credit must be taken the year the equipment is placed in service; however, any portion of the tax credit that exceeds the amount of tax to be paid may be carried over and applied against state tax liability for the following 7 years. If a project sized 5 megawatts (MW) or larger is installed on an Indian reservation in Montana, a credit may be extended through the 15th tax year succeeding the tax year of installation, provided that the installation meets other specified criteria.

Taxpayers may not take this credit in conjunction with any other state energy or state investment tax benefits, or with the property tax exemption for non-fossil energy property.


Incentive Contact

Contact Name Information Specialist - MT Dept. of Rev.
Department Montana Department of Revenue

Address P.O. Box 5805

Place Helena, Montana
Zip/Postal Code 59604-5805
Phone (406) 444-6900


Email DORCustomerAssistance@mt.gov
Website https://revenue.mt.gov/
Contact Name Kathi Montgomery
Department Montana Department of Environmental Quality
Division Energy Planning & Renewable Energy
Address 1520 East Sixth Ave.
Address 2 PO Box 200901
Place Helena, Montana
Zip/Postal Code 59620
Phone (406) 444-6586


Email kmontgomery@mt.gov
Website http://deq.mt.gov/energy/default.mcpx
     

Authorities (Please contact the if there are any file problems.)

Authority 1: MCA § 15-32-401 et seq.
Date Effective 2002-01-01
Date Enacted 2001-05-05
Expiration Date None


















  • Incentive and policy data are reviewed and approved by the N.C. Solar Center's DSIRE project staff.[1]

References

  1. 1.0 1.1  "Database of State Incentives for Renewables and Efficiency"