H.R. 5040 — Introduced in House

I 114th CONGRESS 2d Session H. R. 5040 IN THE HOUSE OF REPRESENTATIVES April 21, 2016 Mr. Polis introduced the following bill; which was referred to the Committee on Ways and Means A BILL To amend the Internal Revenue Code of 1986 to increase for 2 years the residential energy credit and the investment tax credit with respect to solar property with a nameplate capacity of less than 20 kilowatts. 1. Short title This Act may be cited as the Solar Expansion of Distributed Generation Exponentially Act or the Solar EDGE Act. 2. Two-year increase for certain solar property expenditures (a) In general Subsection (e) of section 25D of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (9) Two-year increase for certain solar property expenditures In the case of qualified solar electric property expenditures for taxable years beginning during 2017 or 2018 with respect to property which has a nameplate capacity of less than 20 kilowatts (or thermal energy equivalent), subsection (a)(1) shall be applied by substituting 50 percent for the applicable percentage. . (b) Effective date The amendment made by this section shall apply to taxable years beginning after December 31, 2016. 3. Two-year increase for certain solar property (a) In general Subsection (c) of section 48 of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (5) Two-year increase for certain solar property In the case of property— (A) described in subsection (a)(3)(A)(i), (B) the construction of which begins during 2017 or 2018, and (C) which has a nameplate capacity of less than 20 kilowatts (or thermal energy equivalent), the energy percentage shall be 50 percent. . (b) Effective date The amendment made by this section shall apply to property construction of which begins after December 31, 2016.