,,ii #aafth ,,congress #ast ,session ,s4 #cjcb ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,december #ab1 #bjai,mr4 ,bennet introduced the following bill2 which was read twice and referred to the ,committee on ,finance ,a ,,bill ,to amend the ,internal ,revenue ,code of #aihf to allow for transfers of the renewable electricity production credit1 the energy credit1 and the credit for carbon oxide sequestration4 #a4 ,short title ,this ,act may be cited as the ,renewable ,energy ,transferability ,act4 #b4 ,transfers of credits for renewable electricity production facilities and energy property 7a7 ,renewable electricity production credit ,section #de7;e7 of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new paragraph3 7#ab7 ,transfer of credit 7,a7 ,in general ,if the taxpayer elects to transfer all 7or any portion specified in the election7 of the credit determined under this section for any taxable year with respect to any qualified facility to an eligible project partner for a specified period1 then1 the eligible project partner specified in such election 7and not the taxpayer7 shall be treated for purposes of this title with respect to such credit 7or such portion thereof7 as the person producing and selling the electricity to which such credit 7or portion thereof7 relates4 7,b7 ,deduction for payments in connection with transfer ,there shall be allowed as a deduction under part ,,vi of subchapter ,b an amount equal to the amount paid by a taxpayer as consideration for a transfer described in subparagraph 7,a74 7,c7 ,eligible project partner ,for purposes of this paragraph1 the term eligible project partner means1 with respect to any qualified facility1 any person who-- 7i7 has an ownership interest in such qualified facility1 7ii7 provided equipment for or services in the construction of such qualified facility1 7iii7 provides electric transmission or distribution services for such qualified facility1 7iv7 purchases electricity from such qualified facility pursuant to a contract1 or 7v7 provides financing for such qualified facility4 ,for purposes of clause 7v71 any amount paid as consideration for a transfer described in subparagraph 7,a7 shall not be treated as financing of a qualified facility4 7,d7 ,taxable year in which credit taken into account ,in the case of any credit 7or portion thereof7 with respect to which an election is made under subparagraph 7,a71 such credit shall be taken into account in the first taxable year of the eligible project partner ending with1 or after1 the electing taxpayer's taxable year with respect to which the credit was determined4 7,e7 ,limitations on election 7i7 ,time for election ,an election under this paragraph to transfer any portion of the credit allowed under this section shall be made not later than the due date for the return of tax for the electing taxpayer's taxable year with respect to which the credit was determined4 7ii7 ,no further transfers ,no election may be made under this paragraph by a taxpayer with respect to any portion of the credit allowed under this section which has been previously transferred to such taxpayer under this paragraph4 7,f7 ,treatment of transfer under private use rules ,for purposes of section #ada7;b77#a71 any benefit derived by an eligible project partner in connection with an election under this paragraph shall not be taken into account as a private business use4 7,g7 ,additional election requirements ,the ,secretary may prescribe such regulations as may be appropriate to carry out the purposes of this paragraph1 including-- 7i7 rules for determining which persons are eligible project partners with respect to any energy property1 and 7ii7 requiring information to be included in an election under subparagraph 7,a7 or imposing additional reporting requirements4 4 7b7 ,energy credit 7#a7 ,in general ,section #dh of the ,internal ,revenue ,code of #aihf is amended by adding at the end the following new subsection3 7e7 ,transfer of credit 7#a7 ,in general ,if the taxpayer elects to transfer all 7or any portion specified in the election7 of the credit determined under this section for any taxable year with respect to any energy property to an eligible project partner1 the eligible project partner specified in such election 7and not the taxpayer7 shall be treated as the taxpayer for purposes of this title with respect to such credit 7or portion thereof74 7#b7 ,deduction for payments in connection with transfer ,there shall be allowed as a deduction under part ,,vi of subchapter ,b an amount equal to the amount paid by a taxpayer as consideration for a transfer described in paragraph 7#a74 7#c7 ,eligible project partner ,for purposes of this subsection1 the term eligible project partner means1 with respect to any energy property1 any person who-- 7,a7 has an ownership interest in such energy property1 7,b7 provided equipment for or services in the construction of such energy property1 7,c7 provides electric transmission or distribution services for such energy property1 7,d7 purchases electricity from such qualified facility pursuant to a contract1 or 7,e7 provides financing for such energy property4 ,for purposes of subparagraph 7,e71 any amount paid as consideration for a transfer described in paragraph 7#a7 shall not be treated as financing of a qualified facility4 7#d7 ,taxable year in which credit taken into account ,in the case of any credit 7or portion thereof7 with respect to which an election is made under paragraph 7#a71 such credit shall be taken into account in the first taxable year of the eligible project partner ending with1 or after1 the electing taxpayer's taxable year with respect to which the credit was determined4 7#e7 ,limitations on election 7,a7 ,time for election ,an election under this subsection to transfer any portion of the credit allowed under this section shall be made not later than the due date for the return of tax for the electing taxpayer's taxable year with respect to which the credit was determined4 7,b7 ,no further transfers ,no election may be made under this subsection by a taxpayer with respect to any portion of the credit allowed under this section which has been previously transferred to such taxpayer under this subsection4 7#f7 ,treatment of transfer under private use rules ,for purposes of section #ada7;b77#a71 any benefit derived by an eligible project partner in connection with an election under this subsection shall not be taken into account as a private business use4 7#g7 ,additional election requirements ,the ,secretary may prescribe such regulations as may be appropriate to carry out the purposes of this subsection1 including-- 7,a7 rules for determining which persons are eligible project partners with respect to any energy property1 and 7,b7 requiring information to be included in an election under paragraph 7#a7 or imposing additional reporting requirements4 4 7#b7 ,normalization rules ,section #ej7;d7 of such ,code is amended by adding at the end the following3 ,in the case of any energy property with respect to which an election is made under section #dh7;e77#a71 the rules of the section #df7;f7 referred to in paragraph 7#b7 shall apply only to the extent of amounts paid in consideration of the transfer to which such election relates44 7c7 ,credit for carbon oxide sequestration ,subparagraph 7,b7 of section #de,q7f77#c7 of the ,internal ,revenue ,code of #aihf is amended to read as follows3 7,b7 ,transfer of credit 7i7 ,in general ,if the person described in subparagraph 7,a7 elects to transfer all 7or any portion specified in the election7 of the credit determined under this section for any taxable year with respect to any qualified facility to an eligible project partner for a specified period1 then1 the eligible project partner specified in such election 7and not the person described in subparagraph 7,a77 shall be treated for purposes of this title with respect to such credit 7or such portion thereof7 as the person described in clause 7i7 or 7ii7 of such subparagraph1 as applicable1 to which such credit 7or portion thereof7 relates4 7ii7 ,deduction for payments in connection with transfer ,there shall be allowed as a deduction under part ,,vi of subchapter ,b an amount equal to the amount paid by a taxpayer as consideration for a transfer described in clause 7i74 7iii7 ,eligible project partner ,for purposes of this subparagraph1 the term eligible project partner means1 with respect to any qualified facility1 any person who-- 7,i7 has an ownership interest in such qualified facility or any carbon capture equipment which is placed in service at such qualified facility1 7,,ii7 provided equipment for or services in the construction of such qualified facility or any carbon capture equipment which is placed in service at such qualified facility1 7,,iii7 provides fuel or feedstock for the operation of such qualified facility1 7,,iv7 provides transportation1 transmission1 or distribution services for such qualified facility1 7,v7 purchases1 pursuant to a contract1 the industrial output of such qualified facility or the commercial products produced by utilization of qualified carbon oxide captured at such qualified facility1 7,,vi7 disposes of the qualified carbon oxide1 utilizes the qualified carbon oxide1 or uses the qualified carbon oxide as a tertiary injectant1 or 7,,vii7 provides financing for such qualified facility or any carbon capture equipment which is placed in service at such qualified facility4 ,for purposes of subclause 7,,vii71 any amount paid as consideration for a transfer described in clause 7i7 shall not be treated as financing of a qualified facility4 7iv7 ,taxable year in which credit taken into account ,in the case of any credit 7or portion thereof7 with respect to which an election is made under clause 7i71 such credit shall be taken into account in the first taxable year of the eligible project partner ending with1 or after1 the electing taxpayer's taxable year with respect to which the credit was determined4 7v7 ,limitations on election 7,i7 ,time for election ,an election under this subparagraph to transfer any portion of the credit allowed under this section shall be made not later than the due date for the return of tax for the electing taxpayer's taxable year with respect to which the credit was determined4 7,,ii7 ,no further transfers ,no election may be made under this subparagraph by a taxpayer with respect to any portion of the credit allowed under this section which has been previously transferred to such taxpayer under this subparagraph4 7vi7 ,treatment of transfer under private use rules ,for purposes of section #ada7;b77#a71 any benefit derived by an eligible project partner in connection with an election under this subparagraph shall not be taken into account as a private business use4 7vii7 ,additional election requirements ,the ,secretary may prescribe such regulations as may be appropriate to carry out the purposes of this subparagraph1 including-- 7,i7 rules for determining which persons are eligible project partners with respect to any qualified facility1 and 7,,ii7 requiring information to be included in an election under clause 7i7 or imposing additional reporting requirements4 7viii7 ,transition rules ,any election made under this subparagraph with respect to a qualified facility for any taxable years beginning before the date of enactment of the ,renewable ,energy ,transferability ,act shall not apply to any taxable years beginning after the date of enactment of such ,act1 and the person described in subparagraph 7,a7 may make a new election or elections under clause 7i7 with respect to such qualified facility4 4 7d7 ,special rule for proceeds of transfers for mutual or cooperative electric companies ,section #eja7;c77#ab77;,i7 of such ,code is amended by striking #de;,j7e77#a7 and inserting #de7;e77#ab71 #de;,j7e77#a71 #de,q7f77#c77;,b71 or #dh7;e77#a74 7e7 ,effective date ,the amendments made by this section shall apply to taxable years beginning after the date of the enactment of this ,act4