Public utility tax credit for incentive payments made to owners meeting the state energy performance standard

Available to:

Qualifying utilities that provide incentive payments to owners of qualifying covered commercial buildings or multifamily residential buildings.

Qualifying activity:

The qualifying utility does not need to apply to the Dept. of Revenue (DOR) to receive the credit. DOR will automatically issue a public utility tax (PUT) credit to an eligible taxpayer’s account based on information it receives from the Dept. of Commerce.

Reporting/documentation:

• No application.
• Credits are not refundable.
• Taxpayers who claim the PUT credit on their public utility tax return are eligible to complete a worksheet (within the return) documenting administrative costs incurred. The administrative costs may qualify for additional credit (not to exceed 8% of the incentives paid).
• Credits must be claimed in the calendar year in which they are earned or within the following two calendar years.
• Electronic filing is required.
• There is no annual report to file.

Total incentive payments paid to all building owners may not exceed $75 million over the course of the program.

Expires June 30, 2032.

For questions about the credit, call Taxpayer Account Administration at 360-705-6218.