Renewable Energy Facility Personal Tax Credit
| Program Type | Personal Tax Credit |
|---|---|
| Technologies | Photovoltaics, Solar Thermal Electric, Wind Energy, Biomass |
| Amount | 10 percent of the first $50,000,000 invested. Five percent for any amount above $50,000,000 |
| Required Documentation | Agreement with the Kansas Department of Commerce before construction begins |
| Official Web Site | http://www.kansascommerce.com/SpecialInitiatives/WindEnergyInitiative/tabid/262/Default.aspx |
This personal tax credit is designed to encourage business owners to construct on-site renewable energy facilities in order to meet current or future electricity needs. For renewable energy systems constructed between Jan. 1, 2007 and Dec. 31, 2011, investment tax credits can be claimed for up to 10 percent of the first $50 million spent, and an additional 5 percent for any amount above $50 million. These tax credits are claimed over the course of 10 years, in equal increments.
In order to be able to claim these tax credits, the business owner must enter into an agreement with the Kansas Department of Commerce before beginning work on the renewable energy system. The energy facilities must remain operating for at least 10 years, and the Department of Commerce will review them each year to ensure they are operating within the bounds of the initial agreement.
