IRS provides guidance for the Domestic Content Bonus Credit
IR-2024-140, May 16, 2024
WASHINGTON — The Department of Treasury and the Internal Revenue Service today released Notice 2024-41PDF to modify an existing safe harbor and to provide a new elective safe harbor for determining the Domestic Content Bonus Credit amounts.
The Department of Treasury and the IRS released Notice 2023-38 on May 12, 2023, which provides rules that taxpayers may rely on to qualify for the Domestic Content Bonus Credit amounts and related record-keeping and certification requirements.
Today’s notice modifies the existing safe harbor provided in “Table 2--Categorization of Applicable Project Components” in Notice 2023-38 to include hydropower and pumped hydropower storage facilities, redesignates the “Utility scale photovoltaic system” Applicable Project as the “Ground-mount and rooftop photovoltaic system,” and includes certain manufactured product components for previously listed applicable projects.
Notice 2024-41 also provides a new safe harbor that allows taxpayers to elect to use the classifications of components and cost percentages (in lieu of direct costs of the manufacturer as provided in Notice 2023-38) to determine if the adjusted percentage rule is satisfied.
Notice 2024-41 also requests comments regarding the new elective safe harbor to inform any future updates.
More information may be found on the Inflation Reduction Act of 2022 page on IRS.gov.
Legal Disclaimer:
EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.
