House Passes PTC, NMTC Extension Bill

On December 17, 2019, the US House of Representatives passed a year-end fiscal year 2020 spending bill for the federal government that includes a one-year extension of the production tax credit under Section 45 (PTC) for wind and other technologies. The bill would extend the wind PTC for facilities the construction of which begins during 2020 at a rate of 60%. Under current law, the PTC is available at a rate of 100% for wind projects construction of which began before 2017, and the PTC phases down to 80% for projects that began construction during 2017, to 60% for projects that began construction during 2018, and 40% for projects that began construction during 2019. Curiously, the extender bill would leave in place the 40% rate for projects that began construction during 2019 and increase the rate back to 60% for projects that begin construction in 2020. If enacted in this form, this could potentially leave taxpayers in a frustrating position to the extent they already