Promoting Sustainable Energy Projects for Tribal Communities Act of 2021
Bill: H.R.5234 | Sponsor: Rep. Moore, Gwen (D-WI)
Policy area: Taxation

Summary:
Promoting Sustainable Energy Projects for Tribal Communities Act of 2021
This bill allows Indian tribal governments to elect to receive payments, in lieu of tax credits, for energy property and electricity produced from certain renewable resources.

To amend the Internal Revenue Code of 1986 to provide for elective 
     payments to Indian tribal governments for energy property and 
         electricity produced from certain renewable resources.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Promoting Sustainable Energy 
Projects for Tribal Communities Act of 2021''.

SEC. 2. ELECTIVE PAYMENT TO INDIAN TRIBAL GOVERNMENTS FOR ENERGY 
              PROPERTY AND ELECTRICITY PRODUCED FROM CERTAIN RENEWABLE 
              RESOURCES, ETC.

    (a) In General.--Subchapter B of chapter 65 of the Internal Revenue 
Code of 1986 is amended by adding at the end the following new section:

``SEC. 6431. ELECTIVE PAYMENT TO INDIAN TRIBAL GOVERNMENTS FOR ENERGY 
              PROPERTY AND ELECTRICITY PRODUCED FROM CERTAIN RENEWABLE 
              RESOURCES, ETC.

    ``(a) Energy Property.--In the case of an Indian tribal government 
(within the meaning of such term for purposes of section 139E) making 
an election (at such time and in such manner as the Secretary may 
provide) under this section with respect to any portion of an energy 
credit which would (without regard to this section) be determined under 
section 48 with respect to such taxpayer or any portion of a renewable 
electricity production credit which would (without regard to this 
section) be determined under section 45 with respect to such taxpayer, 
such taxpayer shall be treated as making a payment against the tax 
imposed by subtitle A for the taxable year equal to the amount of such 
portion.
    ``(b) Timing.--The payment described in subsection (a) shall be 
treated as made on the later of the due date of the return of tax for 
such taxable year or the date on which such return is filed.
    ``(c) Exclusion From Gross Income.--Gross income of the taxpayer 
shall be determined without regard to this section.
    ``(d) Denial of Double Benefit.--Solely for purposes of section 38, 
in the case of a taxpayer making an election under this section, the 
energy credit determined under section 45 or the renewable electricity 
production credit determined under section 48 shall be reduced by the 
amount of the portion of such credit with respect to which the taxpayer 
makes such election.''.
    (b) Clerical Amendment.--The table of sections for subchapter B of 
chapter 65 of such Code is amended by adding at the end the following 
new item:

``Sec. 6431. Elective payment to Indian tribal governments for energy 
                            property and electricity produced from 
                            certain renewable resources, etc.''.
    (c) Effective Date.--The amendments made by this section shall 
apply to property originally placed in service after the date of the 
enactment of this Act.
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