Energy Storage Tax Incentive and Deployment Act of 2016

Bill: 114-s-3159
Sponsor: full_name: Sen. Heinrich, Martin [D-NM]
Introduced: 2016-07-12
Policy area: Taxation
Subjects: Alternative and renewable resources

Business investment and capital

Energy efficiency and conservation

Energy storage, supplies, demand

Income tax credits

Residential rehabilitation and home repair
Latest action: action_date: 2016-07-12
text: Read twice and referred to the Committee on Finance.

Summaries:
action_date: 2016-07-12
action_desc: Introduced in Senate
text: <p><b>Energy Storage Tax Incentive and Deployment Act of 2016 </b></p> <p>This bill amends the Internal Revenue Code to allow tax credits for: (1) energy storage technologies, and (2) battery storage technology. </p> <p>The bill expands the tax credit for investments in energy property to include equipment that: (1) receives, stores, and delivers energy using batteries, compressed air, pumped hydropower, hydrogen storage (including hydrolysis), thermal energy storage, regenerative fuel cells, flywheels, capacitors, superconducting magnets, or other technologies identified by the Internal Revenue Service; and (2) has a capacity of at least five kilowatt hours. </p> <p>The bill also expands the tax credit for residential energy efficient property to include expenditures for battery storage technology that: (1) is installed on or in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and (2) has a capacity of at least three kilowatt hours. </p>

tv_txt: II 114th CONGRESS 2d Session S. 3159 IN THE SENATE OF THE UNITED STATES July 12, 2016 Mr. Heinrich (for himself, Mr. Heller , Mr. Schatz , Mr. Franken , Mr. Merkley , Mr. King , Mr. Reed , Ms. Hirono , and Mrs. Gillibrand ) introduced the following bill; which was read twice and referred to the Committee on Finance A BILL To amend the Internal Revenue Code of 1986 to provide tax credits for energy storage technologies, and for other purposes.

1. Short title This Act may be cited as the Energy Storage Tax Incentive and Deployment Act of 2016 . 2. Energy credit for energy storage technologies (a) In general Subclause (II) of section 48(a)(2)(A)(i) of the Internal Revenue Code of 1986 is amended by striking paragraph (3)(A)(i) and inserting clause (i) or (viii) of paragraph (3)(A) . (b) Energy storage technologies Subparagraph (A) of section 48(a)(3) of the Internal Revenue Code of 1986 is amended by striking or at the end of clause (vi), by adding or at the end of clause (vii), and by adding at the end the following new clause: (viii) equipment which receives, stores, and delivers energy using batteries, compressed air, pumped hydropower, hydrogen storage (including hydrolysis), thermal energy storage, regenerative fuel cells, flywheels, capacitors, superconducting magnets, or other technologies identified by the Secretary in consultation with the Secretary of Energy, and which has a capacity of not less than 5 kilowatt hours, . (c) Phaseout of credit Paragraph (6) of section 48(a) of the Internal Revenue Code of 1986 is amended— (1) by striking energy in the heading and inserting and energy storage , and (2) by striking paragraph (3)(A)(i) both places it appears and inserting clause (i) or (viii) of paragraph (3)(A) . (d) Effective date The amendments made by this section shall apply to property placed in service after December 31, 2015. 3. Residential energy efficient property credit for battery storage technology (a) In general Subsection (a) of section 25D of the Internal Revenue Code of 1986 is amended by striking and at the end of paragraph (4), by striking the period at the end of paragraph (5) and inserting , and , and by adding at the end the following new paragraph: (6) the applicable percentage of the qualified battery storage technology expenditures made by the taxpayer during such year. . (b) Qualified battery storage technology expenditure Subsection (d) of section 25D of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph: (6) Qualified battery storage technology expenditure The term qualified battery storage technology expenditure means an expenditure for battery storage technology which— (A) is installed on or in connection with a dwelling unit located in the United States and used as a residence by the taxpayer, and (B) has a capacity of not less than 3 kilowatt hours. . (c) Applicable percentage Subsection (g) of section 25D of the Internal Revenue Code of 1986 is amended by striking (1) and (2) and inserting (1), (2), and (6) . (d) Effective date The amendments made by this section shall apply to expenditures paid or incurred in taxable years beginning after December 31, 2015.