SECTION 1. BACKGROUND

Section 25C provides a tax credit to individuals for nonbusiness energy property. Section 25C(a) allows a credit for the taxable year in an amount equal to: (1) 10

percent of the amount paid or incurred for qualified energy efficiency improvements installed during such taxable year; and (2) the amount of the residential energy property expenditures paid or incurred during such taxable year.

Under § 25C(d)(1), the residential energy property expenditures are expenditures made by the taxpayer for qualified energy property which the taxpayer installs on or in connection with a dwelling unit located in the United States that the taxpayer owns and uses as the taxpayer’s principal residence (within the meaning of § 121), and that the taxpayer originally placed in service.

Section 25C(d)(2)(A)(i) provides that qualified energy property includes energyefficient building property.

Under § 25C(d)(3)(E), energy-efficient building property includes, among others, a stove which uses the burning of biomass fuel to heat a dwelling unit located in the United States and used as a residence by the taxpayer, or to heat water for use in such a dwelling unit, and which has a thermal efficiency rating of at least 75 percent. For property placed in service after December 31, 2008, and prior to January 1, 2011, the law also required that the thermal efficiency rating of at least 75 percent be measured using a lower heating value.

On June 22, 2009, the Internal Revenue Service (“Service”) issued Notice 2009–53, 2009–25 I.R.B. 1095, to provide procedures that manufacturers may follow to certify property as qualified energy property, as well as guidance regarding the conditions under which taxpayers seeking a credit may rely on a manufacturer’s certification.

Section 6.01 of the notice allows a manufacturer to provide the certification by including a written copy of the statement with the packaging of the property, in printable form on the manufacturer’s website, or in any other manner that will permit the taxpayer to retain the certification statement for tax recordkeeping purposes.

Section 6.02 of the notice provides that a taxpayer may rely on a manufacturer’s certification that energy property is qualified energy property except as provided in sections 6.03 and 6.08 of the notice.

Section 6.03 of the notice does not apply to qualified energy property. Pursuant to section 6.08 of the notice, the

November 28, 2011 822 2011–48 I.R.B.

parties. The Treasury Department and the IRS have decided to withdraw the proposed regulation.

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Withdrawal of Notice of Proposed Rulemaking

Accordingly, under the authority of 26 U.S. C. 7805, the notice of proposed rulemaking (REG–158677–05) that was published in the Federal Register on August 24, 2006 (71 FR 50007) is withdrawn.

Steven T. Miller, Deputy Commissioner for Services and Enforcement.

(Filed by the Office of the Federal Register on October 25, 2011, 8:45 a.m., and published in the issue of the Federal Register for October 26, 2011, 76 F.R. 66239)