SECTION 5. DRAFTING

INFORMATION

The principal author of this notice is the Office of Associate Chief Coun­ sel (Passthroughs & Special Industries). However, other personnel from the Trea­ sury Department and the IRS participated in its development. For further informa­ tion regarding this notice, call the energy security guidance contact number at (202) 317-5254 (not a toll-free number).

Bulletin No. 2023–10 507 March 6, 2023

.03 Section 48C(a) provides that the § 48C credit for any taxable year is an amount equal to a certain percentage of the qualified investment (as defined in § 48C(b)) for such taxable year with re­ spect to any qualifying advanced energy project (as defined in § 48C(c)(1) and section 3.01 of this notice) of the taxpay­ er. The § 48C credit generally is allowed in the taxable year in which the eligible property (as defined in § 48C(c)(2) and section 3.03 of this notice) is placed in service (as defined in section 3.04 of this notice). For purposes of § 48C credit al­ locations under the § 48C(e) program, § 48C(e)(4)(A) provides a base credit rate of 6 percent of the qualified investment. In the case of any project which satisfies the requirements of § 48C(e)(5)(A) and (6) (prevailing wage and apprenticeship requirements), § 48C(e)(4)(B) provides an alternative rate of 30 percent of the qualified investment. See section 4 of this notice.

.04 Section 48C(b)(1) provides that the qualified investment for any taxable year is the basis of eligible property that is placed in service by the taxpayer during such taxable year and is part of a qualify­ ing advanced energy project.

.05 Section 48C(b)(3) provides that the amount which is treated as the quali­ fied investment for all taxable years with respect to any qualified advanced energy project must not exceed the amount des­ ignated by the Secretary as eligible for the § 48C credit.

.06 Section 48C(e)(1) directs the Secre­ tary of the Treasury or her delegate (Sec­ retary) to establish the § 48C(e) program to consider and award certifications for qualified investments eligible for § 48C credits to qualifying advanced energy project sponsors.

.07 Section 48C(e)(2) provides that the total amount of § 48C credits which may be allocated under the § 48C(e) program may not exceed $10 billion, of which not greater than $6 billion may be allocated to qualified investments which are not locat­ ed within census tracts that- (1) Prior to August 16, 2022 (the date of enactment of § 48C(e)), had no project that received a certification and allocation

Initial Guidance Establishing Qualifying Advanced Energy Project Credit Allocation Program Under Section 48C(e)