SF 1440

as introduced - 86th Legislature (2009 - 2010) Posted on 02/09/2010 02:20am

A bill for an act
relating to taxation; providing a tax credit for certain residential solar energy
system installations; proposing coding for new law in Minnesota Statutes,
chapter 290.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [290.0681] RESIDENTIAL SOLAR ENERGY SYSTEM
INSTALLATION CREDIT.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms
have the meanings given.
new text end

new text begin (b) "Qualifying residential solar energy expenditures" means expenditures for
the purchase and installation of a solar energy system in residential property located
in this state that is installed after December 31, 2008, and before January 1, 2011, and
meets the requirements of United States Code, title 26, section 25D, as amended by the
American Recovery and Reinvestment Act of 2009. Qualified residential solar energy
expenditures do not include expenditures for equipment used to heat water used in a hot
tub or swimming pool, or for domestic use if less than half of the energy used by the
residence for that purpose is derived from the sun.
new text end

new text begin (c) "Residential property" means the principal residence used by the taxpayer at the
time the solar energy system is placed in service.
new text end

new text begin (d) "Solar energy system" means a qualified solar water heating property expenditure
or qualified solar electric property expenditure as defined in United States Code, title
26, section 25D.
new text end

new text begin Subd. 2. new text end

new text begin Credit allowed. new text end

new text begin A taxpayer is allowed a credit against the tax that would
otherwise be due under this chapter for a qualified solar energy system installed after
December 31, 2008. The credit is equal to 30 percent of the total cost incurred during the
taxable year for installation of a solar energy system, but may not exceed $4,000 for all
taxable years.
new text end

new text begin Subd. 3. new text end

new text begin Carryover. new text end

new text begin (a) The credit allowed, including carryovers, may not reduce
the tax otherwise due under this chapter to less than zero.
new text end

new text begin (b) A taxpayer entitled to a credit that exceeds the taxpayer's total tax due for the
taxable year in which the credit is earned may carry over the excess amount and apply it to
the taxpayer's tax liability for any of the next three succeeding taxable years.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective for taxable years beginning after
December 31, 2008.
new text end