| (1) |
As used in this section:
Terms Used In Utah Code 59-10-1029- claimant: means a resident or nonresident person that has state taxable income. See Utah Code 59-10-1002
- estate: means a nonresident estate or a resident estate that has state taxable income. See Utah Code 59-10-1002
- State: when applied to the different parts of the United States, includes a state, district, or territory of the United States. See Utah Code 68-3-12.5
- tax credit: means a tax credit that a claimant, estate, or trust may:
| (a) | claim:| (i) | as provided by statute; and |
| (ii) | in an amount that does not exceed the claimant's, estate's, or trust's tax liability under this chapter for a taxable year; and |
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| (b) | carry forward or carry back:| (i) | if allowed by statute; and |
| (ii) | unless otherwise provided in statute, to the extent that the amount of the tax credit exceeds the claimant's, estate's, or trust's tax liability under this chapter for a taxable year. See Utah Code 59-10-1002- Taxpayer: means any of the following that has income subject in whole or part to the tax imposed by this chapter:
| (ii) | an estate, a trust, or a beneficiary of an estate or a trust that is not a pass-through entity or a pass-through entity taxpayer; |
| (iii) | a pass-through entity; or |
| (iv) | a pass-through entity taxpayer. See Utah Code 59-10-103- trust: means a nonresident trust or a resident trust that has state taxable income. See Utah Code 59-10-1002
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| (a) |
“Alternative energy entity” means the same as that term is defined in Section 79-6-502. |
| (b) |
“Alternative energy project” means the same as that term is defined in Section 79-6-502. |
| (c) |
“Office” means the Office of Energy Development created in Section 79-6-401. |
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| (2) |
Subject to the other provisions of this section, an alternative energy entity may claim a nonrefundable tax credit for alternative energy development as provided in this section. |
| (3) |
The tax credit under this section is the amount listed as the tax credit amount on a tax credit certificate that the office issues under 5, to the alternative energy entity for the taxable year. |
| (4) |
An alternative energy entity may carry forward a tax credit under this section for a period that does not exceed the next seven taxable years if:
| (a) |
the alternative energy entity is allowed to claim a tax credit under this section for a taxable year; and |
| (b) |
the amount of the tax credit exceeds the alternative energy entity’s tax liability under this chapter for that taxable year. |
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| (5) |
| (a) |
In accordance with Section 59-10-137, the Revenue and Taxation Interim Committee shall study the tax credit allowed by this section and make recommendations concerning whether the tax credit should be continued, modified, or repealed. |
| (b) |
| (i) |
Except as provided in Subsection (5)(b)(ii), for purposes of the study required by this Subsection (5), the office shall provide the following information, if available to the office, to the Office of the Legislative Fiscal Analyst by electronic means:
| (A) |
the amount of tax credit that the office grants to each alternative energy entity for each taxable year; |
| (B) |
the new state revenues generated by each alternative energy project; |
| (C) |
the information contained in the office’s latest report under Section 79-6-505; and |
| (D) |
any other information that the Office of the Legislative Fiscal Analyst requests. |
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| (ii) |
| (A) |
In providing the information described in Subsection (5)(b)(i), the office shall redact information that identifies a recipient of a tax credit under this section. |
| (B) |
If, notwithstanding the redactions made under Subsection (5)(b)(ii)(A), reporting the information described in Subsection (5)(b)(i) might disclose the identity of a recipient of a tax credit, the office may file a request with the Revenue and Taxation Interim Committee to provide the information described in Subsection (5)(b)(i) in the aggregate for all alternative energy entities that receive the tax credit under this section. |
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| (c) |
As part of the study required by this Subsection (5), the Office of the Legislative Fiscal Analyst shall report to the Revenue and Taxation Interim Committee a summary and analysis of the information provided to the Office of the Legislative Fiscal Analyst by the office under Subsection (5)(b). |
| (d) |
The Revenue and Taxation Interim Committee shall ensure that the recommendations described in Subsection (5)(a) include an evaluation of:
| (i) |
the cost of the tax credit to the state; |
| (ii) |
the purpose and effectiveness of the tax credit; and |
| (iii) |
the extent to which the state benefits from the tax credit. |
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| (6) |
A claimant, estate, or trust may not claim or carry forward a tax credit described in Subsection (2) in a taxable year during which the taxpayer claims or carries forward a tax credit under Section 59-10-1106. |
Amended by Chapter 482, 2023 General Session
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