Income tax, state; establishes geothermal tax credit. (HB849)

Introduced By

Del. David Reid (D-Loudoun) with support from co-patron Del. Mark Keam (D-Vienna)

Progress

Introduced
Passed Committee
Passed House
Passed Senate
Signed by Governor
Became Law

Description

Income tax; geothermal tax credit. Establishes an individual income tax credit for taxable years 2023 through 2027 for qualified expenditures related to a geothermal system placed in service at a residence in a tobacco region locality. The bill provides that the geothermal tax credit amount is the lesser of $7,500 or 25 percent of qualified expenditures. The aggregate annual limit on such credits is $1 million. The bill directs the Department of Energy to evaluate whether a person's geothermal system complies with statutory and regulatory standards and to issue a certification for a compliant system to be attached to a person's income tax return in order to claim the geothermal tax credit. The bill reduces from 50 percent to 25 percent the portion of Master Settlement Agreement funds that accrue to the Tobacco Indemnification and Community Revitalization Fund and allocates 25 percent of such funds to cover the revenue loss attributable to the credit created by the bill. The bill has a delayed effective date of January 1, 2023. Read the Bill »

Outcome

Bill Has Failed

History

DateAction
01/12/2022Prefiled and ordered printed; offered 01/12/22 22100075D
01/12/2022Referred to Committee on Finance
01/19/2022Committee
02/06/2022Impact statement from TAX (HB849)
02/07/2022House subcommittee amendments and substitutes offered
02/07/2022Subcommittee failed to recommend reporting (3-Y 6-N)
02/15/2022Left in Finance

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