BarbriSFCourseDetails
  1. keyboard_arrow_leftBack

Course Details

Course Information
  • smart_display Format

    On-Demand

  • signal_cellular_alt Difficulty Level

  • work Practice Area

    Energy

Date & Time
  • event Date

    Thursday, March 26, 2020

  • schedule Time

    1:00 p.m. ET./10:00 a.m. PT

  • timer Program Length

    90 minutes

Credit Information

  • This 90-minute webinar is eligible in most states for 1.5 CLE credits.

$347.00
CLE
ALL

This CLE course will provide an in-depth analysis of securing the production tax credit (PTC) and investment tax credit (ITC) and other tax incentives for renewable energy projects. The panel will discuss relevant structures for renewable projects, various tax issues and the key provisions of the recently passed Consolidated Appropriations Act of 2020 that extends or renews tax credits for renewables. The presenters will provide a critical analysis of the IRS "begin construction" rules and practical techniques to avoid mishaps that may jeopardize PTC/ITC and other tax incentives.

Faculty

Durham C. McCormick
Partner
Mcguire Woods LLP

Mr. McCormick focuses his practice on tax structuring for renewable energy transactions, with a particular emphasis on production tax credits (PTC), investment tax credits (ITC) and Section 1603 Treasury Grants. His renewable energy experience includes project developments, joint ownership arrangements, power purchase agreements, transmission agreements, turbine supply agreements, balance of plant contracts, financings, acquisitions, divestures and operational matters. He also has significant experience representing clients with their mergers and acquisitions, finance ventures, capital raises and general governance.

expand_circle_down Expand to View Full Bio expand_circle_up Collapse Bio
Hagai Zaifman
Partner
Sidley Austin LLP

Mr. Zaifman is a Partner in the Firm's Global Tax Practice. He works closely with both the Global Project Development & Finance Practice and Global Mergers & Acquisitions Practice. Mr. Zaifman advises developers, lenders and tax equity investors in renewable energy projects and M&A transactions, with a particular focus on complex partnership structures and transactions involving the production and investment tax credits. Prior to joining White & Case, he was the Tax Director of GE Energy Financial Services (GE EFS). In this role, he led the GE EFS tax team in underwriting, investing, managing and disposing its US$10+ billion debt and equity portfolio of US and foreign wind and solar projects.

expand_circle_down Expand to View Full Bio expand_circle_up Collapse Bio

Description

On Dec. 20, 2019, the Further Consolidated Appropriations Act of 2020 was signed into law extending or renewing certain expired or expiring tax credits and other tax incentives. Energy counsel must grasp a complete understanding of key provisions of the new legislation and rules for claiming the ITC and PTC to secure financing for renewable energy facilities and development.

Both the ITC and PTC for renewable energy are critical components of successful project financing, significantly impacting ownership structures and available tax planning techniques. The PTC provides a credit for each kilowatt-hour of energy production for qualified renewable energy facilities. The new legislation includes a one-year extension of the PTC under Section 45. It also includes a limited extension of other energy tax incentives that set to expire and a retroactive extension for some credits that had already expired in 2018.

The ITC allows taxpayers to claim a credit for the cost of investment in qualified energy property. The new legislation extends the ITC in lieu of the PTC for wind facilities where construction begins in 2020, making them eligible for 60% of the ITC.

It is critical for developers and investors (and their counsel) to understand the relevant structures of such renewable projects, the various tax issues and the nuances of the new legislation, rules, and guidance regarding these credits to ensure that the credits will be available concerning their renewable energy projects.

Listen as our authoritative panel of energy counsel and tax professionals examines the benefits of the tax credits and discusses the recent legislation, critical requirements in claiming tax credits, the IRS "begin construction" rules, and practical techniques to avoid mishaps that jeopardize tax incentives. The panel will also offer considerations about structuring equity investments in projects so that developers and investors can reap the benefits of the credits.

Outline

  1. New rules on tax incentives; Extenders Bill
  2. Tax equity structures and considerations for renewable energy facilities and development
  3. Requirements for qualifying for PTC/ITC and pitfalls to avoid, including the IRS "beginning of construction" guidance
  4. Planning following the Extenders Bill and mishaps and pitfalls to avoid in planning qualification for PTC/ITC

Benefits

The panel will review these and other key issues:

  • Key provisions of the Consolidated Appropriations Act of 2020 for renewable energy and their impact on current planning and structures
  • Financing structures for renewable energy projects
  • Requirements for qualifying for the ITC and PTC and pitfalls to avoid
  • Key issues of the IRS "beginning of construction" guidance