Energy Incentives

ORS 469B.106
Claim for tax credits

  • eligibility
  • contents
  • contractor system certification
  • rules


(1)

Subject to the limitations in section 75, chapter 730, Oregon Laws 2011, any person may claim a tax credit under ORS 316.116 (Credit for alternative energy device) if the person:

(a)

Meets the requirements of ORS 316.116 (Credit for alternative energy device);

(b)

Meets the requirements of ORS 469B.100 (Definitions for ORS 469B.100 to 469B.118) to 469B.118 (Forfeiture of tax credits); and

(c)

Pays, subject to subsection (9) of this section, all or a portion of the costs of an alternative energy device.

(2)

In order to be eligible for a tax credit under ORS 316.116 (Credit for alternative energy device), a person claiming a tax credit for construction or installation of an alternative energy device shall have the device certified by the State Department of Energy or constructed or installed by a contractor certified by the department under subsection (4) of this section.

(3)

Verification of the purchase, construction or installation of an alternative energy device shall be made in writing on a form provided by the Department of Revenue and, if applicable, shall contain:

(a)

The location of the alternative energy device;

(b)

A description of the type of device;

(c)

If the device was constructed or installed by a contractor, evidence that the contractor has any license, bond, insurance and permit required to sell and construct or install the alternative energy device;

(d)

If the device was constructed or installed by a contractor, a statement signed by the contractor that the applicant has received:

(A)

A statement of the reasonably expected energy savings of the device;

(B)

A copy of consumer information published by the State Department of Energy;

(C)

An operating manual for the alternative energy device; and

(D)

A copy of the contractor’s certification certificate or alternative energy device system certificate for the alternative energy device, as appropriate;

(e)

If the device was not constructed or installed by a contractor, evidence that:

(A)

The State Department of Energy has issued an alternative energy device system certificate for the alternative energy device; and

(B)

The taxpayer has obtained all building permits required for construction or installation of the device;

(f)

A statement, signed by both the taxpayer claiming the credit and the contractor if the device was constructed or installed by a contractor, that the construction or installation meets all the requirements of ORS 469B.100 (Definitions for ORS 469B.100 to 469B.118) to 469B.118 (Forfeiture of tax credits);

(g)

The date the alternative energy device was purchased by the residential property owner, or, for a third-party alternative energy device installation, the date that the residential property owner and the alternative energy device owner signed a contract;

(h)

The date the alternative energy device was placed in service; and

(i)

Any other information that the Director of the State Department of Energy or the Department of Revenue determines is necessary.

(4)

(a) When the State Department of Energy finds that an alternative energy device can meet the standards adopted under ORS 469B.103 (Criteria), the Director of the State Department of Energy may issue a contractor system certification to the person selling and constructing or installing the alternative energy device.

(b)

Any person who sells or installs more than 12 alternative energy devices in one year shall apply for a contractor system certification. An application for a contractor system certification shall be made in writing on a form provided by the State Department of Energy and shall contain:

(A)

A statement that the contractor has any license, bonding, insurance and permit that is required for the sale and construction or installation of the alternative energy device;

(B)

A specific description of the alternative energy device, including, but not limited to, the material, equipment and mechanism used in the device, operating procedure, sizing and siting method and construction or installation procedure;

(C)

The addresses of three installations of the device that are available for inspection by the State Department of Energy;

(D)

The range of installed costs to purchasers of the device;

(E)

Any important construction, installation or operating instructions; and

(F)

Any other information that the State Department of Energy determines is necessary.

(c)

A new application for contractor system approval shall be filed when there is a change in the information supplied under paragraph (b) of this subsection.

(d)

The State Department of Energy may issue contractor system certificates to each contractor who on October 3, 1989, has a valid dealer system certification, which shall authorize the sale and installation of the same domestic water heating alternative energy devices authorized by the dealer certification.

(e)

If the State Department of Energy finds that an alternative energy device can meet the standards adopted under ORS 469B.103 (Criteria), the Director of the State Department of Energy may issue an alternative energy device system certificate to the taxpayer constructing or installing or having an alternative energy device constructed or installed.

(f)

An application for an alternative energy device system certificate shall be made in writing on a form provided by the State Department of Energy and shall contain:

(A)

A specific description of the alternative energy device, including, but not limited to, the material, equipment and mechanism used in the device, operating procedure, sizing, siting method and construction or installation procedure;

(B)

The constructed or installed cost of the device; and

(C)

A statement that the taxpayer has all permits required for construction or installation of the device.

(5)

Prior to commencing installation of alternative energy devices, installers of third-party alternative energy device installations must apply to the State Department of Energy to reserve credits on behalf of owners of residential property. Installers may reserve credit for no more than 25 installations under this subsection in one application.

(6)

To claim the tax credit, the verification form described in subsection (3) of this section shall be submitted with the taxpayer’s tax return for the year the alternative energy device is placed in service or the immediately succeeding tax year. A copy of the contractor’s certification certificate or alternative energy device system certificate also shall be submitted.

(7)

The verification form and contractor’s certificate or alternative energy device system certificate described under this section shall be effective for purposes of tax relief allowed under ORS 316.116 (Credit for alternative energy device).

(8)

The verification form and contractor’s certificate described under this section may be transferred to the first purchaser of a dwelling who intends to use the dwelling as a principal or secondary residence.

(9)

Any person that pays the present value of the tax credit for an alternative energy device provided under ORS 316.116 (Credit for alternative energy device) and 469B.100 (Definitions for ORS 469B.100 to 469B.118) to 469B.118 (Forfeiture of tax credits) to the person who constructs or installs the alternative energy device shall be entitled to claim the credit in the manner and subject to rules adopted by the Department of Revenue to carry out the purposes of this subsection. The State Department of Energy may establish by rule uniform discount rates to be used in calculating the present value of a tax credit under this subsection. [Formerly 469.170; 2012 c.45 §13; 2015 c.701 §30]
Note: Section 8a (1), chapter 832, Oregon Laws 2005, provides:
Sec. 8a. (1) The State Department of Energy may not issue a contractor’s certification certificate or an alternative energy device system certificate under ORS 469.170 [renumbered 469B.106 (Claim for tax credits)] after January 1, 2018. [2005 c.832 §8a(1); 2009 c.913 §13(1); 2011 c.730 §68(1)]
§§ 469B.130 to 469B.169

(formerly 469.190 to 469.225)

Law Review Citations

16 WLR 392 (1979)

§§ 469B.100 to 469B.118

(formerly 469.160 to 469.180)

Atty. Gen. Opinions

Installation date of alternative energy devices, Department of Energy rule provisions and tax credit limitations, (1977) Vol 38, p 1198; credit from utility to customer feeding excess electrical power from residential alternative energy device back into utility's distribution system, (1977) Vol 38, p 1475


Source

Last accessed
Jun. 26, 2021