PROCEDIMIENTOS DE CALIFICACIÓN

36.01 New York state income tax credits for clean energy enterprises

A. GENERALDESCRIPTION. New York provides income tax credits in various amounts for businesses in an Empire Zone primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products. (EXPIRED).

B. ELIGIBLE TAXPAYERS. The tax credit is available to Taxpayer Empire Zone businesses primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products.

1. Empire Zones are geographically defined areas within New York State. Taxpayer located within the zone are eligible for Empire Zone program tax benefits. Taxpayer must meeting an annual employment test and a cost-benefit ratio test. 2. Taxpayer may be an initial clean coal electric

generating facility capable of capturing carbon dioxide for sequestration or capable of being retrofitted to capture carbon dioxide for sequestration.

C. QUALIFYING ACTIVITY. Taxpayer must be primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products. Taxpayer must have 80% or more of its property in New York utilized for research, development or manufacturing of renewable energy or energy efficiency technologies or products. Qualifying purchases must be made in a municipality that has elected to provide the tax credit.

1. Energy efficiency improvement is any renovation or retrofitting of a building to reduce energy consumption, such as window and door replacement, lighting, caulking, weatherstripping, air sealing, insulation, and heating and cooling system upgrades, and similar improvements, determined to be cost-effective pursuant to criteria established by the authority.

2. Energy efficiency improvement does not include lighting measures or household appliances that are not permanently fixed to real property.

3. Renewable energy system is an energy generating system for the generation of electric or thermal energy, to be used primarily at such property, by means of solar thermal, solar photovoltaic, wind, geothermal, anaerobic digester gas-to- electricity systems, fuel cell technologies, or other renewable energy technology approved by the authority not including the combustion or pyrolysis of solid waste.

D. INCENTIVEAMOUNTS. The tax credit amount varies based on the statutory formula which is the product of the benefit period factor, the employment increase factor, the zone allocation factor and the tax factor.

E. INCENTIVELIMITS.

F. INCENTIVE TIMEFRAME. The tax benefit period is 10 years. Qualifying clean energy enterprises must be certified by June 30, 2010.

G. MISCELLANEOUS. For tax years beginning on or after January 1, 2010, and before January 1, 2013, if the total amount of certain credits that Taxpayer may use to reduce tax or have refunded is greater than $2 million, the excess over $2 million must be deferred to, and used or refunded in, tax years beginning on or after January 1, 2013.

36.02 New York state property tax credit for clean energy enterprises

A. GENERAL DESCRIPTION. New York provides a property tax credit in various amounts for businesses in an Empire Zone primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products. (EXPIRED).

B. ELIGIBLE TAXPAYERS. The tax credit is available to Taxpayer Empire Zone businesses primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products.

1. Empire Zones are geographically defined areas within New York State. Taxpayer located within the zone are eligible for Empire Zone program tax benefits. Taxpayer must meeting an annual employment test and a cost-benefit ratio test. 2. Taxpayer may be an initial clean coal electric

generating facility capable of capturing carbon dioxide for sequestration or capable of being retrofitted to capture carbon dioxide for sequestration.

C. QUALIFYING ACTIVITY. Taxpayer must be primarily engaged in research, development or manufacturing of renewable energy or energy efficiency technologies or products. Taxpayer must have 80% or more of its property in New York utilized for research, development or manufacturing of renewable energy or energy efficiency technologies or products. Qualifying purchases must be made in a municipality that has elected to provide the tax credit.

1. Energy efficiency improvement is any renovation or retrofitting of a building to reduce energy consumption, such as window and door replacement, lighting, caulking, weatherstripping, air sealing, insulation, and heating and cooling system upgrades, and similar improvements, determined to be cost-effective pursuant to criteria established by the authority.

2. Energy efficiency improvement does not include lighting measures or household appliances that are not permanently fixed to real property.

3. Renewable energy system is an energy generating system for the generation of electric or thermal energy, to be used primarily at such property, by means of solar thermal, solar photovoltaic, wind, geothermal, anaerobic digester gas-to- electricity systems, fuel cell technologies, or other renewable energy technology approved by the authority not including the combustion or pyrolysis of solid waste.

D. INCENTIVEAMOUNTS. The tax credit amount varies based on the statutory formula which is the 75% of the product of the benefit period factor, the employment increase factor and the tax factor.

E. INCENTIVE LIMITS. A business enterprise certified by ESD on or after April 1, 2009 is eligible for a refund or credit of tax paid on qualifying purchases during the first month after certification by ESD, based on the date on the Certificate of Eligibility and on the EZRC issued to it by ESD. The business must pass the employment test for the tax year in which a refund or credit is claimed. However, a business certified by ESD on or after April 1, 2009, is eligible for a refund or credit of any taxes paid only if the locality in which the purchase is made has elected to provide the N.Y. Tax Law §1119(d) refund or credit. If the locality has not made this election, no refund or credit of any taxes (State, MCTD and local) paid is available.

F. INCENTIVETIMEFRAME. The tax credit period is 10 years. Qualifying clean energy enterprises must be certified by June 30, 2010.

G. MISCELLANEOUS. For tax years beginning on or after January 1, 2010, and before January 1, 2013, if the total amount of certain credits that Taxpayer may use to reduce tax or have refunded is greater than $2 million, the excess over $2 million must be deferred to, and used or refunded in, tax years beginning on or after January 1, 2013.

37. North Carolina State Tax Incentives for Renewable