Energy Credit Transfer Marketplace
Join our private marketplace to buy or sell your commercial energy tax credits.
New Rules for 2024
A better workflow
Our mission is to help perpetuate a clean energy future. After the introduction of the Inflation Reduction Act, where the ability to buy and sell energy credits became permitted, there interestingly was no way to easily buy or sell those energy credits. Thus in order to close the gap in the market, we scaffolded the marketplace.
- Sell Energy Credits
- The IRA mechanism permits owners of for-profit projects to convert specific tax credits into monetary value by transferring them to other taxpayers.
- 100% Tax Free
- The inflation reduction act specifies that the sale of energy credits in exchange for cash, are cash free sales.
- Brand New Legislation
- The direct pay process enables entities exempt from income tax, including nonprofits, state/local/Tribal governments, publicly owned utilities, and rural electric cooperatives, to claim a direct payment from the IRS equivalent to the tax credit amount.
Leverage the Inflation Reduction Act
It's your right to buy or sell your credits to get a financial edge in your business
- Of commercial buildings use solar
- 3.5%
- Growth over last decade
- 12x
- Tax on energy sales
- 0%
- Marketplace fee
- 0%
How It Works
Energy Credit Transfer is a private digital marketplace designed specifically for the trade of energy credits. This platform serves as a vital connection between commercial buyers and sellers, we're highly vetted to ensure community standards and safety.
- Step 1:
- Fill out application below.
- Step 2:
- Wait for a member of our customer support team to contact you with your application decision.
- Step 3:
- If approved, you will gain access to the private marketplace.
Entry Application
Apply Here!
In order to be considered to be let into our private marketplace or if you would like to test the software, please fill out the form and we will be in touch.
- Address
- 71 Stevenson St,
San Francisco, CA 94105
We're the first
Solar Tax Credit Marketplace
Our solar tax credit marketplace is revolutionizing the way "tax credits" are traded, aligning with the "Inflation Reduction Act". We offer a unique platform for both "tax credit buyers" and sellers to engage in transparent "credit transfers".
Maximizing Benefits under the Inflation Reduction Act
The "Inflation Reduction Act" has opened up numerous opportunities for "clean energy tax credits". Entities, especially "tax exempt organizations", can leverage these credits to reduce their "tax liability", furthering their investment in "renewable energy projects".
Our marketplace simplifies the "direct pay" process for "energy tax credits". The cash received from these transactions is treated as "tax exempt income", ensuring a favorable financial outcome for participants.
Maximizing Benefits under the Inflation Reduction Act
For "tax credit investors" and those interested in clean electricity production credit, our platform provides access to investment tax credit and renewable energy credits. We facilitate the sale of eligible credit property, ensuring compliance with IRS guidance and proposed regulations.
Navigating Tax Law and IRS Regulations
We adhere to the latest tax law and IRS proposed rules, by introducing traders but allowing our users to take relationships to fruition utilizing their own infrastructure. We simply exist to introduce buyers and sellers.
We follow guidelines
Tax Credit Listings and Eligibility
Marketplace Dynamics: Our "tax credit marketplace" features a comprehensive list of "tax credit listings", aiding both buyers and sellers in identifying "eligible credit" and "eligible taxpayer" status. We prioritize preventing "excessive credit transfer" and ensuring proper "transfer election statement" processes.
Special Credits and Opportunities
"Specialized Credits": In addition to solar, we also explore opportunities like "hydrogen production credit" and facilitate "lease pass through election" for more specialized projects. This inclusivity benefits "rural electric cooperatives" and "Indian tribal governments", expanding the reach of our marketplace.
The Future of Renewable Energy Investment
Forward-Looking Approach: We aim to continuously adapt to changing "taxable years beginning" and stay ahead of "treasury department" updates. Our focus on "transfer credits" and "credit portion" management underscores our commitment to facilitating efficient transactions in the renewable energy sector.
Frequently asked questions
- How does the Inflation Reduction Act impact commercial solar energy investment?
The Inflation Reduction Act expands opportunities for the commercial investment tax credit for solar energy, reducing barriers to developing large-scale clean energy projects. This change enhances the economic feasibility and attractiveness of investing in solar energy.
- What were the challenges with solar tax credit utilization in the past?
Previously, developers who couldn't use the federal income tax credits themselves faced challenges, as they couldn't sell these credits outright. This led to the creation of complex tax structures involving equity investors to utilize the credits.
- How has the new tax law changed the transferability of solar tax credits?
Under the new tax law, solar tax credits can now be sold once by the developer. This allows for new cash equity into the project without altering the ownership structure, simplifying the process significantly.
- What guidance has the IRS released regarding renewable energy credits?
The IRS has released guidance under proposed rules (REG-101610-23) detailing the nuances of transferring renewable energy credits, providing clarity on the process and requirements.
- What are the tax consequences of transferring solar tax credits?
When transferring solar tax credits, the cash received is treated as tax-exempt income for the seller, while the cash paid by the buyer is a nondeductible expense. It's crucial to understand the one-time sale limitation and its impacts.
- What factors should buyers consider before purchasing solar tax credits?
Buyers should verify their ability to use the credits and compare the market price of the credit to potential cash savings. They must also ensure due diligence to confirm the credits meet eligibility standards and understand the liability for recapture of ineligible credits.
- What considerations should sellers have before marketing their credits?
Sellers need to assess their eligibility for the credit amount and their capacity to utilize them. They should consider additional costs like indemnifications and insurance, which might affect the economic benefit of selling the credits.
- Is it possible for a developer to use only a portion of the tax credits and sell the remainder?
Yes, developers can sell a partial amount of the tax credits, provided it is a vertical slice and not solely from a bonus/adder credit. This allows them to benefit from the credits they can use while selling the rest.
- What are the key benefits of the new solar tax credit transferability under the Inflation Reduction Act?
The new transferability rules simplify the process for developers to monetize credits, increase the liquidity of these credits in the market, and potentially attract more investment into solar energy projects.
- What risks do buyers and sellers face in the transfer of solar tax credits?
Buyers risk the recapture of ineligible credits, while sellers must be cautious about the accurate valuation and eligibility of their credits. Both parties face potential financial and compliance risks in these transactions.