Iowa Code Chapter 476B establishes a state production tax credit of 1.0¢ per kilowatt-hour (kWh) for energy generated by qualified wind energy facilities and sold or consumed on-site. The total nameplate generating capacity of all facilities qualified for the tax credits is 50 megawatts (MW). The program capacity limit has been reached. The tax credit certificates are transferrable and may be applied toward the state's individual income, corporation income, franchise, insurance program, sales and use, or replacement tax.
Iowa Code Chapter 476C establishes a state production tax credit of 1.5¢ per kWh for energy sold by eligible wind energy facilities and certain non-wind renewable energy facilities. For eligibility applications filed after July 1, 2011, tax credits are also available for on-site consumption of renewable energy from facilities with a nameplate capacity of not less than 750 kW.
To learn more about the Renewable Energy and Wind Energy Production Tax Credits, please visit the IUB site.