Notice 2020-88: Reallocations of section 48A credits under qualifying advanced coal project program

Notice 2020-88: Reallocations of section 48A credits

The IRS today released an advance version of Notice 2020-88 concerning a new round of (re)allocations of section 48A credits under the qualifying advanced coal project program.

1000

Related content

Previously, there were two rounds of allocations of the credits under the section 48A Phase III program—one in 2012 and the second in 2015.

According to Notice 2020-88 [PDF 117 KB], after the completion of the second round, the IRS and Treasury Department conducted a review and determined that $2,041,500,000 of section 48A credits are available for reallocation due to forfeitures of previously allocated section 48A credits or unallocated credits.

Notice 2020-88, therefore, announces the beginning of Round 3 of the section 48A Phase III program. To be considered in Round 3, applications must be submitted both to the Department of Energy (DOE) (Application for DOE Certification) and to the IRS (Application for Section 48A Certification) on or before 90 days after “date of publication.”

According to an IRS transmittal message, Notice 2020-88 is scheduled to be published in the Internal Revenue Bulletin on December 28, 2020.

Additional rules and other guidance items are provided in the IRS notice and in appendices to the notice.

The KPMG name and logo are trademarks used under license by the independent member firms of the KPMG global organization. KPMG International Limited is a private English company limited by guarantee and does not provide services to clients. No member firm has any authority to obligate or bind KPMG International or any other member firm vis-à-vis third parties, nor does KPMG International have any such authority to obligate or bind any member firm. The information contained herein is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavor to provide accurate and timely information, there can be no guarantee that such information is accurate as of the date it is received or that it will continue to be accurate in the future. No one should act on such information without appropriate professional advice after a thorough examination of the particular situation. For more information, contact KPMG's Federal Tax Legislative and Regulatory Services Group at: + 1 202 533 4366, 1801 K Street NW, Washington, DC 20006.

Connect with us

 

Want to do business with KPMG?

 

loading image Request for proposal