Income tax; authorize tax credit for cost of qualified clean-burning motor vehicle fuel property.
Impact
The proposed tax credit, which encompasses 50% of the cost for certain modifications and a higher percentage for public access systems, is designed to incentivize individuals and businesses to transition to cleaner fuel alternatives. This initiative aligns with broader environmental goals, such as reducing greenhouse gas emissions and promoting sustainable energy use. By allowing taxpayers to carry forward unused credits for up to five years, the bill aims to ease the financial burden on residents investing in these alternative fuel technologies, thereby enhancing adoption rates across the state.
Summary
House Bill 951 establishes a framework for providing income tax credits aimed at promoting the installation of alternative fueling infrastructure in Mississippi. Specifically, the bill allows a one-time income tax credit for a percentage of the costs associated with setting up qualified clean-burning motor vehicle fuel properties, such as those utilizing compressed natural gas, liquefied natural gas, and electricity for vehicle fueling. The bill outlines specific definitions, credit percentages, and stipulations regarding the qualifications for various types of property related to alternative fuel vehicles.
Contention
Throughout discussions on HB 951, there were varied perspectives regarding the appropriate balance between incentivizing clean energy initiatives and the effects on state tax revenues. Supporters emphasized the potential long-term environmental and economic benefits, whereas opponents raised concerns about the initial financial implications for the state's budget. Furthermore, discussions indicated that the mechanisms for administering these credits need to be clearly defined, including compliance measures to ensure that the installations meet required safety and industry standards.
Income tax credit; providing credit for investments in qualified clean-burning motor vehicle fuel property; requiring registration of vehicle in this state to qualify for credit. Effective date.
Income tax credit; providing credit for investments in qualified clean-burning motor vehicle fuel property; requiring registration of vehicle in this state to qualify for credit. Effective date.
Income tax credit; providing credit for investments in qualified clean-burning motor vehicle fuel property; requiring registration of vehicle in this state to qualify for credit. Effective date.