Providing a tax credit for obtaining certain certifications by the United States Green Building Council Leadership in Energy and Environmental Design green building rating system
Impact
The bill, once enacted, will amend the West Virginia Code to allow tax credits that can be applied against the Corporation Net Income Tax and Business Franchise Tax. Eligible taxpayers will be able to claim a credit equal to their costs associated with achieving certification, minus any reimbursements received. Additionally, the bill permits the carry forward of any unused credits for three subsequent tax years and lays out the framework for applications and necessary compliance with requirements set forth by the Tax Commissioner.
Summary
House Bill 4752 proposes a tax credit for eligible taxpayers who incur expenses to obtain certifications from the United States Green Building Council's Leadership in Energy and Environmental Design (LEED) or the Green Globes Building Initiative standards. This bill is aimed at incentivizing renovations and improvements to buildings used for commercial purposes, helping to promote sustainable building practices within the state. By offering financial relief for certification costs, the bill seeks to encourage business owners to invest in environmentally-friendly upgrades, thus enhancing energy efficiency in construction and renovation projects.
Sentiment
The sentiment surrounding HB 4752 appears to be generally positive, particularly among advocates of sustainable building practices. Supporters argue that this tax credit will significantly lower the financial barriers for businesses aiming to adopt sustainable practices. The bill aligns with broader state and national objectives aimed at reducing environmental impact and fostering green technologies. However, there may be discussion regarding the adequacy of the resources allocated to support potential demand for tax credits and ensuring that the credits effectively incentivize desired behavior among business owners.
Contention
Potential points of contention include concerns about the feasibility and administrative burden associated with the implementation of this tax credit. Critics may argue about the long-term fiscal impact of offering tax credits, questioning whether the state can afford to offer such incentives without undermining tax revenues. There might also be debates over which businesses will benefit most from the tax credit and if the criteria for certification are sufficiently rigorous to ensure that only genuine sustainability efforts are rewarded.
Providing a tax credit for obtaining certain certifications by the United States Green Building Council Leadership in Energy and Environmental Design green building rating system
Relating to authorizing application of the manufacturing investment tax credit and the manufacturing property tax adjustment credit against personal income tax