MILD
SB 007
HYDROGEN FUEL PRODUCTION TAX CREDIT
- Legislative URL:
- SB 007 on nmlegis.gov
- Emergency Clause:
- No
- Germane:
- N/A
- Location:
- HWMC
- Action:
- SPREF [1] SCORC/SCONC/SFC-SCORC [3] DP-SCONC [5] DP-SFC [25] DP/a [29] PASSED/S (31-7) [32] HEENC/HWMC-HEENC [36] DP-HWMC API.
- Issue(s):
- Energy
Companion Bills
Related Legislators
- Bill Sponsor:
- Carlos Cisneros Carl Trujillo
Related Documents
- Downloads:
-
Introduced
SCORC Committee Report
SCONC Committee Report
SFC Committee Report
Final Senate Vote
HEENC Committee Report
Fiscal Impact Report
Summary
This bill, for the interim Science, Technology and Telecommunications Committee, creates the Hydrogen Fuel Production Corporate Income Tax Credit, which may be claimed by a taxpayer who holds title to a qualified hydrogen fuel or hydrogen resource generator that produces and sells hydrogen.
The tax credit, which cannot be claimed in addition to the Renewable Energy Production Tax Credit, will equal the cost of generating the hydrogen up to a maximum of $1.00 per kilogram of the first 4,000,000 kilograms of hydrogen fuel produced and sold by the qualified hydrogen fuel or hydrogen resource generator in the taxable year.
TRD may allow a maximum annual aggregate of $4,000,000 in hydrogen fuel production corporate income tax credits.
On March 3rd the Senate Finance Committee amended SB 7 to:
- delay implementation of the Hydrogen Fuel Production Corporate Income Tax Credit to taxable years beginning on or after January 1, 2017; and
- replace the flat maximum annual aggregate of $4,000,000 in credits with a phased in annual maximum starting at $500,000 in taxable year 2017 and increasing to $1,000,000 in taxable year 2018, $2,000,000 in taxable year 2019 and $4,000,000 in taxable years 2020 and thereafter.
A potential benefit of this bill is that it might stimulate the production and sale of hydrogen as a renewable fuel and energy source.
Note: Prior to its amendment SB 7 was a companion bill to HB 454.