2016 US Code
Title 26 - Internal Revenue Code
Subtitle A - Income Taxes
Chapter 1 - Normal Taxes and Surtaxes
Subchapter A - Determination of Tax Liability
Part IV - Credits Against Tax
Subpart D - Business Related Credits
Sec. 45M - Energy efficient appliance credit
| 26 U.S.C. § 45M (2016) |
| §45M. Energy efficient appliance credit |
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(a) General rule
(1) In general
For purposes of section 38, the energy efficient appliance credit determined under this section for any taxable year is an amount equal to the sum of the credit amounts determined under paragraph (2) for each type of qualified energy efficient appliance produced by the taxpayer during the calendar year ending with or within the taxable year. The credit amount determined for any type of qualified energy efficient appliance is— (A) the applicable amount determined under subsection (b) with respect to such type, multiplied by (B) the eligible production for such type. For purposes of subsection (a)— (1) DishwashersThe applicable amount is— (A) $45 in the case of a dishwasher which is manufactured in calendar year 2008 or 2009 and which uses no more than 324 kilowatt hours per year and 5.8 gallons per cycle, (B) $75 in the case of a dishwasher which is manufactured in calendar year 2008, 2009, or 2010 and which uses no more than 307 kilowatt hours per year and 5.0 gallons per cycle (5.5 gallons per cycle for dishwashers designed for greater than 12 place settings), (C) $25 in the case of a dishwasher which is manufactured in calendar year 2011 and which uses no more than 307 kilowatt hours per year and 5.0 gallons per cycle (5.5 gallons per cycle for dishwashers designed for greater than 12 place settings), (D) $50 in the case of a dishwasher which is manufactured in calendar year 2011, 2012, or 2013 and which uses no more than 295 kilowatt hours per year and 4.25 gallons per cycle (4.75 gallons per cycle for dishwashers designed for greater than 12 place settings), and (E) $75 in the case of a dishwasher which is manufactured in calendar year 2011, 2012, or 2013 and which uses no more than 280 kilowatt hours per year and 4 gallons per cycle (4.5 gallons per cycle for dishwashers designed for greater than 12 place settings). The applicable amount is— (A) $75 in the case of a residential top-loading clothes washer manufactured in calendar year 2008 which meets or exceeds a 1.72 modified energy factor and does not exceed a 8.0 water consumption factor, (B) $125 in the case of a residential top-loading clothes washer manufactured in calendar year 2008 or 2009 which meets or exceeds a 1.8 modified energy factor and does not exceed a 7.5 water consumption factor, (C) $150 in the case of a residential or commercial clothes washer manufactured in calendar year 2008, 2009, or 2010 which meets or exceeds 1 2.0 modified energy factor and does not exceed a 6.0 water consumption factor, (D) $250 in the case of a residential or commercial clothes washer manufactured in calendar year 2008, 2009, or 2010 which meets or exceeds 1 2.2 modified energy factor and does not exceed a 4.5 water consumption factor, (E) $175 in the case of a top-loading clothes washer manufactured in calendar year 2011 which meets or exceeds a 2.2 modified energy factor and does not exceed a 4.5 water consumption factor, and (F) $225 in the case of a clothes washer manufactured in calendar year 2011, 2012, or 2013— (i) which is a top-loading clothes washer and which meets or exceeds a 2.4 modified energy factor and does not exceed a 4.2 water consumption factor, or (ii) which is a front-loading clothes washer and which meets or exceeds a 2.8 modified energy factor and does not exceed a 3.5 water consumption factor. The applicable amount is— (A) $50 in the case of a refrigerator which is manufactured in calendar year 2008, and consumes at least 20 percent but not more than 22.9 percent less kilowatt hours per year than the 2001 energy conservation standards, (B) $75 in the case of a refrigerator which is manufactured in calendar year 2008 or 2009, and consumes at least 23 percent but no more than 24.9 percent less kilowatt hours per year than the 2001 energy conservation standards, (C) $100 in the case of a refrigerator which is manufactured in calendar year 2008, 2009, or 2010, and consumes at least 25 percent but not more than 29.9 percent less kilowatt hours per year than the 2001 energy conservation standards, (D) $200 in the case of a refrigerator manufactured in calendar year 2008, 2009, or 2010 and which consumes at least 30 percent less energy than the 2001 energy conservation standards, (E) $150 in the case of a refrigerator manufactured in calendar year 2011, 2012, or 2013 which consumes at least 30 percent less energy than the 2001 energy conservation standards, and (F) $200 in the case of a refrigerator manufactured in calendar year 2011, 2012, or 2013 which consumes at least 35 percent less energy than the 2001 energy conservation standards. The eligible production in a calendar year with respect to each type of energy efficient appliance is the excess of— (1) the number of appliances of such type which are produced by the taxpayer in the United States during such calendar year, over (2) the average number of appliances of such type which were produced by the taxpayer (or any predecessor) in the United States during the preceding 2-calendar year period. For purposes of this section, the types of energy efficient appliances are— (1) dishwashers described in subsection (b)(1), (2) clothes washers described in subsection (b)(2), and (3) refrigerators described in subsection (b)(3). The aggregate amount of credit allowed under subsection (a) with respect to a taxpayer for any taxable year shall not exceed $25,000,000 reduced by the amount of the credit allowed under subsection (a) to the taxpayer (or any predecessor) for all prior taxable years beginning after December 31, 2010. Refrigerators described in subsection (b)(3)(F) and clothes washers described in subsection (b)(2)(F) shall not be taken into account under paragraph (1). The credit allowed under subsection (a) with respect to a taxpayer for the taxable year shall not exceed an amount equal to 4 percent of the average annual gross receipts of the taxpayer for the 3 taxable years preceding the taxable year in which the credit is determined. For purposes of this subsection, the rules of paragraphs (2) and (3) of section 448(c) shall apply. For purposes of this section— (1) Qualified energy efficient applianceThe term "qualified energy efficient appliance" means— (A) any dishwasher described in subsection (b)(1), (B) any clothes washer described in subsection (b)(2), and (C) any refrigerator described in subsection (b)(3). The term "dishwasher" means a residential dishwasher subject to the energy conservation standards established by the Department of Energy. The term "clothes washer" means a residential model clothes washer, including a commercial residential style coin operated washer. The term "top-loading clothes washer" means a clothes washer which has the clothes container compartment access located on the top of the machine and which operates on a vertical axis. The term "refrigerator" means a residential model automatic defrost refrigerator-freezer which has an internal volume of at least 16.5 cubic feet. The term "modified energy factor" means the modified energy factor established by the Department of Energy for compliance with the Federal energy conservation standard. The term "produced" includes manufactured. The term "2001 energy conservation standard" means the energy conservation standards promulgated by the Department of Energy and effective July 1, 2001. The term "gallons per cycle" means, with respect to a dishwasher, the amount of water, expressed in gallons, required to complete a normal cycle of a dishwasher. The term "water consumption factor" means, with respect to a clothes washer, the quotient of the total weighted per-cycle water consumption divided by the cubic foot (or liter) capacity of the clothes washer. For purposes of this section— (1) In generalRules similar to the rules of subsections (c), (d), and (e) of section 52 shall apply. All persons treated as a single employer under subsection (a) or (b) of section 52 or subsection (m) or (o) of section 414 shall be treated as a single producer. For purposes of subparagraph (A), in applying subsections (a) and (b) of section 52 to this section, section 1563 shall be applied without regard to subsection (b)(2)(C) thereof. No amount shall be allowed as a credit under subsection (a) with respect to which the taxpayer has not submitted such information or certification as the Secretary, in consultation with the Secretary of Energy, determines necessary. |
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(Added Pub. L. 109–58, title XIII, §1334(a), Aug. 8, 2005, 119 Stat. 1030; amended Pub. L. 110–343, div. B, title III, §305(a)–(e), Oct. 3, 2008, 122 Stat. 3845–3847; Pub. L. 111–312, title VII, §709(a)–(d), Dec. 17, 2010, 124 Stat. 3312, 3313; Pub. L. 112–240, title IV, §409(a), (b), Jan. 2, 2013, 126 Stat. 2342.) |
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AMENDMENTS
2013—Subsec. (b). Pub. L. 112–240 substituted "2011, 2012, or 2013" for "2011" wherever appearing except for pars. (1)(C) and (2)(E). 2010—Subsec. (b)(1)(C) to (E). Pub. L. 111–312, §709(a), added subpars. (C) to (E). Subsec. (b)(2)(E), (F). Pub. L. 111–312, §709(b), added subpars. (E) and (F). Subsec. (b)(3)(E), (F). Pub. L. 111–312, §709(c), added subpars. (E) and (F). Subsec. (e)(1). Pub. L. 111–312, §709(d)(1), substituted "$25,000,000" for "$75,000,000" and "December 31, 2010" for "December 31, 2007". Subsec. (e)(2). Pub. L. 111–312, §709(d)(2), substituted "subsection (b)(3)(F)" for "subsection (b)(3)(D)" and "subsection (b)(2)(F)" for "subsection (b)(2)(D)". Subsec. (e)(3). Pub. L. 111–312, §709(d)(3), substituted "4 percent" for "2 percent". 2008—Subsec. (b). Pub. L. 110–343, §305(a), reenacted heading without change and amended text generally. Prior to amendment, subsec. (b) provided applicable credit amounts and energy savings amounts for dishwashers, clothes washers, and refrigerators. Subsec. (c). Pub. L. 110–343, §305(b)(1), struck out par. (1) designation and heading, substituted "The eligible" for "Except as provided in paragraphs (2), the eligible", redesignated subpars. (A) and (B) of former par. (1) as pars. (1) and (2), respectively, and realigned margins, and struck out former par. (2) which provided a special rule for eligible production of refrigerators. Subsec. (c)(2). Pub. L. 110–343, §305(b)(2), substituted "2-calendar year" for "3-calendar year". Subsec. (d). Pub. L. 110–343, §305(c), reenacted heading without change and amended text generally. Prior to amendment, text read as follows: "For purposes of this section, the types of energy efficient appliances are— "(1) dishwashers described in subsection (b)(1)(A), "(2) clothes washers described in subsection (b)(1)(B), "(3) refrigerators described in subsection (b)(1)(C)(i), "(4) refrigerators described in subsection (b)(1)(C)(ii), and "(5) refrigerators described in subsection (b)(1)(C)(iii)." Subsec. (e)(1). Pub. L. 110–343, §305(d)(1), reenacted heading without change and amended text generally. Prior to amendment, text read as follows: "The aggregate amount of credit allowed under subsection (a) with respect to a taxpayer for any taxable year shall not exceed $75,000,000 reduced by the amount of the credit allowed under subsection (a) to the taxpayer (or any predecessor) for all prior taxable years." Subsec. (e)(2). Pub. L. 110–343, §305(d)(2), amended heading and text of par. (2) generally. Prior to amendment, text read as follows: "In the case of refrigerators described in subsection (b)(1)(C)(i), the aggregate amount of the credit allowed under subsection (a) with respect to a taxpayer for any taxable year shall not exceed $20,000,000." Subsec. (f)(1). Pub. L. 110–343, §305(e)(1), reenacted heading without change and amended text generally. Prior to amendment, text read as follows: "The term 'qualified energy efficient appliance' means— "(A) any dishwasher described in subsection (b)(1)(A), "(B) any clothes washer described in subsection (b)(1)(B), and "(C) any refrigerator described in subsection (b)(1)(C)." Subsec. (f)(3). Pub. L. 110–343, §305(e)(2), inserted "commercial" after "including a". Subsec. (f)(4), (5). Pub. L. 110–343, §305(e)(3), added par. (4) and redesignated former par. (4) as (5). Former par. (5) redesignated (6). Subsec. (f)(6). Pub. L. 110–343, §305(e)(4), amended heading and text of par. (6) generally. Prior to amendment, text read as follows: "The term 'EF' means the energy factor established by the Department of Energy for compliance with the Federal energy conservation standards." Pub. L. 110–343, §305(e)(3), redesignated par. (5) as (6). Former par. (6) redesignated (7). Subsec. (f)(7), (8). Pub. L. 110–343, §305(e)(3), redesignated pars. (6) and (7) as (7) and (8), respectively. Subsec. (f)(9), (10). Pub. L. 110–343, §305(e)(5), added pars. (9) and (10). EFFECTIVE DATE OF 2013 AMENDMENTPub. L. 112–240, title IV, §409(c), Jan. 2, 2013, 126 Stat. 2342, provided that: "The amendments made by this section [amending this section] shall apply to appliances produced after December 31, 2011." EFFECTIVE DATE OF 2010 AMENDMENTPub. L. 111–312, title VII, §709(e), Dec. 17, 2010, 124 Stat. 3314, provided that: "(1) In general.—The amendments made by subsections (a), (b), and (c) [amending this section] shall apply to appliances produced after December 31, 2010. "(2) Limitations.—The amendments made by subsection (d) [amending this section] shall apply to taxable years beginning after December 31, 2010." EFFECTIVE DATE OF 2008 AMENDMENTPub. L. 110–343, div. B, title III, §305(f), Oct. 3, 2008, 122 Stat. 3848, provided that: "The amendments made by this section [amending this section] shall apply to appliances produced after December 31, 2007." EFFECTIVE DATESection applicable to appliances produced after Dec. 31, 2005, see section 1334(d) of Pub. L. 109–58, set out as an Effective Date of 2005 Amendments note under section 38 of this title. |
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1 So in original. Probably should be followed by "a". |
| United States Code, 2012 Edition, Supplement 4, Title 26 - INTERNAL REVENUE CODE |
| Bills and Statutes |
| United States Code |
| Y 1.2/5: |
| Title 26 - INTERNAL REVENUE CODE Subtitle A - Income Taxes CHAPTER 1 - NORMAL TAXES AND SURTAXES Subchapter A - Determination of Tax Liability PART IV - CREDITS AGAINST TAX Subpart D - Business Related Credits Sec. 45M - Energy efficient appliance credit |
| section 45M |
| 2016 |
| January 6, 2017 |
| No |
| standard |
| 119 Stat. 1030 122 Stat. 3845-3847, 3848 124 Stat. 3312, 3314 126 Stat. 2342 |
| Public Law 109-58, Public Law 110-343, Public Law 111-312, Public Law 112-240 |
