This bill amends the New Solar Market Development Income Tax Credit and introduces a new corporate income tax credit aimed at promoting the installation of solar thermal and photovoltaic systems in New Mexico. It expands eligibility to include taxpayers who install photovoltaic systems and sell electricity under power purchase agreements. The bill increases the tax credit amount to 20% for photovoltaic systems with at least fifteen kilowatt-hours of storage capacity, while maintaining a 10% credit for other systems. The maximum credit allowed is set at $6,000 per property per taxable year, or $12,000 for systems with the specified storage capacity.

Additionally, the bill outlines the application process for certification of eligibility, requiring proof of installation and compliance with safety standards. It allows for the transfer of tax credit certificates and establishes an aggregate limit of $30 million for credits certified in a calendar year. The provisions of this act will apply to taxable years beginning on or after January 1, 2025. The bill aims to encourage the adoption of renewable energy technologies and enhance the state's commitment to sustainable energy practices.

Statutes affected:
introduced version: 7-2-18.31