EPAct Tax Deduction for Energy Efficient Construction Set to Expire
The Energy Efficient Commercial Buildings Tax Deduction, a federal incentive that provides a deduction of $1.80 per square foot for the design and construction of energy efficient commercial buildings, is set to expire at end of the year.
The Energy Efficient Commercial Buildings Tax Deduction, a federal incentive that provides a deduction of $1.80 per square foot for the design and construction of energy efficient commercial buildings, is set to expire at end of the year.
Extending tax incentives, which are part of the Energy Policy Act of 2005 (EPAct), for commercial construction will provide an immediate stimulus to the design and construction industry, according to the American Institute of Architects (AIA).
The design and construction industry accounts for nearly one in ten dollars of United States GDP, creates millions of jobs and supports millions of small businesses, according to AIA. In order to help America’s economy, Congress must pursue policies to help invigorate the building sector, says AIA.
“Currently, many developers are reluctant to pursue new commercial projects because of uncertainty over whether federal tax incentives will remain in place beyond this year,” says Paul Mendelsohn, AIA vice president, Government and Community Relations.
“Ensuring that the commercial buildings tax deduction remains in place for years to come will remove this worry, help provide a much needed jolt to the economy and address critical environmental concerns,” says Mendelsohn.
Related Topics:
